Ownership Costs

[lcap]

We all "pay to play," but I am surprised that in my research of new boats, how little thought if any is given to Ownership Costs. Instead, I read "I purchased brand x because it is cheaper than brand y."

Initial cost is only a small part of the equation.

Ownership Cost = (Initial Purchase Price) + (repairs, maintenance, etc) - Salvage Value.

With the following options (apples to apples) SAN (custom towable cover, heater, shower, tandem axle trailer. Salvage value after two years.

04 SAN Ownership = ((52,200) + ($0 5 year warranty)) - $42,285 or $4,957.5 per year.

04 MC X-2 Ownership = (($56,849) + ($? )) - $42,500 or $7,174.5 per yer

04 Malibu Wakesetter VLX Ownership = (($54,329 ) + ($? )) - $35,050 or $9,639.5 per year.

Initial prices based on actual local dealer quotes.
Salvage value based on current NADA of 2002 model year boats.

Who said Nautiques were the most expensive boats to own?

[skinautique]

Many people are shocked by the initial price and don't look at the long term. It is a proven fact that resale value is much better on Nautiques than other brands. I am curious as to why people don't do their homework and see things like this. If they want a different brand for their creature comforts and room and storage, etc. That is a different story. But I agree with you completly about the whole price of ownership over the years. I know people who have bought used nautiques and used them for 3 or 4 years and traded them in to the dealership for the same price they paid because the dealer knows he will get his money out of the boat. I am curious to see what others have to say about this.

[AbunDiga909]

Wow...I never realized that???

What is the warantee like for Malibu and MC?

[db]

lcap,

Thought I was the only one that looked at the total picture. My friends always questioned my logic behind shelling the money on the CC's I have owned over the years. CC's initial price used to be more than Malibu or Mastercraft, but they have caught up in my area also.

They don't understand that if I am careful in my purchases (buy in the fall with traditional colors), I can buy a new Correct Craft, use it for 6-8 years (or until they come out with hull design that is much better) and sell it for almost the same price as I paid.

The total ownership cost of the two CC's I have owned over twelve years is actually less than the cost of my buddies three year old Malibu he just sold.

J.D. Powers and the rest aside, ownership cost is a true measure of the value and quality of a product.

I always liked a good football game when we were up by 56 points and someone on the other team picks a fight out of frustration, I love pointing to the scoreboard and asking the guy, "can you read home team 56 visitors 0." Then I just walk away.

Felt the same way with my Malibu buddy (he used to be the visitor), now he wants to buy my CC. --Sorry, not for sale.

[db]

skinatique,

I do not understand storage, creature comforts etc. thing. I do not buy a ski or wakeboard boat for creature comforts. To me they are a piece of athletic equipment. Hate the 226 and keyless ignition for that reason.

If I want creature comforts and storage, for 50k I can buy a 28' Sea Ray with a kitchen, tv/dvd, cabin, head and two births.

Don't think you can beat CC for seating ergonomics. Love the MC's raked windsheild that rakes the wind right to my balding head.

Storage does suck, but me and the boys have learned its part of the sport.

[skinautique]

Basically I was trying to say that everyone has their own reasons for justifying what they bought and why they bought it.

[lcap]

My wife round filed the Malibu brochure as soon as I picked it up so I do not know what the Malibu warranty is.

I hid the MC brochure from her and it states, "Every model blazoned with the MasterCraft name starts strong with included features like our 3-year limited engine warranty."

I will assume like all merchandise it has an implied one year warranty against material defects.

[lcap]

After attempting to read Malibu's warranty, I'm glad my wife refused to go into the dealership.

The warranty goes something like this:

Limited Lifetime: Hull, Stringers, Etc.

Boat: 36 months or 400 hours whichever comes first excluding the following:

Gelcoat: 2 years, does not cover blisters, cracks, discoloration and only on white or platinum colored hulls. Sorry hull colored fans!

Engine: Malibu administers Indmar's warranty and refers you to the not provided policy. States if all Indmar requirements are met, it is a 3 year warranty only to the original owner.

Audio: 1 year and independently covered.

This was the bold print and I am not a lawyer and do not believe in them so I did not bother to read the fine print.

Hopefully this helps!

When you look at cost of fuel injection systems, keyless ignition systems CC's warranty is very nice.

[db]

skinautique

My apologies, my comments were not directed at you. They were directed at the yuppies that whine that a boat should be all things to all people.

A ski or wakeboard boat is designed for a specific purpose, period. If it accomplishes more than the perfect wake for the intended discipline, so much the better.

If it is comfortable enough to be in all day (like my CC) that's icing on the cake.

Storage has never been ideal in any tournament boat I have owned. Hopefully it never will be because the added dimesion(s) and weight will eliminate why I bought the boat in the first place.

Just came full circle

[AbunDiga909]

We used to go on day trips for literally the whole day in a 82 SN Closed Bow. And it was simple! We wedged our wakeboards in the side gunnels...We put all our slalom skies behind the drivers seat on the floor...and in front of that we had a large cooler behind the drivers seat wiht sandwhiches, soda...etc...Shoes were in front of the driver/under the passanger seat...and everything else... under the bow! Nice and Classic! So if we can manage with that...storage these days is not a problem...even on Nautiques...

Hey...if it doesnt fit...dont bring it!

[Edwin]

lcap - now that you've registered as a user on MBO, might be interesting to see what kind of reaction you get if you post this over there.

BTW - your price quote on the VLX is not an accurate representation of what people are paying for that boat.

[Hack]

Edwin, what's your point to Icap? Can he not be a CC fan and also post on the Malibu site. I visit the BU site now and then and I think Icap's analysis is tame compared with some of the BU favored perspectives I've read there. Or, are you sincerely interested in what the BU memebers' perspective on this topic would be?

It's hard to judge tone from a post. Just trying to clarify. :roll:

[Edwin]

Hack - it's crazy to think that a site (MBO, PN, etc) wouldn't be slanted towards the members of that site. Almost like watching the news on CNN and wondering why they always present the left wing view. I would be interested to see what kind of reaction he received at MBO as I question the accuracy of the numbers. There are members at MBO that have far more time than me to research the numbers.

DB's comment is a perfect example - "The total ownership cost of the two CC's I have owned over twelve years is actually less than the cost of my buddies three year old Malibu he just sold. " May be a true statement, but not comparing apples and apples. I find it VERY hard to believe that if db had sold his CC 3 years after buying he he wouldn't have taken a hit. Regardless of brand, keeping a boat for 5+ years is going to result in a lower cost/year figure. This will continue to be true if the price of new boats continues to rise.

[seven20]

although that may not be accurate to what malibu boat owners are paying, he did say it was a quote from a dealer. it probably also isn't accurate to what people are paying for the cc and mc. I also, however, don't think the salvage value is all that correct. A guy on my local lake bought a 2002 x-star early this year (1 yr. old boat) for 40,000. It has every possible option...cover, bimini, huge stereo, heater, pp, transom shower, tower lights...so all in all, i think it is just industry standards. no one is going to pay sticker price on any of these boats, and there are always better used deals

[lcap]

My posts are based on fact. Facts based on research.

I am a registered on Malibu's site. Their is alot of great information on the forum. I do not waste my time bashing anyone's choice of boats, always been of the opinnion that if it floats and serves your purpose...be greatful.

The purchase prices I used for all the boats are based on what I was "quoted" at two delearships---Malibu and Mastercraft.

Keep in mind this are "like" comparisions.

[Edwin]

I appreciate the thought lcap. I still question the pricing you received. Let's see - I place a phone call to the local MC / CC / 'bu dealer, say I'd like to buy a new XXXX. They come back and tell you it's gonna cost $xxx. Do you honestly believe that they sell many boats at the quoted price (except for the left over stock they're offering no payments for 6 months)? It's not representative of what the buying public is paying. More importantly, when was the last time you saw a CC, similarly equiped I add, the cheapest option of the leading 3 brands? Rarely, if ever, does CC have the lowest acquisition price.

Believe what you want...

[NCH2oSki]

Quote from DB: I can buy a new Correct Craft, use it for 6-8 years (or until they come out with hull design that is much better) and sell it for almost the same price as I paid.


Can you let me in on the secret of how to do this? I would love to buy a boat that after 8 years or a hull change doesnt depriciate.

[lcap]

I have been buying boats for decades, not days. I understand how to "play" the numbers game. The prices for the MC and Malibu's were as low as they would go. Both knew and did lose sales to CC because the prices quoted where higher than CC.

I own houses in different dealer territories for CC, MC and Malibu. Consequently, I was able to obtain multiple quotes from multiple dealers--in person.

Edwin,

Since you are convinced Malibu is so much cheaper than a CC, quote a comparable Malibu to a SAN Team edition with the following options:
Tandem Axle Trailer, Towable Cover, Heater, Shower

Lets make certain you do not play the a-la-carte game: options are like for like; Perfect Pass, Tower, Tower Racks, 330 hp engine or equal, fiberglass platform, hull color, extended warranty to five years, etc.

[lcap]

NCH2oSki,


Can you let me in on the secret of how to do this?

You are already doing it; research.
Pick the best boat for the discipline you are interested in.
After you decide the discipline, find out what boats make the "best" wake for it. Then Review the owner's fourms for the manufacturers you are interested in, talk to the dealers, ask questions.

Let the dealers know you are looking at brand x and y and request a ballpark quote.

Research NADA and Boat Trader for information on salvage values. Compare salvage to purchase price and you have the answer to your question.

To make sure you don't lose too much; purchase in the winter (before boat shows), avoid trendy colors--basic colors in simple schemes will always sell. A bad color scheme may cost up to $10,000 in salvage value.

Camp and Promotional boats are also an excellent opportunity to play for free.