Fractional Ownership Plans
Livtopia is uniquely positioned to offer many of the finest properties available through affordable and practical Fractional Ownership Plans.
Importantly, Fractional Ownership is nothing at all like a Time-Share.
A Time-Share agreement is similar to a lease and grants you access to and use of a given property for a set period of time. At the end of the contract, the purchaser’s priveleges are revoked. Livtopia does NOT sell Time-Shares and we don't recommend them.
Fractional Ownership has been used for about 20 years It's a method of dividing ownership of a given property into shares, and titling those shares such that the owner of each share gains free access and full use of the property for a predetermined but variable amount of time. In effect, you own an "undivided fractional fee simple interest," a titled share in the property, at about 1/8 the total cost of the property. You receive a deed to an interest in real property similar to the purchase of other real estate. The deed will evidence the Fractional Ownership Interest, e.g., a 1/8 undivided tenant in common ownership interest.
Typically a property is divided between some 6 to 10 shares. Share-holders will purchase between 1 and 3 shares thus receiving a commensurate share of property use. Each share is roughly the equivalent of 30 days use, with some months of the year left open for free use by any owner. High season shares, those that guarantee you access during the most sought after time of year, may command a higher price. Scheduling use of the property is handled by the same professional management company that will also clean and maintain the property.
Unlike in a Time-Share agreement, if the property appreciates in value, then so do the shares. And a shareholder who's grown particularly fond of the property or one whose usage needs change may buy or sell shares, exactly as with an individually owned property. It's the perfect way for members of an extended family to share and enjoy the same property safely and legally. An owner is able to resell, gift or will this fractional ownership interest in real estate, subject to an agreement with the other owners, similar to if it was a whole ownership interest in real estate.
This a very safe way to own a part of Vacation Home, and to fully enjoy it for a given period of time each year. Shareholders split maintenence and management fees, usually in accordance with a simple contractual agreement drawn up at the close of the sale.
Fractionally owned properties don't require you to go the extra step of forming a corporation to distribute the shares either. Purchasing shares in a title is just as easy as purchasing the full title, though you'll want expert advice along the way.
Fractionally owned properties also have a proven record of appreciation (value appreciates year after year). And you never have to worry about repairs, maintenance or housekeeping. Everything is included in the price and annual fees, and taken care of by a professional management company.
Livtopia will always let you know when one of the properties we offer is available as part of a Fractional Ownership package, but we are also specialists in brokering plans from the outset. In some cases, we can have the very first shares in a property issued to you and we'll assist every potential share-holder in the purchase process until the deal is closed.
Our Real Estate Tours and Free Weekends are the perfect opportunity to see some of the very best homes available on a Fractional Basis.
Remember, Fractional Ownership is still Full Ownership. Livtopia does not sell any Time-Share agreements.