Lear 45XR, Lear 60XR, Lear 75
The Lear 45XR market refuses to slow down as we head into the third quarter of 2019. The second quarter of 2019 produced six sales, similar to the active Q1 2019. If we look back to the second quarter of 2018, just two aircraft sold during that timeframe. Inventory has dropped for the second consecutive quarter; now at just 10 aircraft for sale. This represents only 4.9% of the active fleet and is the lowest inventory we’ve seen in six quarters. These ideal market conditions have resulted in strong prices, with no change in values for over a year now. With strong pricing and historically low inventory, this market continues to be a great environment for sellers.
Inventory continues to climb with minimal activity in the Lear 60XR market. During Q2 2019 there was an average of 15 listings. That is an increase of 25% over Q2 2018. Currently, 13.7% of the active fleet is for sale. Only two 60XR transactions happened last quarter, making three total sales YTD for 2019. We are well behind last year’s pace of eight transactions by this time. As we mentioned last quarter, the early 60XR’s are approaching their 12-year inspection, which may be turning buyers away until pricing comes down. Values have remained steady for three consecutive quarters now…. but watch for that to dip before sales pick up. With inventory steadily increasing and sellers eager to make a deal now may be a great time to pick up a 60XR at a discount.
Lear 75 inventory has reached its highest level in many years. Currently, there are seven Lear 75 aircraft for sale, up comparatively from three listings just six months ago. Current listings now represent 6.1% of the active fleet. There was only one sale in the second quarter of 2019, making just two sales YTD for 2019. Looking back to 2018, there had been four sales by this time. Pricing has held steady for a full year now, after taking a large drop at the start of 2018. It will be interesting to see what prices start moving these Lear 75’s as we head into the second half of 2019. With inventory at record highs and prices set to soften, now may be a great time to get a deal on a Lear 75.