After using the Fort Lauderdale yacht rentals for some time, you’ll develop a great interest in this luxury mode of transport. So, the idea of owning a personal yacht will most likely cross your mind at a given point in time. But, when you’re looking to buy a yacht, the idea of cost must also come to mind.
It’s good to do your research rather than take in the assumption that running a yacht costs 10% of its value each year. This isn’t always true for newer yachts which need less maintenance. Also, buying a yacht is an expensive investment, and you must carefully consider it. Keep reading to understand how much you’ll need to spend each year to run your yacht in Fort Lauderdale.
1. Maintenance Costs
The biggest expense you’ll incur will go to maintaining your yacht. You shouldn’t overlook it because preventive maintenance boosts your yacht’s efficiency. How much you’ll spend to maintain a yacht in Fort Lauderdale differs depending on several factors, including:
- The frequency of using the yacht
- The type of yacht
- How hard are you planning to use your yacht
- Know the amount of work you can do
- Whether the yacht is used in saltwater or freshwater
Some of the routine maintenance you’ll need to do on your yacht include the following:
- The standard maintenance equipment includes thrusters, engines, hulls, and safety equipment.
- Dockage fees
- Routine maintenance operations whenever the yacht breaks down
- Buying the washing and specialized cleaning items
How much money you’ll spend on all these expenses depends on the actual cost of your yacht. On average, be ready to spend around 10% of the yacht’s actual value on maintaining it. For example, you’ll spend $100,000 for a yacht valued at $1 million. If you spend less money, plow back the money on maintenance upgrades to maintain your boat’s resale value.
2. Insurance Premiums And Taxes
Another substantial cost you’ll incur will go to paying for insurance premiums. There are different types of insurance available that you can consider. But on average, the insurance cost will be 0.7% to 0.8% of the value of your yacht each year.
When searching for an insurance company, choose one that specializes in boats. Doing so gives you access to substantial fleet discounts. You can also enjoy discounts on navigation instruments, safety systems, and boat equipment.
3. Yacht Crew
It’s hard to run a yacht all by yourself. This explains why you need a full-time crew to give you a helping hand to operate activities in your yacht. You can start by employing one or two crew members to help you do daily maintenance tasks. You can outsource finding crew members if you don’t want to hire permanent staff on your yacht.
On average, be ready to spend around 20% to 25% of the yacht’s value on salaries for the crew member. And although this is a hefty amount, you ought to understand it before investing in a luxury yacht.
4. Operational Expenses
The biggest portion of your operational expenses will go to fuel. Different factors determine how much money you spend on fuel, and these include:
- The kind of yacht you own
- The region
- The boat’s fuel consumption
- Distances travelled
Try to cruise between 8 to 19 knots to restrict your boat’s fuel usage. Knowing how much money you can spend on fuel is challenging as prices change often. Besides fuel, there are other costs you’ll pay for when running your yacht, including:
- Food and beverage supplies
- Harbour fees
- Cost of depreciation
- Communication expenses