Fractional Finance Solutions

At a time when turmoil in the housing and financial markets has made traditional sources of consumer financing extremely difficult to come by, even for individuals with excellent credit, two innovative companies are giving borrowers the opportunity to finance fractional ownership purchases with competitively priced consumer loans.

FirstAgain, an online consumer lender focusing exclusively on borrowers with excellent credit, offers an unsecured loan product called the AnythingLoan. The AnythingLoan is an unsecured loan that allows inPiduals with excellent credit to borrow between $10,000 and $100,000 for literally any purchase, including fractional ownerships. Fixed-interest rates range from 7.49 to 7.99* percent APR. Borrowers can use the AnythingLoan to finance fractional ownership of vacation properties, private jets, boats, yachts, RVs and more. 

“We believe that borrowers with excellent credit should be treated to low-interest loan products and great customer experiences regardless of market conditions,” said Gary Miller, co-founder and CEO of FirstAgain.

With FirstAgain’s completely paperless loan experience, credit applications are completed, submitted and reviewed online and applicants are emailed a response within minutes. Customers can even sign loan documents online using their computer mouse. Approved applicants can set up their loan for funding immediately and can often have funds deposited into their bank accounts the very same day they apply. There are no fees, down payment requirements, collateral requirements or prepayment penalties.

Customers such as Matthew Lauer of Corona del Mar, Calif. have seen first-hand what a valuable resource FirstAgain can be when it comes to financing a fractional interest. Lauer used the AnythingLoan to finance fractional ownership of a shared luxury property in Cabo San Lucas, Mexico.

“It’s a 3,000-square-foot beach house with four bedrooms, three baths and an Infinity pool,” said Lauer. “We vacation down in Cabo all the time and we fell in love with this house when we saw it.”

Though Lauer and his wife Andrea both bring home considerable incomes, the couple decided that financing their purchase made more sense than paying cash.

“I was either going to find a personal loan that made sense or just pay cash,” Lauer said. “We liked being able to maintain our liquid assets and still get the property we wanted. The rates were very competitive, right in line with mortgage rates.”

Lauer was not only pleased with the 7.15 percent rate on his loan, but also with what he perceived as a customer friendly loan experience.

“It was a very simple process,” he said. “It took no more than maybe an hour of my time and the servicing has been seamless.”

For borrowers looking to finance larger purchases in the high-end vacation property market, NextStar Funding provides a variety of traditional secured mortgage products that can be used for fractional financing. NextStar offers five adjustable-rate mortgage options with introductory fixed-rate periods ranging from one to 10 years combined with a 30-year amortization and no prepayment penalties. Interest rates range from 6.375 percent to 7.75 percent** and loans are available for as much as $1 million to finance up to 75-80 percent of fractional real estate purchases.

“It’s important to understand that for well-qualified buyers, there are pretty attractive fractional financing options given the unique nature of the property and today’s challenging credit markets,” said Dustin Carfield, co-founder of NextStar Funding. “A lot of our customers could have paid cash, but they believe in leveraging some portion of their purchases, especially with real estate and particularly when they have the opportunity to achieve higher returns from their investment portfolios.”

Borrowers hoping to finance 90 to 100 percent of their fractional real estate purchase can potentially combine product offerings from NextStar and FirstAgain to achieve this goal, according to Carfield.

FirstAgain and NextStar are available to borrowers at a time when even the most well off are faced with limited access to home equity loans, for years a primary source of fractional interest financing.

According to a recent report from the Center for Economic and Policy Research, the decline in house prices that started in 2006 has wiped out more than $4 trillion in home equity.

For more information about fractional financing opportunities from FirstAgain and NextStar Funding, visit or

* Rates assume selection of AutoPay option. Invoice rates are 0.5 points higher. FirstAgain LLC rates vary by loan purpose, amount and term, and are subject to change without notice. California loans will be made or arranged pursuant to Department of Corporations California Finance Lenders License.

 **Rates subject to change with market conditions and without notice.

image description