Recent Trends In Sales

At Knot 10 we have a wide variety of inventory and typically offer 170-200 boats which gives us a good indicator of whats hot and whats not. In 2011 for the first 6 months we had just shy of 100 closings and listed around 110 new boats to inventory. Some boats listed sold in 2 weeks and others have not had any interest at all. While pricing by the owners is a major influence on the sale there are certain trends that we have noticed this year:

Bow Riders= The market for under $35k bow riders on the Chesapeake is probably the hottest boat segment around. Every time we have a customer bring one to the Kent Island lot it is like a magnet. It seems there is always someone looking for a low-cost fun way to get out on the water. HOT and if you’re a buyer and see a clean one do not wait.

Performance Boats=Go fast style boats have been hit hard as buyers are few and far between. We have seen some sales of under 30′ Fountains and Formula go fast style boats but the prices had to be very attractive to get any interest.

Center Consoles= A definite difference exist in sales of large center consoles (> 32′) versus the sales of 22′-28′ center consoles. The smaller boats have been moving very well if priced right where the bigger boats have been sluggish even when priced at numbers below market. It seems $50k or less is and will remain the hotter segment for center consoles. That said if it’s a Grady or Boston Whaler we see strong interest even up to $150k boats.

Aft Cabin= The aft cabin gas boat market has in 2011 been very challenging. It seems so many were made and sold in the 1997 to 2006  that supply well exceeds demand. As that occurs buyers who are few and far between seem to only nibble at rock bottom priced boats and even then buyers can be hard to find. I see this possibly reversing a bit as sales of smaller boats are improving which in a lot of cases supply the buyers of Aft Cabins.

Large Motoryachts= Recently we have seen some renewed interest on pilothouse and large motoryacht product. The long slide downward in prices seems to have finally reached a point where buyers see the benefit and do not want to delay the big boat of their future much longer. Some great buys exist and the cleanest boats are moving if priced to the point buyers come for a showing.

Flybridge Sportfish= Another segment that has been sluggish is the Convertible sportfish market. This is another market that supply is greatly exceeding demand. The buyers that are there are coming  from far away if the boats are priced below market but your local buyer is just not there in the numbers that move older or average priced product.

Small Express Boats= Small express boats in the 24-32′ range have been selling well at most price points if the boat is priced aggressively. It’s a case where buyers are there and when they can see the value against the comps are not afraid to buy. This is a positive sign as many of these sellers may be looking to that next bigger boat.

Big Express Boats= Large gas and diesel express boats are selling but not nearly at the same pace as the smaller boats. The ones that are seeing interest have  to be priced aggressively and buyer trends are shifted towards options like hardtops, cockpit air condition, and IPS drives. It’s not that big express boats without those features can’t sell its just that the prices needed to do so have to be very much discounted to attract any interest.  

So far for 2011 Knot 10 is selling lots of boats and would declare 2011 to be much stronger than 2010. The cleanest boats don’t last long if they are priced correctly as the fruit being picked is not just the lowest hanging but the ripest as well. The cleanest boat in the market if listed at too high a price just won’t get the call but if the price is attractive and the boat is above average it will soon be on to its next owner.

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