The first quarter of 2024 ended on a buoyant note with an uptick in preowned business aircraft sales, according to the International Aircraft Dealers Association (IADA). IADA’s First Quarter 2024 Market Report also indicated an optimistic outlook for the next six months.
IADA-Accredited Dealers reported 253 resale transactions in the just ended first quarter, up from 239 in the first quarter of 2023. The first quarter of 2024 ended with 248 aircraft under contract, compared to 206 at the end of 2023’s first quarter.
And IADA dealers had 302 contracts-to-sell exclusively in the first quarter of 2024, compared to 197 in the previous year. At the end of first quarter, the pre-owned business aircraft market is objectively healthy, with numerous signs of rebalancing after a heated sales climate. To download the entire report, go to https://aircraftexchange.com/market-report.
Expectations for Next Six Months
“I’m happy to report that the first quarter proved to be more active than we had expected,” said IADA Chairman Phil Winters. “The six-month projections for sales, demand, willingness to inventory and supply all continue the cautiously optimistic trends we saw in the fourth quarter of 2023, despite regional unrest and the uncertainties of a US presidential election,” he added.
“About three-quarters of the IADA respondents to our quarterly member survey believe that Large and Ultra-Long-Range Jet resale pricing will fall and that inventories will rise over the next six months,” said IADA Executive Director Wayne Starling. “The most pronounced changes are expected at the top of the market,” he added.
The IADA Market Report is especially prescient because it is based both on quantitative sales data and the perspectives of IADA members – who buy and sell more aircraft by dollar volume than the rest of the world’s dealers combined. Nealy 80 percent of IADA dealers handle both new and preowned aircraft.
IADA’s proprietary quarterly member surveys provide insights into and projections for business aircraft supply, demand, pricing, and dealer willingness-to-inventory across several size categories: Turboprop, Light Jet, Midsize Jet, and Large and Ultra-Long-Range Jet.
Stability Ahead?
About half of first quarter 2024 respondents look for prices and inventories to stabilize in pre-owned turboprop aircraft, a segment that typically avoids the wider gyrations seen in other parts of the market.
In the first quarter of 2024, the pre-owned business aircraft market continued to rebalance after the heady and unsustainable conditions in the immediate aftermath of the COVID crisis. Retail transactions of preowned aircraft peaked in 2021 and into the first part of 2022, emptying the available on-market inventory and driving a surge in transaction prices.
Since the latter half of 2022, inventory has continued to seep into the pre-owned market, providing much-needed products to satisfy a clear step-change in demand for business aircraft. The recent certification of the Gulfstream G700 is expected to deliver fresh pre-owned inventory into a marketplace eager for young, highly pedigreed aircraft, especially at the top of the market.
About the International Aircraft Dealers Association
IADA’s dealers consist of the top 17 percent of the world’s experts who handle 50 percent of used business aircraft sales. IADA-Accredited dealers buy and sell more aircraft by dollar volume than the rest of the world’s dealers combined. Ninety-nine percent of IADA dealers do business in North America, 62 percent of dealers operate in Europe, 58 percent are active in Latin America and the Caribbean, 42 percent do business in Asia and the Pacific region, 34 percent work in the Middle East and 33 percent in Africa. IADA also represents a variety of IADA-Verified product and aviation services members that operate with the highest professional standards in the industry. For more info go to https://www.iada.aero.
About AircraftExchange.com
IADA’s AircraftExchange marketing search portal is the only site where every aircraft listed for sale is represented by an IADA-Accredited dealer. AircraftExchange enables users to create a confidential dashboard of business jets for sale, filtered based on their features and amenities, class size, age, and price. Users can browse through data-rich listings for available business aircraft. For more info go to https://www.AircraftExchange.com.
Jet Access is a proud IADA Authorized Dealer and IADA Verified Products and Services Member. Learn more about our capabilities for aircraft sales and acquisitions here.
