“At a time when low inventory continues to fuel record high home prices across the nation, it is more important than ever to make efficient use of existing homes and put forward smart solutions,” said Marnie Blanco, Pacaso’s vice president of industry relations. “Pacaso’s innovative co-ownership model creates more inventory which eases market pressure and also equals more sales for realtors, as one Pacaso is up to eight sales opportunities.”
Real estate agents representing buyers who purchase a share of a Pacaso property earn a 3% referral commission, along with the opportunity to earn equity rewards.
Pacaso launched its platform in October 2020 with the goal of “democratizing” second-home ownership.
The platform’s uncommon co-ownership model, which is made possible through the creation of property-specific LLCs, was the brainchild of former Zillow executives Austin Allison and Spencer Rascoff. Pacaso’s goal is to reduce the headache and cost of second home ownership.
Though the model has been criticized eerily similar to a luxury timeshare, the company focuses on bringing together a group of eight or fewer co-owners to purchase shares of a single-family home, which they have access to throughout the year.
After closing on a home, the co-owners have 100% ownership of the property. However, Pacaso manages the entire co-ownership process by taking care of furnishings, repairs, utilities, general property management and scheduling through its SmartStay app.