VLJ resale value better if on N?
Thread Starter
VLJ resale value better if on N?
A friend operates a Citation Mustang in Europe on an N. Even though he sees the advantages of going to M, he is reluctant to do so because he claims that this will reduce the resale value of the aircraft. Is this true? I hadn't heard this before.
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I have heard this before! It is basically because most aircraft sales are through the USA and back to the USA. An aircraft of such high value sells better un meddled with and with a History which is uncomplicated ie on the FAA rather than changed to outer Mongolia and Back.
IOM should be less of a problem as its a paper exercise only unlike some registrations.
Pace
I have heard this before! It is basically because most aircraft sales are through the USA and back to the USA. An aircraft of such high value sells better un meddled with and with a History which is uncomplicated ie on the FAA rather than changed to outer Mongolia and Back.
IOM should be less of a problem as its a paper exercise only unlike some registrations.
Pace
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Aircraft Sales 101
Typically the corporate pilot is the one that hunts down the upgrade from a turboprop. The exception being the rare bird owner that calls up the factory and just orders one up.
The problem with your typical corporate pilot is that he doesn't have the skill set to deal with run out engines, paint, interior, radio upgrades, or bringing a foreign registered aircraft on line. It's the same mentality of why your typical corporate pilot isn't putting a 10,000 hour right seater in his plane...or why airlines hire robots, they want a situation they have some control over, they keep things in their league so to speak.
That said, you would think it would be simple...but a foreign aircraft has to have it's log books and maint records checked, then of course how many guys are booking flights from California to Germany to look at a plane who''s logs have to be translated from Russian.
Typically sales brokers will hammer down a client with a plane off shore to make it worth investing and bringing it back. They have the experience, but also some rich guy's investment money behind them, so they don't have to worry about it.
So yeah, the work around is N registered, but even then, when someone wants to check out the plane, you have to tell them it's in Angola...now what?
So if you want to sell a plane, chances are you bring it to the US for the dog and pony show in front of some broker's office or just fly the plane until the right guy willing to fly over(because he's getting the plane cheap) comes over.
Typically the corporate pilot is the one that hunts down the upgrade from a turboprop. The exception being the rare bird owner that calls up the factory and just orders one up.
The problem with your typical corporate pilot is that he doesn't have the skill set to deal with run out engines, paint, interior, radio upgrades, or bringing a foreign registered aircraft on line. It's the same mentality of why your typical corporate pilot isn't putting a 10,000 hour right seater in his plane...or why airlines hire robots, they want a situation they have some control over, they keep things in their league so to speak.
That said, you would think it would be simple...but a foreign aircraft has to have it's log books and maint records checked, then of course how many guys are booking flights from California to Germany to look at a plane who''s logs have to be translated from Russian.
Typically sales brokers will hammer down a client with a plane off shore to make it worth investing and bringing it back. They have the experience, but also some rich guy's investment money behind them, so they don't have to worry about it.
So yeah, the work around is N registered, but even then, when someone wants to check out the plane, you have to tell them it's in Angola...now what?
So if you want to sell a plane, chances are you bring it to the US for the dog and pony show in front of some broker's office or just fly the plane until the right guy willing to fly over(because he's getting the plane cheap) comes over.
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Purely supply and demand. N reg a few years ago was considered a downside given the world and his mother were all buying aircraft here in the EU. Now, N is becoming sexy again given the greater demand is over there.
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You pays your money......repeat to fade.....!
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This subject has so many variables to be considered its impossible to give advice, totaly depends on the buyer's location, requirements and a host of other things to numerous to mention.
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Aircraft Sales 101
Typically the corporate pilot is the one that hunts down the upgrade from a turboprop. The exception being the rare bird owner that calls up the factory and just orders one up.
The problem with your typical corporate pilot is that he doesn't have the skill set to deal with run out engines, paint, interior, radio upgrades, or bringing a foreign registered aircraft on line. It's the same mentality of why your typical corporate pilot isn't putting a 10,000 hour right seater in his plane...or why airlines hire robots, they want a situation they have some control over, they keep things in their league so to speak.
Typically the corporate pilot is the one that hunts down the upgrade from a turboprop. The exception being the rare bird owner that calls up the factory and just orders one up.
The problem with your typical corporate pilot is that he doesn't have the skill set to deal with run out engines, paint, interior, radio upgrades, or bringing a foreign registered aircraft on line. It's the same mentality of why your typical corporate pilot isn't putting a 10,000 hour right seater in his plane...or why airlines hire robots, they want a situation they have some control over, they keep things in their league so to speak.
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True, especially for the VLJ's.
Since the beginning of bizjets, it's always been that way, USA has the majority of bizjets, the majority of Lenders - having anything but an N number can immediately devalue your jet, and make it harder to sell.
Problem with M, is aircraft can be based anywhere in the world, a lot of buyers will discount that aircraft immediately.
Worst reg for loss of value is 5N.
For a professional answer contact TWC Aviation in USA that sell a lot of VLJ's stateside to get their opinion, or Jeremy Cox at Globalair (USA) - this guys knows more about bizjets that anyone I've ever met!!
Since the beginning of bizjets, it's always been that way, USA has the majority of bizjets, the majority of Lenders - having anything but an N number can immediately devalue your jet, and make it harder to sell.
Problem with M, is aircraft can be based anywhere in the world, a lot of buyers will discount that aircraft immediately.
Worst reg for loss of value is 5N.
For a professional answer contact TWC Aviation in USA that sell a lot of VLJ's stateside to get their opinion, or Jeremy Cox at Globalair (USA) - this guys knows more about bizjets that anyone I've ever met!!
