Business Aircraft Market Recovering Despite Economic Woes
/News networks these days have few positive perceptions when reporting on the U.S. economic recovery. Stories cite home foreclosures, a lack of jobs and the price of gas as prospective signs of a weak economy.
While doubts persist about the United States in an economic recovery, the business aviation sector is not following suit. For instance, late-model, large-cabin, long-range aircraft are selling at or above values published in the Aircraft Bluebook.
While North American business aircraft transactions have been lackluster, increasing sales on other continents are supporting the overall business aircraft market. Whatever the reason, inventories for late-model aircraft for sale continue to shrink. This can be interpreted as an indication of values held in check.
New aircraft models designed and equipped with the latest technology are breathing new life into the industry. Legacy aircraft, on the other hand, will never experience an economic comeback. Darwin’s “survival of the fittest” affects business aircraft, too.
While the U.S. economy still struggles to make a better comeback, business aviation has wheels in the well for the long haul.
Jet
Bluebook-at-a-glance
Increased — 41
Decreased — 298
Stable — 583
Lear 35s are now being reported with MSP, and values trended upward due to the reported equipped price in Bluebook. Late-model Bombardier Global XRSes gained value by $1 million when compared to the previous quarter.
Turboprop
Bluebook-at-a-glance
Increased — 1
Decreased — 93
Stable — 511
Like the rest of the industry, turboprops continued to demonstrate some good signs of stability. Payload, range and cost of operation will be key factors to watch. As competition for commodities becomes more aggressive on a global level, bringing new services to remote regions of the world will also play a role in continued stability in this market segment.
Multi
Bluebook-at-a-glance
Increased — 10
Decreased — 32
Stable — 616
Single
Bluebook-at-a-glance
Increased — 148
Decreased — 335
Stable — 2056
The multi and single markets are some of the best indicators of stability. A majority of these aircraft are represented by personal acquisition. Buyers and sellers agree on price, and financial institutions fund these transactions.
Helicopter
Bluebook-at-a-glance
Increased — 69
Decreased — 122
Stable — 865
The Robinson R44 and R22 gained slightly in value when compared to the previous quarter. The majority of models remained stable for another quarter.
Aircraft Bluebook–Price Digest here for you
Please contact Aircraft Bluebook if you have any specific concern in a particular aircraft market. We will be happy to share with you the most up-to-date information available for your market segment. Call us toll-free at 877-531-1450 or direct at 913-967-1913.