Story ID: 
Preowned Bizjet Sales Boomed in 3Q
By: Kerry Lynch
Caption: Preowned business aircraft transactions jumped 71 percent in the third quarter and prices strengthened for all but large jets.
Word Count: 225
Aviation valuation specialist Asset Insight tracked a "dramatic flurry" of preowned business aircraft sales in the third quarter, with transactions jumping 71 percent year-over-year. As a result, prices strengthened an average of 2.1 percent across the fleet, with midsize jets improving the most at 10.1 percent.

However, the Asset Insight AI2 Market Report found that although the market reached a peak in transaction volume, other data points still lagged from third-quarter 2019. Prices for large jets were down 4.3 percent in the quarter and available inventory of higher-quality jets for sale declined. Turboprops, meanwhile, have improved in quality rating and maintenance exposure.

“While activity in the preowned business aircraft market is at its peak for the year, we still have a lot of ground to make up in these Covid-19 times,” said Asset Insight president Tony Kioussis. “Logically, buyers prefer lower-time and higher-quality aircraft, which is…worsening the average maintenance exposure for the remaining jet inventory. The remaining aircraft are also spending significantly more days on market available for sale.”

Some of the older models have averages of one to two years on the market. The Hawker 1000A outpaced that timeframe, reaching 965 days on market. In contrast, the newer Learjet 75 is seeing 157 days on market.

Asset Insight also recently rolled out a new podcast series covering the Aircraft Ownership Lifecycle.