April 10, 2009

What is fractional ownership?

There is lot of talk about fractional ownership these days, it is like a timeshare for property owners who can buy a place in London that would normally be out of their reach, but at the same time, the owners share the costs.

However, what does fractional ownership mean? Below are the main points that make fractional ownership attractive or not depending on the potential purchaser’s point of view.

PURCHASE PRICE
REDUCED RUNNING COSTS
TAILORED USAGE
LESS COMMITMENT
LESS EXPOSURE TO INTERNATIONAL MARKETS AWAY FROM HOME
LESS HASSLE
INVESTMENT
EASY ENTRY
SUPERIOR PROPERTY OWNERSHIP

You would have to think that this type of property ownership has its benefits. Nevertheless, at the same could be a risky venture if the proper precautions have not been made by the investor.

Source [London Fractional Ownership]