What additional liability is associated with co-ownership ?
Real estate, either single buyer or co-ownership properties, has many commonly identified risks typically originating in the performance of the property, local/national market conditions, etc. The co-ownership properties offered by TREC are offered with non-recourse mortgage loans already in place when sold to TIC investors from a nationally prominent financial institution. Non-recourse commercial mortgage debt structures allow for the debt financing to be assumed by future buyers, so at sale, the buyers of fractional ownership properties or single ownership properties remove the current owners from any continued obligation to repay the loan.
