Understanding the Costs of Co-Owning with Slyce Properties
If you’re considering co-owning a second home in New Orleans, you naturally want a clear understanding of the associated costs. At Slyce Properties, we pride ourselves on transparency and fairness, ensuring that our co-owners are fully informed about both the upfront and long-term financial commitments involved. Our meticulous pricing structure eliminates surprises and is designed to cover every aspect of managing a luxury home, allowing you to focus on enjoying your time in New Orleans without the typical burdens of property ownership.
Breaking Down the Costs
When you co-own with Slyce Properties, your financial picture is divided into three main categories:
1. Share Price
2. Monthly Home Operating Costs
3. Turnover Services
Here’s how each of these costs is structured:
1. Determining Your Share Price
At Slyce Properties, each listing reflects the cost to purchase a 1/6 ownership share of a meticulously furnished and fully managed residence in the French Quarter. If you desire more ownership, you can purchase additional shares, up to 100% of the property. The share price is calculated by adding the following:
• Home Purchase Price: This is the price Slyce Properties paid to acquire the home in New Orleans.
• Home Upgrades: Each residence is thoughtfully designed by our interior experts to ensure it meets the highest standards of luxury. This includes everything from high-end furnishings and modern appliances to smaller, personalized details. We also cover all real estate transaction costs and any necessary maintenance to prepare the home for co-ownership.
• Slyce Service Fee: A one-time fee that covers the costs of assembling the ownership group, setting up the LLC (including legal fees), and onboarding the property into our system.
All of the above costs are baked into the final price per share that you see on our website or are given when speaking with our sales team.
• Financing: If you choose to finance your purchase, up to 70% of the share price can be financed through Slyce Properties.
2. Monthly Operating Costs
Owning a luxury home in the French Quarter comes with ongoing costs, but Slyce Properties manages these for you, ensuring a hassle-free experience. All of the below fees are already included in the monthly fee that we provide for each Slyce Property. Monthly expenses include:
• Property Management: We provide top-tier management services in-house. This includes everything from routine maintenance and vendor management to handling all billing and LLC administration. If at any point the owners wish to change to a 3rd party property management team, you are welcome to and there is no penalty for doing so.
• Home Operations: This covers utilities, taxes, insurance, condo dues, and any routine maintenance needs. Each co-owner contributes pro rata, based on their ownership percentage, ensuring that costs are equitably shared.
• Reserve Fund: To cover unexpected expenses or long-term repairs, such as appliance and furniture replacements, we maintain a reserve fund within the LLC.
3. Cleaning Fees
After each stay, a small cleaning fee is charged to ensure the home is pristine for the next owner. This includes a deep cleaning, replenishing home essentials, and conducting inventory checks.
A Real-Life Example: The Penthouse at Jax Brewery
Let’s take a look at the real costs associated with a premier property in our portfolio—The Penthouse at Jax Brewery. This stunning residence, nestled in one of New Orleans’ most iconic locations, would cost around $57,700 per year to maintain as a whole ownership property. These operating costs include:
• Annual Condo Dues
• Property Taxes
• Insurance
• Electricity & Gas
• Cable & Internet
• Pool Maintenance
• Deck & Landscaping Maintenance
• Annual A/C Preventative Maintenance
• General Maintenance & Repairs
• General & Admin Expenses
• Replacement Reserves
However, when you co-own this penthouse through Slyce Properties, those costs are divided among six co-owners. After adding the cost of our professional management services, which cover all bill payments, scheduling, and ongoing maintenance, the total annual cost per owner is about $11,800.
Interested in our other properties? Head over to our homepage where we have all of our current listings with all of their associated costs: www.sliceofnola.com
Financing vs. All-Cash Payments
Most of our co-owners choose to pay for their share in cash, avoiding the high costs associated with financing a luxury second home. For example, financing the full purchase of The Penthouse at Jax with a market-rate down payment and interest rate would result in over $100,000 in interest annually—a cost that’s completely avoided when you use the same down payment funds to purchase a full 1/6 co-ownership share through Slyce Properties.
More Value, Same Use
Not only does co-ownership through Slyce Properties save you money, but it also provides you with the same usage of your property. You are guaranteed a minimum of 60 days of use per year, which is almost always more than enough for most second homeowners. In fact, the average second home is only used about 30 days per year.
The Slyce Advantage
With Slyce Properties, you get more value for your investment, fewer headaches, and the perfect amount of time to enjoy your luxurious New Orleans pied-à-terre. It’s the smart, new, stress-free way to own a piece of the French Quarter—a decision that’s as practical as it is indulgent.
Our commitment to transparency and meticulous property management ensures that your investment is well-protected and that you can focus on what truly matters: creating unforgettable memories in the heart of New Orleans.