Challenger 300, Challenger 604, Challenger 605
Challenger 300 inventory has dropped for the second consecutive quarter, and transactions are picking up as we head into the first quarter of 2021. There are currently 25 Challenger 300 aircraft for sale, down from 31 a year ago. After only nine combined sales occurring during the first half of 2020, things turned around, and the second half of the year produced a solid 23 transactions. The 13 sales during Q4 2020 is the most activity we’ve seen since Q4 of 2018. Values couldn’t shake the slow start to the year, with pricing taking a hit during this past quarter. However, as many quality options were picked over towards the end of 2020, look for things to firm up at the start of 2021. With inventory drying up yet attractive pricing, this market remains balanced for buyers and sellers.
Challenger 604 inventory has stabilized after peaking during the third quarter. There are currently 30 aircraft for sale, down from 35 during Q3 2020. 9% of the active fleet is currently for sale. Identical to the Challenger 300 market, there were 13 sales during the fourth quarter. This brought 2020’s total to 33, exceeding the 32 aircraft that sold in 2019. The fourth quarter of 2020 produced the most activity we’ve seen in this market since Q4 of 2018. With inventory trending down and demand as strong as ever, this market is a great seller environment.
Challenger 605 transactions surged, and inventory finally declined during the fourth quarter. After steadily rising for multiple years, Challenger 605 inventory finally reversed course and reduced slightly. There are currently 30 Challenger 605 aircraft for sale, down from 32 during the prior quarter. Activity skyrocketed to 15 Q4 sales, the most we’ve seen in recent years. This made 31 total sales on the year, also ahead of both 2018 and 2019. Pricing has firmed up with this recent activity, which was needed after a significant drop at the beginning of the year. With strong demand yet attractive pricing, this market remains balanced for both buyers and sellers.