Helicopter Resale Value Explained: Factors That Affect Your ROI

When it comes to helicopters, the real cost extends beyond your initial investment towards the purchasing price. The real worth of your helicopter is in its resale value and its ROI. Whether you’re looking to sell your aircraft or maximize its worth, understanding the basics of helicopter resale value can prove to be helpful.

If you’re looking for the top factors that affect your helicopter’s worth and the best tips to optimize resale value, you’re in the right place. This blog decodes the A to Z of helicopter resale: what resale value truly means and why it should matter to buyers and sellers.

What Do You Mean by Helicopter Resale Value?

Just like every other asset should earn its keep, a helicopter’s resale value is not only an additional return but also a crucial gain. If you’re looking to sell your helicopter, knowing about its resale value is essential in understanding how much your aircraft is worth and how much ROI it deserves.

Essentially, your helicopter resale value is the cost at which you can sell your helicopter in the open market. This cost depends on multiple factors and variables that determine what your helicopter’s worth is.

Most helicopters tend to retain their value over the years and bring a good ROI; however, it is important to determine your aircraft’s total appreciation or depreciation before selling or purchasing.

Why Your Helicopter’s Resale Value Matters?

Since the 1940s, when the first successful helicopter was flown, the demand for helicopters and their usage has only grown and diversified. Today, owning a helicopter is an invaluable asset, and thus, your helicopter’s resale value matters more than ever.

Why sell your helicopter for less than what it’s worth? With a high capital investment on your helicopter, its resale value should protect your initial investment and provide adequate returns on selling.

Your helicopter resale value should be as important to you as it is to the buyer. Make smarter financial decisions and deliver optimum asset planning, financing, and reselling by calculating your helicopter’s resale value.

Top Factors that Affect the ROI on Your Helicopter’s Resale Value

To determine the resale value of your helicopter, it is essential to take into consideration certain factors that may affect the ROI. Here are the top factors that play a role in impacting your helicopter’s resale value –

Age and Flight Hours

The value of any asset decreases over time, and so does a helicopter. A newer aircraft will have an increased resale value compared to an older model that has been in use for a longer period of time.

This is because newer helicopters are more modern and technologically advanced, making them attractive to buyers. With higher levels of flying hours, a helicopter tends to experience more wear, tear, and damage and thus gets depreciated in value.

Potential buyers will tend to purchase helicopters that are newer with fewer flying hours, and thereby, such aircraft tend to have a higher resale value in comparison to a decade-old helicopter with 30,000 flying hours.

Maintenance and Service History

Completing all required aircraft maintenance and keeping your helicopter in good condition increases the value retention.

A helicopter with properly functioning components and a well-maintained exterior and interior is likely to declare a higher resale value due to documented routine maintenance and adherence to servicing requirements.

Upgrades and Modifications

Did you improve your helicopter with strategic upgrades and modifications you’re your helicopter has avionic upgrades, interior refurbishments, and engine enhancements; you have successfully appreciated your helicopter’s value.

With modern upgrades and technological enhancements, you can drastically improve and heighten the helicopter resale value for buyers who appreciate an aircraft with experience and technology.

Helicopter Models with Proven Resale Value

There are some helicopters available out there, that consistently hold their value better than others. Below are mentioned the best models with strong resale strength –

• Robinson R44:

Lightweight, affordable and reliable – perfect for private use and training.

• Bell 407:

A multi-role performer with strong demand in utility, executive, and EMS sectors.

• Airbus H125 (AS350):

Durable and extremely high-performing, perfect for tourism, law enforcement, and mountain flying.

• Leonardo AW119:

Premium single-engine helicopter with an unmatched mission versatility as well as resale value.

• MD 500 Series:

Powerful and agile, favored in both defense and civil markets.

Ownership History

If your helicopter has had more than one owner, its resale value is likely to depreciate. The passing over of any asset from owner to owner reduces its overall valuation due to increased chances of wear, tear, and rough usage.

However, an accident-free and well-maintained history of your aircraft can help retain its resale value.

Market Trends and Valuation

Market dynamics greatly shape the way your helicopter’s resale value is determined. Supply and demand, regulatory changes, economic conditions, and technological advancement largely impact the way a helicopter is valued for resale in the open market.

Similarly fluctuating pricing trends and buyer preferences factor into your helicopter’s overall value.

Pro Tips to Maximize Your Aircraft Resale Value

• Follow a strict and regular maintenance schedule in accordance with service regulations and keep proper logs, documentation, and receipts.
• Entrust your helicopter to trained and licensed pilots to ensure maximum safety and avoid major damage.
• Consider investing in upgrading your helicopter’s interiors and exteriors. Install technological advancements to make your aircraft modern and more attractive.
• Smartly time your sale, keeping in consideration market trends and buyer preferences.

Common Mistakes to Avoid Decreasing Your Helicopter’s Resale Value

• While buying your aircraft, consider its original resale value instead of simply chasing lower prices.
• Avoid any unauthorized modifications or upgrades to your helicopter. Only invest in upgrades that are certified and licensed.
• Do not forget to keep records of helicopter maintenance or proper logs of flying hours. Properly maintain your aircraft and avoid skipping upkeep schedules.
• Avoid overusing your helicopter if you plan to sell it. High flying hours equal to increased wear and tear, and thus, reduce your helicopter resale value.
• Do not over customize your helicopter as it makes reselling a difficult task.

Fly Smart, Sell Smarter: Get What Your Helicopter is Worth

Buying a helicopter is a smart investment – one that should retain its value and bring smarter returns. Evaluating your helicopter resale value is essential to get your helicopter’s true worth.

Your resale value is a direct reflection of your helicopter – thus, it is essential to start from day 1 and make smart choices. Be it technological upgrades or keeping up-to-date with market trends, knowing your aircraft’s resale value makes you a smart buyer or seller.

Whether you need help identifying your helicopter’s resale value or want to make a smart secondhand purchase, get in touch with our expert aviation advisors today!