Could this be?

For several years, the business aviation community: owners, brokers, banks; have lamented the steep declines in aircraft values precipitated by any number of factors: over supply, lack of demand, cheapies from the factory, etc., exacerbated by a herd mentality among buyers that they had to buy their aircraft for cheaper than the last guy bought his – with little or no consideration of what additional value criteria it may have over the previous aircraft.

However, since mid-2016 we have begun to see, across several market segments both large and small, a marked uptick in activity, most aptly depicted by generally consistent stronger quarterly transactions:  Starting with the fourth quarter of 2016 thru not only the first quarter but also the second quarter of 2017 as well.

There is an old adage that the ‘aviation industry is the last to recover after a downturn.’  When one looks at the economic indicators in the U.S. and around the world: Stock market indices continuing to climb, employment numbers, central bank policy (i.e. policy tightening, rate hikes, etc.), all continue to move in the right direction, save for the business aviation market…

This is not to say prices will begin rising and the hay days of ’05, ’06 are around the corner – we likely won’t see that for a long while if ever.  But price stabilization and rationale may finally just be around the corner…Keep your fingers crossed!


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