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Factors Affecting Resale Value
Know the major factors that affect resale value. Generally speaking they are:
. Engine hours—perhaps the most common in-fluence on resale value. The closer an engine is to
its recommended time between overhaul (TBO), the lower the value. There are many factors that affect engine health, and a high-time engine is not necessarily bad. Regular use helps keep seals and other engine components lubricated and in good shape.
. Installed equipment—such as avionics, air condi-
tioning, deicing gear and interior equipment. The most valuable equipment is usually avionics, which can easily double the value of some older aircraft. The newer the technology, the higher the value of the aircraft.
. Airworthiness directives (ADs)—issued by the
FAA for safety reasons. Once issued, owners are required to comply with the AD within the time
period allotted. It is important to look at the AD
history of an aircraft and ensure the logbooks show compliance with all applicable ADs. ADs are discussed in greater detail in chapter 9.
.
Damage history—it may be difficult to locate a complete damage history for an aircraft. Any aircraft with a damage history should be closely scrutinized to ensure it has been properly repaired in accordance with the applicable Title 14 of the Code of Federal Regulations (14 CFR) parts and recommended practices.

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Paint/Interior—as is the case with homes, paint

can be used to give “tired” aircraft a quick face-lift. Check new paint jobs carefully for evidence
of corrosion under the surface. Interior items should be checked for proper fit and condition.

Overhauls
Be careful of the terminology used to describe engine condition. Do not confuse a top overhaul with a major overhaul, or a major overhaul with a factory remanufactured “zero-time” engine. A top overhaul involves the repair of engine components outside of the crankcase. A major overhaul involves the com-plete disassembly, inspection, repair, and reassembly
　
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