With the economy being what it is, many people have learned to make better financial decisions both big and small.  This is especially true for those individuals looking at real estate.  Falling prices and better mortgages are certainly out there for the ardent buyer however many people have began looking at real estate in a whole new way as of late.

The term “fractional real estate” is a new term to many but we at Desert Quarters have found that the verbiage is quickly becoming synonymous with real estate buyers.  That’s because owners of fractional property share ownership of a home, usually with several other parties.  This makes owning a home, especially those used for vacations, get-a-way’s, and holidays easy to own and even maintain.

Though many buyers initially believe fractional ownership to be very similar to a time share, they quickly find that there are some big differences.  Fractional ownership of any home gives you full access to that home for a predetermined and for a longer period of time that you would receive through a time share.  Whereas you’re paying for a specific amount of time when dealing with time shares, you buy and maintain partial ownership of a property when you buy into fraction property.  Additionally your share can be sold to another party at any time just as you would if you owned the entire home.

Fractional real estate has become popular because it makes owning a home more affordable yet at the same time it negates many of the hardships that come with owning a home on your own.  Moreover buyers are considering fractional real estate because it allows them to buy into a home that’s not tied to a tourist strip or location but rather one that’s located in your everyday average neighborhood.

With so many advantages to owning a fraction of a home rather than owning one outright it’s not hard to see why this type of real estate has become so popular.  Should you have any questions about fractional real estate please contact Desert Quarters for more information!  You may reach them both via email and by telephone at (716) 909-8624.

In today’s real estate market both buyers and sellers are remain apprehensive about the purchase and the selling of a home.  Sellers often fear that they won’t receive full market value and in some cases, a fair price for their home. Conversely buyers often hold out for lower prices or a better mortgage further frustrating today’s sellers.  Despite a downtrodden market there are some people who have begun to turn their attention to fractional ownerships.

Fractional real estate is one of the hottest growing trends in the market of today and offers those looking for a home the many benefits of ownership, all the while dividing the costs and responsibilities of ownership between several different parties.  These types of benefits have made fractional real estate especially popular with those interested in vacation homes but remain apprehensive about purchasing such a home.

A fractional home owner allows persons access to the home at predetermined times while still retaining partial ownership over the home, as opposed to a time share where individuals own units of time.  Additionally as property values increase so do the individual shares of each owner and should the owners of such properties decide to sell their fraction of the home they may do so at any time without penalty.

At Desert Quarters we specialize in helping those interested in fractional homes turn their fractional desires into realities.  With so much uncertainty in today’s market many people are surprised when they first learn about the benefits of fractional real estate.  These same people are also turning to fractional ownership so that they may enjoy the benefits of home ownership without having to deal with all of the costs on their own.

Should you have inquiries regarding fractional real estate please contact us so that we may assist you further.

The city of Las Vegas has an allure that’s nearly unmatched by any other city.  Not only are Las Vegas and its famous Strip world renowned tourist destinations but the city is also an ideal location for those looking to live and vacation in luxurious style. Las Vegas is frequented by not only families and individuals looking for fun but by people who expect the best and are willing to pay for it.  For the latter, Las Vegas is more than merely a place to gamble but is instead a place where they come to relax and take advantage of the naturally sumptuous amenities the city offers.

At Desert Quarters we understand and appreciate your desire to vacation in high style and so we are proud to announce that we will soon be offering those looking for such a lifestyle, shared ownership in a Penthouse which is located within the extravagant Panorama towers in Las Vegas.  This Penthouse which is located on the 33rd floor is 3457 square feet and offers spectacular views of the city which can be viewed comfortably above and away from the busy streets below.  This Penthouse carries with it a number of amenities all of which have been designed to attract those who live an elite lifestyle and those who want the very best regardless of where they may be.  These amenities include…

• 2 Master Suites
• 2 Master Bath Suites
• 2 Balconies
• His And Her Walk In Closets
• Dining Room

These amenities as well as the Penthouse location allow you to live the natural decedent lifestyle that Las Vegas offers to its visitors.  Whether or not you own vacation property in Las Vegas, you owe it to yourself to; at the very least consider owning a fraction of this Penthouse. Owners of this property can also expect to receive luxury concierge services which will help compliment your already comfortable lifestyle.  If you’re looking for elegant, stylish, and an affluent vacation lifestyle Las Vegas and this Penthouse will not disappoint.

The fractions of this Penthouse will be sold off in 1/6 shares and the price per share will be $619900.00.  Those interested in owning a portion of this Penthouse should contact Felipe Crook at 702-683-2169 or email Desert Quarters for additional information.  Once the Penthouse enters the market it will likely not remain on the market for long so doesn’t wait!

With today’s inconsistent and sometimes stagnant real estate market the priorities of both homeowners and sellers has changed a great deal.  In today’s market it is difficult for home owners to sell their home for its true value while buyers often hold out for a lower price which further devalues many a home.  Even those buyers who target vacation properties have become much more conservative with their finances as the costs of maintaining such properties and dealing with a deficient number of prospective renters has made would be owners wary of owning such a property in these troubled economic times.

Those who are on the verge of owning a vacation home but are finding it difficult to part with their capital can take comfort in knowing that there is indeed an option available to owners of vacation properties that will allow them to retain the benefits of ownership, all the while reaping the benefits of a seller.  This involves converting your vacation home into a fractional property. Fractionalizing your vacation home will allow you to capitalize on the appreciation your home has accumulated over the years all the while allowing you to retain partial ownership of the property.  Additionally, selling off fractions of a vacation home, may allow an owner to pay down or even pay off the loan they originally took out for purchase of the home.  Furthermore those who fractionalize their vacation homes continually enjoy the benefits of home ownership while reducing their annual costs by as much as 90%.  With all of these benefits available to vacation home owners many have begun fractionalizing their properties.

Should you be interested in fractionalizing your vacation home, Cobblestone Design Group can assist you in a variety of ways.

• Home Evaluation:  Our interior designers will come to your home and assess whether or not the interior of the home will meet the standards of prospective buyers.  If for some reason the interior of your home does not meet those standards, our designers will advise you on what it is you need to meet the standards of today’s fastidious buyers.
   
• Property Location:  Location is everything in real estate and when dealing with vacation homes it rings even truer.  While assessing your vacation home, our team of professionals will help you determine the value of your property by taking into account the number of tourist attractions in your home’s immediate area, the popularity of the neighborhood your home resides in, and how many different seasons tourists frequent the area in which your home is located.  Of course the more frequently vacationers visit the area your home resides in the more attractive and valuable your home becomes.  If your vacation home is in a more secluded area however and its community doesn’t offer as much as other vacations spots might our team will develop strategies that make your home more attractive to those interested in owning a fraction of a vacation home.
   
• Legal Evaluation:  Any time you’re dealing with real estate it’s a good idea to have all your bases covered, especially your legal bases, so that you know where you stand and what you can and can not do.  At Cobblestone we understand how intimidating and perplexing the legal side of real estate can be.  We therefore hire a real estate lawyer for you so that meeting all local and state regulations isn’t something you’ll have to worry about.
   
• Property Presentation: In the majority of scenarios we only get one chance to make a first impression.  This is especially true when you’re trying to entice buyers into purchasing a fraction of your vacation home.  Our team of professionals will not only assess your home but will assist with any remodeling that needs to take place.  We put a heavy emphasis on the things that make a home feel comfortable so that your home becomes even more attractive that it may initially be.  Amenities such as luxury linens, kitchen supplies, high-speed Internet access, and even top notch landscaping are all items we make sure to include should your home not already possess such amenities.
   

Create a Fractional Use Plan:  As fractional real estate experts, we assist all of our clients in developing a plan that allows all owners of a fraction property to benefit equally and fairly.  Our clients may choose one of two options when creating a plan with us.  The first option involves us bringing in a management team that specializes in fractional properties.  The second option involves bringing in a real estate agent though we encourage our clients to choose the first option as the majority of real estate agents possess little knowledge of fractions properties and more often than not do not comprehend or embrace the concept.

Should you have any questions about fractional real estate or should you be interested in either selling or buying fractional real estate please contact us so that might assist you! For additional information about fractional properties you may also visit Desert Quarters. We have the experience and knowledge to give you a turn key fractional development you will enjoy for years to come.

Over the past couple of years I have had the pleasure of speaking to hundreds of Brokers and Realtors across the country about fractional vacation homes. It seems none of them has too much of an interest in fractional vacation homes.Being in the Construction and development business for over 20 years I too for the longest time was hesitant or downright resistant to new ideas. As I grow older and look back and see some of the innovations that have taken place in the industry, I can say some have worked and some did not. I think one of the biggest changes I’ve seen is the introduction of Home Depot. In 1989, Home Depot opened its 100^th.h store, and the way lumber was sold started to change drastically. When I first went into Home Depot I was shocked at what they had, it was so large that I figured most people would still prefer to deal with the smaller local lumber yards. But soon more people went to Home Depot and found out they would rather buy there because it was cheaper. Now 19 yrs later we have only a small handful of local lumber yards left and from what it seems like, there is a Home Depot on every other street corner.

The reason I used Home Depot as an example is because I am very familiar with it and I never thought that company would survive. And now, over time I must admit I shop there myself. I am not comparing myself or my company to Home Depot by any means, what I am saying is we should always look at new ideas and concepts.

When I decided to enter the Stand Alone Fractional Vacation Home Market I always knew in the back of my mind I would need the support of the local Realtors but never did I think It would be so hard to get their attention. So I hope this post intrigues all Realtors but especially those who work in Luxury markets in the following areas.

1. Water frontage or beach areas

2. Ski Areas

3. Large Metro Destination Areas (ie. Las Vegas)

4. Golf Destinations

Through my many conversations a few of the same misconceptions and thoughts arose:

1. Its just like a timeshare

2. What if I don’t get along with the other members?

3. What if my fellow owners don’t pay there share

4. Who will take care of it?

The answer to the most common question: Unlike a timeshare, Fractional’s are a deeded interest in the property . Your fractional share can be sold or passed down to your family. The second is thought was, “What if my clients do not get along with the others in the group?”. The answer to that is simple, they will never see them or probably never even meet them. Any contact through the member is done through the management company. The answer to the third most common question regarding non payment of fellow owners: When the fractional agreement is set up for a Stand Alone Fractional Vacation Home the documents will spell out everything that is needed so all owners will know what their responsibilities are and what is expected from them. It will also spell out when they will be using their property for the next 6 years using a rotating schedule (if developed as a 1/6 fractional). And lastly, each property will be assigned to a management company that will handle all aspects of the property, from paying the taxes to cutting the lawn to assisting owners in switching their time. And at closing an escrow fund will be set up to handle any short falls that may occur.

How can fractional’s help you as the realtor?

Now while not all properties are suitable to be fractionalized and by no means are fractional’s the complete answer to save a bad market, there are a few things that you as the realtor may benefit from

One example would be if you had a buyer that is on the fence about selling because they still use the house but are tired of all the costs, converting to a fractional is the perfect solution. This same scenario would work in a new build development where a builder may have some luxury standing inventory.

Other possible benefits:

Additional revenue source

Move Inventory Quicker

Attraction Of More Buyers

More Options For Your Clients

Close More Sales Due To Affordability

More Networking

In closing I just wanted to touch on a few points about Stand Alone Fractional Vacation Homes. I could write for hours on this but I feel most of you would stop reading. While it is not the answer to everything, it is here to stay and will become a large part of the way Vacations homes will be sold. When I decided to make this an extension of my current development company I saw a demand for a product and while it is still in its infancy it will continue to grow. I am looking forward to fulfilling you and your clients’ needs. I am always available to answer any questions you may have & for a more comprehensive list of development services we will be offering, please contact me.

Oh and one other piece of info :

If you’d invested $1,000 when Home Depot went public in 1981, you’d have been worth around $1.4 million in January 2000.

If you think you may have an interest in hearing more feel free to contact me at

jeffrey@desertquarters.com or call 716 909 8664

Second Home Options – Ways to Share & Save

A recent NY Times article cited fractional ownership as a fantastic second home option that allows homeowners to save money. “Various options are out there that let even regular folks have a piece of the vacation-home pie,” writes Billie Cohen.

Sometimes people choose to own a fractional second home with friends or family members. Imagine having your next family reunion at a spacious million-dollar-estate — complete with: indoor and outdoor hot tubs, marble floors, plasma screen TVs, professionally landscaped grounds, a swimming pool and full access to a luxury club with restaurants, golf courses, fitness centers and full-service spa.

Other times people choose to purchase a home with complete strangers, overseen by a professional management company, that gives them 4 – 12 weeks of usage each year. Usually owners never even meet each other in this scenario and a maid service automatically arrives before and after each transition, so the fractional ownership home is always in mint condition.

“The basic idea is that you’re paying for what you actually use,” explains lawyer Andy Sirkin. He also adds, “The truth is that the smaller the group, the harder it is to get along, and that family and friends don’t get along better than strangers.” He said the key to fractional ownership is clear documentation that outlines how the co-ownership will work.

Source: http://www.nytimes.com/2008/05/16/greathomesanddestinations/16your.html?ex=1368676800&en=42e84fc2f25c2ed0&ei=5124&partner=permalink&exprod=permalink

Lincoln City is one of the latest cities to offer Americans their portion of a multi-million dollar home. The Oregon Coast boasts numerous Oceanside homes – many which sit vacant and wasted for most of the year as vacation homes.

“When I spoke to the owners, they told me that, when they did use the house, they spent most of their vacation time doing maintenance,” said developer Gordon McMahon. “They never really had time to just relax. It didn’t make sense.”

McMahon began purchasing the best selection of those stunning mansions – gutting them and undertaking massive renovation projects to create “top-of-the-line luxury showplaces” and “one-of-a-kind designer homes,” which he could offer on a fractional ownership plan. He even fully furnished the properties and added home theatres, pool table, luxury spas and includes convertibles in each garage for tenant use. The best part is that this Oceanside lifestyle is not for a select few millionaires, but suited for someone willing to pay a $399,000 price tag.  

Under the fractional plan, Oregonians leverage their resources and only buy as much of the home as they’re planning to reasonably use – all the while providing them with a deed, the opportunity to gain property appreciation assets or pass the property on in their wills and the ability to secure bank financing.

Each owner lives in McMahon’s mansions for seven weeks out of the year and owners never cross paths or even need to speak to one another. After the cleaning and maintenance crews roll through, one would never know the place had been touched. The management team handles all scheduling, stocks the kitchen with the owners’ favorite foods prior to arrival and allows for on-site storage.

According to Ragatz studies, 80% of fractional owners are “very satisfied” with their arrangement. The study also predicted that “at least half a dozen” fractional properties would emerge in Oregon within the next 18 months.

Source:http://www.newportnewstimes.com/articles/2008/07/16/business/business01.txt

We frequently get calls from poker champions who spend a significant amount of time in Las Vegas, particularly during the hot summer months when the World Poker Tour is happening. They’re big winners who could easily afford to buy a home in one of Sin City’s gated communities… but they’re also strategic thinkers. Why buy a home for 52 weeks/year that they’ll only occupy for 14 weeks?

Here at www.desertquarters.com , we offer many premium properties right on the Las Vegas strip that are divided fractionally, so you can live here when you need to but head back home, without worrying if the lawn has been mowed or if squatters have moved in. Sure you could stay at Caesar’s Palace or The Venetian… but wouldn’t it be nice to have a little piece of home and familiarity each time you return?

At Turnberry Place, you’ll enjoy interior features like marble floors, Sub-Zero refrigerators, Italian cabinetry, Jacuzzi tubs, as well as amenities like his and her health club spas, limo service, wine tasting rooms and gourmet restaurants. While you’re gambling at the casino, there are amenities that your whole family can enjoy! The best part is that, at the end of the day, you will be holding the deed to a property – not just throwing money out the window to rent a hotel room. A fractional home is a valuable asset your family can enjoy for years to come.  

According to CNN Money Magazine, fractional properties are “the perfect trade-off,” offering a “big, luxurious vacation home in a beautiful resort for just a tenth of the going rate.” Fractional owners may not be able to add their personal flair with photographs and new wall colors, but they get two prime ski season weeks, two summer weeks and two additional off-season weeks. They also never have to contemplate maintenance.

The history of fractional ownership goes back to Utah, circa the 1990s, when Steve Dering of DCP International saw how underutilized the $4 million Aspen ski-country homes were. He figured he could offer an eighth-share for $430,000 instead. Fast-forward to 2007, where more than half of all real estate sales in Aspen involve fractional. The investment proved good for fractional owners too: a Deer Park Valley Club share in Park City that sold for $130,000 in 1998 is now worth $655,000 today, says Dering.

Fractional owners like John Nussbaum say that their luxury properties allow them to keep in touch with family and friends. “You can ask the kids to come to Appleton [Wisconsin] but there isn’t a lot to do here,” Nussbaum explains. Instead he purchased three units at Snowmass, Colorado, one in Cabo, San Lucas and one in Botany Bay, St. Thomas. For the price of one mansion, Nussbaum now has a stake in all his favorite vacation destinations. You could say he’s become quite the popular guy!

While some high-end properties are priced to allow those making a household income of $200,000, the latest Ragatz Associates survey said the average median household income for fractional owners was $425,000.

Our fractional vacation home  buyers may see some appreciation in their shares at Panorama Towers in the future. The site for this project below is directly south of the Panorama Towers property. Please take the time to read this very interesting article that was in the Las Vegas Sun.

Station Casinos banking on biggest being best
Plan for huge complex in play despite economy
By Liz Benston
Las Vegas Sun

Station Casinos owners Lorenzo Fertitta, left, and brother Frank explain their vision Tuesday for Viva, which, at $10 billion, would become the most expensive casino complex ever built.

At a time when businesses across the country are cutting back in the face of economic turmoil, the brothers at the helm of Station Casinos are accelerating plans for an enormous Las Vegas resort larger than CityCenter.

Frank and Lorenzo Fertitta, who took their company private last year with help from private equity giant Colony Capital, said in an interview Tuesday that they are going forward with plans to redevelop the site of the Wild Wild West motel and casino on Tropicana Avenue and Interstate 15.

The Fertittas said they have a detailed plan for the first phase of their Viva resort that includes three casinos and at least three hotels with as many as 5,200 rooms. The entire project, built on 110 acres over many years, would cost more than $10 billion and be larger than MGM Mirage’s $8 billion CityCenter, now under way on the Strip and expected to open in 2009 on 66 acres between Monte Carlo and Bellagio. Ultimately, the Viva complex could have 10,000 rooms.

Station Casinos’ timing would seem amiss, given the weakening national and local economies. But the Fertittas have defied skeptics here and on Wall Street by buying or building a 14-casino empire in 13 years.

Because the company is no longer publicly traded, the Fertittas do not have to answer to jittery shareholders worried about declining demand or falling share prices. But they still have to line up lenders, which they have not yet done. They said they hope the capital market will rebound before they are ready to start construction, sometime in the next two years.

Originally conceived as a single casino hotel built on a few dozen acres, plans for Viva grew exponentially as Station quietly bought or obtained rights to develop the 110-acre site, currently home to squat, nondescript warehouses and retail stores.

‘It started to build upon itself, like putting together pieces of a puzzle,’ Lorenzo Fertitta said.

In its expanded form, Viva will establish the Fertittas as ‘Strip players’ and cement their legacy as casino entrepreneurs beyond their success in the neighborhood casino business — a track record long admired by their counterparts on the Strip.
‘In a lot of ways, it will change the face of the company,’ Lorenzo Fertitta said.

The complex will cater to tourists while also trying to lure locals, as all Strip casinos do.

The goal will be to try to strike a balance in which both tourists and locals feel comfortable, Frank Fertitta said. Other properties have attempted the same balance, with varying degrees of success. When built, Viva will top Red Rock Resort as the most expensive off-strip casino complex in history. Some Wall Street analysts said Red Rock’s $1 billion price tag was too rich for a mostly neighborhood crowd of gamblers. But the Fertittas have been happy with their long-term investment in Red Rock.

Viva, likewise, is a long-term bet on Las Vegas that they believe will help the market grow, as have previous resorts.

Viva seems certain to draw criticism from skeptics who say Las Vegas is building beyond its market. The same was said at the announcement of CityCenter and later projects, including Boyd Gaming Corp.’s $5 billion Echelon complex.

But the Fertittas, who have seen business cycles come and go, say Las Vegas will ultimately withstand the test of time.

‘It’s very hard to predict cycles in the short run and know what is going to happen in the next six months or the next year,’ Frank Fertitta said. ‘Where we’ve always placed our bets is over a five- to 10-year time horizon. When you have a solid strategy and look at the supply-demand dynamics in the Las Vegas Valley, the fact is, the population is going to continue to grow over the next 10 years and there are limited places to build locals casinos,’ he said. ‘Ours is really a strategic plan over the long run (rather) than trying to time the market in the short run.’

Station has arguably been one of the hardest hit by the economic downturn among Las Vegas gaming companies because of its disproportionate effect on housing — an industry that to some extent drives locals casino growth. Locals operators say business has been weak because customers, though still patronizing their neighborhood casinos, are spending less money.

But the Fertittas are looking a year to two years ahead. After Aliante Station opens in North Las Vegas this year, Station hopes to break ground on Durango Station, at Durango Drive and the Las Vegas Beltway, early next year.

The company ultimately plans to build on hundreds of undeveloped acres it owns across the Las Vegas Valley, following a similar, if not more aggressive, timetable than it has followed in the past, they said. Station’s vast landholdings give it a strong market position that will only improve as Las Vegas continues to grow, the Fertittas say.

This is good news for anyone considering purchasing a fractional share in Panorama Towers. We will begin taking reservations for shares on September 1, 2008. A 1/6 share will entitle you to 8 weeks use per year and will be $ 279900.00 per share. If anyone has any further interest I can be reached at jeffrey@desertquarters.com