Cost of building new kit aircraft.

[dlegg]

After completing my kit aircraft build in 2013, I have been getting in new prices for current costs for what I have. My total costs were 60k, including importing complete kit from the US. Today's prices show I would need nearly 170k for the same aircraft. Nearly 3 times the cost. Surely kit building is now too far out of reach for anyone. RV's etc used to be affordable, almost. Are our completed aircraft now worth 3 times more?

[facthunter]

Our $ isn't that good these days, Plus inflation.. Nev

[rgmwa]

My RV 12 cost AUD $96k at its first flight in 2015. A similarly equipped RV12 kit with a fuel injected Rotax 912iS from Vans today is US $128,800. That's before shipping, painting etc. My engine is a 912 ULS so that would reduce the price to about US$124,000. At the current exchange rate you would be looking at AUD $210 - $230k to build one today including a basic paint scheme.

 

Edited Saturday at 03:16 AM by rgmwa

[dlegg]

7 minutes ago, rgmwa said:

My RV 12 cost AUD $96k at its first flight in 2015. A similarly equipped RV12 kit with a fuel injected Rotax 912iS from Vans today is US $128,800. That's before shipping, painting etc. My engine is a 912 ULS so that would reduce the price to about US$124,000. At the current exchange rate you would be looking at AUD $210 - $230k to build one today including a basic paint scheme.

 

So it's over double the cost and you haven't even assembled it yet, no paint etc. Would you build one now at the current cost?

[rgmwa]

I don't count assembling it as a cost as it was very interesting and good fun. My edited post also included a reasonable paint cost estimate, but I don't think I could justify the cost today.

Even at the time it was a lot of money although really no more than a top of the range 4WD or luxury car. Still it was a big commitment and if my wife hadn't been OK with it I wouldn't have done it. It worried me more that it did her.

 

[BurnieM]

18 minutes ago, rgmwa said:

My RV 12 cost AUD $96k at its first flight in 2015. A similarly equipped RV12 kit with a fuel injected Rotax 912iS from Vans today is US $128,800. That's before shipping, painting etc. My engine is a 912 ULS so that would reduce the price to about US$124,000. At the current exchange rate you would be looking at AUD $210 - $230k to build one today including a basic paint scheme.

That does not sound right.

I suspect that is the RV12 price WITHOUT the engine or avionics.

 

Edited Saturday at 03:31 AM by BurnieM

[rgmwa]

No. Includes both.  The 912ULS engine kit is about $42k. Mine was US$28k. 

[dlegg]

A Zenith 650 kit is about 80k landed in oz. No engine, avionics etc.

[KRviator]

To replace my Day-VFR RV-9 would cost close to $270,000. That's ridiculous when you can get an IFR Cirrus for not that much more. Price increases and a pretty poor exchange rate don't help.

[sfGnome]

Well, I’m up to about $160k, but my beloved thinks it’s worth it just to stop me moping around the house whinging about having nothing to do. Actually, if it wasn’t so blinking expensive, then I’d aim at doing another when this one is finished. I haven’t had this much fun in years. 

[Geoff_H]

I was thinking about buying an 80% complete Starlet, this would be like buying an advanced kit phone.  Only 80% to go lol.  So I looked at what needed to be purchased, cowling, fabric  props fuel system radios paint, the 80% to go looked good.  Then I priced these components, including freight, it would be cheaper to buy an already flying one. 

[gareth lacey]

So  far my scratch/own design  build has cost me $46,000 ,that engine ,instruments all material, wheels&tyres,brakes,prop, etc , ,some of the costs for raw material that i am seeing is getting ridiculous, 6061 alum has gone through the roof as well as 4130cm, i purchased most of mine before covid so it was ok price , i could never afford now to buy material to start a build especially a kit, i have souced lots of parts as used and then refurbished myself , fusalage is completed and painted, wings just about finished then to test firing engine and sorting ecu mapping, all electrical tested and working (no smoke) then to get Lame to sign off paperwork and hopefully start flying testing by end of year, (my wife asks me what am i ging to do then LOL) 

Edited Saturday at 11:27 PM by gareth lacey

[dlegg]

If all the material costs have gone up roughly 3X then surely the flying planes will have to at least double in value. 

[skippydiesel]

It seems to me that the price of small (1 -2 seat) aircraft is effected by:

 

Factory Built - pretty much been on a rocket ride for the last 3-4 years

 

Kit Built - more like an express elevator.

 

In/Out of fashion - inexplicable popularity of some aircraft, has seen crazy prices, corresponding slower rise in the less well regarded/promoted.

 

CV19 causing massive disruption in World trade, may have been the catalyst ????

 

The Donald policies may likewise disrupt the ordered flow of goods, causing similar rises in material costs ????

 

Security instability, negatively impacting raw material supply, production, delivery, diversion of resources to military ????

 

Humans are consumers - price of goods goes up - wages rise to compensate - inflation spiral, always there, just faster at some periods.😈

 

 

 

[sfGnome]

21 minutes ago, dlegg said:

If all the material costs have gone up roughly 3X then surely the flying planes will have to at least double in value. 

Nup. Their value is only what people will pay for them. The idea that you’re building an asset may not apply any more. I’m resigned to the possibility that I won’t be able to sell it for what it has cost me, but the fun has been well worth it. 

[sfGnome]

8 minutes ago, skippydiesel said:

The Donald policies

I was just in the process of hitting the buy button for my engine and prop then the Donald pulled his tariff trick. The price went up $3k overnight, so I held off, and thankfully the exchange rate improved and recovered most of that. I’m still many thousands worse off than if I’d bought before his inauguration, but if I could predict the future then I’d be a very rich man…