Fractional REAL ESTATE Ownership

What is fractionalized ownership?

Now that you’ve tokenized your property with Plano, you can fractionalize your property so you can sell portions of it to others.

Plano allows you to buy and sell fractional asset as you need. Trading is easy with detailed property data, instant settlement and ample liquidity.

 
fractional ownership of real estate is now possible.

What are the benefits of fractional ownership?

  • Own with friends and family

    It is now easy for a group of friends to buy a home together. Everyone benefits from knowing exactly who owns what and how usage of the property is divided.

  • Invest in multiple locations

    Looking for a second home but can't decide where you want to base yourself? Buy a fraction of multiple properties and diversify your investment portfolio.

  • Better than a timeshare

    Unlike a timeshare, fractional ownership means you actually own the property. This allows you to benefit directly from its profits— both capital gains and rental income.

  • Better than a vacation rental

    Need an apartment in Paris next month? Buy one and stay for free. After you no longer need your fraction, sell it and pocket a little capital gain in the process.

How to fractionalize my property

 

You can fractionalize the DeedNFT you created with Plano. Simply transfer the Deed NFT to a vault set up by Plano. A vault is like a digital version of a safe deposit box at a bank, we will hold your asset safely.

Once your Deed NFT is custodied inside the vault, you will use Plano to issue tokens that represent specific fractions of the asset. It could be a few hundred or a few thousand - you decide. These tokens are essentially shares that can be sold within marketplaces that specialize in fractional sale of real estate.

If you want to get the property back as a single piece, collect all the tokens and send them back to Plano so that we can return the original Deed NFT to you.

Got questions about fractionalized ownership? We have answers.

  • Fractional ownership of tokenized real estate is where a home or real estate asset has many owners. These owners can be friends or family, or perhaps strangers.

    The key to the successful fractionalization is to find a solution that is at once legal, liquid and secure - where each fraction can be easily sold within a marketplace.

    The invention of blockchain and NFTs for real estate allows novel solutions for solving these challenges in elegant and robust ways.

  • Is fractional ownership of real estate truly ownership? Can each owner use the asset? Can each owner assign beneficial rights or derive capital gains from the sale of the fractions.

    These are the key questions that any owner of fractional real estate must answer in order to know if they are truly obtaining ownership as opposed to a governance right.

    Fractional ownership solutions from Plano convey all of the above. Ownership, governance, usage and beneficial assignment of rights.

  • Typically each fraction of the asset is represented by some form of blockchain based token that represents ownership of the asset. The more of the token’s circulating supply you own, the larger the share you have of the real estate asset.

  • Fractional ownership in a property can be easily sold. The fractional owner simply sells their tokens in a marketplace that accommodates the trade of fractional assets or other real estate tokens.

  • A real estate asset has value primarily because it is a physical asset in the real world. This value is not impacted by the fractional token any more than having your ownership documents stored online in PDF form.

    That said, assets that are fractionalized are easier to buy and sell. In such cases, increased liquidity in the marketplace can create an upward pressure on price.

Plano makes it possible to buy and sell fractional real estate for sale on the blockchain