 It's been said that
" An aircraft is worth what someone will pay for it."
The Aircraft Appraisal is a valuable tool
For the Buyer
The appraisal is an impartial opinion as to the value of a particular aircraft they are planning to purchase. Further,
the appraisal can assist in expediting the sale because the buyer and seller know the fair market value and relative condition
of the aircraft.
For the Seller
The appraisal offers the confidence of knowing the condition and the current fair market value of their aircraft. The
appraisal is a great selling tool because it gives a potential buyer a solid feel for the aircraft.
For the Banker
The appraisal documents the value and condition of the aircraft. The appraisal also supports the banks collateral position
in the aircraft loan process. The Certified Appraisal Report can be used as part of the bank's Security Agreement to completely
describe and document the aircraft's condition and contents.
An NAAA appraiser thoroughly examines the aircraft, the aircraft logbooks, and pays close attention to the present condition
and maintenance history of the aircraft. Utilizing the National Aircraft Appraisers Association's extensive computer based
system enables the appraiser to provide accurate and prompt aircraft appraisals. This database is updated monthly, and is
based on actual selling prices of Aircraft, engines, avionics, and other equipment.
In the event the aircraft's log books are lost or stolen, the NAAA Certified Appraisal Report or USPAP Report includes
all of the information necessary for an IA (FAA certified inspector) to develop a new set of log books - a starting point
if you will. With many aircraft, lost or stolen log books means that putting the aircraft back in an airworthy condition
will cost more than it is worth. The NAAA Certified Appraisal Report helps to protect the bank and the bank's customer in
these events.
The NAAA Certified Appraisal Report or USPAP Report acts as a legal document that not only identifies the fair market
value of the aircraft but also provides a description of the aircraft's condition and its contents. Typically, the Certified
Appraisal Report is attached to the bank's Security Agreement as a description of the collateral thereby meeting the intent
of FDIC regulations regarding proof of collateral.
An NAAA Certified Appraisal Report or USPAP Report protects the bank and the customer in insurance disputes. In the event
the collateral is damaged, the Certified Appraisal Report can be used to help determine the aircraft's fair market value at
the time of the incident. It also helps to ensure that the bank's customer has the aircraft insured at the proper levels.
Avoid "Desktop appraisals "
The term "desk top appraisal" was coined by companies and individuals who do little more than look up a number
in a book. There is no examination of the aircraft in question, no review of the log books and no report detailing the contents
and condition of the aircraft. The information derived from this analysis cannot be substantiated in any manner and these
"reports" do not meet any standards. You should not depend on "desk top appraisals" to provide the necessary
information you need to secure your collateral and justify your lending position.
Also keep in mind, that Aircraft price guides are published, marketed, and distributed by book publishing companies. The
facts are, they do not appraise aircraft, they do not even gather or generate their own data. Rather, they simply send out
a questionnaire every 3 months to subscribers of their books and ask a few questions which at best are very vague. From these
questionnaires the book publishers generate their data base. An interesting point to consider is this. Nowhere on these questionnaires
do the price guide book publishers request information regarding:
1. The aircraft's damage history.
2. Engine or airframe modifications, if any.
3. Make and model of installed avionics and if there were
any avionic upgrades.
4. Physical condition of the airframe including surface
corrosion etc.
5. Inspection status of the aircraft. For example, the
aircraft may have been out of Annual for some period of
time or/and there may be Airworthiness Directives and/or
mandatory Service Bulletins which have not been complied
with.
6. Props and time since overhaul.
7. Engine overhaul status. For example, was the engine
field overhauled to FAA overhaul service limits or
overhauled to factory new limits or a new engine.
8. Condition of de-ice equipment, instrumentation and other
systems and components.
The National Aircraft Appraisers Association is the only organization in the world which considers all of these factors
in its database. Additionally, all of the information the National Aircraft Appraisers Association uses is verified by its
350 Certified Aircraft Appraisers members who have physically evaluated the aircraft, and each Association member subscribes
to the same evaluation criteria while performing the appraisal. The end result is an extremely accurate database that is verifiable.
The National Aircraft Appraisers Association has established rigid standards of professional practice, and conduct to which
every Association member must adhere. Appraisal Reports Certified by the National Aircraft Appraisers Association (NAAA)
have an impressive legal record. Since 1980, NAAA Certified Appraisal Reports have been used in hundreds of legal proceeding.
In those cases that involved NAAA Certified Reports to determine the fair market value of an aircraft, the success rate is
greater than 99%!
Why would you select me?
I am a Certified Senior Aircraft Appraiser, with USPAP Endorsement and proud member of the National Aircraft Appraisers
Association, which has established rigid standards of professional practice and conduct to which every Association Member
must adhere. It is essential to all parties receiving and relying upon appraisals that these standards be meticulously maintained.
I hold an Airline Transport Rating, (ATP) with over 13,500 hours flight time in all types of aircraft.
I hold Certified Flight Instructor ratings for aircraft- single engine, -multi engine and -instrument, and have given
over 2500 hours of instruction.
I apprenticed as an aviation mechanic for 13 years before acquiring my mechanic's license.
I hold degrees in Physics, Mathematics and Material Science and Engineering.
I do factory aircraft, homebuilt aircraft and helicopters.
News Flash!! Now we do warbirds!!
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