By Angela Gonzales | Phoenix Business Journal
Zillow co-founder Spencer Rascoff and former Zillow executive Austin Allison are launching Pacaso, a company designed to help people buy shares of a second home.
Phoenix is among 25 markets in 10 states where the San Francisco-based startup is launching today.
Here is how the service works: Buyers considering a second home can tell Pacaso where they want to buy, how much they want to spend and how much time they expect to spend in the house, said Allison, who serves as Pacaso’s CEO.
Pacaso pays real estate agent partners their full commission to help buyers find a home. A professionally managed limited liability corporation designed for co-ownership is then set up, Allison said. Owners will use Pacaso’s mobile app to schedule the time they spend in that second home.
Buyers pay a 10% fee at the time of purchase along with an annual property management fee equal to 1% of the purchase price.
“The Phoenix housing market is in high demand, especially as people rethink how and where they want to live during and after Covid,” Allison told the Business Journal. “Pacaso modernizes the generations-old practice of co-owning a second home and offers the best way to buy and own a second home in the Phoenix metropolitan area.”
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