Asian Sky Quarterly 2022 Q3

PRE-OWNED MARKET SPOTLIGHT: G650 & G650ER
PRE-OWNED MAKET ANALYSIS
As of September 30, 2022, approximately 3% of the total active
G650 family aircraft are listed on the market. From July 2019,
inventory of available aircraft saw a shift from the baseline
G650 to the G650ER, partly because there are more G650ERs
in operation. The number of G650/G650ERs for sale gradually
climbed from 14 to 24 from May to October 2020. Supply in the
pre-owned market has shown an upward trend since November
2022, with most sellers based in the US.
INVENTORY LEVEL
G650/G650ER
30
25
No. of Aircraft for Sale
20
15
10
5
0
Oct
2018
Apr
2019
Oct
2019
Apr
2020
Oct
2020
Apr
2021
Oct
2021
Apr
2022
Oct
2022
Data Source: Amstat
Prior to 2021, the average asking price of the G650 family
had been on a downward trend. However, this trend has been
reversed, with pre-owned prices for both the baseline G650 and
the G650ER seeing increases. Many factors may contribute to the
price increase. One possible reason is buyers in the US look to
benefit from the 100% bonus depreciation before the end of 2022.
Another is new consumers with no prior exposure to business
jet aviation decided to step into the market after the COVID-19
outbreak. Prices may continue to rise for the Christmas season
and will most likely soften as the market begins to normalize.
AVERAGE ASKING PRICE
G650 Avg Asking Price G650ER Avg Asking Price Avg Asking Price
65,000,000
60,000,000
Asking Price (US Dollars)
55,000,000
50,000,000
45,000,000
40,000,000
35,000,000
30,000,000
25,000,000
Oct
2018
Apr
2019
Oct
2019
Apr
2020
Oct
2020
Apr
2021
Oct
2021
Apr
2022
Oct
2022
Data Source: Amstat & Asian Sky Group
Transactions have been more active since the second half of 2022.
This is partly due to an increase in new users coming into business
aviation for the first time. Although this had a small impact on
the number of direct transactions, several charter operators
looked to increase their fleets due to the increased numbers of
were concentrated in the latter half of the year, which has seen
fewer transactions compared with the same period of 2020, with
many looking to travel during the Christmas holiday period. The
US Tax Cuts and Jobs Act was behind the exceptional number of
transactions that occurred in December 2020.
charter enquiries that they were receiving. Transactions in 2021
48 | GLOBAL SKY QUARTERLY — THIRD QUARTER 2022