Costs of Aircraft Ownership vs Renting

[Palamedes]

So, at what point does it make economical sense to own versus rent?

What statistics should I keep in mind?

There's a local place here that will rent a modern 172 with full glass cockpit for $175 an hour. So assuming you can get that thing to hum around 125knots ( dunno if it will do that or not but this is just theoretical ) and you're going 500nm.. You're looking at $700 for the plane rental and another $200 or so for fuel.

If you're making that trip more than once a month would it make sense to buy a plane versus rent? What else do I need to consider?

 

[Jim Logajan]

The 150 I take care of and fly runs $3000 per year before you fill up the first tank! That is insurance, annual, tiedown.

I rent and there are still fixed costs before I see any flight time. Renter's insurance is one. I believe that that cost is there whether you rent or own, so in a rent vs own cost comparison it should factor out.

Amortized medical and BFR are minor expenses that exist whether you rent or own. Current AFD and maps (printed or yearly electronic subscription) also there regardless of rent or own.

 

[Jim Logajan]

Renters insurance is a fraction of owners. Even paying no maintenance labor and no storage costs I'm $1500 into flying every year before I buy my first tank of fuel.

According AOPA's online Quick Estimate page I would pay about $879/year as an owner for the same coverage I'm currently paying $573/year as a renter. In my case, renter's insurance may indeed only be a fraction of owner's insurance, but it is sizable enough for me to take it into account when comparing rent vs own costs for the kinds of planes I'd fly.