SUMMIT COUNTY, COLORADO – Fractional ownership is probably the least understood asset class, and for some people provides the greatest return on their initial investment. When talking about fractional real estate in particular most people, even brokers, refer to it as ‘timeshare’. This is not the case and should not be treated as such.
Though timeshare does involve splitting the use of the asset between several individuals, the use of the asset is the only thing that is conveyed. The building, plane, or limosene is still owned by the company selling the service or use. One might even think of it as a ‘luxury club’ in which individuals are not directly responsible for the maintenance, financing, or taxes involved in direct ownership. When a person or entity purchases a fractionalized share of an asset the ownership is directly conveyed to the party.
The best example of this is in the case of real estate. Because a deed is recorded with the county assessor’s office, it is very clear that ownership in the property has been conveyed, and the responsibility for upkeep and taxes lie directly on the shoulders of the party making the purchase.
There are many reasons people choose fractional ownership over timeshare, and vise versa. With time shared assets the individual may have a need but do not require a long term commitment. Purchasers of timeshare often want to have a trial period to figure out if they are going to use their asset enough to justify the full investment. often with timeshares there is no appreciation.
A fractional asset has most of the benefits of owning a timeshare, with the exception that the asset can return a portion of their investment back to them upon resale. In the case of fractional resort real estate, the asset more often appreciates giving the owner a measurable return on their investment. With fractional real estate the asset can be leveraged and leins can be placed on the property in the same way one would leverage a whole ownership property. Please take some time to view the many fractional properties for sale in summit county at:
