When we think about buying a private jet or turbine aircraft, we are inclined to look stateside only in our efforts. But the truth is that foreign markets are full of aircraft held to the same stringent standards as U.S.-registered aircraft, if not even higher in some cases. So it is likely that you will find exactly what you are looking for if you are willing to expand the scope of your search a little bit.
We are living through unprecedented times. New car prices are up nearly 50% from two years ago, and there is no surplus in the market. So why use autos as a benchmark? Because there are striking similarities.
Private jet demand has spiked over the past two years, while the availability of pilots and jets has largely dried up. As a result, not only is there a deficit of used aircraft on the market, but supply chains have caused extensive backlogs of anywhere from six months to a year.
When you are in the market to buy, get your ducks in a row, secure finances, and smash the buy button when an opportunity presents itself.
Scour International Markets
Business aviation is one of the most obvious signals of international business, so scouring the globe for aircraft should be second nature. But unfortunately, there is a stigma attached to souring aircraft outside of the U.S., which is wholly unjustified. This is primarily a misunderstanding of international maintenance regulations and an assumption that FAA standards are more rigid than counterparts overseas.
This assumption is simply unfounded and untrue. The European Union Aviation Safety Agency (EASA), which oversees all commercial and business aircraft safety standards, has among the most strict safety standards and regulations globally.
There are intricacies for sure, one of which is the registration of the aircraft. You must negotiate this skillfully because The Chicago Convention only allows a single registration on an aircraft per time.
But complications aside, sourcing the world for an aircraft can uncover some gems. Remember, the U.S. is not the largest aviation market globally; the Asia-Pacific region and China together make up 33 percent of global air traffic (2019), and by 2040 that number will look more like 41 percent. The Middle East is not off the table either; air travel in the region will grow by four percent, and fleet growth will look like three percent. These numbers and the enormous caches of private wealth in the region will lend themselves to a supply of private jets.
Get to the Aircraft Quickly
Timing is everything. Again, get your finances squared away, and be prepared to get on-site as quickly as possible.
Not all of this is contingent on you personally being available to look at the jet; you need to assemble your brokerage team and maintenance inspection team beforehand so you can drop the hammer when the opportunity presents itself. In the present market, you must be able to move with lightning speed and ruthless efficiency to close the deal on a private jet; otherwise, you will find yourself in the six-month-one-year waiting camp.
A big part of getting to the aircraft quickly is knowing what, when, and where the aircraft is. Not only that but ensuring it meets your parameters. While there might be aircraft available when you open up Controller or AeroTrader, you are not getting the whole story. These may be national listing to generate buzz, fractional ownerships, or other factors that aren’t listed.
SOLDATA is our organic answer to these questions. Our proprietary approach to data-scrape to the ends of the earth and comes up with the no-bars truth about what is on the market. No fluff, just facts. We find and track all pertinent information, including airframe hours, engine hours and cycles, maintenance history and inspection statuses, and even cabin configurations. Then, we configure and package this data along with recent transactions and provide you with a fair market value. With this intelligence, you know which aircraft are legitimately on the market and ready to move in.
There are many factors and variables to consider when you are in the market for a private jet purchase. Age, maintenance records, hours remaining between major overhauls, and these are just the beginning! The keys to getting the aircraft you want at the price you can afford are persistence, good market intelligence, and the ability to move fast. You’ll need to stack your roster with a brokerage team that knows the lay of the land and is ready to move with you to get your jet!