What a difference a year makes. Late spring and summer of last year was a trying time for aviation. Travel restrictions, unknown virus impacts, and economic uncertainty came together to put the brakes on most aircraft transactions. Not so this summer. With the economy in full swing and pleasure travel at record levels, it’s easy to see why aircraft transactions are as strong as they’ve been in years.
The Twin Commander market appears stable with roughly 10 percent of United States inventory for sale, but that number is a bit deceiving. Many are older airplanes or in need of significant upgrades. In terms of easily movable supply, it’s clearly transitioning to a seller’s market. “There’s nothing available,” said Byerly Aviation and Naples Jet Center’s Bruce Byerly. “I only have one airplane to sell right now.” Byerly has closed on about four Twin Commanders in the last few months, with a few more pending.
Eagle Creek Aviation’s Jim Worrell is in a similar position, saying he’s “running out of inventory. I’m selling everything that’s not tied down.” In mid-June Worrell had three airplanes in pre-buy and had closed on three others in the previous 45 days.
All this translates to stronger prices. Vref, the aircraft valuation service, has Twin Commander prices holding steady. Some models show a slight decline in the last quarter, but that doesn’t seem to be consistent with the market. With Worrell, Byerly, and others on the hunt for airplanes, it’s clear that buyers can ask a bit more than they would have in previous quarters.
For buyers, it means patience is required. The desirable airplanes will always be those ready to fly, with upgraded avionics, a modern interior, and mid-time or better engines. With fewer options on the market buyers have had to be more patient and accept what’s available, which could be a project airplane. Worrell said half of his recent transactions have immediately gone into the shop.
“It’s not like going to the car dealer and picking out the blue one and walking away,” Byerly said. He’s happy to go do the work to find an airframe, but patience is key.
Worrell credits the airplane’s performance and robust support for the strong values. At the current prices a buyer can get into a Phenom 100 for less than a late model Commander 1000. “The flexibility to go anywhere you want, anytime you want to go has helped to make this airplane relevant and drive desirability,” he said.
