About Ryan Dickens Expertise I am a licensed Realtor in the state of Colorado and can help with any questions regarding real estate. I am particular knowledgeable about vacation and second homes in the booming Crested Butte economy.
Expert: Ryan Dickens Date: 3/28/2006 Subject: Selling Property Shares
Question Hey Ryan. I was wondering if you know how I could buy a piece of property say for $100,000, and sell shares to 5 people at $25,000 a piece. In the end I'd make a profit of $25,000. They would all own the property free and clear, and would have to arrange their own times to occupy the vacation property. I know this is like a time share, but I'm not selling time, I would be selling the property to 5 owners. Would this work?
Answer Hello,
Yes and no.
First, it depends on your state laws.
Second, you need to decide if you want to sell a fractional ownership, a time share, or a shares of a corportation. You will need to discuss these with an attorney.
Fractional ownerships you are giving each Buyer a deed for their share. A time share you are simply selling time, but in most cases you retain the deed. For a corportaion, you could most likely set up a corprtion and sell shares to each of the Buyers and they are most likely to work out their usage. All of these options should be discussed with an attorney and he or she can assist with all of the paperwork.
I hope this helps.
