How much does it cost to buy a yacht in Singapore? Well, expect to pay more than the cost of the yacht itself. There are also other expenses that you should take into consideration. This article will discuss just that.
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Introduction
Living on a yacht in the marinas of Singapore and sailing beyond them may be one of the things you’re looking most forward to. You may have already tried renting a yacht and experienced first-hand what it feels like to have one. And, with the experience that traveling by sea gives, you might just want to keep coming back for more.
Over time, the cost of renting a yacht can add up. It also gives you less freedom to sail whenever and wherever you desire. Because of this, you just may be wondering how to buy a yacht for yourself. Read more to find out how you can start this exciting journey ahead and how much it will cost you.
How Much Does it Cost to Buy a Yacht in Singapore?
On average, a new yacht costs $1,219,884 SGD ($887,453.05 USD), while a second-hand yacht costs $683,783 SGD ($497,445.09 USD). However, there are listings that can go as low as $45,773.84 SGD ($33,300 USD) and as high as $40,239,190.57 SGD ($29,185,058 USD).
Apart from size and age, the cost of a yacht in Singapore is dependent on various factors. First, it depends on whether the yacht is brand new or secondhand. If purchasing a secondhand yacht, determine if the previous owner was a yacht charter company or a private individual.
Yacht charter companies regularly sell their newly bought yachts in order to replace them with the latest models. This ensures that they offer the best to their customers. For buyers, this means you can find an ex-charter yacht that has been well-maintained, especially if it comes from a reputable charter company. Though upfront costs can be lower, you will also need to consider the cost of repairs. Given that it has been for public use, the interior and exterior are prone to wear and tear.
Second, the type of yacht also matters. The main types of luxury charter yachts are motor, sailing, catamaran, and gulet.
Third, just as a car from luxury brands such as Audi and Tesla is more expensive, the company that manufactured the yacht also dictates its price. There are different brands to choose from when deciding on what luxury yacht to buy. In line with this, the yacht designer, who meticulously crafted the details of the yacht, also plays a part in its value.
What Other Costs Should I Keep in Mind When Buying a Yacht in Singapore?
Apart from the cost of the yacht itself, there are other expenses that you should factor into your budget. These are listed below.
1. Fees to rent a berth and obtain membership in a marina
There are relevant rental fees charged for individuals who intend to berth their yacht at a marina. In Singapore, there are different marinas that you can choose from, such as the following:
- One°15 Marina Club
- Marina at Keppel Bay
- Raffles Marina
- Republic of Singapore Yacht Club
- SAF Yacht Club
- Marina Country Club (Punggol)
- Changi Sailing Club
Each has its own services for berthing, additional amenities, and fees charged. For example, berthing a 50-to-60-foot yacht at ONE°15 Marina costs between $1,920 SGD and $2,300 SGD per month for members. But on average, you can expect to pay anywhere from $480 SGD to $1,500 SGD per month.
For those who plan to anchor their yacht, this can often be done for free. Take note that this will most likely come with restrictions, depending on where you are. Furthermore, there may also come a time when you decide to store your yacht on land. This would similarly incur expenses to rent space in a storage facility.
2. Maintenance and repairs of the yacht
For those buying a second-hand yacht, this often involves the need to refurbish both the interior and exterior. But beyond that, all yachts will eventually need maintenance and repairs later on. Expenses for regular cleaning services should also be included. Some would say that annual maintenance costs are roughly 5–10% of the yacht’s value. However, it would still depend on the frequency of use of the yacht and the weather conditions it is exposed to.
Expect to pay around $1,500 SGD to $2,000 SGD every month. This includes costs for fuel and repairs, should you use your yacht every weekend. The aforementioned amounts still lean toward what you can at least expect, so it may be more than that.
3. Equipment and accessories
Safety and communication equipment are must-haves when owning a yacht. This ensures that you’re well-prepared for unexpected situations should they arise. In general, it would be wise to keep a life jacket, a first aid kit, mooring lines and fenders, spare fuel, and others. Apart from that, batteries, pumps, lights, and oil are often recurring costs.
4. Insurance for the yacht
An insurance policy is a prerequisite for all yacht owners prior to the issuance of a pleasure craft license. The appropriate insurance coverage for your yacht will be determined by its size, age, docking place, and how it will be used. Some would advise having enough insurance to purchase a new yacht. This becomes beneficial in the unfortunate event that the whole of your yacht becomes damaged beyond repair or gets lost.
More often than not, insurance plans shoulder the costs associated with damage and/or loss of the yacht, legal liabilities to affected parties, and for the owners of the yacht themselves. Basic insurance plans usually cost $1,200 annually, at the minimum.
5. Getting a Pleasure Craft License and a Driving License
A pleasure craft refers to any craft that will be used within the port of Singapore for the purposes of sports or leisure. This excludes a craft used to board passengers who will go on sightseeing tours for a fee. When licensed by the Maritime and Port Authority (MPA), the pleasure craft will be prefixed with “SZ.” This indicates that the craft is licensed for private use. The license fee costs between $30.00 and $100.00 per year.
Apart from that, the person driving the yacht himself must apply for a powered pleasure craft driving license (PPCDL) or an Advanced Powered Pleasure Craft Driving Licence (APPCDL). Prior to the application of a license, the following eligibility criteria must be met:
- Must be at least 16 or 18 years of age
- Must have completed a recognized course about the handling of a powered pleasure craft
- Must have obtained a valid medical certificate
- Must have completed the PPCDL or APPCDL examinations administered by the Singapore Maritime Academy (SMA)
On average, the courses cost $350, which includes both theoretical and practical lessons. Apart from that, the license examination fees cost between $20.00 and $100.00, while the issuance of the driving license costs $10.00 or $20.00.
Conclusion
With this, be prepared to spend at least $50,000 per year to own a yacht in Singapore. This price gives you the most affordable yacht there is, so it would be better to expect more than that. When you do decide to buy one, you will also have the option of earning money by renting it out. But even when this is not the case, living on the water and being able to explore by sea can make it well worth the investment.
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