Do you know the true value of your aircraft?
If you currently have an aircraft, or you’re thinking of buying an airplane, it’s a smart decision to get an appraisal. After all, aircraft appraisals give you an unbiased, accurate valuation for tax purposes and depreciation.
If you’re still not convinced, here are the top reasons you need to have an aircraft appraisal.
Advantages of Aircraft Appraisals for Buyers
When you’re thinking of purchasing an aircraft, you need to know more than where to buy an airplane and how much to budget.
Before committing to a sale, get an appraisal or two, as this will give you an impartial and professional opinion on the aircraft’s worth.
You don’t want to overspend after all, especially if you need to budget for airplane repairs and restoration. For instance, maybe you’re considering buying a project plane, and you need an appraisal first.
Buyers can always benefit from an appraisal, as this will reveal the fair market value and condition of the aircraft.
It’s also a good idea to have an appraisal for tax purposes. You won’t have to worry about excessive tax assessments or capital gains taxes. Having an appraisal or two from a professional also benefits you when and if you have to make a damage claim.
If you need to prove the value of collateral, aircraft appraisals benefit you by assisting financial institutions with an accurate and professional assessment.
The Benefits of Appraisals for Sellers
If you’re selling your aircraft, it’s equally important that you get an appraisal. Doing so means you know the condition of your plane as well as the market value. Having this information means you can sell with confidence without worrying about selling your asset for less than it’s worth.
Getting an appraisal also makes you seem more trustworthy to a potential buyer. Buyers will see that they’re not being scammed or tricked into spending more than the aircraft is worth.
There’s also a chance that having the appraisal of the aircraft can help expedite the sale. Buyers will likely gravitate towards sellers that have done their research and have proof of the fair market value.
Online vs. On-Site Appraisals
There are two different methods of obtaining an appraisal for your aircraft: online and in-person.
An online aircraft appraisal involves obtaining an analysis without an in-person inspection. The advantage of this service is that it’s faster and less costly. However, there is no physical inspection of the aircraft.
An on-site inspection involves a thorough check of the records and the condition of the aircraft. On-site appraisals take more time and also cost more, but provide more details and more documented proof of the value.
Either method can benefit both buyers and sellers. To determine which type of appraisal to go with, you may want to reach out to the appraiser with questions and clarifying information.
Obtaining an Appraisal
Now that you know the benefits of aircraft appraisals, you’re probably wondering where and how to get one. Whether you have airplanes for sale or you want to buy an aircraft, contact an aircraft appraisal company. They should provide you with more details and help you set up an appointment.
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