If you’re anything like me one of my favorite reading materials poolside is a local real estate magazine. Surrounded by beautiful properties and scenery I like to flip the pages looking for a dream deal. Then it appears,
“4 bedroom 3 bath ocean front view, newly remodeled, $2250000 for 25% ownership”….What’s that all about?
Unlike time shares that offer ownership with many others , fractional ownership usually has less owners per property
25% ownership allows 13 weeks of use
Other advantages may be:
- Accommodations are guaranteed at a favorite vacation destination
- Terms of the purchase are easier to negotiate with fewer owners
- You will have more input into the management of the property
- Selling may not be difficult
- Wear and tear on the property will be less with fewer owners
- Shared expenses are easy to manage
- You have an opportunity to invest in a property that may be out of your budget as a whole owner
- Properties are usually spacious high quality homes or in smaller resort complexes
- This is an option to consider when purchasing a second home if a fixed usage period is offered or a rotation that fits perfectly into your schedule.
- If you’re looking to feel more at home with each visit you will want to look at a property that is unit specific for each use.
- Find a great vacation home and purchase with family and friends
Since this type of ownership can be complicated and loaded up with stipulations the agreement to purchase or sell should be drafted by a Real Estate Professional or an attorney. With limited financing options a method of payment should be stated before executing an agreement.
Happy home buying and selling….
