Every child who dreams of becoming a pilot also has the dream of one day owning their own plane. The freedom and status that comes along with realizing that dream are undeniable, but as those children turn into adults, they realize how complicated such a big purchase can be.
7 Steps Involved in Purchasing an Airplane
To help make it as easy as possible, here are 7 steps to purchasing your first airplane.
Just like buying a car or a home, the first step is identifying your budget. Not only for the purchase price of the aircraft, but also all the costs associated with ownership. Documentation, licensing, insurance, fuel, safety accessories and more should all be factored in to your budget.
The purchase price of the airplane depends on multiple factors. The type, size and condition of the plane can result in the price ranging from $600,000 USD up to $20 million USD.
Operating costs come in the fixed and variable variety. Fixed costs include loan payment, insurance and other payments that do not change. Variable costs change for time to time. Fuel, maintenance, repair, and oil, for example, are all costs that can change from month to month depending on how often you fly the plane.
Get Pre-Approved Financing
If you are applying for a loan in order to purchase your plane, you first must get pre-approval. This takes into your debt to income ratio, credit among other factors to determine what type of plane you can afford. Once you are armed with this information, you can move forward with confidence in looking for the right aircraft.
Just like a home or car, you don’t need to buy a brand new airplane. individuals are even selling aircraft online providing a great opportunity to save money and get a quality airplane. For finding the one that fits your needs and budget, research is your friend. Researching aircraft manufacturer, type and safety records are all items that should be considered.
Take Advantage of Resources
An airplane is a big investment. Talking with fellow pilots and technicians that you trust can help to decide what kind of aircraft you should buy. Speak with a professional before making any decision.
Before taking a test flight, it is recommended to be accompanied by a trusted aircraft maintenance technician. This individual can help to assess the condition and overall quality of or the aircraft.
Once you have decided that airplane you would like to buy, it is time for the documents. It is important to research the plane’s maintained record and if there were any issues in the past.
Then the aircraft needs to be registered by its owner’s name. An application and proof of ownership needs to be sent to the Federal Aviation Administration (FAA).
Purchasing insurance is one of the most important steps in buying your airplane. It will take some time for the insurance company to send the required information which will be based on the qualifications of the pilot and the airplane type.