With the coronavirus pandemic affecting the travel industry, private jet sales are recovering. The luxury aircraft market is rebounding because people have realized that private travel is more comfortable and convenient than public transportation. Moreover, manufacturers are producing smaller planes for six to 10 passengers. This is good news for the industry. But what about the private jet owner? Do they really want to buy a new plane? Or would they rather buy a used one?
A recent report by Honeywell Aerospace predicts that by 2020, the number of private jet flight hours will be 50% higher than in 2015. The report estimates that the market will be able to support 7,400 new business jets by 2025, a growth of more than seven percent per year. There are some challenges to the industry’s growth, however. For instance, a shortage of new and used aircraft is hampering the market. Other issues include shortage of pilots and crew, a lack of parts, and airline traffic problems.
While the supply of used private jet sales remains low, the demand for them is still strong. Inventories of private jets are at record lows, with an average inventory of only three percent. This means that the industry is not only facing supply chain problems, but it is also grappling with labor issues. And, with more people using private jets, the industry will continue to be strained. Despite the challenges, there are still many opportunities to be had throughout the U.S.
While the global travel industry was ground to a halt this year due to the COVID-19 pandemic, the private jet market has shown signs of recovery. The number of orders for new private jets in the third quarter of 2020 is expected to grow by 10%, accounting for seven percent of the global preowned jet market. Europe’s preowned private jet market will also see a jump of 6%, with $2227 planes purchased worldwide in 2020 worth $14.5 billion.
A private jet sales professional can help owners sell their private jet. Not only will they provide valuable information about the aircraft market, but an experienced broker will also ensure that the aircraft sells at the highest price possible. By leveraging their knowledge of the industry and identifying the right buyer for the right aircraft, a private jet sales professional can earn a high return. The company will also receive top dollar for the plane. In addition to selling their aircraft, their clients can enjoy the best of both worlds.
The private jet resale market has been ravaged since the 2008 recession, but has recovered somewhat. According to Accenture’s global aerospace and defense industry lead, the number of pre-owned and new private jets for sale worldwide was at its lowest level in over a decade in February. It’s not surprising that the demand for private jets is now in the highest levels in its history. The company also provides financing for new and used jets, as well as a fleet management system.