BAN's World GazetteerIllinois
Illinois based aircraft appraisal and valuation firm Asset Insight is reporting a high level of demand for business aircraft. In Q3 2021 demand was up 68% compared to Q2, which Asset Insight says was a record high for all aircraft groups. Sales volume increased by 1.5% on Q2, and was up by 18% year-on-year. The Q3 market report covers 134 fixed-wing models and 1,190 aircraft listed for sale.
Asset Insight says the average asking price trend, led by the large and mid-sized jets, shifted in September and is now rising. But the overall quality rating decreased in Q3 with all categories showing a decline in quality except for light jets, which improved in quality.
“In our last Market Report, the laws of supply and demand seemed to have been paused with demand increasing for a smaller and smaller pool of aircraft while prices continued to fall,” says Tony Kioussis, president of Asset Insight, LLC. “Traditional economic forces appear to have regained their footing as the selling frenzy continues to reduce the fleet of available aircraft, and in Q3 prices began to rise. It's more important than ever that buyers have clear and accurate data about the aircraft they're considering as the quality of the for-sale fleet has been picked over with available aircraft often carrying the promise of higher future maintenance costs.”
Referencing the speed by which some aircraft are selling, Kioussis adds: “The small pool of less attractive aircraft are driving the number of average days on the market up, now to 407 days, which is not reflective of the unprecedented pace at which newer, higher quality aircraft are selling.”