The Boat Australia: Who Owns The Waterways?

Boat ownership in Australia is a symbol of personal wealth, with around 2.5 million Australians living in households that owned a boat in 2016. The Australian general shipping register, maintained by the Shipping Registration Office, records the physical details of vessels, owner information, and the history of ownership. While registration is not required by law unless for international travel, it provides benefits such as establishing good title, obtaining Australian nationality for the vessel, and enabling the use of the vessel as security for a mortgage. Riviera Australia, a luxury motor yacht builder based on the Gold Coast, and The Boathouse Group, a family-run business with waterside hospitality venues, are notable examples of boat-related enterprises in Australia.

Yacht-building companies

Yacht-building is a global industry, with a variety of companies collaborating to deliver luxurious yachts worldwide. Australia is home to several renowned yacht-building companies, each offering its unique expertise and craftsmanship. Here is an overview of some prominent yacht-building companies in Australia:

Riviera

Riviera, founded in 1980, is one of the world's leading builders of luxury motor yachts. With a proud history spanning over four decades, Riviera creates the ultimate boating experience by combining blue-water heritage, engineering excellence, enduring quality, innovative design, supreme luxury, and smart technology. Their yachts range from 39 to 78 feet in length, and they have over 6,000 motor yachts cruising the globe. Riviera yachts are built to last and are backed by industry-leading warranties and a global support network.

Maritimo

Maritimo is another prestigious Australian yacht builder, crafting luxury motor yachts by hand. Inspired by a passion for performance, build integrity, and innovative design, Maritimo yachts offer a smooth and responsive driving experience, superior seaworthiness, and unrivalled performance. Their designs are influenced by the Australian lifestyle and beautiful coastlines, featuring spacious interiors, ample lighting, and meticulous attention to detail.

Horizon Yachts

Horizon Yachts, established in 1987, is dedicated to bringing their clients' yachting dreams to life. Their integrated company structure allows each subsidiary to focus on its area of expertise, resulting in efficient, high-quality yacht builds. Horizon Yachts showcased their latest models at the 2024 Sydney International Boat Show, including the E75 Skylounge and the FD80.

SilverYachts

SilverYachts is one of the yacht-building companies based in Australia, contributing to the country's presence in the global yacht-building industry.

In addition to these prominent names, Australia is home to several other yacht-building companies, such as Kencraft Marine, Marten Yachts, McConaghy Boats, and Evolution Yachts, each offering its unique take on yacht design and construction. These companies cater to various preferences, from powerboats to sailing yachts, motor yachts to catamarans, and continue to shape the marine industry in Australia and beyond.

Boat registration

While registration is not required by law for all vessels, there are several benefits to registering your boat. These include establishing a record of ownership, gaining Australian nationality for your vessel, and meeting requirements for using the vessel as security for a mortgage or sailing overseas.

To register a vessel on the Australian General Shipping Register, you must submit full ownership history. If you don't have this information, you must submit a notice of intention to register. Objections can be made if there is a dispute about the ownership.

When purchasing a registered vessel, it is essential to ensure that the person listed as the registered owner is the one you are buying it from. The registration cannot be transferred without the correct owner signing the bill of sale. It is also important to request the necessary documents and fees to update the register with the change of ownership.

For unregistered vessels, it is the seller's responsibility to ensure they can transfer ownership to you. As a buyer, you will need all the information and documents related to the vessel's history if you intend to register it. Alternatively, you can request that the seller registers the vessel before the sale.

Types of boats owned

Australia has a large boating market, with a wide variety of vessels owned by Australians. In 2016, around 2.5 million Australians lived in a household that owned a boat. The most common types of boats owned in Australia include:

Dinghies, Canoes, and Rowboats

The most common type of boat owned by Australians are small vessels such as dinghies, canoes, and rowboats, with around 1.5 million people living in a household owning one. These boats are typically made from aluminium, synthetic rubber, or plastic-type polymers and are powered by small outboard motors.

Motorboats and Speedboats

Approximately 1.25 million Australians live in a household with a motorboat or speedboat. These boats can range from day cruisers to powerboats with cabins and fishing capabilities. Some popular manufacturers of powerboats in Australia include Riviera, Force Boats, Kencraft Marine, and Johnson Motor Yachts.

Sailing Boats and Yachts

Around 166,000 Australians live in a household with a sailing boat or yacht. Sailing boats can range from small sailing dinghies to large sailing yachts or cabin boats. Yachts can be further categorized into motor yachts and sailing yachts, with some of the most luxurious yachts being worth millions.

Catamarans and Trimarans

Catamarans and trimarans are multi-hull boats that offer stability and living spaces, including sleeping quarters, kitchens, and bathrooms. These boats are often used for cruising, sailing, or living permanently on the water.

Fishing Boats

Fishing boats in Australia come in various sizes and configurations, typically equipped with inboard diesel engines or outboard motors. Some popular models include the Quintrex Yellowfin 5800 and the Whitepointer Marine 8-metre fishing boat.

Super Motor Yachts

Super motor yachts are larger and more luxurious versions of motor yachts, with more rooms and living spaces. These vessels can be found in infamous Mediterranean ports and are often worth tens of millions of dollars.

Boat ownership as a symbol of wealth

Boat ownership is often seen as a symbol of wealth and high status. This perception is not limited to Australia; it is a global phenomenon. The purchase price of a watercraft is typically high, and property near a body of water often attracts a premium.

In Australia, around 2.5 million people lived in a household that owned a boat in 2016. The majority of these were smaller vessels such as dinghies, canoes, or rowboats. However, approximately 1.25 million households owned motorboats or speedboats, and about 166,000 had yachts or other sailing boats. The boat-building and repair industry in Australia generated revenue of over 890 million US dollars in 2017, indicating the significant financial outlay involved in boat ownership.

The costs associated with boat ownership go beyond the initial purchase price. Owners must consider annual maintenance, storage, usage costs, and insurance. These expenses can quickly add up, especially for larger or more luxurious vessels. For example, a simple cover for a 21-foot boat can cost around $200-300 for the winter season, while indoor storage can cost upwards of $1,000.

Boat ownership also provides opportunities for tax advantages and deductions, particularly if the boat is operated as a business or chartered. Strategies such as writing off expenses, depreciation, and utilizing IRS Section 179 can help offset the high costs of ownership. However, there are also complex tax implications, especially for non-US citizens owning boats in the US or operating them in other jurisdictions.

In summary, boat ownership, especially luxury yachts, can be a symbol of wealth and affluence. It represents not only the financial means to acquire the vessel but also the ability to maintain and operate it, including covering the various associated costs and navigating the tax implications.

Risks of buying a used boat

Used boats come with risks. Here are some things to watch out for when buying a used boat:

Hidden Expenses

Ask the seller about the costs they face beyond the boat's purchase price, such as maintenance, fees, gas, and storage. You'll also need to factor in the cost of safety equipment, any necessary education courses, and a boating license. If you're transporting the boat, you'll need a trailer and a vehicle capable of towing it.

Structural Damage

The hull is the main part of a boat. Inspect it for any defects, dents, gouges, holes, and other irregularities, especially below the waterline, which can be damaged by rocks, debris, or other boats. Older boats may have wooden transoms (the vertical section at the rear of the boat) that can rot internally. Any crack or repair longer than two inches could indicate the boat was in a collision.

Engine Problems

The engine is the most expensive part of the boat, so it's crucial to check it carefully. Look for corrosion under the engine cover and ask the owner to run it at full throttle for at least 10 seconds. Check the belts and hoses for deterioration, fraying, or cracks. If the engine is loose, smoking, running rough, or noisy, there may be a problem.

Electrical Issues

Check wires for melted or damaged insulation, corroded wiring connections, or excessive splices where wires have been repaired. These could be warning signs of bigger issues.

Trailer Issues

If the boat comes with a trailer, check the tires for wear and use their condition as a negotiating point. Also, inspect the line you hook up to the bow to pull the boat out of the water and the jack that lifts the front.

Boat History

View the history of the boat using the hull ID number to reveal past claims for accidents, recalls, or other issues. This will help you understand the boat's past and any potential problems.

Test Run

It's important to take the boat for a test run, or a "sea trial," to see how it performs on the water and get a feel for how it handles. This will help you identify any potential issues and determine if it's the right boat for you.

Frequently asked questions