yego.me
💡 Stop wasting time. Read Youtube instead of watch. Download Chrome Extension

Why do billionaires buy used private jets?


less than 1m read
·Nov 3, 2024

Processing might take a few minutes. Refresh later.

Really super rich, why would you buy a pre-owned aircraft? You could say the same thing about somebody who's not so rich but fairly well-to-do, and they buy a used car. Sometimes you want immediate satisfaction, and if you want immediate satisfaction, you can't buy a new aircraft because it could take one to two and a half years to actually order an airplane and get it manufactured and delivered the way you wanted it custom made.

But the other thing is, like a car, an airplane isn't normally a depreciating asset. Once you buy it and take it off of the showroom floor, if you want to call it that, the price will depreciate. Of course, in the past year because of COVID and because of a lack of supply, prices actually went up instead of going down, which is a real anomaly. In the history of aircraft, that's never happened, which is about 60 years. But this is the first time it did.

Now the market is leveling off. If you could buy an aircraft for a significant discount if it's two, three, four, five, ten, fifteen years old, it does exactly the same thing as a new one. Maybe you might have newer avionics, which are the radios in the cockpit, or it might have a different altitude or something like that. But if you could buy some half price off of a new one, that makes a very convincing sales story.

More Articles

View All
THE FED JUST FLIPPED THE MARKET | Major Changes Explained
What’s up guys, it’s Graham here. So, we gotta have a talk. As of a few hours ago, the Federal Reserve just raised their benchmark interest rates by another 75 basis points, which means we are officially sitting at the highest interest rates that we’ve se…
How to avoid jet lag!
Hey Steve, I just landed from Vegas and I’m super jet lagged. Why is that? So, the problem is it’s not from jet lag from time zone difference. The reason you’re feeling jet lagged is because of cabin altitude. Cabin altitude in an airplane is the altit…
Lecture 13 - How to be a Great Founder (Reid Hoffman)
Thank you, Sam. So, when I look through the syllabus of this class and thought about what I could possibly add that would be useful in addition to the very skills, one of the things that I’ve been thinking about has been how do you think about yourself as…
Ali Partovi - Startup Investor School Day 3
Ali is the founder and CEO of neo, which he can explain what that is. It’s a very cool new organization, but he’s also an entrepreneur, a social entrepreneur whom I admire a ton for the things he’s done. We met, like I said, too many years ago when he and…
Is the 2024 Gold Rush a Warning to the US Economy?
Have a look at this price chart over the last 2 years. Up 65% phenomenal growth! Now, with returns like that, you’d probably expect it to be some sort of up-and-coming tech stock, right? One with a foot in the door of the artificial intelligence Gold Min…
LA92 Panel - Live | National Geographic
[Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Laughter] [Music] [Laughter] [Music] [Laughter] [Music] [Laughter] [Music] [Laughter] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] you you [Music] you [Mus…