Co-ownership Model: Investors purchase a fraction of the farmhouse, giving them a share in the property. For example, if the total cost of the farmhouse is ₹1,10,00,000, an investment of ₹11,00,000 could grant ownership of 10% of the property.
Legal Framework: Each investor enters into a legal agreement that outlines ownership percentages, rights, and responsibilities.
2. Benefits of Fractional Investment
Lower Capital Requirement: Investors can enter the real estate market with a smaller amount of capital compared to buying an entire property.
Diversification: Investors can spread their investment across multiple properties or assets rather than being tied to one.
Shared Costs: Expenses such as maintenance, property taxes, and utilities are divided among co-owners, reducing the financial burden on any single investor.
3. Usage of the Property
Personal Use: Investors can use the farmhouse for personal retreats, vacations, or gatherings, typically on a pre-defined schedule that ensures fair access for all owners.
Rental Income: If the farmhouse is rented out, the rental income can be distributed among the co-owners based on their ownership percentage.
4. Management and Maintenance
Property Management: FracInvestIndia may offer property management services to handle maintenance, rentals, and other operational aspects, ensuring a hassle-free experience for investors.
Regular Updates: Investors receive regular updates on the property’s status, maintenance schedules, and any financial reports related to their investment.
5. Exit Strategy
Selling Shares: Investors can sell their fractional ownership to other interested buyers or back to FracInvestIndia, providing liquidity to their investment.
Appreciation of Value: As the property appreciates over time, investors can benefit from capital gains when they sell their shares.
