how to find opportunity cost

How Much Does It Cost to Own an Airplane?

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If you want to pilot the friendly skies yourself, the price can be exorbitant. A private airplane can cost as much as $800 million. Several key factors contribute to the sale price of an airplane, including whether you're looking for new or used aircraft for sale. Recurring maintenance costs are also a key part of the total cost to own an airplane. Here are some facts and figures to help you compare options for owning or renting an airplane.

Preferences: Private Aircraft vs. Commercial Aircraft vs. Military Aircraft

Prices vary dramatically for new and used airplanes. A brand new Cessna 172 Skyhawk, for example, can have a tag price of $275,000, but you may be able to find a used one for around $30,000, according to HoneyWell.

From a business point of view, you may need to find a cheap aircraft for sale or a used aircraft for sale with the intention of modifying and selling it for a profit. Similarly, on other occasions, you may want to look for a used jet aircraft for sale or used passenger jets for sale. Whatever your preference may be, a quick glance at the key factors discussed below can help you make an informed decision.

Company's Reputation

The number one factor that determines the cost of an airplane is the manufacturer's reputation. An airplane from a popular brand costs more than an aircraft for sale by a generic company.

Size of the Plane

Size matters.The bigger the plane, the larger the price tag. Two-seat planes are more expensive than single-seat planes. Similarly, multi-engine or two-engine planes are costlier than single-engine, ultralight, recreational planes. Up-front costs of single-seat, single-engine planes range from $8,000 to $15,000 while that of single-engine planes with two or more seats range from $15,000 to $100,000. Multi-engine planes cost around $75,000 to $300,000, according to Investopedia.

Material and Design

Construction materials determine how strong, heavy, fragile or lightweight an airplane is in addition to affecting the cost. Special design features — color, interior design, exterior design, etc. — also factor into the cost. Other expenses include storage fees, insurance, loan payments, gas and oil, maintenance and labor, and certifications and taxes.

Tips to Cut the Cost of Owning an Airplane

Buying a damaged aircraft for sale is one sure way to cut your cost. Owners of damaged planes often want to unload them without making repairs. You can find a great deal if you have some resources or knowledge for making repairs. You can also buy used aircraft engines for sale and then assemble the parts to build an airplane to your liking at a reasonable cost. Even if you have to hire an expert, this could still save you money.

Cost Stats for Perspective

You could find a fully-equipped ICON A5 aircraft for sale for less than $0.4 million in 2018, according to Controller and Wikipedia. For around the same price range, you could also find a Cessna 172 aircraft for sale. If you're looking for the cheapest airplane for sale, check out a vintage Cessna 172 to find a price tag less than $10,000.

A brand new private aircraft can cost anywhere from $3 million to $90 million, according to Bankrate. At $1.96 million — almost half the price of its nearest competitor — the Cirrus Vision is the most affordable private jet in the world, according to Forbes.