What is the Real Effect of
Aircraft Damage History?
Consider that you have the opportunity to buy one of two identical aircraft. They are identical in every way, except one has damage history. The damaged aircraft has been properly repaired and documented. Except for the logbook documentation, there is no evidence that the event even occurred. Would a willing buyer pay the same amount for the aircraft with documented damage history as the one without damage history? The answer to that question takes a great deal of understanding and research. Understanding on how the aircraft market works would be important. Trained professional aircraft appraisers with experience can help aircraft value seekers understand the market for that type of aircraft and how damage history might affect its value. Trained professionals spend time researching documentation and the marketplace for value effects for the noted damage history. The specifics of the model aircraft being considered would be important to understand. The availability (demand) for this model aircraft in the current market has value effects. The extent of repaired damage would need to be considered. The age of the damage repair. The location of the damage history can bear importance. The facility that repaired the aircraft has a bearing on perceived value in the marketplace. Sometime modifications implemented at the time of the repair could have a positive and or a negative effect on market value. Seriously considering these and sometimes more value adjustment point is important.
Most price guide publications simply deduct a fixed percentage from the total aircraft value. Professional aircraft appraisers do not take that type of simplistic approach for many reasons. Professional aircraft appraisers look at the aircraft from many different angles with many different tools at their disposal. They are challenged to make credible believable value decisions based on research and experience using USPAP standards for approach and report processes.
Alan Lance is an aircraft appraisal professional with a great deal of experience with damaged aircraft and understands the nuances that affect value in the marketplace. Because diminution in value for damaged aircraft is perceived differently than most personal property values, his expertise will be needed in making creditable aircraft value decisions. Call Alan lance at 260-450-3623...