Updated: Apr 21
Even if you are an experienced aircraft owner or pilot, you are not likely in touch with the rapidly changing market environment. Having the right information can equate to hundreds of thousands of dollars saved in your favor.
In recent months there has been a dramatic change in aircraft valuations, based on a extremely limited supply, and an increase in new buyers to the market. To have success in this environment you need up to date information.
Get an Expert in Your Corner
If you plan to buy or sell HondaJet, or any other aircraft, having a knowledgable person in your corner affects not just your wallet, but also your time and patience. The right broker can not only save you money, but can limit the hassle of your transaction. A knowledgable broker can also prevent major problems with your transaction. Just imagine buying a HondaJet only to find out it is due for a major inspection that isn't covered on the aircraft's existing airframe program, creating a six figure unexpected cost to you. An experienced broker will understand all of the details in order to facilitate a smooth transaction and ultimately save you money as the buyer or seller.
Do You Know the Market Comps?
Unlike real estate transactions, aircraft sale prices are not public information. An aircraft may have sold for $4 million dollars last year, but you may not know that a similar model sold last week for $5 million. No matter if you are a buyer or a seller, you need to have current market data in order to make the best decisions on your transaction. Only a knowledgable broker has this intel. Make sure to select a broker that has current market knowledge on your specific aircraft.
"A good broker not only will have good inventory but should also know who else has good inventory, and they’ll have knowledge about the market" - Adam Merideth, President AOPA Finance
Off Market Transactions
If you are a buyer you should know that many transactions are happening off market. That means if you don't have a dedicated broker, you don't have access to many of the available aircraft. A well connected broker has access to off market aircraft, allowing you the opportunity to submit an offer on an aircraft that would not be available on your own. As a seller, your broker is likely to have a list of buyers looking for your model and in a position to act quickly.
Are You Comfortable Making a Deal Globally?
With a limited supply of aircraft on the market you may need to interact with someone in another place on the globe. Having an experienced broker will give you the confidence to make a deal outside of your home country. Understanding the risks and benefits of a foreign transaction are crucial.
Do You Have The Time and Patience for the Calls
Once your airplane is listed you can expect the phone to start ringing. Aircraft brokers are not only ready to talk to perspective buyers, but can also intelligently determine who is real, and who is not. Brokers take many calls from so called buyers only to find out they are completely unqualified. Brokers have access to databases that can show if a potential buyer has owned an airplane in the past. A qualified broker can also ask the right questions to understand a buyers real intentions. Selling your airplane can become a full time job, and one that you as an owner do not have time for if you have your own full time job.