Posts Tagged ‘aircraft prices’

Piston values have stopped dropping

Tuesday, September 17th, 2013

A few months ago I reported in AOPA Pilot that all aircraft were dropping in value; if it flew, it was down. Recently I checked back to see if things are looking better. Rarely would we celebrate being drug along the bottom of the used aircraft value “ocean, ” but that is the case with piston-engine singles and twins. Vref, the airplane value reporting firm, says prices that dropped into the toilet, let’s make that the vast clean ocean, have stopped dropping. They bounce up and down, but there appear to be no more cliffs ahead. They should stay where they are for another year, says Vref’s Fletcher Aldridge.

Aldredge looked at 25 jets and found all but seven of them are in a buyers’ market. If 10 percent of the fleet of, say, Lear 60XR aircraft are for sale, then it is a buyer’s market. If the percentage is less and few are available, it is a seller’s market. The Lear 60XR is in a buyer’s market because 22 percent of the Lear 60XR fleet is for sale, and the used inventory is growing. The Global Express, Falcon 900, Citation II, Beechjet 400A, CitationJet 525, and Gulfstream IV, IVSP, and V, are all in a buyer’s market. The Gulfstream 450 and 550 are in a seller’s market. You can see the whole list for yourself right here.