The Rise of Co-Ownership

A New Era for Luxury Vacation Real Estate

Imagine sipping your morning espresso on the terrace of a $4 million villa in Aspen, or soaking in a private infinity pool overlooking the ocean in Miami, without needing to buy the entire home. Welcome to the future of luxury vacation real estate: co-ownership.

Gone are the days when owning a second home meant footing the entire bill—and all the maintenance headaches that come with it. A growing wave of companies is changing the way high-end vacation homes are purchased, making it easier, more flexible, and more financially savvy to own a piece of paradise. This isn’t your grandma’s timeshare. We’re talking about true fractional ownership with real equity, luxury-level services, and smart tech.

Let’s explore this exciting trend, how it works, the leading companies transforming the space, and why it’s catching on among savvy buyers across the U.S. and beyond.

What Is Co-Ownership and How Is It Different From a Timeshare?

Co-ownership, also known as fractional ownership, is a real estate model that allows multiple people to share ownership of a high-end vacation home. Unlike timeshares—where you only buy time and have no equity—co-owners own a portion of the property. That means when the home appreciates, so does your share.

Most co-ownership opportunities involve 4 to 8 owners who each buy a fraction of the home (usually 1/8 to 1/4). Owners receive usage rights for a set number of weeks per year, and a professional management company handles everything, including booking, cleaning, repairs, and even concierge services.

Think of it as luxury real estate without the hassle, plus the potential for investment growth.

Why Co-Ownership Is Trending Now

Several factors have sparked the rise of co-ownership in the luxury real estate market:

Remote Work: More people want to spend time in scenic locations, not just during vacation but throughout the year.
Affordability: Buying a portion of a multimillion-dollar home makes luxury more accessible.
Lifestyle Flexibility: Many buyers don’t want to be tied down to one location, and co-ownership lets them rotate between homes.
Hassle-Free Living: With property management included, owners enjoy turnkey luxury.
Tech Innovation: Easy scheduling, ownership tracking, and communications via mobile apps enhance the experience.

For high-net-worth individuals or growing families who want the benefits of a second home without the burdens, co-ownership is the perfect fit.

Meet the Industry Leaders: Who’s Offering Co-Ownership Today?

Several companies are at the forefront of this trend, each offering a unique approach:

Pacaso: The most well-known player in the U.S., Pacaso, offers luxury homes in iconic destinations like Fort Lauderdale, Palm Springs, Miami, and Aspen. Each home is professionally managed and furnished, and co-owners can schedule their stays through an intuitive app. Pacaso has streamlined the process with a simple LLC structure and a modern, no-drama experience.
August Collection: Based in Europe, August offers access to a curated portfolio of high-end homes across countries like France, Italy, and Portugal. Owners benefit from multiple destinations in one investment.
Ember: Ember focuses on top-tier vacation homes across the U.S. and uses smart scheduling to ensure fairness and ease. Owners can even choose homes that allow rentals during their weeks.
Fraxioned: A newer name that allows for smaller ownership percentages and more flexibility, including leasing your weeks if you're not using them.
International Property Shares (IPS): For those dreaming of an elegant apartment in Paris or a Tuscan farmhouse, IPS offers co-ownership in handpicked European homes.

The Perks: Why Buyers Love This Model

Here’s why so many buyers are jumping into co-ownership:

Shared Costs: You only pay for what you use, splitting maintenance, taxes, and upgrades with fellow owners.
Luxury at a Lower Price: Access top-tier homes and amenities—like chef’s kitchens, spas, pools, and staff—for a fraction of the cost.
Zero Hassle: Management companies clean, maintain, and prep the home before you arrive. You walk in, drop your bags, and relax.
Equity Growth: As property values increase, so does your ownership value. And unlike timeshares, you can sell your share.
Fair Usage: Most companies have smart scheduling systems, so everyone gets fair access during holidays and peak seasons.

For busy professionals, growing families, or retirees seeking a flexible luxury lifestyle, it’s a game-changer.

Important Considerations Before You Buy

Like any investment, fractional ownership comes with a few things to weigh carefully:

Limited Liquidity: It may take longer to resell your share than a full property.
Annual Fees: Expect significant yearly fees to cover management and upkeep.
No Passive Income: Many co-ownership agreements don’t allow for renting out your time.
Less Control: Decisions about the property are usually made by the management company, not you.
Market Risk: Luxury vacation homes can be more sensitive to economic shifts.

That said, for many buyers, the benefits far outweigh the trade-offs, especially when working with a reputable company and reading the fine print.

Is Co-Ownership Right for You?

If you’ve been dreaming about owning a second home in a dream destination—but don’t want the full-time commitment—co-ownership could be the perfect solution.

Whether you’re looking to invest in the mountains of Colorado, the beaches of Florida, or a vineyard in Tuscany, there’s likely a fractional opportunity waiting. And when you’re ready to explore, we’re here to help.

We specialize in helping buyers navigate both traditional real estate and new ownership models like co-ownership. From researching the best properties to connecting with reputable companies and managing the legal aspects, we’ve got your back.

Let’s Make Your Luxury Vacation Dreams a Reality

Have you ever considered co-owning a vacation home? Or do you already co-own and want to share your experience? Drop your thoughts in the comments—we’d love to hear from you!

And if you’re ready to find your perfect fractional ownership opportunity—or want to compare the best options on the market—reach out. As trusted real estate professionals in Washington, D.C. and beyond, we’ll help you step into this exciting new world of real estate with confidence and ease.