Put simply, fractional investment enables you to buy a portion of a property, so you get all the benefits of owning a property without the upfront expense and ongoing hassle.
As the affordability of property continues to be out of reach for many Australians this new way of property investment might just give the next generation the opportunity to live the Australian dream and get on that property ladder.
In traditional property investment, the investor buys an investment property and receives rent from their tenants living there. In fractional property investment, the investor buys a portion or a “fraction” of an investment property, and receives a “fraction” of the rental income and a “fraction” of the capital growth.
There are a few key players who are offering fractional investment all with a slightly different product.