It’s tangible, it’s solid, it’s beautiful. It’s artistic from my standpoint, I just love real estate.
Donald Trump

Fractional property is the new and exciting way to think about property investment. Within these pages we hope to answer all your questions relating to the topic. For any further questions or information requests, please contact us via email at info@fractionsa.co.za

Richard Santulli, founder of US Company, Netjets is accredited with the idea. It made no sense to own a business jet on your own if you were not going to use it all the time. It was more sensible to own it together with co-owners who shared the time that the jet was used and the expenses. Warren Buffet eventually bought out the company.

In South Africa, fractional property ownership has become an attractive proposition in the real estate industry. To give a simple example, if you live in Johannesburg and you own a holiday house in Plettenberg Bay which you only use for three weeks in the year, why not sell “fractions” in the house.

In this way, for example, four people could own the house and each co-owner would own a quarter undivided share in the property. The four co-owners would then agree to share expenses. Each co-owner’s share would be registered in the deeds office and would receive a title deed.

Each co-owner would enter into a use and occupation agreement which regulated their rights and obligations (the essential terms of an use and occupation agreement and other written agreements are set out in the folder marked “legal agreements”).

Internationally fractional property has become common practice in America and Europe and it is common practice to also obtain finance for fractional shares.

There clearly is a huge market demand for fractional property in South Africa as is evident from the various advertisements marketing fractional property.