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What is Fractional Ownership and its Benefits?

1. Fractional ownership is emerging in India as a new investment avenue


for new-age investors to participate in new opportunities at a fraction of
the cost previously required.
2. Fractional investment provides investors access to high-value high-
return opportunities by letting the investors invest a small amount of
money and yet own a part of prized real estate properties without
having to physically manage it. It not only allows the investors diversify
their wealth portfolio but also grow it seamlessly by potentially yielding
returns of around 12 to 15 per cent over a 9-year investment horizon.
3. YieldAsset, which is a technology-enabled investment platform offering
fractional investment opportunities in pre-leased Commercial Real
Estate, offers clients investment opportunities starting as low as Rs 25
lakh.
4. Fractional real estate investing is essentially purchasing a portion of an
investment property. A group of like-minded investors pool their money
together, allowing them to invest in higher value properties than they
otherwise would have access to. Fractional real estate investment is a
new way to invest in commercial real-estate. The concept of fractional
ownership in the real estate has been prevalent in the US and Europe for
a decade and is now picking up in India.
5. The alternate real estate asset class has been the playground for largely
institutional investors since years and is now emerging as an investment
avenue for the aspiring middle class and retail investors.
6. One of the primary advantages of fractional real-estate investment is
that it is the best way to invest in premium CRE(commercial real
estate ).The model enables one to invest in fractions of premium
commercial properties to earn a monthly rental yield and thereby build
long-term wealth.
7. Fractional investments are a lucrative option for retail investors for
whom CRE isn’t otherwise accessible owing to their high ticket prices.
Besides regular rental income and long term appreciation of a stable
asset class the model enables one to diversify his investments across
multiple properties and locations and sufficient diversification thereby
tends to reduce the portfolio risks.
8. Access to institutional grade commercial assets which are generally not
available to individual investors
9. A non-volatile investment that compares favourably with gold, fixed
deposits and corporate bonds
10.An investment that offers both Passive income and is superior to
residential investment in terms of yield
11.Greater liquidity and risk mitigation when compared to traditional real
estate investment.

The art of investing and owning an asset has completely been transformed by
fractional ownership.

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