Aircraft Financing Guide

Everything you need to know about financing your aircraft purchase

Understanding Aircraft Financing

Aircraft financing is a specialized form of lending that differs significantly from traditional vehicle or real estate financing. Understanding the options available and requirements involved is crucial for making an informed decision about aircraft ownership.

Whether you're a first-time buyer or expanding your fleet, our financing experts can help you navigate the complex world of aircraft financing and find the solution that best fits your needs and budget.

Traditional Aircraft Loans

Similar to auto loans, traditional aircraft financing involves borrowing money to purchase an aircraft with the aircraft serving as collateral for the loan.

Down payment typically 10-20%
Terms from 5-20 years
Fixed or variable interest rates
Monthly payments

Aircraft Leasing

Leasing provides flexibility and can be an attractive option for those who want to avoid the full financial commitment of ownership while still enjoying the benefits of aircraft access.

Lower upfront costs
Flexible terms (1-10 years)
Option to purchase at end
Tax advantages

Financing Requirements

Personal Requirements

  • Valid pilot's license (for personal use)
  • Good credit history (680+ FICO score)
  • Stable income and employment
  • Sufficient down payment (10-20%)

Aircraft Requirements

  • Current airworthiness certificate
  • Recent inspection records
  • Clear title and registration
  • Appraisal and condition assessment

The Financing Process

1

Application

Submit your financing application with required documentation

2

Review

Our team reviews your application and aircraft details

3

Approval

Receive financing approval and terms

4

Closing

Complete documentation and take delivery

Understanding Aircraft Ownership Costs

One-Time Costs

  • Down Payment10-20% of aircraft value
  • Closing Costs$2,000 - $10,000
  • Insurance (First Year)$3,000 - $25,000
  • Pre-Purchase Inspection$1,500 - $5,000

Ongoing Costs

  • Monthly PaymentVaries by loan terms
  • Hangar/Tiedown$200 - $2,000/month
  • Fuel$50 - $200/hour
  • Maintenance$5,000 - $50,000/year

Financing Tips

Before You Apply

  • • Check your credit score and report
  • • Gather financial documentation
  • • Research aircraft values and market
  • • Consider total ownership costs

During the Process

  • • Be responsive to lender requests
  • • Get a thorough pre-purchase inspection
  • • Review all terms carefully
  • • Consider insurance requirements

Ready to Get Started?

Our financing experts are here to help you navigate the aircraft financing process and find the best solution for your needs.