Have you ever considered the factors that are involved when looking to purchase a private jet?
How you go about it? Where do you source aircraft? How much it all costs?
Not to worry. All the answers you require are detailed here. This article will address the following concerns:
If you are interested in other ways to fly private then read this. Alternatively, if you wish to know how much it costs to own a private jet then read this.
Reasons to Buy a Private Jet
While there are many reasons to fly by private jet, the reasons to out-and-out buy your own jet are harder to evaluate.
Effectively there are three reasons that buying a private jet is the best option over other methods of private jet travel.
Firstly, privacy and confidentiality. Owning your own jet provides a level or privacy and confidentiality above that of chartering or fractional ownership. For example, Taylor Swift owns her own jet. Bill Gates owns his own jet. As does Tom Cruise. There becomes a certain point when flying by private jet is a necessity rather than a luxury. Just ask Tim Cook.
Secondly, safety. This isn’t t say that charter operators maintain their aircraft to a poor standard. That isn’t true. However, safety in terms of allergies or a completely clean environment. Knowing that you and your guests are the only ones that have touched it. You don’t have to worry about the people before you. Furthermore, you can have the aircraft maintained to your standard.
Thirdly, customization. This is perhaps the most compelling reason to purchase a private jet. You can configure the aircraft to however you want to use it. If you want to configure a luxury restroom with a shower, this can be done. If you want white leather instead of brown leather, it’s done. Choose the carpet you want. The seating configuration. The paint scheme and more. Bombardier even have a configurator you can use to design your own aircraft.
Finally, it’s yours! Admit it, there is a certain status that comes with owning a jet.
These are typically the most common reasons to purchase a private jet. However, keep in mind that most of the other advantages of private jet travel can be had with on-demand charters, jet cards and fractional ownership. There are also many factors to consider prior to purchase. Conversely, there are many reasons not to buy a business jet. Be sure you aren’t considering buying a jet for the wrong reasons. Just make sure you aren’t listening to reasons from someone trying to sell you an on-demand charter.
When Is It Time to Buy?
The time to buy a private jet is a whole can of worms, with different sources giving you different numbers.
Sometimes you will hear that 150 to 250 hours is the time to upgrade to owning your own jet. Other sources say that 300 to 400 hours is the sweet spot.
The truth is that, as with everything in private aviation, it depends. It depends on the type of aircraft you want to buy. It depends on your typical mission profile and financial situation.
Unfortunately there isn’t a one size fits all approach to purchasing a business jet. There are too many factors to provide an answer to say that at a certain number of hours you should consider ownership.
However, in its most simple terms, if you fly similar routes for hundreds of hours per year and you aren’t satisfied by your current solution, then purchasing a private jet make be the right choice.
Furthermore, keep in mind that private jets are meant to make your life easier. If you are purchasing a private jet you should be able to identify where you will be saving time and increasing profits for your business. That is unless you just want to say to people that you own your own private jet.
Pre-Owned Vs New Aircraft
The answer to this question is simple, how much capital can you provide upfront? Currently 75% to 85% of customers purchasing a private jet purchase pre-owned aircraft.
New aircraft have a higher upfront cost. However, maintenance will be lower throughout your ownership experience. Furthermore you will be able to retain the manufacturer’s warranty for increased peace of mind. Additionally you will also have extensive customization options.
And, one of the most significant benefits of new aircraft, you will have access to all the latest technology and safety features. Newer aircraft are also more efficient, therefore reducing your operating costs.
Alternatively, pre-owned aircraft have a far lower initial investment. This is attractive to many customers, especially considering that the market is full of near new aircraft – aircraft that boast low times. Additionally, you can always customize a pre-owned private jet to your exact requirements. Aircraft can be refurbished with updated interiors and technology.
However, the downside of pre-owned aircraft is that the technology will not be quite as modern. Additionally, you will likely have to pay more in maintenance costs than newer aircraft. An important to factor in as well is fuel consumption – the Gallons per Hour (GPH). Older aircraft will burn fuel less efficiently and louder.
In summary, pre-owned vs new will largely depend on your financial circumstances and the reasons that you are purchasing a private jet in the first place.
Where to Find Private Jets for Sale
If you are looking to purchase a new private jet then you will need to go straight to the manufacturer. See all new aircraft here. The five main manufacturers of private jets are Bombardier, Cessna, Embraer, Dassault and Gulfstream.
If you are looking for a pre-owned aircraft there are thousands available. Typically 11% to 12% of the world’s business jet aircraft are on the market.
The pre-owned market provides a wide range of options. You can purchase aircraft that are months old to jets that are over 50 years old.
The most popular to find pre-owned aircraft are:
There are, of course, other online market places available, however, these are the largest. Additionally, if you know the exact aircraft that you are after then it would be wise to check a manufacturer’s pre-owned listings.
How Much Does A Private Jet Cost?
Prices will vary depending on aircraft type, configurations and condition.
New private jets can cost anywhere form $3 million to over $70 million. The cheapest new private jet that you can purchase is the Cirrus Vision Jet SF50. The most expensive new private jet that you can buy is the Gulfstream G700 costing $75 million. Of course, there are plenty of aircraft inbetween.
In terms of pre-owned private jets, the price varies just as much. Prices for the absolute cheapest private jets hover around the $150,000 mark. Many of these aircraft date back to the 1970s. Naturally, be careful of aircraft like these…
On the other hand, you can find relatively new aircraft for far less than their original purchase price. For example, a 2018 Dassault Falcon 8X with reasonable hours can be had for around the $44 million mark. A brand new Falcon 8X costs closer to $60 million.
Aircraft like this represent a great opportunity for buyers. Nearly new aircraft that cost far less. Maintenance will still be minimal but the upfront cost is far more reasonable.
Conclusion
- Purchasing a private jet is mostly about privacy, security, customization and status.
- There are many more cost effective ways to fly by private jet rather than purchasing.
- It is time to buy a private jet when the other methods of flying aren’t meeting your needs.
- Most private jet buyers purchased pre-owned aircraft.
- Pre-owned aircraft have a lower upfront cost, however, will likely incur greater maintenance fees.
- New aircraft feature all the latest technology and comfort.
- New private jets cost anywhere from $3 million to over $70 million.
