Kit price increases

From Van's facebook page:
2012 Kit pricing will go into effect on Feb 1, 2012 at High-Noon Pacific Time. In order to take advantage of 2011 pricing, a Kit order and 25% deposit must be received prior to noon on Feb 1st, 2012. Customer-initiated delivery delays may result in price increases

Anybody have any idea by how much? Can't seem to find it.

I think last year they went up about 3%.

I'm looking for "falling prices"... Van's has established the buying power, pass some of it on.

Airplane Poor

I feel sorry for any small company like Vans right now with this economy. Their costs are going up but people also have less and less money to spend on stuff like airplanes. Just last week I happened to walk into my FBO?s office to shoot the bull with the help and I caught myself looking at the pictures hanging on the wall. They have been doing a lot of ?Fed? paid for upgrades at the airport and they have taken a lot of photos along the way to show the progress. I have been flying out of this airport off and on for 20 years now. There was a picture from the 70?s and man there were like 30 airplanes parked on the line and almost every hanger had a vehicle of some sort in front of it, the place was booming. There was another one from 2005 and there were still like 10 airplanes on the line. If you walk out there on any given weekend now there are no airplanes on the line at all. The hangers are still full (I know I?m on a waiting list) but out of the 45 hangers or so I would say only 5 guys remain active and I would say at least 20 hangers haven?t been opened since the economy went bust in 08?.

I am almost to the point of pulling the trigger on a RV-8 tail kit but I am REALLY worried about the economy. I am finally at a point in my life where my bill load is low and my job fairly secure (Police Officer) and I could afford to throw $750 a month at the project but I am worried that by the time I need my engine it will be $30,000+ for a build it yourself 180hp 0320.

I fear that your about to see a lot of airplane vendors go belly up if they don?t walk that tight rope between a decent profit and what people can still afford. These are toys plain and simple. I remember in the 90?s and early 00?s looking at my neighbors and co workers buying big houses and taking crazy yearly vacations to exotic places and I was wondering to myself how are they doing it? Then the bubble busted and I have watched them tank one after another. Those families were so ?boat / camper /etc? poor that they are years from digging out now. So I don?t want to make myself airplane poor and if prices keeping going up and up I may pull the plug on this whole idea. And that sucks because I have dreamed of building an RV since the early 90?s.

Van's has kept their price increases to about 3% over the last significant period of time.

Problem is my pay isnt going up 3% a year It has actually droped 6% over the past two years So thats like a 9% price increase for me uhggggg.

wolfpack21643 said:

...but out of the 45 hangers or so I would say only 5 guys remain active and I would say at least 20 hangers haven?t been opened since the economy went bust in 08?.

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A bit off topic, but this is why I believe it would be good to be in the engine overhaul business in the future.
When things finally do pick up, all of these planes which have been sitting for years are going to have 'inactivity' engine problems.
Now back to your regularly schedule program...kit prices.
-Jim

Right now, the -7, -8 kits are running about $22k depending on options and stuff. 3% is less than $700.

With some judicious waiting and looking, you might save more than that on a partially completed kit, and help out someone who had to give up on a dream.

And some of the accessories that are available in the VAF Classified section will save you more than that.

Hang in there and keep your eyes open. Opportunity abounds.

Dave

Prices for aluminum and copper scrap...........are at a high right now. I'm sure it effects Van's aluminum bill.

L.Adamson

LifeofReiley said:

I'm looking for "falling prices"... Van's has established the buying power, pass some of it on.

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They already have. Realistically, we can build a very high performance, all-weather aircraft for less than a third of what you would pay for equivalent new certificated aircraft. Aviation is never going to be cheap - but Vans has made it a good deal more affordable for those of us willing to put in the time in the shop.

Rather than saying "Why don't they do more?" I'm saying "Thanks!"

L.Adamson said:

Prices for aluminum and copper scrap...........are at a high right now. I'm sure it effects Van's aluminum bill.

L.Adamson

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I made an investment in aluminum yesterday... pulled the trigger on a -7 empennage. I'm considering upping the ante and buying the wing and fuselage kits next month before the price increase. That 3% is better return than I've been getting on my company stock anyway.

Spending more on airplanes and less on 401K

I pulled the trigger on a finish kit several weeks ago. I am going to pull money out of my 401K which is heading towards a 101K right now. I figure that with the falling economy, I might as well put the money in a "hard asset" rather than some electrons on the computer screen that seem to be in control by rich investors. I have taken my 401K contributions down to 6% of my gross. I am going to get my plane finished, even if its going to end up in my living room as piece of art work. I am not going to keep allowing Wall Street investors to "skim" my mutual funds. I would rather put my money into an airplane as an "investment" than some of these other funds. Then when you get them done, we call all fly them to an Alaskan airfied and start a new civilization just like in the movie "Resident Evil: Afterlife". It will truely be and "RV" community!

BTW: I have a degree in Accounting and Finance and everything I learned about finance does not apply in this current economy. The law of supply and demand, deflation with higher interest rates and lower prices need not apply. Making this one of the most "engineered" marvels of the 21st century.