There are similarities, in as much as the more fractions that are sold, the more it resembles a time share. Both can be bought as deeded properties (some time shares are also sold as club memberships instead of time in a specific unit), and can be rented out, shared with family and friends, sold or left to someone in a will.
The big differences between time shares and fractional ownership properties are prices, financing and fees. While time shares can be had for a few thousand dollars, fractional ownerships can run R300,000 or more. Fractional Title is also proving to be a good tool for investment whereas time share is not focussed on investment and the real cost of a unit sold for every week of the year usually represents a total value far in excess of the real value of the unit.
Fractional owners express a greater satisfaction in really owning their home as opposed to the impersonal and hands off time share ownership and management structures with their questionably high levies! There is far far greater control with fractional title in that the four owners (in a 25% structure) can easily agree to effect improvements etc.
Devler Estates does not charge extra fees or commissions for this service. The commission being charged is the same as it would be selling the whole property to one purchaser (i.e. 100% share). This is the main reason why Devler Estates does not sell small fractions of 10% or 15% as the amount of work involved in a sale is very substantial. In effect it is two, three, four or five sales that have to be made for the commission as one sale of a 100% share!
If Devler Estates is involved in the management of the property, (Western Cape area only) a separate management quote will be submitted.
Devler Estates may without notice withdraw certain properties off the market without prior notice. For this reason it is best to be in direct communication prior to getting your hopes high once you decide on a property.
Remember that this is still a new concept and a seller of a suitable property may only give a limited period to allow for the sale to a group of buyers to be structured. This group may at the time of listing the property may only partially exist so every listing has a time limit.
Please contact our office via email or telephone call and make an appointment, so a personal meeting can be arranged to discuss the concept more in detail and view selected properties.
You can register your initial interest to look at possibilities of group ownership simply by sending us an email to info@fractionalproperty.info