With Pacaso Now, the company is offering a 5 percent down payment option for a one-eighth share, thereby providing second-home buyers three options after 12 months, according to an announcement.

New markets require new approaches and tactics. Experts and industry leaders take the stage at Inman Connect New York in January to help navigate the market shift — and prepare for the next one. Meet the moment and join us. Register here.

Co-ownership company Pacaso is driven by wanting as many people as possible to understand what it’s like to own a second property, as well as to own the experience itself.

To that end, the company is launching Pacaso Now, a temporary, low-down payment option that allows buyers to test-run what the company promises.

A 5-percent-down option for a one-eighth share, announced January 5, offers new share owners three options after 12 months. They can choose to continue owning by paying the remaining deposit, apply the 5 percent to another Pacaso home, or walk away without penalty, minus the introductory down payment.

Pacaso Now is being made available on a handful of listings, such as homes in Lake Tahoe, Napa and Malibu, California, as well as in Jackson Hole, Wyoming; Miami Beach, Florida; and Avalon, New Jersey.

The company referenced market conditions as a primary driver for creating Pacaso Now, saying in an email to Inman that challenging economic conditions impact those on the fringes of the second home market more than high net-worth individuals.

Participants can pay using a multitude of methods, including credit card or cash, either in a single lump sum or in two equal six-month installments, one at closing, the other six months later. The company enables those who have cryptocurrency to pay for traditional Pacaso shares.

“Buyers leveraging the Pacaso Now payment program can not access financing until year two of ownership. At that time, they will be eligible for a loan at current market rates. Financing fees would apply, per usual,” the company said.

Pacaso has introduced a range of ancillary services to support its owners and attract attention to its model, such as early notifications of new property shares, agent equity bonuses, partnerships with luxury travel services, national agency awareness programs, local service provider relationships and the opportunity for a single agent to be paid up to eight times on a single listing.

The company’s co-ownership approach is often, incorrectly, bundled with vacant vacation homes and the stigma many residential communities attach to short-term rentals. Pacaso counters that with the idea that its homes are designed to address the very issue of unoccupied or periodically rented second homes. Owners are not allowed to rent Pacaso shares and the concept of multiple owners of a single property greatly increases its rate of occupancy.

Pacaso has properties on both coasts of the United States, the mountain west, Spain, London, and Mexico.

It was founded by Austin Allison, who created Dotloop and sold it Zillow, and Spencer Rascoff, co-founder and former CEO of Zillow.

Email Craig Rowe

Show Comments Hide Comments
Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Thank you for subscribing to Morning Headlines.
Back to top
Only 3 days left to register for Inman Connect Las Vegas before prices go up! Don't miss the premier event for real estate pros.Register Now ×
Limited Time Offer: Get 1 year of Inman Select for $199SUBSCRIBE×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription