Buy an Airplane
You need to know how to buy an airplane when you have decided to buy rather than lease. This airplane decision is similar to that for a vehicle. How long will you own? How much will you use it? How much to put down?
A new airplane will include a warranty to save you from big repair expenses. You will enjoy the glass cockpit and the latest system for navigation. Your fuel consumption will be better than with an older plane. Having made the color decisions, you will have a plane that looks just like you want it to.
How old an airplane are you willing to buy? The older planes usually cost less to buy. However, they are going to use more fuel and will require more money to maintain and repair.
You will have your purchase price or at least your down payment. You also have closing costs. Registration is required. Set aside a reserve for repairs.
Your ongoing costs will include your finance charges. There also are annual insurance costs, both for your airplane and your liability. You will need to pay to store it. There will be the expenses of your fuel. Every year brings maintenance and an inspection. Property taxes will be due. You will need to hire a pilot if you are not licensed for the aircraft.
What are your intentions? Is it for business or pleasure? What range do you require? Do you feel the need for speed? Remember that speed costs.
Airplanes present many choices to buyers. Are you going to purchase a jet? If not, do you want a single engine or twin engines? Have you decided you want turbocharged or aspirated? How about the seats? How many are wanted? In what arrangement?
There are many airplane sources. You may buy direct from the manufacturer. There are aircraft dealers. Word of mouth is a great source for buying a used airplane. Newspapers have classified ads. Popular magazines and websites have ads and photos. There are airplane auctions.
The purchase process begins with some careful screening on the phone. Your prospects will need your personal inspection. You want to determine the engine hours, see each plane’s condition and find out if there are airworthiness directive (AD) issues. Some planes will merit a test flight.
After you pick a plane, you will need to have an aircraft title search conducted. You also need to have a professional mechanical inspection. Only then should you have your closing.