What are marine valuations used for?
Valuations are provided for
- Insurance underwriters for insurance appraisal
- Banks and financial institutions for finance
- Legal entities for divorce, probate, dispute resolution
- Australian customs and taxation for imported vessels
- Owners, and other third parties
What are marine valuations?
A marine valuation is based on a Fair Market Value. This value is based on a normal market without major financial events such as the Global Financial Crisis (GFC 2008).
Current Market Value is based on the current market. It takes into account changes caused by market fluctuations. It is the market value at the date of survey.
The industry norm is 60% of market value, or less based on auction and market conditions. And in stable economic times the Fair Market Value and Current Market Value should be the same.
Our marine valuations are based on research of similar vessels. Those recently sold by brokers and what is in our database. And those listed for sale taking into account the condition, brokerage commission and the current market.
Scope of our valuation reports
- Vessel particulars, design and construction
- Structural and overall cosmetic condition
- Machinery and major systems identified
- Items and equipment of significant value
- Summary condition and market valuation