Airline Mogul Forum

Lease Out or Sell

Poll

Lease Out vs. Sell

Lease Out aircraft
5 (31.3%)
Sell aircraft
9 (56.3%)
Neither
2 (12.5%)

Total Members Voted: 16

Voting closed: July 13, 2008, 05:59:13 am

cyon20

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on: July 13, 2008, 05:59:13 am
For future preference, would you lease out an aircraft or sell an aircraft? Which one is better?

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Fleur-de-Lis

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Reply #1 on: July 13, 2008, 06:50:23 am
Depends on too many things for anyone to give a qualitative answer.

What's the  general market condition like in your world?

Is it already saturated with good aircraft?

Does your aircraft have any marketable value compared to what is already out there?

Is your world about to end, or just beginning? This makes a big difference.

How old and used is the aircraft? Some people shy away from cycles and frame hours - even though it is not implemented in the game.

Do you think you can price competitively with the rest of the aircraft on the market? Or are you willing to "hold out" till you get your price (rarely ever happens)?

What is the general skill level of the people in your world (this can be determined by airline ID numbers)? Most newbies don't know the benefits of leasing, and would rather buy.

Is it a model that people readily recognize in real life (don't matter if its good in the game or not)? Most people will grab aircraft they are familiar with - instead of what works well in the game.

Why do you have a poll? Are you really going to base your decision on the polling results?


I suppose the general answer would be: It's best to either sell or lease, along the prevailing market conditions and your airlines financial situation.
Asylum Freight

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LOT 737-300

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Reply #2 on: July 13, 2008, 07:19:07 am
Quote from: "Fleur-de-Lis"


What is the general skill level of the people in your world (this can be determined by airline ID numbers)? Most newbies don't know the benefits of leasing, and would rather buy.

Is it a model that people readily recognize in real life (don't matter if its good in the game or not)? Most people will grab aircraft they are familiar with - instead of what works well in the game.

Why do you have a poll? Are you really going to base your decision on the polling results?


I suppose the general answer would be: It's best to either sell or lease, along the prevailing market conditions and your airlines financial situation.

I don't know, I have seen many newbies go on overdrive on leasing, and it ends up costing them dearly, not to mention as a smaller airline, in a smaller base, leasing has little benefit for me most of the time (though before the 5% rule was implemented, man, I leased some nice aircraft for a steal.) Leasing has it's advantages at times, but for me, it is really a short term thing as after time, I might end up paying more than the plane is worth in the end, not to mention for most types above 4 mil in value, it ends up making a loss for the airline most of the time.

As far as ownership goes though, if you have a plane that is popular, but not shown as often on the lease page, put it on the leasing market for a good amount of Euros, and you will benefit largely from it. I have seen IL-62 back in the 1970s round earlier this year basically get snapped up for 9 mil a month. I don't think most airlines even make that with a single plane in a month.  :o  But lets say you have a plane that populates the leasing page like crazy, but not so much in the sales part, you might be better off selling than leasing out.


cyon20

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Reply #3 on: July 13, 2008, 05:20:19 pm
Quote from: "Fleur-de-Lis"


Why do you have a poll? Are you really going to base your decision on the polling results?


I'm just seeing what's your opinions

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Cheung Airlines

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Reply #4 on: July 14, 2008, 02:16:06 am
Better add one choice: It depends....

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zkvac

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Reply #5 on: July 14, 2008, 08:16:43 am
You'll make the most money putting it on your own routes rather than getting rid of it ;)
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Lord Voldemort

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Reply #6 on: July 14, 2008, 03:45:58 pm
Not if it's old and you want to keep maintenance costs down.
I prefer selling, since I don't want to pay for the maintenance costs while I'm not using it.


Cheung Airlines

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Reply #7 on: July 14, 2008, 04:08:05 pm
Nitin, youve to pay for the MX cost until its sold....

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