What is fractional property ownership ?
Fractional ownership simply means the division of an asset into shares. If the “asset” is a property, the title or deed can be legally divided into shares. Those shares can then be purchased and owned by more than one individual. Shared ownership of the property and its deed will also entitle shareholders to certain usage rights, usually in the form of weeks. Fractional ownership can be structured in many different ways, normally goes from 1/4 (13 weeks usage & 25% title) to 1/12th (4 weeks usage & 8.33% title), for example: A property fractionalised into 5 equal shares: Each share (of 20%) will enable the shareholders to use 10 weeks each per year (with the remaining 2 weeks being utilised for renovations, repairs and re-decoration etc). Each owner of a 1/5 fractional share would be able to sell their 20% of the property when they chose, independently of the other 4 owners. If the value of the property has increased during their ownership period, then it is fair to assume their 20% sh
