Is Fractional Ownership High Risk?
When we do anything in life we expose ourselves to risks. Walking down the street, driving your car, even staying in bed for the day all have associated risks. Understanding the risks associated with any decision is important because it enables you to make informed choices. Buying Expensive Assets Outright Has its Own Risks When we make any major purchase we expose ourselves to some form of financial risk – we may not be able to afford the upkeep of the asset or a mortgage on it (due to changes in employment etc.), the resale value may be poor, purchasing may have been less cost-effective than renting/leasing etc. But how is the risk equation altered when you decide to buy into a fractional ownership scheme rather than buying an asset outright? Fractional Ownership Risks Firstly, one of the major risks is reduced – you should be less financially stretched because you have bough a part of an asset appropriate to your requirements rather than paying the whole cost. If you buy into a synd
