Tell us your fractional requirements
In recent years, fractional ownership has started to solidify itself in the luxury property industry due to two major advantages – investment opportunity and luxury lifestyle.
One of the major problems with using fractional ownership for jets and yachts was that even though individuals were paying less to use their vehicles for the same period of time, they were still losing money. Purchasing a yacht is not an investment; it’s a lifestyle item but selling it (or selling the fraction that you own) in the future is probably not going to make a profit.
When dealing with property, this is no longer the case.
Luxury property, especially if it’s located in a desirable area, usually appreciates over time instead of depreciating. Suddenly, the fraction that you buy for your own personal use isn’t just a vanity project but is a good investment. It’s possible to sell your individual fraction of the property in the future after the property’s value has increased, making a net profit on your purchase.
Another notable advantage is that for most people, living in the luxurious penthouse suite of a glamorous London skyscraper is an impossibility. However, through fractional ownership, it’s possible to obtain this, albeit for a few weeks per year. Instead of paying millions to buy the suite outright, you can invest less to stay in the property for a few weeks per year, treating it almost like a holiday home. This is a major draw for those who want to invest in property but also like the idea of experiencing a luxury lifestyle.
Here are some easy to absorb steps surrounding fractional ownership for properties.
The first stage of the fractional ownership journey is locating a property you would like to invest in. Most real estate is not available for fractional ownership; instead, organisations like us here at London Fractions advertise and manage fractional ownership properties independently.
Our properties are split into twelfths, so the lowest fraction you can purchase is approximately 8% of the property or four weeks per year. Consider your budget and keep in mind the duration of time that you will want to use the property for per year to ensure that you’re making the most of your money.
After deciding that you want to purchase a fraction of a property, we come in to handle the legal parts. We create a new limited company which purchases the property on behalf of the fractional owners, then each fractional owner is listed as a shareholder of the company. This gives each owner individual rights over the property, whilst simultaneously allowing them to sell their fraction freely without impacting the other fractional owners.
After making your investment, you can now reserve your time per year in your property. Maintenance fees are charged based on the fraction of the property that you own and use, whilst we address the reservation and cleanliness needs of the property itself.
A portfolio of beautifully luxurious and modern properties in London showcasing the stunning city views
Luxury properties in prime locations around London, just short distances from many attractions within the city
Purchase fractions of your ideal property, benefit from capital appreciation and a strong return on investment
London Fractions remains focused to deliver a robust, proactive fractional property service, growing our reputation to clients worldwide and developing a progressive commercial business network and culture. London Fractions was formed to provide a unique intelligent property ownership option within London, U.K, to a global consumer base who seek a flexible and cost-effective alternative to a second home ownership. London Fractions pursues to capitalize upon the world-wide interest in fractional property ownership as consumers continue to become increasingly aware of its many benefits over whole ownership. Education to consumers is key, ensuring that all options for purchasing a property are clearly visible and understood. Whilst fractional property ownership is growing in popularity throughout the world, there was a gap in the London market which we, London Fractions, has now filled.