US Firm Offers Fractional Ownership Consulting Expertise
2010-07-16 14:48:00 by
Midwest Fractional Consultants, LLC is a Minneapolis, MN based firm specializing in Fractional real estate. The company provides consulting services, education and training to buyers and sellers interested in capitalizing on the benefits offered by fractional ownership, including:
*The vast increase in affordability for vacation or second homes
*Radical expansion of the pool of potential buyers
*Ability (unlike timeshares) for any owner to re-sell his fractional share through the MLS
*Spreading out the property's maintenance, property tax and upkeep expenses
*Retention of tax benefits associated with owning a second home
"Fractional ownership is an ideal way to make things like vacation homes suddenly very affordable," says Michael W. Peterson, Principal at Midwest Fractionals, "by dividing ownership in a given property into 4-12 individual shares. Then, a fractional usage schedule is created, which spells out which weeks of the year are deeded to each owner."
Peterson explains, "Fractional ownership solves a big problem for 'stuck' sellers and cost-conscious buyers. Fractional ownership enables buyers to get an increase in luxury for a lower price while sellers get an increase in price because there are more buyers."
To illustrate the impact of Fractional ownership, Peterson uses a hypothetical $350,000 vacation home. "If an individual buyer wants to acquire it by himself, he's faced with a $70,000 down payment and a monthly mortgage of over $1,600," he says. "But instead, if this hypothetical buyer takes a 20% Fractional ownership, he's looking at a $14,000 down payment and a mortgage of a little over $300 month to get 10 weeks of deeded ownership every year in the same property."
Midwest Fractionals provides comprehensive consulting services to developers, investors, banks, and builders, among others. The company's management has over 15 years' experience in real estate, including four years' direct involvement in the fractional industry for hotels, resorts and condominiums.
More information is available at Midwest Fractionals' website, www.midwestfractionals.com, or by calling (612) 435-2145.
(resource: press release, MarketWire.com)
*The vast increase in affordability for vacation or second homes
*Radical expansion of the pool of potential buyers
*Ability (unlike timeshares) for any owner to re-sell his fractional share through the MLS
*Spreading out the property's maintenance, property tax and upkeep expenses
*Retention of tax benefits associated with owning a second home
"Fractional ownership is an ideal way to make things like vacation homes suddenly very affordable," says Michael W. Peterson, Principal at Midwest Fractionals, "by dividing ownership in a given property into 4-12 individual shares. Then, a fractional usage schedule is created, which spells out which weeks of the year are deeded to each owner."
Peterson explains, "Fractional ownership solves a big problem for 'stuck' sellers and cost-conscious buyers. Fractional ownership enables buyers to get an increase in luxury for a lower price while sellers get an increase in price because there are more buyers."
To illustrate the impact of Fractional ownership, Peterson uses a hypothetical $350,000 vacation home. "If an individual buyer wants to acquire it by himself, he's faced with a $70,000 down payment and a monthly mortgage of over $1,600," he says. "But instead, if this hypothetical buyer takes a 20% Fractional ownership, he's looking at a $14,000 down payment and a mortgage of a little over $300 month to get 10 weeks of deeded ownership every year in the same property."
Midwest Fractionals provides comprehensive consulting services to developers, investors, banks, and builders, among others. The company's management has over 15 years' experience in real estate, including four years' direct involvement in the fractional industry for hotels, resorts and condominiums.
More information is available at Midwest Fractionals' website, www.midwestfractionals.com, or by calling (612) 435-2145.
(resource: press release, MarketWire.com)
