Cessna Aircraft Loans: Financing Your Dream Plane

Cessna is one of the most prolific aircraft manufacturers in the world, with a range of model options from training planes to high-performance business jets, making it a prominent player in the general aviation industry. The Cessna 172 has introduced more people to personal and business flying than any other airplane. The 172 began life in 1956 and, today, there are more than 25,000 still flying. Whether you are interested in financing a Cessna 172 Skyhawk, a 182 Skylane, a 206 Stationair, a 208 Caravan, , or a Cessna business jet, aircraft financing can help make that dream a reality.  Your best approach to aircraft financing starts with a reputable aircraft financing broker such as The Aircraft Lenders, to match you with the best lender for the aircraft you want to acquire, your mission, and your financial profile. There are many different airplane financing options, and working with an aircraft financing broker can help you target the best lender from the start. This article explores the various options for aircraft loan financing and guides you on how to finance an aircraft.

The Airplane Finance Industry

The majority of airplane financing lenders are traditional banks with specific aircraft financing programs. Aircraft financing is a niche industry, and it’s usually best to work with a bank that is experienced with financing aircraft. Different banks serve different markets. Those that finance piston aircraft generally don’t finance multi-million dollar jets. Some lenders have an age cut-off of 15 or 20 years old. Others will consider aircraft as old as 1970, or even older. Another factor is mission. Are you financing an aircraft for your own training? For flight-school leaseback? Or for personal or business transportation? Are you planning charter use or other revenue generating activities? These are all factors in determining the best lender for you. Aircraft financing brokers such as The Aircraft Lenders know how to match you with the best lender for your target aircraft and mission. There are several kinds of financing options to consider. These include aircraft loans (term loans), aircraft leasing, and equipment financing loans.

Aircraft Loans

Aircraft term loans are one of the most popular finance options for purchasing a plane. These loans are structured similarly to a mortgage, and can be used to finance a range of aircraft, from smaller piston aircraft like the range of piston Cessna models, to jets such as  Cessna Citations.  The Aircraft Lenders provides these loans at varying airplane financing rates, which are determined based on your credit profile and the aircraft you intend to purchase. Depending on the lender, the airplane financing rates can be either fixed or variable, and can offer up to a 20-year fixed term or a 5-year term with a 10-20 year amortization, making it crucial to explore all your options.

Aircraft Leasing

Another option to consider is aircraft leasing. There are a few types of leases. Operating leases are basically a rental contract in which you pay a monthly fee to use the aircraft for a specific amount of time. In these cases, the lessee retains ownership. There are also finance leases. These are usually only available to businesses. They can sometimes be structured so that the lessor retains ownership. Another option is sale leaseback, in which the borrower already owns the aircraft and sells it to the financier who in turn leases it back to them, often with the option to buy it back for a residual fee at the end of the term. This is also usually a commercial lending product.

Choosing Your Financing Option

Deciding on the best financing option largely depends on your financial capacity, your intended use of the aircraft, and the terms set by the aircraft financing companies. The right funding option for you also depends on factors such as your creditworthiness, the airplane financing rates provided, and the specific aircraft you intend to acquire.

Aircraft Purchase and Ownership Costs

Purchasing an aircraft involves many costs beyond the initial purchase price. As an owner, you will be responsible for maintenance, insurance, hangar fees, fuel costs, and periodic inspections to maintain airworthiness. Keep these costs in mind as you assess your financing and aircraft purchase options.


Finally, remember that the journey to owning your dream plane begins with carefully evaluating your financing options. An aircraft financing broker such as The Aircraft Lenders can advise on your best options and guide you through the process.