Shared Ownership Opportunity
How would you like to own a sizeable equity share in a brand new solid stone property with a beautiful swimming pool and set in its own private grounds, get to use it throughout the year and also enjoy rental income from it. All this and pay only a little over €100,000 for the privilege.
A number of people have expressed an interest in owning a 'share' of a property and therefore we are looking in to the possibility of making some of our houses available on this basis to interested parties.
How would it work? Scenario 1.
The ownership of the house would be divided amongst a maximum of four separate owners and be purchased fully complete and furnished on this basis. Each owner could own as many '1/4' shares as they wished to purchase, giving them the benefit of more use if required. But for the purposes of this example lets assume each owner has an even split of shares.
The property management company retains ownership of 10%
Investor 1. 22.5%
Investor 2. 22.5%
Investor 3. 22.5%
Investor 4. 22.5%
As a share owner each investor is then allocated a certain number of weeks of use throughout the year, a number in the peak season, a number mid season and a number in low season, all evenly divided amongst the owners. The first investor in the first year has first choice of these dates but then in the following and subsequent year this priority would move to the next investor and then the next and so on.
Each owner can choose to either use the dates themselves, swap with another investor, or rent out the property and receive rental income. The management of the allocation of dates, the rental, the maintenance and upkeep would all be handled by the management company, for which an agreed fee would be payable.
The advantages to the investor are as follows;
- All the benefits of ownership but without the annual commitment and cost normally incurred
- Ownership and use of a property that would perhaps otherwise be out of financial reach
- Immediate use (no lenghtly planning or restoration project delays)
- Rental income without the headaches normally associated with renting property
- Actual equity ownership of the property therefore benefiting from price from increases
- All you need to do for your allocated weeks is to turn up and relax
- No concerns over maintaining or managing a second home
This is a very quick overview of how the shared ownership scheme would work but if you are interested in the concept of shared ownership and would like to know more then please fill in the form below and we will get back in touch with you shortly.
