JETNET

JETNET Releases December 2014 and Year 2014 Pre-Owned Business Jet, Business Turboprop, Helicopter, and Commercial Airliner Market Information

JETNET Business Aviation Market ReportUTICA, NY – JETNET LLC, the leading provider of corporate aviation information, has released December 2014 and 2014 year-end results for the pre-owned business jet, business turboprop, helicopter, and commercial airliner markets.

Market Summary
Highlighted in Table A are key worldwide trends across all pre-owned aircraft market sectors, comparing December 2014 to December 2013, as well as 2014 year-end, and comparisons to 2013. Across all market sectors, JETNET is reporting 8,476 full retail sale transactions for 2014. Last year, this number was 8,327, an increase of 176 (or 1.8%),
all from business jets. The fleet “For Sale” percentages for all market sectors—except for commercial turboprops, which showed a .6% increase—were mostly unchanged in the December comparisons. However, business jets showed the largest decrease, from 12.5% in December 2013 to 11% in December 2014.

Download the full release here (PDF).

JETNET

Aircraft Depreciation Trends: A NARA Perspective

The new smaller business aircraft manufactured from the 1980s up to 2007 have experienced very predictable depreciation. Historically, it has been in the neighborhood of 5 to 10% a year, down to where an aircraft reached a certain value, perhaps 60-70% of its original purchase price.

And then in three to five years the aircraft would start appreciating again – due to replacement costs being higher on the same airplanes. A buyer could get a five-year-or-older airplane with relative certainty that it would maintain its value. Consequently, the real cost of flying the aircraft would be fuel, insurance and maintaining it properly. Buyers could rest assured that they were going to recoup 75% worst case, or as much as 125% of their investment when selling.

Read the full post at NARA’s website.