With the continued depressed financial climate regarding valuation of super yachts and mega yachts in today’s market, pre-purchase surveys of your targeted ship and proper valuation is of utmost importance now more than ever. Just as important is who conducts the survey, as well as their qualifications, as improper valuations on both low and high ends can actually present a moral dilemma. Accurate valuations by qualified individuals and companies are essential not only for buyers and sellers, but for lenders and insurers as well.
Make sure the individual appraising a yacht that you are buying or selling is a member of an accredited member of a professional appraisal organization such as; SAMS, NAMS, American Society of Appraisers or The Royal Institution of Chartered Surveyors. Yacht surveys prepared by members of these organizations will ensure that the document meets requirements mandated by the International Valuation Standards (IVS) and the Uniform Standards of Professional Appraisal Practice (USPAP).
A pre-purchase or pre-sale survey will detail a number of factors that figure into a fair market price for the yacht in question. Surveys involve examining every possible aspect without taking apart the ship, and include testing of all major systems and include three parts: the static, in-water inspection, haul out to inspect and underbody and the sea trial.
Sea trials are essential because the surveyor can see how major operating systems operate under working condition. At this time, the internal hull structures are also checked to make sure that they are sound. Steering, controls and engine mounts are observed, while on sailboats, overall sailing systems are evaluated for proper condition and tuning. A proper sea trial for valuation purposes should take at least one-two hours.
If you need help finding a surveyor, please give us a call.
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