Fractal and timeshares are different in several ways. In a traditional timeshare, you purchase the right to use a property for a set period of time each year, which is typically pre-determined and with limited flexibility for changes.
In contrast, with Fractal, you truly own a portion of a real estate asset, have more flexibility in booking the dates that work for you, and you have much more visibility should you want to sell your share in the future.
Additionally, unlike timeshares, which most often depreciate in value, Fractal allows you to keep any appreciation in value of the property over time.
Timeshares involve buying a time allocation, a specific week or weeks from a resort. This usually involves paying an upfront fee and then annual or monthly maintenance fees for the duration of the agreement.
Owners may also be required to pay additional fees for upgrades or exchange programs. Additionally, most timeshares come with deed restrictions that limit changes to the property, as well as restrictions on renting out or selling the unit.
The number of users in a single timeshare usually ranges between 26 to 52, depending on the length of stay.
Fractional Ownership / Co-ownership:
Fractional ownership in real estate is when multiple people buy a property together, and then share the costs of ownership, such as taxes, maintenance and general upkeep.
This allows individuals to access and enjoy the benefits of high-end assets at a fraction of the cost of outright ownership.
Each co-owner is entitled to use, enjoy and profit from the entire property. The rights and responsibilities of each co-owner are set out in a written operating agreement that outlines how decisions will be made, how expenses will be divided and how profits will be shared. The agreement also typically sets out the process for selling or transferring ownership of the property. Co-ownership can be beneficial for those who are unable to purchase a property on their own, allowing them to share the financial burden and benefit from shared resources and responsibility.
At Fractal, we have completely re-thought the concept of fractional ownership, taking care of the hassles and complexities that come with a co-ownership structure so that you as an owner can only focus on enjoying your home.
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