Pacaso is creating additive sales opportunities for second homes
Published Date: February 1, 2023
Pacaso is a team of real estate and tech veterans with a mission: Enrich lives by making second home ownership possible and enjoyable for more people. We offer buyers a smarter way to approach owning a second home: professionally managed LLC co-ownership. Unlike a timeshare, which sells access to a type of hotel unit, co-ownership is a way for more people to experience true, skin-in-the-game second home ownership of a single-family residential house in highly desirable communities. Buying and owning a second home through Pacaso dramatically reduces costs and lessens management and scheduling hassles. This lets buyers who are sitting on the sidelines have the chance to become true property owners of a home that previously was beyond their price range. And it opens up opportunities for real estate agents to have new conversations with buyers and sellers. They can access the second home of their dreams in one of their favorite locations for less money than if they purchased a whole home. Co-owning real estate is not a new concept. But doing it on your own with friends or family often creates hassle and strain on personal relationships. Many DIY owners find it daunting to communicate effectively about scheduling, maintenance and managing the home. Pacaso eliminates those issues, making co-ownership easy for the first time by creating a professionally managed, property-specific LLC design especially for co-ownership. A limited liability company (LLC) ensures that the owners are not personally liable for the company’s debts or liabilities. It combines some elements of a partnership, sole proprietorship and a corporation.For buyers, co-ownership increases their purchasing power. It also reduces the stress and pressure of whole home ownership. Gone is the feeling of guilt from leaving a home empty much of the year. Gone is the hassle of vacation rental platforms, the anxiety of knowing that dozens (or hundreds) of strangers are traveling in and out of your home, and the tedium of dealing with repairs.
The benefits for buyers, sellers, owners
Buyers can shop from Pacaso’s curated listings. Alternatively, if they find an active listing they’d love to co-own, they can submit the listing to Pacaso; if it meets our specifications, we’ll partner with the buyer to purchase and close on the home, as well as identify vetted co-owners.Each home is co-owned by a maximum of eight owners who use it with only family and friends; no outside rentals are allowed. Owners schedule time in the home with our innovative and equitable SmartStay system on the owner app. And instead of worrying about maintenance, Pacaso's professionally managed LLC will take care of all property management needs.Sellers have two options to work with Pacaso. First, they can decide to sell their whole home to us. Pacaso is a qualified buyer, and we pay premium prices for turnkey homes in the right locations. Alternatively, current second home owners can decide to keep as much as half of the ownership in their home while unlocking their equity by selling the other portion through Pacaso’ selldown program. This allows owners to keep the home they love while tapping into its liquidity and continuing to enjoy access to their second home.
Why partner with Pacaso today?
The Pacaso crew, led by former executives from Zillow, has more than 100 years of combined expertise using big ideas and innovative technology to create great real estate experiences. The company’s founders believe second homeownership enhances people’s lives because it has enhanced theirs. And it’s the driving force for the company. This co-ownership model is a chance for you to bring a modern way of owning as well as fresh inventory to your customers. Be part of the next wave of innovation, re-inventing how second homes are bought, sold and owned — and creating new business opportunities for you. --------
1. What type of second home ownership does Pacaso offer?
A. Whole ownership of a second homeB. Time share ownershipC. Professionally managed LLC co-ownershipD. None of the above
2. True or false: Co-ownership is not new, but Pacaso is solving the major pain points associated with the DIY approach.
A. TrueB. False
3. The advantages of Pacaso co-ownership for buyers include:
A. They can now afford to own a home previously out of reach financially. They can bring a listing, from Pacaso or any website, that they are excited about to Pacaso. If it’s a fit, Pacaso will buy the home and bring together co-owners.B. They get true real estate property ownership of a fully managed single-family home with fewer hassles and headaches. C. All of the above.
4. The advantages of working with Pacaso for sellers include:
A. Pacaso pays a premium for turnkey homes in select locations.B. Sellers can unlock equity and still retain up to half ownership of their homes.C. Sellers can remain co-owners of their homes but will have to find the buyers themselves.D. A and B
5. The professionally managed LLC also handles property management.