Fly & Buy: Inside The Private Jet Trade That Stunned The Market (2024)

If you’ve ever dreamed of owning a private jet, you might be surprised to learn that it’s not as impossible as it sounds. In fact, there’s a booming market for private jet sales, especially in the wake of the Covid-19 pandemic. But how does one go about buying a private jet? And what are the pros and cons of flying in your own aircraft? In this article, we’ll take you inside the private jet trade that stunned the market and show you how you can fly and buy like a boss.

Why Buy a Private Jet?

There are many reasons why people choose to buy a private jet, but the main ones are convenience, flexibility, privacy, and luxury.

• Convenience: Buying a private jet means you can skip the hassle of commercial flights, such as long lines, security checks, baggage limits, and delays. You can fly whenever and wherever you want, without having to worry about schedules, connections, or layovers. You can also choose the airports that are closest to your destination, saving you time and money on ground transportation.
• Flexibility: Buying a private jet gives you the freedom to customize your travel experience according to your needs and preferences. You can choose the type and size of the aircraft, the amenities and services on board, the catering and entertainment options, and the crew and staff. You can also change your plans at any time, without having to pay extra fees or penalties.
• Privacy: Buying a private jet means you can enjoy complete privacy and confidentiality during your flight. You don’t have to share your space with strangers, deal with noisy passengers, or worry about prying eyes. You can also conduct business meetings, make phone calls, or work on your laptop without any interruptions or distractions.
• Luxury: Buying a private jet means you can indulge in the ultimate luxury and comfort while flying. You can relax in spacious seats, sleep in cozy beds, or enjoy a massage or spa treatment. You can also savor gourmet meals, sip fine wines, or watch your favorite movies on large screens. You can also access exclusive lounges and VIP services at the airports.

How to Buy a Private Jet?

Buying a private jet is not a simple process. It involves many steps and decisions that require expert advice and guidance. Here are some of the main steps you need to take before buying a private jet:

• Determine your budget: The first thing you need to do is decide how much you can afford to spend on a private jet. The cost of buying a private jet depends on many factors, such as the age, size, model, condition, and features of the aircraft. The price range can vary from $1 million for a small turboprop to over $100 million for a large ultra-long-range jet. You also need to consider the operating costs, such as fuel, maintenance, insurance, hangar fees, crew salaries, taxes, and depreciation.
• Choose your aircraft: The next thing you need to do is choose the type of aircraft that suits your needs and preferences. There are many types of private jets available in the market, such as light jets, midsize jets, super-midsize jets, heavy jets, ultra-long-range jets, and VIP airliners. Each type has its own advantages and disadvantages in terms of performance, range, capacity, comfort, and amenities. You need to consider factors such as how often you fly, how far you travel, how many people you carry, how much luggage you have, and what kind of airports you use.
• Find your broker: The best way to buy a private jet is to hire a professional broker who can help you find the right aircraft for the right price. A broker can provide you with access to a wide network of sellers and buyers around the world. A broker can also handle all the negotiations, contracts, inspections, registrations, and deliveries on your behalf. A broker can also advise you on financing options, tax implications, and legal issues related to buying a private jet.
• Make an offer: Once you find the aircraft that meets your criteria, you need to make an offer to the seller. The offer should include the price, the terms, and the conditions of the sale. The offer should also include a deposit, which is usually 10% of the purchase price, to show your commitment and seriousness. The deposit is held in an escrow account until the closing of the deal. The offer should also include a deadline for acceptance, which is usually between 24 hours and 7 days.
• Conduct a pre-purchase inspection: After the seller accepts your offer, you need to conduct a pre-purchase inspection of the aircraft. The inspection is done by an independent third-party company that checks the condition, the history, and the records of the aircraft. The inspection may include a test flight, a physical examination, a mechanical evaluation, and an avionics review. The inspection may cost between $50, 000 and $200, 000 depending on the type and size of the aircraft. The inspection may reveal any defects, damages, or discrepancies that may affect the value or safety of the aircraft.
• Close the deal: If the inspection results are satisfactory, you can proceed to close the deal. The closing is the final step of the buying process, where you pay the remaining balance of the purchase price and receive the title and keys of the aircraft. The closing may involve lawyers, accountants, financiers, and escrow agents who handle all the paperwork and transactions. The closing may take between a few days and a few weeks depending on the complexity of the deal.

What are the Pros and Cons of Buying a Private Jet?

Buying a private jet has many benefits, but it also has some drawbacks. Here are some of the pros and cons of buying a private jet:

Pros

• You can save time and money by flying directly to your destination without any delays or hassles.
• You can enjoy a personalized and luxurious travel experience that caters to your needs and preferences.
• You can have complete privacy and confidentiality during your flight, without any interruptions or distractions.
• You can access remote or exclusive locations that are not served by commercial airlines.
• You can increase your productivity and efficiency by conducting business meetings, making phone calls, or working on your laptop while flying.
• You can enhance your image and reputation by flying in style and impressing your clients, partners, or friends.

Cons

• You have to spend a lot of money upfront and ongoing to buy and maintain a private jet.
• You have to deal with a lot of regulations, paperwork, and taxes related to owning a private jet.
• You have to hire and manage a crew, a management company, and a maintenance provider for your private jet.
• You have to find a suitable hangar, parking space, and fuel supply for your private jet.
• You have to cope with the environmental impact and social responsibility of flying a private jet.

Conclusion

Buying a private jet is not for everyone, but it can be a rewarding and worthwhile investment for those who value convenience, flexibility, privacy, and luxury. Buying a private jet can also be a complex and challenging process that requires careful planning, research, and guidance. If you’re interested in buying a private jet, you should consult with an experienced broker who can help you find the best aircraft for the best price.

FAQs

Here are some frequently asked questions about buying a private jet:

How much does it cost to buy a private jet?

The cost of buying a private jet depends on many factors, such as the age, size, model, condition, and features of the aircraft. The price range can vary from $1 million for a small turboprop to over $100 million for a large ultra-long-range jet. You also need to consider the operating costs, such as fuel, maintenance, insurance, hangar fees, crew salaries, taxes, and depreciation.

How do I finance a private jet?

There are several ways to finance a private jet, such as cash, loans, leases, or fractional ownership. Cash is the simplest and most straightforward way to pay for a private jet, but it requires a large amount of capital upfront. Loans are another option that allow you to borrow money from a bank or a lender to buy a private jet. Loans usually require a down payment of 10% to 20% of the purchase price and have interest rates of 4% to 8%. Leases are another option that allow you to rent a private jet from an owner or an operator for a fixed period of time. Leases usually require monthly payments that cover the depreciation, maintenance, insurance, and management fees of the aircraft. Fractional ownership is another option that allows you to buy a share of a private jet with other owners or investors. Fractional ownership usually requires an initial investment of $100, 000 to $1 million and annual fees that cover the operating costs of the aircraft.

How do I choose the right private jet?

Choosing the right private jet depends on your needs and preferences. You need to consider factors such as how often you fly, how far you travel, how many people you carry, how much luggage you have, and what kind of airports you use. There are many types of private jets available in the market, such as light jets, midsize jets, super-midsize jets, heavy jets, ultra-long-range jets, and VIP airliners. Each type has its own advantages and disadvantages in terms of performance, range, capacity, comfort, and amenities. You should consult with an expert broker who can help you find the best aircraft for your budget and lifestyle.

What are the benefits of flying by private jet?

Flying by private jet has many benefits, such as convenience, flexibility, privacy, and luxury. Flying by private jet means you can skip the hassle of commercial flights, such as long lines, security checks, baggage limits, and delays. You can fly whenever and wherever you want, without having to worry about schedules.