The average fractional home value we've seen on the market is between $1,000,000 and 1,500,000, with the average fractional value ranging from between $180,000 and $300,000 (depending on the number of fractions, which generally range between four and eight).
The reason that there is such a substantial opportunity for the fractionalization of vacation homes is because it can diversify the market as it relates to who can own vacation homes. Because these high-end properties can be purchased (through fractionals) for much less than traditional prices; the market becomes diversified because it begins to extend beyond the wealthy. Thus, opening the market to a larger segment!
For the real estate investor, never before in history has there been such an opportunity to take advantage of a 'perfect storm'. With the increase in foreclosures and real estate inventories on the MLS shooting up, one can find a great bargain price on a target property that can be fractionalized.
You can find a great real estate deal either thru a realtor or simply by calling for sale by owners yourself. For instance, wouldn't it be savvy to buy a million dollar home close to the beach for $700,000 and then sell it in five fractionals priced at $200,000? Heck, you can sell four fractionals at $200,000 to reap $800,000 and get your original investment back...and keep one fractional yourself for long term equity growth and rental revenue!
You can learn more by listening to our FREE Teleseminar or Audio Podcast on Fractional Real Estate Secrets by signing up at our website, http://www.fractionalrealestatesecrets.com.
Stay tuned for further great information on the trend secrets of the masters as we add more podcasts coming soon to a iTune station near you!
