12 Seater Private Jet Price12-Seater Private Jet Price
What does it take to buy a private jet?
Talked to our airplane vendor Alex Hunter to find out what the actual purchase price of a private jet is, when to buy, how to "sweat the fortune" and what kind of airplane to buy. What does it take to buy a private plane? That is the first of the questions someone asks about private flying, but as you can guess, the response is that it is very different.
400k buys you a 1979 Falcon 10 with about 12,000 hrs on the watch, but a all-new Gulfstream 550 could cost you more than $50 million. There are also private planes with tailor-made interior fittings that make the whole thing look like spending money. A good first plane for most humans is something like a Learjet 45.
An airplane from the year 2001 with 4,500 operating hrs will fly for about 3 million dollars. How much are the other expenses associated with having a jet? You can divide the cost into the categories "direct", "variable" and "fixed". Whereas in the case of indirect and indirect expenses, they are related to the use of the aeroplane, whereas in the case of firm expenses, regardless of how much the aeroplane is used, and which constitute the most daunting part of the aeroplane's property, they are not.
Scheduled cost includes crews' wages, airplane administration fee, upkeep, insurances and hangar. Total non-operating expenditure includes expenditure such as the cost of motor fuels and engines, while the item relating to operating expenditure includes the cost of landings and check-in at airports, flight crews and meals, etc. The item relating to operating expenditure is also shown under other operating expenditure. Using the Learjet 45 as an example, an occupant who flies 200 hrs per year should be prepared to spend about 500k pounds per year. How can I "sweat" the item?
To earn an revenue from the airplane, it must be charters by third party if it is not used by the owners. It must be based on an AOC (Aircraft Operator's Certificate), a document which is a document issued by an AOC. To obtain an AOC, the aeroplane must be EASA (European Aviation safety Agency) and EU OPS conform - rules established by the Civil Aviation Authority to guarantee security and guarantee product performance.
For example, US registered aeroplanes (N) are seldom EASA conform and usually require special upgrades/modifications that can be expensive. Learjet 45 in the UK has a typically £2,200 per h rental charge. That means that our owners, who fly 200 hrs a year, would have to reach around 550 hrs themselves to meet the cost of the plane and afford their own flight - challenging but possible!
In view of the fall in the value of aircrafts since 2008, the big banking institutions are somewhat reluctant to provide financing. Gold rule: The newer and more costly the plane, the more willing a bank is to grant credit. Airframe manufacturers and brokerage firms are often the best way to find a good financing plan, as they usually have preferred relations.
So, when is it time to buy a jet? Possessing a full jet is unlikely to pay off for someone who flies less than 100 hrs a year, based on the distance they cover. Possessing a private jet provides absolute liberty and versatility at an incomparable standard for those who need to make regular and short-term flights.
However, ownership of a private jet even for the richest is hard to warrant and like a auto it is only likely that it will lose value. The majority of jet operators do not purchase an airplane because they have to own it, but because they want to. In recent years, the value of aeroplanes has fallen drastically across a broad front and is now beginning to stabilize, with some even recording some signs of recovery.
Surely the upper end is the most robust, similar to London home rates the best and newest planes are still a bit difficult to find and as such their value has stayed relatively high. At the other end of the range, it is now possible to buy used planes ahead of the bend - for example, both Phenom 100 and Citation Mustang saw a rise in selling price last year.
Factional owned programs, such as those offered by the NetJets leader, are known to private jet passengers, but are often the most costly way to fly private jets. Often it can be cheaper (and give the buyer more control) to make a private agreement with 2 or 3 property holders who use an airplane and share the expense.
A lot of fractions of customers also buy 50% less per year and compare each trip with the charters business. Now Savvy NetJet clients only use their tickets on one-way trips, opting for either one-way or reusable trips where they can save 40%. For more information on any of these choices, or to talk about selling or purchasing an airplane, please call +44 (0) 1747 642 777.