Aviation inflation rate

[ArtVandelay]

Social Security administration just announced SS is going up 2.8%, they based this on the prices of Apples (whether that’s the kind you eat or the kind with batteries is unclear to me )

Anyhow, in the aviation world; pre covid T hangar rate for my home airport was $400, it’s been steadily rising, but this year is a new record, a whopping 75% increase putting new rate to $1063.

[LANCECASPER]

47 minutes ago, ArtVandelay said:

Anyhow, in the aviation world; pre covid T hangar rate for my home airport was $400, it’s been steadily rising, but this year is a new record, a whopping 75% increase putting new rate to $1063.

Doesn't make it any easier to accept, but that's probably more a "supply and demand" situation than inflation.

[1980Mooney]

2 hours ago, ArtVandelay said:

 

Social Security administration just announced SS is going up 2.8%, they based this on the prices of Apples (whether that’s the kind you eat or the kind with batteries is unclear to me )

Anyhow, in the aviation world; pre covid T hangar rate for my home airport was $400, it’s been steadily rising, but this year is a new record, a whopping 75% increase putting new rate to $1063.

 

Is your hanger owned by a city/county or is it owned by an FBO that’s been consolidated by private equity?  Regardless, it sounds similar to what Hartzell  has done with product pricing. And now Mooney – across the board 30% price increase… 

[Marc_B]

I put these squarely in a volume available vs customer demand category. Same as V-band clamps. Prices rose cause they could.

But as fewer and fewer resources are put towards GA, the number of these items and prices will continue to rise. 

[TaildraggerPilot]

5 hours ago, ArtVandelay said:

 

Social Security administration just announced SS is going up 2.8%, they based this on the prices of Apples (whether that’s the kind you eat or the kind with batteries is unclear to me )

Anyhow, in the aviation world; pre covid T hangar rate for my home airport was $400, it’s been steadily rising, but this year is a new record, a whopping 75% increase putting new rate to $1063.

 

You might want to check with the status of any FAA grants to your airport. They can sway fees such as tie-down’s and hangars. 

[ArtVandelay]

Is your hanger owned by a city/county or is it owned by an FBO that’s been consolidated by private equity?  Regardless, it sounds similar to what Hartzell  has done with product pricing. And now Mooney – across the board 30% price increase… 

Privately owned.

[ArtVandelay]

You might want to check with the status of any FAA grants to your airport. They can sway fees such as tie-down’s and hangars. 

I’m leaving, my next door neighbor is also leaving. Small sample size, but that’s 2 for 2.

[1980Mooney]

10 hours ago, ArtVandelay said:

Privately owned.

Capitalism at work….

[Ragsf15e]

Just got the tax valuation for my hangar.  It’s a T hanger, concrete floor, enclosed, rolling door in a line of 20.  Pretty good, but just electrical, no heat.  Oh, and the ground lease expires in ~3.5 years, so the airport can take it from us then.  In 2023 it was valued at $40k.  Last year, $68k.  This year $80k.  So it doubled in value in 2 years?  That’s only the building too, the airport keeps the land.  I can’t wait to see what they want to charge us to rent it from them when they take them!  I don’t have high hopes for a lease extension.

[Pinecone]

Yeap, prices double for most everything, and the CPI goes up by single digits.  REALLY????

 

[Thedude]

On 10/27/2025 at 1:20 PM, Pinecone said:

Yeap, prices double for most everything, and the CPI goes up by single digits.  REALLY????

 

CPI measures a lot of things that may be skewing it. In my personal experience, there is currently very noticeable inflation for day to day life. 

[Pinecone]

Well, part of the issue is in the 90s, they removed fuel and food from the index.  WTF?!

 

[philiplane]

On 10/25/2025 at 8:36 AM, LANCECASPER said:

Doesn't make it any easier to accept, but that's probably more a "supply and demand" situation than inflation.

In South Florida, it's due to monopolistic practices. The main player sets rental rates based on "market rates", which is laughable, They ARE the market. 

And for $1450 a month, up from $900 just four months ago, you get a 50 year old rusty metal box with roof leaks, no insulation, substandard electrical, rolling doors that fall off the tracks, and more. Oddly, there are brand new Cat 3 hurricane rated hangars that rent for less money nearby. But that airport is one of the few that doesn't have the big players running things. 

The game plan is to jack prices to drive out the little guys, and then claim there's no demand for tee hangars. Then they demolish them, and put up large jet hangars. The cities are all onboard with this, because they get a cut of the fuel sales. And they'll sell a lot more fuel to a Global Express than to a Mooney M20C.

And after the crazy rate increases, there is more turn over, and more empty hangars. Many tenants are still at the airports, but they've out on the ramp now. So it's not really true supply and demand. It's extortion, using our tax dollar supported airports against us.

Edited Thursday at 03:10 PM by philiplane

[Jackk]

You expect the same fed that caused inflation to admit to how bad it is??    Really?

[Schllc]

1 hour ago, Pinecone said:

Well, part of the issue is in the 90s, they removed fuel and food from the index.  WTF?!

 

that should be all that is measured....

[Schllc]

1 hour ago, philiplane said:

In South Florida, it's due to monopolistic practices. The main player sets rental rates based on "market rates", which is laughable, They ARE the market. 

And for $1450 a month, up from $900 just four months ago, you get a 50 year old rusty metal box with roof leaks, no insulation, substandard electrical, rolling doors that fall off the tracks, and more. Oddly, there are brand new Cat 3 hurricane rated hangars that rent for less money nearby. But that airport is one of the few that doesn't have the big players running things. 

The game plan is to jack prices to drive out the little guys, and then claim there's no demand for tee hangars. Then they demolish them, and put up large jet hangars. The cities are all onboard with this, because they get a cut of the fuel sales. And they'll sell a lot more fuel to a Global Express than to a Mooney M20C.

And after the crazy rate increases, there is more turn over, and more empty hangars. Many tenants are still at the airports, but they've out on the ramp now. So it's not really true supply and demand. It's extortion, using our tax dollar supported airports against us.

yes, that is what is happening at our airport with rent.  The claim that they aren't market rates is somehwat of a canard.  the metal boxes were built for 35k 50 years ago, and the land and hangar was built with taxpayer money.  The base cost to build and maintain should set the market for a public owned product, not as much as you can get.

we are seeing 20% increases in rent yearly 5 years running

[Pinecone]

20 hours ago, Schllc said:

that should be all that is measured....

And housing costs

[PBones]

That is a horrible increase! I know hangars are in demand, I am on two waiting lists! Problem for most public airports, especially county owned, they dont know how to make money beyond fuel and storage. They do not want to invest in more hangars, so the ones they have become the "limited supply" for the "big demand". 

Unfortunately as I have been told over and over: Flying = Big Bucks  

Sad but True

[WilliamR]

On 10/30/2025 at 10:44 AM, Pinecone said:

Well, part of the issue is in the 90s, they removed fuel and food from the index.  WTF?!

 

Someone must have slept through Econ 101. This comment is simply not true. Core CPI which is what you are referring to was created in the 70's. Headline CPI or Headline Inflation includes food and fuel and is also measured monthly like Core. I see why people are confused this past week as both rates were the same, but that's just a rare coincidence. 

If you're focused on parts prices I would look at Core CPI and just goods, not services. Services late last summer was almost double goods. So, a little bit of parsing of data is helpful. 

I'm more of a PPI guy myself, but that's just me, Jerome Powell, and the rest of the Fed board. PPI cuts out a little bit of the noise. For work, I'm less focused on retail consumers and more focused sellers/producers/service providers which aligns better with PPI.

In my personal life, I focus more on Core CPI as I am not sensitive to volatile food or fuel prices.

Side note: Hangar supply is very often a permitting issue on the very broad whole (as someone who lends to FBOs). At some airports the environmental studies are eyewateringly long and expensive (having read a few, I think any dufus could write one). There's a reason why the large FBOs don't do a lot of greenfield development.

One thing is for sure, this hobby or whatever you call it won't get cheaper.

 

[WilliamR]

8 hours ago, Pinecone said:

And housing costs

Sorry, housing costs are included. See the BLS website. I go there occasionally. It's stimulating reading.

https://www.bls.gov/cpi/factsheets/owners-equivalent-rent-and-rent.htm

[1980Mooney]

I noted on the LASAR topic that Mooney/LASAR got wing fuel sight gauge capsules back in stock.  The LASAR price is up 43% from what Maxwell what selling them for 2 years ago.  And a 272% markup over what Rochester sells the same exact gauge capsule for on Amazon (without the Mooney fuel marks).

But it's good to know that we are being told that inflation is only 3% here nowadays......

 

 

[Pinecone]

The question that can't be answered was how big with the orders that had each one made?  We know the latest ones was an order of 25, but unless the one from Maxwell was also a small order, the prices can't be compared directly.