FAQFractional Real Estate Basics
How are the rent and the value of a property split between owners?
Quick answer
In proportion to the shares each owner holds. If a unit has 1,000 shares and you hold 10, you own 1% of it: you receive 1% of the unit’s rent each quarter (after the 5% management fee), and your shares represent 1% of the unit’s value, so any growth in value is reflected when you sell them.
Your percentage
Every unit is divided into a fixed number of shares. Your percentage is the number of shares you hold divided by the unit’s total shares, and it is written in your common-ownership share-sale contract.
Your share of the rent
The rent collected for the unit each quarter, after the 5% management fee, is split by share count and paid into your wallet in the app on the quarterly dates: 1 January, 1 April, 1 July and 1 October. You earn for each full month you hold your shares; new shares start earning from the first day of the following month.
Your share of the value
Your shares also represent your percentage of the property’s value. If the property is worth more when you sell your shares, that growth is part of your return; if it is worth less, so is your share. Value growth is not guaranteed.