Contemplating buying a yacht in Greece? There are deals to be had, especially at the end of the yacht charter season. But you can find pitfalls to be aware of too.
Nearly all Greek yachts outlined with brokers are former charter yachts, known as Greek professional yachts. Some individuals shy away from them, trusting it equivalent to purchasing a second-hand vehicle from the car hire firm. Not every charter yachts are sick-utilized or poorly maintained.
In reality, a lot of the professional yachts in Greece are properties of people instead of yacht charter businesses. The owners charter them out in order to reap the benefits of VAT as well as other tax advantages.
Frequently the proprietor will charter for your minimal number of days necessary to keep professional status and include the annual mooring and maintenance expenses in the yacht.
In case you are ready to spend time exploring you will find a huge difference in the appearance of yachts of the same age, with a few searching ‘tired’ from weighty use and some appear years younger.
Getting found a yacht you want to purchase you should have it surveyed with a expert surveyor. It is not unknown for a charter yacht to experience significant hull harm, be patched up by an unscrupulous owner, and then provided for resale.
“Purchaser Be careful” ought to certainly be your slogan.
Market research is not going to only protect you against investing in a boat with technical issues however it is also essental to most insurance companies. You may pay out 500 – 1500 Euro for a survey.
99% of Greek expert yachts are Ancient greek-flagged. When the fishing boat is flagged in another country then your guidelines of the country will apply and you also need advice coming from a competent agent.
If you are not a Ancient greek resident or perhaps an E.U. citizen resident in Greece you need to change flag if the fishing boat is supposed for private use. You can keep Greek flag if you have a yacht charter company in Greece.
Product sales Cost
We were once recommended to never pay a Ancient greek the purchase price he asks for anything at all, while he will usually expect one to bargain…
This is actually true in terms of boats. You must be able to negotiate lower through the initial selling price. A good survey may offer you ammunition for this, as few used boats is going to be without any problems.
The surveyor must be able to advise you exactly what the ‘going rate’ is made for the kind of yacht you are considering.
Some brokers in Greece usually do not work with a fixed commission payment schedule. They are going to concur a value with the proprietor he/she will accept. Then they try to get as higher a price as you can through the purchaser. Their commission is the distinction. The excess they add to the ‘owner’s price’ can be quite substantial leaving a lot of range for negotiation.
Greek professional yachts may have been purchased VAT exempt. Should you be an E.U. nationwide, you will end up required to pay VAT around the present value of the yacht along with the buy price.
The VAT rate in Greece is 19% but frequently you can negotiate with the Seller and it is not unidentified for deals to become reached in which you pay only an extra 5% and also the Seller handles the payment of the remaining VAT.
You could be exempted from repayment of VAT in case you are involved in commercial activity that includes yacht chartering.
Should you be not an E.You. Resident you simply will not need to pay the outstanding VAT, however you will need the yacht to be custom cleared through the E.You. This requires several days and expenses about 600 Euro.
Typical Buy Procedure
Having discovered a yacht, you negotiate a value with all the broker and achieve a binding agreement. You should be supplied with an inventory for that yacht so that you know what is within the sale.
You need a lawyer to behave for you personally during the sale. Your lawyer will safeguard you by guaranteeing that we now have no encumbrances or financial obligations around the yacht, and that the possession situation and titles are crystal clear.
The lawyer will get ready an M.O.A. (Memorandum of Agreement) stating every piece of information in the transaction, such as conditions, times and obligations, and what comes with the fishing boat. This Memorandum ought to be conditional on the study. The M.O.A. is signed by both Purchaser and Seller.
You arrange a survey in the yacht and, on the basis of this, either concur the cost, re-negotiate, or in some instances the smartest motion could be just to walk away!
You normally pay out a deposit of 10-20Percent from the purchase price to your solicitor at the earliest opportunity to be able to use a lawfully binding contract. Your solicitor will pay this for the vendor all things considered the essential paperwork have been handed over to him.
You need to send out the total amount of the buy cost towards the lawyer in time to conform to the conditions negotiated when drafting the Memorandum of Contract. The lawyer will probably pay the full purchase cost for the seller only right after they have ensured that every legal and tax specifications have been cared for through the vendor and all things considered required documents happen to be handed up to him from the vendor.
Within the product sales procedure the yacht is going to be erased through the Ancient greek registry. On deletion an official ownership certification is going to be released from the Hellenic Registrar of Delivery. The certification will verify that the fishing boat is free of charge from encumbrances and liens.
For the time being you can arrange enrollment for your boat within your country.
Right after completion of all documents you are able to dominate your fishing boat in Greece or you can arrange to have it delivered to anywhere you would like to always keep her.
You can only cruise your yacht after having a Bill of Selling continues to be issued and officially agreed upon by both Seller and Buyer and also the Deletion Certification continues to be issued. Purchasing a yacht can be a relatively lengthy and bureaucratic penzxm within Greece but most of the procedures exist to guard your interests and make certain the yacht is provided for free of debts or some other monetary burdens.
Usually do not be tempted to take any shortcuts or take any bits of paper presented to you by an enthusiastic seller apparently to quicken the process.