Engine time impact on purchase price

[Stephen Flaherty]

I'm looking at a Comanche with a IO540 that has 2200 total hours on it. In the past 3 years it has only flown 18 hours and there is no available information about recent oil analysis. I also dont have any info about mag status. What would be a good $$ to budget for a new owner to bring things forward of the firewall up to a solid, safe standard? This of course would be an important factor in any offer to purchase the aircraft.

There are certainly many other factors that will be considered in a purchase offer, but please lets limit this thread to comments about $$ likely needed to update components forward of the firewall.

Thanks

Stephen

[Andrew Foster]

Field overhaul 25 k min
Prop overhaul 2-3 k
Engine mount overhaul 1 k
New lord mounts 1 .5 k
Hoses misc etc 2k
Removal and instalation Labor for the above 3-5k

I would budget 30 k min, and it could be more, much more. Others with more practical experience will chime in. However you will have a bird that will probably last 20 years.

Ours was field overhauled in 94, 1700 hours since then, still ok. That's 1700 hours in 20 years. less than the 100 hours per year, but not horrible either. We did do cylinders at about 1000 hrs, ten years ago.
Hope this helps
Andrew

[Kristin Winter]

Stephen,

I like buying aircraft with run out engines if the price is right. In the end, you know what you have and it reduces the risk. If you pay for a low time engine that turns out to need an early overhaul, then you have lost a lot. For purposes of valuation it must be kept in mind that the value of the plane with a run out engine is not the full value of the overhaul and all associated costs. But it is also try that you can put 300-500 hours on the overhauled engine with little or no depreciation. While all the formulamatic programs set the engine valuation as a straight linear function from 0 SMOH to TBO, the market doesn't work that way. Buyers look at engine time more as low, medium, and high. Sellers figure if they have to give full value discount, they should just overhaul themselves. IMX, I would say that a run out engine depreciates the value of the plan about 80% of the cost of the overhaul.

[N3322G]

Stephen,

When we did our little IO320s, it was about 50% for the engine O/H and 50% for working on accessories like alternators, fluid hoses, fine wire plugs, wiring harnesses etc. Props were done the year prior. Hindsight is 20/20 and I would now add engine control cables to cockpit and all vacuum hoses from engine to instruments.

Wrote the Time to Overhaul article awhile back but it may have some nuggets for you http://www.comancheflyer.com/NS/tech_articles.php