Owning a yacht is a statement of ultimate luxury and wealth. When you step into the world of yacht ownership, you buy into the lifestyle. Exuberant trips, fine dining and luxurious surroundings. Luxury yachts are crafted using the finest materials and designed and built to the highest of standards.

People often wonder why yachts are so expensive, and it is a valid question. Here, you will learn why they come with such a high price ticket and how you can own the opulent lifestyle associated with owning a yacht more cost-effectively.

Is Owning a Yacht Worth It?

Buying a yacht shouldn’t be seen as a financial investment but rather a lifestyle choice. An investment in your wellbeing and overall happiness. You are buying into a luxury lifestyle, it’s a want rather than a need. People who purchase yachts are passionate about living an exuberant, opulent lifestyle. Relaxing on board your luxurious vessel is highly beneficial for your emotional and mental well-being.

If you purchase boat shares instead of buying a yacht outright, you will experience the extravagant lifestyle associated with owning a yacht at a fraction of the cost.

To answer the question, is owning a yacht worth it? The answer to that question is subjective, if you have the disposable income to purchase yacht shares or as a sole owner, then it is worth it. However, if you stretch yourself financially just to experience the yacht owner lifestyle, it might not be the best financial decision for you.

How Much Does a Good Yacht Cost?

Of course, if you are buying a yacht as a sole owner, you should expect to spend far more than if you were purchasing one as part of a fractional yacht ownership plan. For example, you should expect to pay approximately £11 million for a Majesty 120 vessel. However, if you were to purchase this yacht as part of a yacht share network, expect to pay just over £1.3 million.

Larger superyachts can cost £50 million and more, it depends on the size, age and model of the boat. There is no doubt, however, that yachts are expensive, if you are thinking about purchasing a yacht but want to reduce the cost or find a more cost-effective way of becoming a yacht owner, you could consider yacht co-ownership.

Why Are Yachts so Expensive?

If you are thinking about buying a yacht, especially if you are new to yacht ownership, you might be questioning the high price tags that are often associated with yachts. However, are these high price tags justifiable? Why are yachts so costly?

Many factors determine the cost of purchasing a yacht, it starts with the initial price tag and then the maintenance, docking and fuel costs are additional expenses that you need to consider. As a sole owner, you would be responsible for all the costs associated with your yacht purchase. However, if you decide to enter a fractional superyacht ownership contract, this will drastically reduce the cost of owning a yacht.

Here are some of the reasons why yachts are so expensive:

Supply and Demand

Yachts are considered a luxury, cars, for example, are necessary purchases for many, therefore, there is a high demand for cars, which means they can be mass-produced. Luxury cars also come with a high price tag but nothing compared to the cost of a luxury vessel. Luxury boat builders need to place high price tags on their vessels because of the manufacturing costs and to ensure that their businesses are financially viable.

Manufacturing Expenses

The cost of building a luxury vessel is high because of the slow and painstaking process required to finish the boat to a high standard. High-end skilled labour is expensive and the facilities required to build boats are somewhat costly.

High-end, luxury interiors and exterior finishing as well as the intricate inner workings of the boat also contribute to the overall cost.

If you want to delve into the world of yacht ownership but you don’t want to shoulder the cost alone, you can reduce the cost by entering a yacht syndication plan. With this, you get to experience the luxury yacht lifestyle at a fraction of the cost.

Technology

The research and developmental costs involved in building boats are astronomical. Although many parts of the boat are painstakingly handmade, modern boat makers often utilize technology such as 3D modelling and specialist software to facilitate the boat making process. This use of advanced technology will add to the expense of purchasing a boat.

Luxury Lifestyle

A luxury lifestyle comes with a hefty price tag. Yachts are not considered necessities therefore if you want to purchase one, you must expect a high price tag. We have mentioned the manufacturing costs, the technology, the fine materials used to construct yachts, these are all tangibles. However, experiencing pure opulence cannot be quantified, spending hours on your very own yacht with opulent surroundings and sheer peace of mind, you can’t put a price tag on that.

People purchase yachts for the lifestyle, for the experience and to own a slice of luxury. The truth is, to live an opulent lifestyle, you will have to pay over the odds for it. However, if you want to experience a slice of luxury without paying for the entire yacht, you could reduce the cost significantly by buying into a boat share syndicate.

When you identify a yacht share for sale, you can purchase a fraction of the boat, usually 1/8 of the overall cost of the boat. You then gain access to the boat for six weeks out of the year, providing you with the unique opportunity to buy into the lifestyle at a much lower cost.

Yachts are expensive but to own a piece of pure luxury and the feelings associated with that might certainly outweigh the expense of purchasing a yacht. Especially if you buy superyacht shares instead of buying the boat outright.

Why are Yachts So Expensive?