NAFA member FLYING Finance discusses how to avoid aircraft financing pitfalls.
The aviation finance industry is shrouded in misconceptions, even among seasoned professionals and pilots. These myths can and do lead to poor strategic decisions and missed opportunities.
Let’s debunk the most common fallacies that continue to circulate in boardrooms and financing negotiations.
Myth 1: Aircraft Always Depreciate Predictably
Many buyers, particularly in business aviation, have a notion that aircraft depreciation follows a neat, linear pattern that can be plugged into spreadsheets with confidence. The reality is far more nuanced.
While certain aircraft types do follow relatively predictable curves, depreciation is heavily influenced by factors that differ from other classes of asset. Regulatory changes, fuel price volatility, and demand for private aviation mean that many models do not follow a standard depreciation curve in the slightest.
Smart buyers and aviation financiers build flexibility into their models and maintain healthy skepticism about any depreciation schedule that looks too clean.
This article was originally published by FLYING Finance on January 10, 2026.