Hey,

I have only read materials on fractional ownership with Netjets; and I am wondering on what happens after 5 years of fractional ownership period ends? (Apparently Netjets offers to buy your share? what does this mean, they buy the plane back?)  Does the customer again has to buy ownership in a new plane and drop cash.  What if the owner wants to keep his/her share for like 10 years or so?

I bet it would suck to buy an airplane share again in few years when it might just be cheaper to own and maintain a aircraft say for like 10 years or so.

Just wondering on how this process works?

None the material on the internet answers these questions of mine.

Thanks

I guess no one knows in here?

I have my doubts that you will get this answer in a flight simulation forum. Maybe the odd commercial pilot in here may know. Have you checked Pilots of America?

4 hours ago, Oracle427 said:

I have my doubts that you will get this answer in a flight simulation forum. Maybe the odd commercial pilot in here may know. Have you checked Pilots of America?

I figured many pilots are in here.  And I did not know about Pilots of America.  I just googled.  Wow, there is a pilots forum out there.  I honestly thought all pilots and simmers were on here. 

Thank you for letting me know.

When mine expired I just said to myself....sharing sucks and I just got myself my own G5.   I am much happier now. 

1 hour ago, MarkW said:

When mine expired I just said to myself....sharing sucks and I just got myself my own G5.   I am much happier now. 

Lol....isn't there awesome tax depreciation for owning the fractional share.  But I guess with the new US tax cut, getting a whole plane is one heck of tax write off

4 hours ago, Skywolf said:

I figured many pilots are in here.  And I did not know about Pilots of America.  I just googled.  Wow, there is a pilots forum out there.  I honestly thought all pilots and simmers were on here. 

Thank you for letting me know.

I woukd say maybe about 1% if that of the world's pilots are on these forums. POA is a good forum. For airliners info, I wouldn't get on forums beside it's usually just negativity and pessimism.

Think of it like a flying club.  You purchase a share in the airplane (or airplanes) and you get to fly in it so many hours per year.  Once the 5 years ends, I am %100 postive that NetJets will be reaching out to you left and right to renew your share in the airplane for another 5 years.  Think of it more like a phone card if that helps.  You buy a card with so many minutes on it, and once they're gone, you can renew the card, or toss it in the trash.  In this case, you'd essentially be giving your share in the jet back to NetJets.  I'm sure if you're willing to fork over the cash, NetJets would be happy to set you up with a 10 year plan.

As for the cost of a 10 year share vs. ownership over 10 years, the cost difference is huge.  Remember the old saying, "If it flies, floats, or f*#*s, it's cheaper to rent."  With the NetJets program, you don't have to worry about maintenance, hangers, crew, or any of the other myriad of things that goes into owning a jet.  Take a CJ1 for example..an entry level jet by most standards.  Here's a breakdown of the costs you can expect that was written by AOPA.  Note the times.  I do believe that Rolls Royce has bumped the engine overhauls to 5,000 hours since this was written..I could be wrong though.

The biggest maintenance items you can plan for are major calendar-driven inspections, engine hot-section inspections, and engine overhauls.

A “document 10” inspection on a CJ (the most in-depth inspection, performed every 36 months) will cost $30,000 to $100,000.

Hot-section inspections (also known as midlife inspections) traditionally cost around $130,000 for FJ44s.

FJ44 engine overhauls (every 3,500 hours) start at around $250,000 per engine, but average $350,000 (plus the cost of rental engines if you want to keep flying during the overhaul).

The balance on an airframe or engine maintenance program usually transfers to the aircraft’s new owner, increasing sales value. However, the purchaser should carefully review what items are not covered, such as rental engines during engine overhaul, labor, and cost of shipping.

So basically, Plan to spend about $480,000.00 PER ENGINE every 5,000 hours or so.  And then all the rest of the costs.  I'd much rather pay 100,000 or whatever a NetJets membership costs for 5 years!