September 9, 2024
How to Ensure a Fair Price For a Private Jet Purchase
Due Diligence Can Lead To Exceptional Results When You’re Seeking a Private Jet For Sale
However, it isn’t so easy to execute a successful transaction on your own, especially if you don’t already have partnerships in the aviation industry. Much like other valuable investments, industry insiders know that certain factors influence the market..
To ensure a successful transaction for your small jet, mid-size jet, or large private jet for sale, follow these tips and processes to ensure you get a fair price and confidence that you made the right decision.
Is Your Acquisition Process Governed By Ethics?
As you search for a used private jet for sale that will fulfill your needs, it is important to put someone in your corner who can be your guide.
Although there are U.S. and international laws regulating the sale of aircraft, these laws have more to do with processes that must be followed during the transaction. They do not necessarily ensure that every dealer you encounter has a personal responsibility to fairness, integrity, and excellence.
When planning to acquire a jet plane for sale, you should consider selecting a broker who adheres to a code of ethics that goes beyond regulatory requirements. For example, brokers have the option to join the International Aircraft Dealers Association (IADA), an organization committed to best practices and equitable transactions.
The IADA’s Code of Ethics outlines a list of cost-related guidelines - among others - their brokers and dealers must follow, including:
● They may not deliberately mislead the buyer about the aircraft’s value.
● They must create a reputation for “honesty, integrity, and transparency” and operate by “the highest ethical standards.”
● They must disclose any financial benefit they may
gain from recommending any product or service related to the sale.
When a dealer discloses their interests, communicates honestly, and is dedicated to equity for all parties involved in the transaction, you’re more likely to get a fair price than if your dealer isn’t committed to these values.
Track the Model You’re Interested In
Much like any other asset you’ve purchased, you can track the price of the jet you’re most interested in by searching reputable sites that feature current aircraft inventory. Most prices aren’t listed online, so you’ll have to get in touch with a dealer to find out more.
Always hire a knowledgeable dealer before beginning discussions with the dealer of the jet for sale. A dealer who abides by a code of ethics and represents your best interests can make calls to express interest and find out more details about a particular jet plane for sale.
In addition, resources like AircraftExchange.com will allow you to track a specificused private jet for sale and get notified when the price changes or similar aircraft become available. This information, coupled with the support and expertise of a dealer, will provide a strong sense of the going price for the aircraft of your choice.
Read Reviews Of Private Jets For Sale
A fair price is often subjective, if you take into consideration that you may have particular standards and expectations for performance. For example, a jet that meets your needs, but is priced higher than others in its class, may be worth its price point. Read reviews of the manufacturers and models you’re interested in to learn more details about their features.
Whether you’re looking for a small jet, a mid-size jet or a large private jet for sale, you’re likely to find an article that provides insights into that aircraft’s capabilities. Start with Business Jet Traveler magazine, which regularly posts reviews of used aircraft.
Stay Up-to-Date On Market Trends
To further understand the price of the jet you’re most interested in, you will need to know how the market and larger economic factors currently affect this industry. According to IADA quarterly market reports, several factors play a role in the balance between sellers and buyers, including market demand, supply, global economic conditions, and geopolitical upheaval.
You can get in-depth information about market trends by reading or subscribing to these resources:
After you’ve determined the current price range for the plane you’re interested in, insights from these sources may help you determine how to negotiate. A knowledgeable dealer can cross-check your instincts against their boots-on-the-ground intel to determine a fair price to come in at when working with a seller.
To Acquire Your Private Jet For Sale, Let Research and Ethics Be Your Guide
Armed with reviews, research, and market insights, you can begin your search for a jet plane for sale at a price that works for you.
As a business leader, you’re accustomed to the diligence, oversight, and thoroughness necessary in this industry, so going the extra mile to find a used private jet for sale is not a new concept.
However, because this industry may fall outside your experience, teaming up with a dealer who is committed to ethical transactions will be a key support for your acquisition. Put the small jet, mid-size jet, or large private jet for sale that you’re currently looking at within your reach with expert assistance on your side.
Learn more to enhance your knowledge of the industry and the jet acquisitions process:
● How to Monitor the Private Jet Market