philster123
Junior Member
What is the name of your state (only U.S. law)? New York
I want to buy a vacation home and sell off a few shares of it, for a modest profit. NYS Law says selling interests in a home (fractionalizing) to more than 2 people requires a full timeshare plan. I wrote to AG asking if I could get "no action letter" since most timeshares have 1000s of interests (52 weeks x # units), not 4. Response was no- that no action letters are not avail for timeshares. I wanted to do a simple "Tenants in Common" with a comprehensive usage agreement, but now seems like I'll need a lawyer to draft a 200 page prospectus so I can sell 3 or 4 interests off in a single house. Any easier solutions than a 6 month delay and a $50k legal fee on a single home? Or am I high on that $50k number? Will simply be assigned weeks to each owner- same ea year, and no financing on house itself. Finding people in advance to buy together, rather than me buying and then selling shares to them, is possible but unlikely- would that avoid issue? I didn't ask AG that. Thanks
I want to buy a vacation home and sell off a few shares of it, for a modest profit. NYS Law says selling interests in a home (fractionalizing) to more than 2 people requires a full timeshare plan. I wrote to AG asking if I could get "no action letter" since most timeshares have 1000s of interests (52 weeks x # units), not 4. Response was no- that no action letters are not avail for timeshares. I wanted to do a simple "Tenants in Common" with a comprehensive usage agreement, but now seems like I'll need a lawyer to draft a 200 page prospectus so I can sell 3 or 4 interests off in a single house. Any easier solutions than a 6 month delay and a $50k legal fee on a single home? Or am I high on that $50k number? Will simply be assigned weeks to each owner- same ea year, and no financing on house itself. Finding people in advance to buy together, rather than me buying and then selling shares to them, is possible but unlikely- would that avoid issue? I didn't ask AG that. Thanks
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