Questions about aircraft financing.

Guys i've got some questions regarding purchasing an aircraft. and hope you guys can help me out. Also i took alot of pictures out at oshkosh and hope to have them up tonight.

1. When i look at barnstormers and see all the descriptions about the planes i get confused. What are the major items i need to be looking for. What is a good time for an aircraft(early model 182 or so)
2. How often does an aircraft engine have to be overhauled? i see on the descriptions where it is called out ex. 400 SMO. Is there a set time limit you have with an overhauled engine?
3. How long a term typically do finance companies write a loan for? and why is the typical interest rate one could expect( i know interst is variable to the borrower but just ballpark)

Thanks in advance guys

find someone to help look them over

With the questions you have listed I would surmise that you should find someone you can trust to go over any aircraft you are interested in. Engine time and airframe time is not always the best evaluation tool. Lots of other stuff to look at, log books, accident history, etc. etc. Also inspection of the actual aircraft. With the cost of an aircraft a few more dollars for inspection help would be well spent. Their are trustworthy folks out there that do pre-buy inspections. Maybe someone on this forum can point you to someone in your area.

concerning financing. companies will finance for up to 20 years. Check current interest rates with various aircraft finance companies. (google). I would guess around 6 - 6.5%. take care and good luck.

it will still be at least next year before i drop the hammer on a plane but i was just doing the research now so i knew what to look at and such. thankyou for your info.

I agree that having a qualified shop perform a pre-buy inspection would be worth your while!

Most engines have a manufacturer recommented time between overhauls of 1500-2000 hours (some higher, some lower depending on the engine). Even if the engine has a 2000 hour TBO, depending on how it was used it could go for longer, or much shorter. The OH decision is based on compression (leak down), oil consumption, oil analysis...ect. In general, it is better to find an aircraft with plenty of time before the next overhaul so you don't have to shell out anoth 15k+ right after picking up the plane. Usually you pay for low engine time in the price of the aircraft, so really think about how much flying you do vs what you can afford for the purchase.

A couple of quick terms to help you through the listings:

TTAF: Total Hours on the airframe
TTE: Total time on the engine (can be since new or 0-time overhaul)
SMOH: Since major overhaul - hours on the engine since the last overhaul
STOH: Since Top overhaul - hours on the engine since the cyl's were overhauled, but not the bottom end.

Juicegoose said:

Guys i've got some questions regarding purchasing an aircraft. and hope you guys can help me out. Also i took alot of pictures out at oshkosh and hope to have them up tonight.

1. When i look at barnstormers and see all the descriptions about the planes i get confused. What are the major items i need to be looking for. What is a good time for an aircraft(early model 182 or so)
2. How often does an aircraft engine have to be overhauled? i see on the descriptions where it is called out ex. 400 SMO. Is there a set time limit you have with an overhauled engine?
3. How long a term typically do finance companies write a loan for? and why is the typical interest rate one could expect( i know interst is variable to the borrower but just ballpark)

Thanks in advance guys

Click to expand...

The first thing you should do is get a copy of the "used aircraft guide" by Aviation Consumer" or a similar publication. Most all single-engine certified airplanes have been in production for a LONG TIME and will usually have MAJOR differences between model years (or ranges of model years). These changes can have a big impact on market value and how expensive maintenance will be. This book will explain the differences, what to look out for, and the "gotchas".

You should also consider maintenance costs...especially between a certified and experimental aircraft.

Get advise on a pre-buy inspection. Two recent purchases by pilots in this area showed questionable maintenance and/or inspection results, which will likely be very costly for both.

One "may" need to buy a new engine on something that likely was detectable during a thorough pre-buy inspection.

Remember Reagan's comment "trust but verify"

Thanks guys for all the info!