FAQ’s

BUT ISN’T IT TIMESHARE?

No. Fractional Ownership is very different in its structure. Typical timeshares allow the purchaser to use a block of time for a limited number of years with no eventual return on investment. Timeshare schemes give the participants little or no control over maintenance or service charges and the developer or owner will always benefit from the asset value of the property.

Fractional ownership is based on the same rights as outright ownership on a freehold basis for as long as you wish. Unlike timeshare, your share of a luxury property in an exclusive location will benefit from capital growth and additional rental income, if desired. top

I’VE NEVER HEARD OF FRACTIONAL OWNERSHIP - IS IT NEW?

No. Fractional Ownership started in the aviation industry during the 1960ís and has rapidly spread as a concept to include high value luxury items most of us would only dream of owning.

Fractional Ownership schemes for properties are popular in the United States, Caribbean and increasingly South Africa. Fractional Ownership is a rapid growth market particularly in the UK and offers a successful alternative to complete investment. top

DO I HAVE TO FIND THE OTHER SHAREHOLDERS?

No. Sabuti.com has a comprehensive network of UK and South African agents who will be responsible for locating suitable partners for your investment. Our extensive marketing and sales campaigns will ensure that we attract only the best investors to partner you.

The ownership structure eliminates the need to know your co-owners as there are rules by-laws and management services that ensure the smooth operation of the property. top

WHAT DOES Sabuti.COM DO?

Our team seek to source the most luxurious homes to be built or that are already built in South Africa to date for you. Once you have decided on your purchase, we will provide you with full support, legal and administrative services throughout the simple purchase process and our extensive management team and agents ensure that your investment continues to be cared for after possession of your freehold.

All management, accounting, administration and budgeting is carried out by our team in South Africa and our rental agents can give maximum exposure to available dates on your property. top

ISN’T IT LIMITED FOR OCCUPANCY?

No. The scheme is totally flexible in this respect. Although you purchase the same block of weeks each year - which you may choose to take at the same time each year, you may also wish to exchange your weeks with another owner in the same property or in another of Sabuti.comís developments in South Africa.

This can be administered through our central office in South Africa. You may also choose not use your full allocation of weeks in which case we would be pleased to advertise available weeks for rental through the network of agents available to us. This rental income would be paid directly to you as a shareholder. top

IS THERE A LIMIT ON HOW MANY WEEKS I BUY?

No. Each property is divided into 26 fractions allowing for a two week minimum purchase. top

HOW MUCH DOES IT COST?

Prices for fractions is dependant on a number of factors. Development, time of year, location, property size, number of weeks purchased and levies will all determine the cost of your property.

A comprehensive price list for each of our developments can be downloaded on request from our website. top

ARE THERE ANY RENTAL GUARANTEES ON THE PURCHASE?

Our rental guarantee scheme is available for the first year of your purchase on chosen developments only please contact us for further details. top

CAN I SELL MY SHARE AT ANY TIME?

Yes. Just like complete ownership properties you can choose to sell and realise your investment at any time.

Other owners within your partnership will have first right of refusal on the purchase of your share, after which it may be advertised through the developer, the website, our network of agents both in the UK and locally as well as on the open market. top

CAN I SELL TO ANYONE?

Yes after the above requirements have been met. top

ARE THERE ANY HOUSE RULES?

Yes, a formal set of house rules applies, which set the standard for good order of the use. These rules can only be changed by consent on the annual general meeting.

Damages beyond normal wear and tear are the responsibility of the occupying owner. The ownership agreement defines the policies and guidelines for replacing damaged items. top

HOW DOES USAGE WORK?

Every shareholder has the right to use his/her allocated weeks. The weeks are predetermined on a schedule. Swapping dates and combining weeks can be done at the discretion of the owners.

Your personal calendar shows your dates of use for years in advance and gives plenty of time to make changes with other owners. top

WHAT ABOUT MAINTENANCE AND CLEANING?

Our local management team are on hand year round to ensure that your property continues to meet the exacting standards we require.

We only subcontract to the best local suppliers in their fields and conduct regular on the spot inspections to monitor and ensure best quality of workmanship at all times.

A daily cleaning service, linen and towel service is included within the levy cost. top

ARE THE PROPERTIES FURNISHED AND WHATíS INCLUDED?

Sabuti.com properties offer the height of luxury and every need is catered for. Our high standard of fixtures and fitting may include top of the range entertainment equipment, fully equipped kitchen with high quality appliances amongst other luxury items including Jacuzzi and outdoor braai.

Specifications will vary from development to development and full details of property specification may be found in each of the individual development brochures.

Many of our exclusive developments offer additional services such as golf or spa memberships which will be included in the annual levy for the property. top

WHAT IS THE ANNUAL LEVY AND WHAT CAN I EXPECT TO PAY?

The annual levy covers incidental costs incurred by the property during your ownership. It is divided in equal share between the owners.

Levies will vary from development to development but will generally include estate levies, insurance (buildings & contents), auditors fee (monthly and annual), cleaning services, water & electricity, rates and taxes, garden, pool and jacuzzi services, cleaning materials, satellite TV, management fees, contingency fee and where applicable golf and/or spa memberships and carts.

Potential owners should be aware that levies are calculated pro-rata to shareholding and that levies may increase in line with asset value increase.

As an example, based on a full occupancy property, an owner with a 1/26th fraction (value £17,500 at purchase) with a golf course would expect to pay in the region of £525.00 per year. top

WHAT ABOUT RENTAL INCOME - WHAT CAN I EXPECT?

If you decide you wish to rent your fraction of the property for the year then our agents will be on hand to ensure that you receive the best opportunities to lease your time. Through our website and network of agents you can be assured of a quick return on your initial investment.

Rental values will again depend on a number of factors but as a guide a 3 bedroom (sleeps to 6) apartment in the Durban area can expect to achieve a typical rental income for a 2 week fraction as follows:

Peak £3,000.00 (ROI on average £15,000 investment - 6 years
High £2,500.00
Off Peak £1,500.00 top

WHAT IS PLATINUM MEMBERSHIP?

Sabuti.com has access its own exclusive owners programme designed to maximise the benefits of fractional ownership to investors. Members can expect to benefit from:-

  • Discounts and previews of forthcoming developments
  • Exclusive preview access to full re sale opportunities
  • Access to full rental opportunities
  • Exchange of use with other members
  • Discounts on flights and services
  • Tailor made welcome packages
  • Exclusive use of development facilities top

WHAT KIND OF CAPITAL GROWTH CAN I EXPECT?

As with any share based investment, values and returns may rise and fall but all the indicators are good for the South African property market. Since the breakdown of apartheid, property values have risen significantly and continue to enjoy sustained growth.

Property values are expected to rise above inflation in a confident economy during the next two years and look to strengthen beyond this as South Africa prepares to host the 2010 FIFA World Cup Finals.

Sabuti.com can offer independent financial advice or mortgage services relating to purchases however we recommend that you seek the advice of an independent financial advisor with knowledge of overseas property markets in this instance. top

WHAT CAN I EXPECT ON ARRIVAL?

Sabuti.com will provide you or your tenants with everything they need to make the stay in South Africa extra special. From airport transfers to linen to catering to car rentals and luxury peripheries through to 24 hour maintenance call out, our advisors will be on hand to take care of every last detail.

Your purchase will also be completed with a comprehensive welcome pack packed with information on the development, local area and staying in South Africa generally, this also includes relevant emergency information and useful contact numbers. top