For or Against Fractional Ownership: Examining the Pros and Cons
Published on Monday, October 26th, 2009
Once upon time fractional ownership was called timeshare and it was something that people were conned into and regretted, but in recent years timeshare has been vamped up and received celebrity endorsement and is now referred to as fractional ownership. However, is fractional ownership a good way to buy a property abroad or not?
Whether you’re for or against the concept of part owning a home overseas thanks to fractional ownership, we’re going to examine the pros and cons of this way of buying for you so that you can be armed with facts before you buy in or pooh pooh this concept altogether!
Tim Henman is the latest celebrity ‘face’ to be wheeled out and used to tout the benefits of fractional ownership because apparently he has bought into a development in France – but despite what the media (and property developers) think, we’re not all daft enough to be swayed by the power of celebrity. So, to get past some of the hype and fluff, read on to learn what is good and what is not so good about part owning a home overseas.
Despite the recent economic turmoil in the UK and across much of the rest of the world, many of us still maintain an interest in buying property abroad. It seems to be a British passion and a national weakness!
If you’re thinking about venturing abroad to make the most of weakened property prices and falling property markets in many international locations, we’re right there with you! Opportunities are abounding at the moment for the brave – and those with cash in their pocket. However, if you want to make a profitable venture abroad there are a whole handful of points to keep in mind.
The recession is leaving us all needing to do whatever we can to scrimp and save and avoid falling into (any more) debt. In order to save money people are cutting financial corners wherever they can, cutting back on essentials and even cutting out inessentials. However, there is actually a limit to how far you should go in terms of cutting out essential items such as insurance.
We Britons are famed for leaving our brains on the plane when we venture abroad to buy property – we lose all commonsense at the first sight of a sea view and are signing on the dotted line the minute a swimming pool is mentioned. And as a publisher that places a fair amount of emphasis on examining real estate prospects and opportunities abroad, we’ve heard more horror stories than most about people who have ventured forth and bought a home overseas without doing any homework.
The Chancellor’s announcement that higher rate taxpayers will soon lose 50% of their salary in income tax was greeted with disdain amongst many wealthy Britons. And not only are wealthy individuals leaving the UK as a result, but companies such as McDonald’s are moving their company base because they are very worried about the way the UK’s economy is headed.
With the news that the British pound is still holding strong in countries like Egypt, Tunisia and Turkey where interestingly property is still highly affordable too, many Britons are still actively contemplating buying a holiday home abroad as an alternative investment.
