Fractional Properties Appeal to Overseas Property Investors in Recession Aftermath

In this slow-to-recover economy, fractional ownership—where several independent investors buy shares in a property—is expected to take off in 2010, according to many global real estate experts.
By: Fractional World Property
 
March 31, 2010 - PRLog -- Studies have shown that overseas property owners spend less than six weeks in their holiday homes a year. Depending on their investment percentage, fractional investors can enjoy more time at lower prices and at more luxurious properties than they would taking out a mortgage to buy a property outright. And unlike timeshare holders, fractional investors actually get a deed for their fraction of the property, allotting them a share in the property’s equity.

This relatively new way of owning property has caught the attention of investors and developers alike. Many experts agree that location will remain the top criteria for investors. Websites like FractionalWorld make it easy for investors to find top properties in hot spots like Tuscany, Spain and the Caribbean. These tourist destinations are popular with fractional investors not only for their beauty, but for also their low risk—prices in high demand regions are only expected to rise in the next few years.

Experts also say investors are looking for properties in areas that are short plane rides away from home. Brits, who make up a great percentage of the fractional investor market, tend to stay within four-hour plane distances, as holiday times get shorter and few prefer to spend the majority of their holiday in the air.

With the appeal of second home ownership diminishing, even the most traditional developers will complement resort ownership with fractional sales. Others, like the Villa il Palagio, have embraced the trend and gone completely fractional, offering six weeks in one, two or three bedroom apartments in the heart of Tuscany, starting at €49,000.

To find out more about fractional property opportunities, visit http://www.fractionalworld.co.uk and http://www.villailpalagio.eu - for a fractional property in Italy.

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Fractional World has been launched by Graeme Grant and Michael Coyle who have both been at the forefront of the Overseas Property industry since their major involvement in the hugely successful La Manga Club resort in Southern Spain in the early 1980s.
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Source:Fractional World Property
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Industry:Property, Real Estate, Travel
Location:London City - London, Greater - England
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