# Fractionals - Private Residence Clubs ?  Update on re-sale values?



## GregGH (May 26, 2007)

Hello to all - great threads lately -I really enjoy this section of TUG.  Thanks

To keep 'fair and balanced' .... can I throw this out for comment?

This link os for some 'final units' to be sold so the developer can be done with project - similar to Teton Club auction that I posted a while back.  

http://www.sheldongood.com/casamina.php

Where are fractionals ( PRC's )  going in resale value?  How much depreciation does one expect on re-sale to offset the marketing costs associated with the developer sale?   

One has to think that DC's are pulling away many possible investor/owners from fractionals?   Won't that depress re-sales even more?

Has anyone found a couple of good web sites that list re-sales for fractionals?   For example I wish that Yahoo Real Estate would allow a search just for 'fractional'?    

Anyone have any info on re-sales for Intrawest's upscale "Storied Places"?  Are there some others that you are watching?

Regards
Greg


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## x3 skier (May 28, 2007)

I have owned @ The Steamboat Grand in Steamboat Springs CO since they first stated sales back in ~2000. Two years ago, they had a close out auction (with Sheldon Good ) and the units sold for about 60-90% of developers asking price depending on the unit size and number of weeks. They were selling 1/8, 1/4 and whole units.

Since then, I have been tracking the sales which are published in the Local news, The Steamboat Pilot, Sunday edition to which I subscribe, and they are going for around 100-120% of the original prices from 2000.

One way to check is to use the local paper which sometimes records Real Estate sales values like the Pilot. At the least, they usually publish the listing price if they are on the local market. To see what I mean, try this link http://www.steamboathomefinder.com/ which is a link from the Pilot main page.

Cheers


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## Steamboat Bill (May 28, 2007)

I get the feeling that fractionals and PRC do not 100% mirror the local real estate trends. 

First and foremost, they are simply timeshares with 1/4, 1/10, or 1/12 per year ownership vs the timeshare concept of 1/52 ownership.

Most of them are also NICER accomidations than TS, but the underlyiong concept and real estate value are similar.

Too often, a real estate agent will try to convince buyers that this is a cheap way into home ownership, but in reality, a 100% condo or home is a FAR better investment.


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## greenlight (May 31, 2007)

*overpriced!*

Hi,

My take on Casa Mina is, it was completely mispriced from the start, which is why they now have to resort to an auction.  Comparables in Santa Barbara (for the 2br) are around $2M, the price they specifically mention on their own web site!  (personally, I think comparable prices are a little lower than that)  For a 1/8 share, it looks like they were asking $400k, but, if you do the math, $2M/8 = $250k.  I wonder what their rental income potential is....  

They also have a (in my opinion) overly restrictive reservation system.  If I were bidding, I would bid under $100k, but then, I'm a bit of a cheapskate.


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