Once the pre-buy inspection is complete, it is time to conclude the purchase of the aircraft. If you plan to finance the airplane, this is a good time to talk to the bank or finance company to line up the sale transaction. Your finance representative will walk you through the financing and purchasing process. AOPA offers aircraft financing to both existing clubs and clubs in formation. More information is available on the Flying Club Financing page.
It’s a good idea to get a title check on the aircraft you plant to buy. This ensures that the aircraft has no lien on it, and that you will be acquiring it with a clean title. A title check is not required, but it can give you peace of mind. AOPA members receive a discount on title searches with Aero-Space Reports.
As soon as the purchase is complete—and before the first flight—make sure the aircraft is insured and the policy is active. Even if the aircraft will be sitting on the ramp for a few days, storms or other unfortunate events can cause expensive damage, so it’s a good idea to get insurance right away. AOPA Insurance Services offers competitive rates on club insurance in support of the flying club community. More information is available on the Flying Club Insurance page.
When completing the aircraft purchase, two forms must be submitted to the FAA:
FAA Registration Form 8050-1 must be an original carbon copy form, and cannot be downloaded. Most maintenance shops or FBOs will have copies of this form for your use. They can also be obtained directly from the FAA.
FAA Bill of Sale Form 8050-2 is often completed by the seller in duplicate or triplicate in case an error is made and the buyer must reapply to the FAA. By having the seller complete his portion of the form in duplicate or triplicate, including the N number and serial number of the aircraft, the buyer can make changes to his portion at the request of the FAA without having to contact the seller for additional signatures. The bill of sale form can be downloaded and printed from the FAA website.
Be sure to register the aircraft in the name of the organization that will own the plane. In equity clubs, the aircraft will be registered in the name of the LLC or corporation that operates the club.