Time Share Cottage Ownership Question (NF sorta)

[forrest]

I have a feeling that this arrangement could turn good/great friends into very quick enemies.

 

 

I agree 100%

To me it sounds nuts even to consider it.

[JohnF]

I agree 100%

To me it sounds nuts even to consider it.

 

I don't buy that. I admit it's not the usual way, but the theory behind the idea is sound.

 

Why is this any different than a business partnership? We don't bat an eye at the idea of a commercial joint venture, why should this worry us? If the participants go in with the same due diligence that commercial partnership enterprises do, they should be able to avoid the rocks and shoals.

 

It's just that anything that's out of the norm tends to make us twitchy. I say go for it, but go slowly, and go wisely.

 

JF

[forrest]

I don't buy that. I admit it's not the usual way, but the theory behind the idea is sound.

 

Why is this any different than a business partnership? We don't bat an eye at the idea of a commercial joint venture, why should this worry us? If the participants go in with the same due diligence that commercial partnership enterprises do, they should be able to avoid the rocks and shoals.

 

It's just that anything that's out of the norm tends to make us twitchy. I say go for it, but go slowly, and go wisely.

 

JF

 

 

But, this is not a business venture. It is personal.

Even if it could be treated like a business are the people in the deal all sound business people with a thick business skin?

 

Here is an example: 'a sure way to loose a friend is to loan them money'

Loans are sound business ventures, but, loan a friend money and there is often sore feelings.

 

 

forrest

[lunkerbasshunter]

i think it depends on what you are looking for, me personally i would want a cottage all to my own, so that if its thurssday evening and i feel like getting away i can just go. i dont have ot look at a calendar to be sure its my week.

 

Cheers!

[Zamboni]

Sharing a cottage can be done, we know 2 families who inherited parents cottages in the past few years. Not quite the same as its family but in both cases some spouses involved are 'opinionated' but sharing is going well. As pointed out people 'share' businesses, work together as partners. They are not always the cliched 'business type', many bring personal problems into that relationship.

 

The posts of preferring to not share-well sure, having unlimited access/availability is better. Doesn't mean sharing a cottage is bad, and far less financial committment.

 

One of our friends had a problem as 2 of the families involved wanted to do upgrades. The others couldn't-didn't want to at that time and they worked it out. One family owns 5% more now and paid for a new deck etc....you are in a better position to work out all details as sharing the cottage isn't thrust upon the families involved.

 

I say go for it, sharing is better than not owning a cottage at all.

[JohnF]

But, this is not a business venture. It is personal.

Even if it could be treated like a business are the people in the deal all sound business people with a thick business skin?

 

Here is an example: 'a sure way to loose a friend is to loan them money'

Loans are sound business ventures, but, loan a friend money and there is often sore feelings.

forrest

 

Of course it's a business venture in the same way that personal market investments are business. Prudent individuals try to maximize the return on any investment. In this case the return will be mainly a reasonable amount of control over a personal holiday getaway spot for a minimal capital outlay. In these days of large dollar amounts being an integral part of our lives it's pretty darned hard to say none of the money management is business. I spent 1 1/2 hours of my life one morning last week with one of my financial advisors. It sure felt like business to me.

 

And how can we know if this investment might not just show an excellent return down the road? I don't think we can neatly compartmentalize our lives into personal and business these days. It's our personal business acumen and earning ability that affords us the opportunity to have comfortable homes, reliable autos, nice holidays & big-assed bass boats. We live in an expensive world and the people who recognize that we need to be business-like about our personal money habits are the ones who will maximize the pleasure they get out of life in the long run.

 

YMMV

JF

[Billy Bob]

I built my own cottage (75 miles away) from the ground up on 2.5 acres of land overlooking Chautauqua Lake years ago. I sold it and that was the best thing I did. A cottage that you own is just a LOT of work when I could be hunting or fishing. It turned out to be a good investment after I sold it because of the money I made. However, adding up taxes, maintenance, insurance and utilities each year it is MUCH better renting a cottage and I am not tied down to any one area.

 

Bob

[Marty]

If it was the Upper French, I'd have two interested parties for you.

[pikehunter]

Stay away from this concept! In fact, walk away, no run away, run as fast as your feet will go!

 

What you are implying is as said a "Private time share" arrangement. Or in other words a sort of "Co-Op", Co-operatives work on the basis of all members doing their own fare share of the work, upkeep and management of a said property or venture. Very few actually succeed because there is always, I repeat always at least one member that does not share the load and rides on the goodwill of the others. Someone is left holding the bag.

 

Written lawyer drafted documents that spell out all responsibilities don't mean a thing when it comes down to the everyday stuff. Tell that to your spouse when you arrive for your week at the cottage for rest and relaxation and the bathroom is a mess, the kitchen is up side down and the grass is 2 feet tall! The last "partner" that used the property also took advantage of your boat that you left behind for your next visit and ran it into a rock and he thinks oh well that's OK, it was only an accident. This doesn't even cover legal or financial obligations. I can understand how the concept sounds good but it has a 90% chance that someone is going to get left out on a limb.

 

I have had experiences with Co-Op living and this knowledge that I learned the hard way says don't even think about it! RUN!