Blue Water Fractionals - The Bottom Line

The Bottom Line

An Ownership Example

Let's look at an example of a luxury two-bedroom condo. We want to illustrate the typical difference in cost between full ownership and fractional. The potential buyer can decide which option is a better fit for their family. It comes down to how much you they are willing to spend for the amount of time they plan to be at that location.

Initial Purchase (no mortgage)	Purchase Entire Home	Purchase a 1/12th Fraction	Amount You Save
Price	$800,000	$100,000
Stamp Duty	$44,000	$6,000
Total Initial Outlay	$844,000	$106,000	$738,000
Annual Expenses
Maintenance (Strata)	$30,000	$2,500
Insurance	$3,000	$250
Utilities - water, electric	$7,200	$600
Other -cable, internet, etc.	$2,400	$200
Car - rental vs. Blue Water vehicle	$1,200	$1,000
Incremental Maid Service	$0	$450
Fractional Program Fee	$0	$1,000
Total Annual Outlay	$43,800	$6,000	$37,800
Number of Weeks Owned	52	4
Average Stay in Weeks	4	4

Fractional Advantages for the Buyer

Buy only what you will use
Save an estimated $738,000 on your intial purchase (87%)
Save an estimated $37,800 annually (86%)
Buy more time when and if you need it!

Another Example

What if I take out a mortgage?

Here's the same example with a mortgage instead of a full cash purchase of the entire home.

Initial Purchase (with a mortgage)	Purchase Entire Home	Purchase a 1/12th Fraction	Amount You Save
Price	$800,000	$100,000
Downpayment (TCI requires 40% down)	$320,000
Stamp Duty	$44,000	$6,000
Total Initial Outlay	$364,000	$106,000	$258,000
Annual Expenses
Mortgage Expenses
Mortgage Amount	$480,000
Monthly Payment (20 years at 4.0%)	$2,909
Total Mortgage Expenses	$34,905	$0	$34,905
Other Expenses
Other -cable, internet, etc.	$2,400	$200
Maintenance (Strata)	$30,000	$2,500
Insurance	$3,000	$250
Utilities - water, electric	$7,200	$600
Other -cable, internet, etc.	$2,400	$200
Car - rental vs. Blue Water vehicle	$1,200	$1,000
Incremental Maid Service	$0	$450
Fractional Program Fee	$0	$1,000
Total Other Expenses	$34,905	$0	$37,800
Total Annual Outlay	$78,705	$6,000	$72,705
Number of Weeks Owned	52	4
Average Stay in Weeks	4	4

Fractional Advantages for the Buyer

Mortgaging the full ownership unit will cost you $218,000 in interest alone. That’s enough to buy the fractional and use it for almost 20 years!
Save an estimated $258,000 on your intial outlay of cash (70%)
Save an estimated $738,000 on your intial purchase (87%)
Save an estimated $72,705 annually (92%)

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