| Greater Profits / No Discounting |
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Fractional home conversion adds MORE VALUE to a vacation home. With a traditional home listing in a declining or stagnant market, traditional thinking held that the only way to get a potential buyer to “pull the trigger” was to discount the price until the home was appealing enough to purchase. That is no longer the only option open to home sellers. Now, with the ability to offer a fractional ownership option, buyers can be found not by lowering the total price, but instead by lowering the individual buyer’s entry price. When you make the home more affordable, buyers will be easier to find. What this means to the seller is that they no longer have to discount the price and take less than asking. Instead, they can offer a fractional ownership option that simply divides the asking price by the number of fractional buyers (plus a small premium to cover fractional conversion costs). In an upward trending market, the seller may actually have the option of adding a premium to the sales price for additional profit. The end result is that the seller does not have to discount the price and buyers get ownership in a home that they otherwise could not afford. Fractional conversion creates a win-win!
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