BCA Quotes Dennis Rousseau on the Used Aircraft Outlook for 2012

AircraftPost president, Dennis Rousseau, was recently asked by Business & Commercial Aviation to give his outlook on the used aircraft market in 2012. In an article entitled Used Aircraft 2012 which was published in the magazine’s May edition, Dennis shares his thoughts on the market: Dennis Rousseau of Aircraftpost.com pointed out that the number of […]

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Factors driving the Pre-owned Market

The collapse of the housing market in 2006 was the point of origin for the current recession which started in 2007 and progressively worsened into 2008. Some of the cause can be attributed to reckless lending which led to an unrealistic rise in asset prices. There is rhetoric the crisis was over by mid 2009. […]

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When Maintenance and Retrofit Costs Exceed Value…

Typically, the higher the value of the asset the more willing an owner is to make a major capital expenditure (i.e., G550 EVS to SVS). However, as aircraft age and approach 20/30 year maintenance requirements, values diminish and owners begin to weigh their options. After all, an aircraft is built with a life cycle and […]

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Prices Stabilize for Current Production Pre-owned Business Jets

Although an industry-wide recovery remains stalled, it appears that select markets for newer, later generation (current production) business jets are showing signs of stability in market price, reduced inventory levels and absorption rates. However, the market for out-of-production aircraft remains unstable with no shortage of inventory and concern for continued deterioration in market price. Since […]

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Pre-owned Business Jet YTD Sales Summary

Year-to-date transactions for out-of-production aircraft are up 10% from the same period 2010, while actual selling prices continue a downward trend.  Excluding depreciation, 2011 selling prices have decreased 10%. A contributing factor could be attributed to economic obsolescence. Sales for the majority of current production [pre-owned] aircraft are down 10% while selling prices are showing […]

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Pre-Owned Business Jets Year in Review

Pre-owned business jets showed an increase in the number of sales for 2010 over 2009 and 2008.  Taking a random sampling of medium and long range aircraft, the number of transactions was up an average 30% over 2008, although selling prices dropped an average of 56%.  One reason for the increase in transactions could be […]

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Adjusting Value to Streamline Cost

The market has declined significantly in the last 2 years, yet owners continue to insure their aircraft for valuations in effect before the price drop.  The right amount of insurance to carry on your aircraft is the amount it would take to purchase another aircraft exactly like yours.  Owners are saving thousands in premiums by […]

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Market Dynamics Are Shifting

Prior to 2000, sales of new business jets were split on average 70/30 between North America and international markets. With economic globalization, the ratio reversed with the majority of sales going to international markets. As a consequence of the global recession, new aircraft sales are declining and the paradigm seems to be returning to North […]

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The Importance of Realistic Pricing

The average market time (calculated from when the aircraft enters the market to closing) for medium and long range business jets has increased two-fold, when compared to 2008.  However, aircraft that are realistically priced are selling in a reasonable amount of time and fairly close to their asking price. Similar to the real estate market, […]

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Business Jet Imports on the Rise in Canada

Import of new and pre-owned business jets to most countries is on the decline.  However, in Canada, whose economy added 93,200 jobs in June and GDP rose to 6.1%, business jet imports are on the rise. In the medium and long-range category (mid 90’s production and up), imports for all of 2009 totaled 17, compared […]

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