How is yacht ownership split in a divorce?

If you and your spouse co-own a yacht, divorce proceedings can raise complicated questions about who retains ownership. Yachts aren’t just recreational assets—they represent significant financial value. As such, they are treated like other major assets, including real estate, investments, and retirement accounts.

Yacht as marital or separate property

The initial determination involves whether the yacht qualifies as marital or separate property. If it was acquired during the marriage using joint funds, it’s generally considered marital property, meaning both spouses have an equitable claim. Conversely, if one party purchased the yacht prior to marriage or used separate, non-commingled funds, it may remain separate property. However, ownership isn’t determined solely by whose name appears on the title—usage patterns and financial contributions can also be significant.

Yacht valuation and division methods

If classified as marital property, the next step is an accurate appraisal. A certified marine surveyor or yacht appraiser can establish fair market value. After valuation, division can proceed in several ways. The couple may sell the yacht and divide the proceeds. Alternatively, one party could compensate the other for their share. Another option is exchanging the yacht for other assets of equivalent value, such as investment portfolios or real estate holdings.

Yacht maintenance and hidden costs

Yachts incur ongoing expenses that extend far beyond the purchase price. These include maintenance, docking fees, insurance premiums, and crew salaries. These operational costs often influence decisions about long-term ownership. Courts may consider each party’s financial capacity to manage these obligations. If one spouse possesses greater income or previously handled logistics and care, that might weigh into the court’s decision.

Dividing high-value assets like yachts involves more than assigning a dollar amount. Consider the practical implications, such as usage history, true market value, and whether retaining ownership is sustainable or beneficial. In many cases, selling or trading the asset may provide a more equitable and pragmatic resolution.