Does anyone here know anything about fractional aircraft ownership?

[Ilsa]

Is it a good business to be in? Is owning the fractional shares a good thing? Do aircraft appreciate?

I would think the cost of fuel would ruin this kind of business. I have a friend whose spouse is considering getting into this kind of business.

Thanks.

[crispini]

1. Hm.

Do aircraft appreciate... I would think, no. Like cars, I'd think they would depreciate. Most mechanical things do. But I don't really know anything about this line of business.

[undeterred]

2. I want the wings.

sorry, couldn't resist :hide:

[elehhhhna]

4. nah--no white meat on them wings

[A HERETIC I AM]

3. I'm no expert, but i am an aviation enthusiast.....

so here's what little i know.

Aircraft don't depreciate at nearly the rate automobiles do. The do go down in retail value as they get old and/or have a lot of hours on the airframe. Buying a very old aircraft can be a major headache as the cost of making it airworthy can be more than the cost of the plane itself.

Fractional ownership is merely a way of spreading out or sharing the costs of aircraft ownership. You asked "Is it a good business to be in?" Well, what exactly do you mean? Is your friend looking to invest in a light plane? If so, for what purpose? Fractional owners of light planes use them, for the most part, for sport flying or recreational flying. Most of the time the part owners are also pilots (why else would you buy into this sort of thing?) and are entitled to a percentage of the annual available flight hours. They are also responsible for a similar percentage of upkeep. (Fuel, maintenance, tie-down space or hangaring)

Here's a good article that answers some questions about purchasing a plane: http://www.avweb.com/news/usedacft/182805-1.html

Wikipedia has this on General aviation:
http://en.wikipedia.org/wiki/Light_aircraft

here is an article from "Flying" magazine on the subject:
http://www.flyingmag.com/article.asp?section_id=11&article_id=296


A new Cessna Skyhawk, like this one
for instance is going to run $165,000 for a base model.
I suggest your friend just use google and look into it in more detail.



I hope that was a little help

[Ilsa]

5. Thanks a bunch. I look over those articles and

forward them.