Understanding the Costs of Boat Ownership in Australia16 April 2022
Australians love boating, and it’s easy to see why: there are approximately one million boats registered with the Australian Maritime Safety Authority (AMSA). With one in five Australians claiming to be boaties, more than five million people enjoy a day on the water.
Despite this popularity, there’s always space for more boaters. But before you buy your new boat, it’s vital to understand what owning a boat entails.
The cost of ownership is not just limited to buying the boat itself. There are also costs associated with maintaining and insuring the vessel and paying for its upkeep and repairs. The section below takes a deeper dive into these costs and how you can afford them.
The Costs of Boat Ownership
Here are the essential costs associated with owning a boat in Australia:
Buying Your Boat
When purchasing a boat, the first thing you need to consider is the price tag. If you’re looking at a brand-new boat, you’ll probably want to look for something around $35k-$80k. But besides the capital purchase price, you’ll also incur additional costs. These could include new boat registration fees, registration transfer fees (if applicable), berth lines, tender & outline (if not already included in the purchase price).
Insurance is a must-have when purchasing a new boat. Thus, you should ensure you get a policy covering hull damage and liability. It’s worth noting that the type of insurance required depends on where you live. For example, if you live in Queensland or New South Wales, you’ll likely require an inland marine policy. However, if you live in Victoria or Tasmania, you’ll need a coastal marine policy.
You may already know about maintenance costs if you’ve purchased a used boat. These vary depending on whether the boat has been serviced regularly and how much work needs to be done. As such, it’s essential to check out the owner’s manual for information on regular servicing intervals and any additional costs associated with major overhauls.
If you own a boat, you need to ensure it’s maintained properly. Typical repairs include replacing broken windows, fixing leaks, removing rust, cleaning the engine, replacing battery chargers, replacing or cleaning carpets, etc.
Fuel consumption varies from boat to boat, but it’s generally estimated that a typical boat uses up to 1 litre of fuel every hour. Therefore, if you plan to use your boat often, it’s important to budget accordingly.
Aside from the costs discussed above, you can also expect to incur such additional or ongoing costs as:
- Yacht Club membership
- Polishing at least twice per year
- Lifting and hardstand
- Annual registration fees
- Marina berth fees
Ezilend can Help You Afford Your Dream Boat!
You have set your sight on the boat of your dreams. But looking at your account, you don’t have enough money to afford it upfront. If that’s you, no worries; Ezilend is here to help! We offer an easy way to finance your dream boat through low-interest loans. Using our service, you can take advantage of flexible repayment plans and pay off your loan hassle-free.
And the best part? We can help with pre-approval, so you know how much you can comfortably afford to borrow to see you in the boat of your dreams. All you need to do is check out our boat loan calculator to find a plan that works for you. Also, don’t hesitate to contact us if you have any questions regarding financing. We’re always happy to assist!