Today I read that high air fares are likely to go higher still and remain elevated until perhaps 2029.
There is not only a continued shortage of air crews, but also a shortage of airliners. Many airliners were mothballed during Covid – and some airlines have decided not to resume flying some of their older aircraft. Many may require a fair amount of maintenance and upgrade work – and doing this for old aircraft that were expected to be replaced may not make sense.
The major aircraft manufacturers – Airbus and Boeing – have not delivered new aircraft on time due to supply chain issues caused by public health restrictions. Analysts think it will not be until 2029 when the new aircraft deliveries are all caught up.
Finally, there is huge pent-up demand for international air travel, again due to public health restrictions (which accomplished little, if anything). China announced in the past day that they are removing international travel restrictions and re-opening the country to travel, starting January 8th. Notably, this means that China residents will now be able to travel internationally again. According to the reports, China residents are already booking flights – and this will be more demand on international travel and destinations.
The result is that high air fares are here to stay for years to come. Some news reports say that air travel will once again but a luxury for the well to do.
To deal with that, it may mean we need to consider longer trips, to leverage the high air fares.
And this is where this gets a little more expensive for older travelers too.
When young, the odds favor that you are a renter. If you want to go travel for 3 months, you pack away your stuff in storage or at a family member or friend’s house – and go travel.
If an adult, say 55+ – the odds strongly favor that you own your own home. You may have still have your mortgage to pay off. Traveling for 3 months means you are now paying twice for accommodation – still paying for your own home while paying for temporary hotels or extended stay residences while traveling. Plus, you’ll likely have to pay additional costs – like hiring a gardener to maintain the yard while away.
This becomes yet another reason to travel when young – do not be an idiot like me and postpone travel to late in life, or to a time where the world is no longer stable (e.g., wars).
It makes no sense whatsoever to postpone travel until late in life.