Most of the world’s truly special vacation spots are few and far between. With an ever increasing population and no chance of “growing” any more scenic spots, the ability to enjoy these places is the privilege of far too few of us. That’s why we love the idea of fractional ownership: it allows a larger segment of the population to experience and enjoy these special places.
From a financial perspective, fractional ownership just makes sense. In fact, we believe it’s the way vacation real estate will be owned in the future. And we’re not alone in this belief. Last year, total sales volume for the fractional vacation ownership industry was over $2.1 billion. That’s a 74% increase in sales between 2004 and 2006.
Here’s why it’s so popular: Fractional vacation ownership dramatically cuts the costs — and the hassles — of owning a second home.
Plus, it allows you to get a bigger house, in a better location, with more amenities than would be possible with single ownership. And yet the basics of fractional real estate ownership are the same as owning a home outright. In both cases:
- You own a “fee simple” deeded interest in the real estate, unlike a time share.
- As the property appreciates over time, you recognize the increased value.
- The home can be financed with a mortgage.
- The home can be passed down to your kids.
- The home can be sold by any local realtor on the secondary market.
- It’s a place where your family’s memories can be made.
So what’s the difference between fractional and single ownership? It’s all about the details. The average owner of a second home only spends an average of 30 days a year there, even though they own it outright. But fractional ownership gives you the value, equity, tax savings and aesthetic benefits of a second home without the expense of feeding it while it sits vacant. Plus, we take care of all the hassles for you. Redside will handle all the cleaning, maintenance, budgeting and scheduling. We’ll also handle all communication with the other owners. All you have to do is show up and have fun in your luxurious vacation home.
Redside is currently developing a 3,200 square foot luxury fractional vacation home located in Netarts, Oregon. If you’d like updates on this and future fractional vacation home offerings, just click here to REGISTER FOR MORE INFO and we’ll let you know what’s happening.
