Aircraft Diminution of Value Appraisals
Independent appraisals that measure the lasting loss in market value after an aircraft is damaged and repaired.
A Repaired Aircraft Isn't Always Worth What It Was
Once an aircraft has damage history, that history stays in its records and has to be disclosed to future buyers. Even after a proper repair, many buyers will pay less. The difference between the aircraft's value before the damage and its value after repair is its diminution of value.
A diminution of value appraisal puts a documented number on that loss. Owners use it to understand their position, sellers use it to price realistically, buyers use it to negotiate, and lenders use it to reassess collateral.
How We Appraise Diminution of Value
- Value before the damage event, based on comparable sales
- Value after repair, based on how the market prices similar damage history
- Severity, location, and type of damage
- Quality and documentation of the repair
- How sensitive buyers of that model are to damage history
Who Uses a Diminution of Value Appraisal
- Owners whose aircraft was damaged and repaired
- Sellers pricing an aircraft with damage history
- Buyers evaluating an aircraft with damage history
- Lenders reassessing collateral after a damage event
- Owners preparing to discuss a claim with an insurer
If the diminution of value is in dispute or headed to litigation, see Damage Analysis in our Expert Witness Services for analysis and testimony.
Desktop or Onsite Diminution of Value Appraisal
Every diminution of value appraisal is certified and can be relied on by insurers, lenders, and attorneys. Choose desktop or onsite:
| Certified appraisal option | How it fits this service |
|---|---|
| Desktop diminution of value appraisal | An early estimate based on repair records and market data |
| Onsite diminution of value appraisal | Inspection of the repair and logbooks when repair quality is a factor |
Your Appraiser: David Fisher, ASA
David Fisher is an ASA Senior Accredited Appraiser and FAA A&P mechanic with Inspection Authorization. He can evaluate the repair itself as well as its effect on market value.
Frequently Asked Questions
What is aircraft diminution of value?
It is the lasting loss in market value an aircraft carries after damage and repair, even when the repair meets standards. It's also called diminished value.
Does every damaged aircraft lose value?
Most do, but the amount varies widely with the severity and location of the damage, the quality of the repair, and how buyers of that model react to damage history.
Can a diminution of value appraisal be used for an insurance claim?
Yes. Whether diminution of value is recoverable depends on the policy and jurisdiction, but a documented appraisal is the starting point. For disputed claims, see our Insurance Matters and Damage Analysis services.
Need to Know What Damage Did to Your Aircraft's Value?
Tell us about the aircraft, the damage, and the repair.