Caribbean Fractional Ownership Properties

There was a recent study published Met Life, the Mature Market Institute of the 55 + housing market. The study focused on the analysis of 7 points, which were where 55 +homeowners live, the characteristics of their homes and communities, how satisfied they are with their homes,why this group of people may move, what motivates people to buy and rent, characteristics of new construction and how they have funded their new homes. The full report is available for download from the site MetLife.com.

The main conclusions are as follows -

- 2008-2009 revealed that new buyers are more focused on the importance of their financial situation than for the aesthetic reasons to buy a property, this shows people are more practical than in the previous survey.

- 55 + Most people do not live in areas that are occupied mostly in the same age.

- In 55+ communities the shares of households has remained stable, which may mean an increase in demand as time passes, the proportion of 55+ households grows.

- The reverse mortgage option has shown a slight increase within 55+ households (less than 1%), a reverse mortgage share has increased from year to year and was 8 times greater in 2009 than in 2001

Our company is one that has often quoted experts who see fractional ownership as a lifestyle choice. The results show 55 + buyers want a property that makes financial sense and they also want the a community environment and an investment, We at the Fractionals Market are here to help you make the right choices when considering FRACTIONAL OWNERSHIP HOUSES FOR SALE for an investment into the future.

It has been said in a recent post on a website called FLCondos.addblogme.com that interval property is also called Fractional Ownership. It is the preferred business in the Real Estate sector due to its use in the resort market which is very important for Fractional Real Estate in the Caribbean.

According to the blog, "If you take the prices for all fractions of a single unit you will arrive at the price for whole ownership. Experience has shown that developers are pricing these at 2 to 3-times the going market rate. It is like the difference between wholesale and retail. Anybody buying a fraction is paying retail rates, whereas full ownership buyers are paying wholesale rates.

"In Aspen $1,500 per square foot would be a reasonable rate for a good location wholly owned condo. Fractional properties can range from $2,500 to $4,000 per square foot on a full year ownership basis. As you can see the developer takes most of the appreciation potential in up-front profits. The owners cannot expect to see any significant appreciation any time soon.

"Real estate is unique in that you do not find two alike. Well, sometimes a condominium complex has more than one unit that is similar to others, but the owners have made them unique in their own ways by re-modeling and improving over time. The fractional units not only come in mass quantity, as every unit has 8 or so owners, they are also all uniformly in style. The fractional operator does not allow any divergence of the furnishings or finishes. What you get is a glut of equal offerings. Guess what, when it comes time to sell you compete with a whole range of completely uniform product and the only way you can compete is on price" (assuming more than one owner wanted to sell at the same time).

ISLAND FRACTIONAL PROPERTY is a good choice if you're looking to use the property for a percentage of the year for holidays, etc. and want fun in a resort you would not live in all year round. All buyers must also realize that fractional ownership is not going to make money in the short term, all real estate is cyclical and fractional ownership has become very popular worldwide and is used by owners in very resourceful ways. Therefore it may simply prove the author of the blog on FLCondo to be incorrect and may be a better investment than they think.

The nature of fractional ownership has different definitions - here are two definitions from different websites with different angles on fractional real estate. As a society, The Fractionals Market wants to make sure our clients fully understand what a fractional is as we maintain our honesty and service policy when handling FRACTIONAL OWNERSHIP HOUSES FOR SALE.

From Wikipedia:
"A fractional ownership program divides an expensive asset into percentage shares and sells those shares to individual owners. A fractional owner enjoys priorities and privileges, such as reduced rates, priority access on holidays and income sharing. Typically, a company manages the asset on behalf of the owners, who pay monthly/annual fees for the management plus variable (e.g. per-hour, per-day) use fees. For rapidly-depreciating assets, the management company may sell the asset and distribute the proceeds back to the owners, who can then claim a capital loss and optionally purchase a fraction of a new asset.

Whether fractional ownership provides a financial advantage over renting is an on-going debate, and some countries and regions have tax laws that provide additional benefits for owners, such as capital-loss allowances, while others might penalize ownership over renting."

From Money.cnn.com:
"The popularity of the term fractional ownership has caused extensive re-branding in other industries where similar concepts, such as real estate timeshares, were already well established. For example, Donald Trump offers fractional ownership of investment properties in New York City.

Fractional ownership divides a property into more affordable segments for individuals. A fractional share gives the owners certain privileges, such as a number of weeks when they can use the property. Oftentimes, the property is sold after a pre-determined time, distributing the relative proceeds back to the owners."

As noted above, fractional ownership is basically lifestyle choice, whether it is in your plans, maybe not now but in the future or if you have questions about any of the points raised in this article please contact the experts when looking at FRACTIONAL OWNERSHIP HOUSES FOR SALE, Thefractionsmarket.com - A Coldwell Banker associate.

The ownership of luxury ISLAND FRACTIONAL PROPERTY and private homes has become the focus of many real estate companies.

Out of all the island countries of the Atlantic and Caribbean, one real estate company stands head and shoulders above the rest:

Coldwell Banker Island Affiliates

We cover all the islands - Bermuda in the Atlantic, The Bahamas, The Turks and Caicos chain of Islands, Grand Cayman and Aruba in the southern Caribbean. St. Martin and St. Kitts and Nevis in the Eastern Caribbean, Dominican Republic, Jamaica and the United States and British Virgin Islands, our network of superior real estate agents continue to grow and dominate their markets.

Our niche is assisting people buy, sell or rent resort properties, vacation homes or permanent housing, and cover all major islands in the Atlantic and Caribbean. Furthermore, we see that the fractional ownership market is growing fast in most vacation areas around the world. In a continuous effort to provide excellent service to all sections of the real estate market, we have created this luxury fractional ownership website to promote fractional ownership properties around the world. Contact us, we guarantee results!

"There is a buyer for every property, but finding them is not always easy. It takes market analyzed pricing, professional presentation, and widespread promotion. Whether you own a small vacation condo or a two thousand acre development, our aggressive marketing and our relentless networking will give your property the exposure it needs. First we 'stage' your property, highlighting its positive aspects, then we go out and find that elusive buyer; no matter where they are.

It's what we do."

-JC Calhoun, President, Coldwell Banker Island Affiliates