Are Fractional Shares For You?

Written by Leon Altman


Fractional shares (“fractionals”) are sometimes confused with other vacation property options, such as time shares and condo hotels. While there are similarities, there are a number of things that make fractional shares unique, and thus suited for a certain type of vacation property buyer.

Fractionals, also referred to as private residence clubs, are similar to condo hotels in that they can be put into a rental pool whenrepparttar owners are not usingrepparttar 142475 property. Also, fractionals are considered a second home purchase with interest and equity benefits that go along with ownership. But unlike a condo hotel, fractionals are typically luxurious private homes located inrepparttar 142476 most exclusive areas.

Although they are available in studio and one-bedroom units, most are larger with several bedrooms, family rooms, pools, decks and outdoor recreation areas, and a host of other features that make them exclusive properties. A fractional property would be out ofrepparttar 142477 price range of most individuals, but because ownership ofrepparttar 142478 home is divided between a small group of people, this upscale lifestyle becomes affordable.

Typically fractionals are split in 4 to 8 shares, which means that arranging time atrepparttar 142479 property is less competitive than other types of shared ownership properties. There is no requirement that you have contact withrepparttar 142480 other owners, but many do develop friendships or at least get to know each other at annual ownership meetings. How involved you want to be withrepparttar 142481 other owners is up to you.

Even those that could afford to purchase a million dollar vacation home may only be able to userepparttar 142482 property for a total of a month or two duringrepparttar 142483 year and might feel that it is not a wise investment. Fractionals allow owners to decide how often they want to userepparttar 142484 property, with packages ranging from two weeks to three months (not consecutively). Prices vary accordingly.

This is an ideal situation for those who enjoy staying at quality lodging when on vacation and prefer to put money toward their own investment, rather than putting that money intorepparttar 142485 pockets of a hotel chain or resort management firm. When you own a fractional, you can rent it out yourself or offer it to friends and other family members. And if you decide that you want to sell your share of ownership, you are free to do so at any time. Or you can will it to your children or other designee.

Fractionals first became popular inrepparttar 142486 posh ski resorts of Colorado and Utah and beach communities of California andrepparttar 142487 Caribbean but have spread to other areas ofrepparttar 142488 country, including Florida. In fact, fractionals arerepparttar 142489 fastest growing sector ofrepparttar 142490 timeshare industry, growing over three times faster thanrepparttar 142491 industry as a whole

One ofrepparttar 142492 reasons they are so popular is because since you purchase deeded ownership to your share ofrepparttar 142493 property, banks offer more favorable financing for fractionals than for other shared ownership options, often treating them as second home purchases. Because there are far fewer fractionals available than timeshares, their value tends to increase, making them a better bet for banks to finance.

Guide to Secured Personal Loans

Written by John Mussi


Here is a useful guide to secured personal loans. A secured personal loan isrepparttar generic term for a loan. A secured personal loan is when you take out a loan that is secured on your property.

A secured personal loan is secured against your home to act as security torepparttar 142474 lender forrepparttar 142475 money you have borrowed. A secured personal loan is often referred to as a homeowner loan.

Secured personal loans are an ideal solution for homeowners who have recently been refused a personal loan or for home owners wanting to borrow a larger loan amount.

The property you own is valued andrepparttar 142476 lender can then decide how much they are willing to loan you. A secured personal loan can sometimes berepparttar 142477 best option if you are looking for lower rates of interest, longer repayment lengths and own your home.

Secured personal loans are 'secured' onrepparttar 142478 assets ofrepparttar 142479 borrower. The most often used asset for a secured personal loan isrepparttar 142480 borrower's home. In some cases lenders may allowrepparttar 142481 loan to be secured against other items of value. Becauserepparttar 142482 lender has security,repparttar 142483 interest rate (APR) offered is usually lower than for unsecured loans, but rates can vary greatly depending on individual circumstances. Secured personal loans offer lower interest rates, due torepparttar 142484 lower risk that is being taken on byrepparttar 142485 loan company.

So, why do people take out secured personal loans? Well, firstly you may want to borrow money in order to increase your home's value by making improvements to your home. Others may take on a debt consolidation loan, which means that you take on a large loan for a long period, which pays, off your other loans and credit cards and you end up paying a smaller monthly payment than you were paying with all of your other loans together.

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