A fractional ownership is another word for co-ownership. For example at http://www.experienceportobello.com you find fractional ownership that gives you a Deed for your property and it is good for life. You may buy starting on a one month fractional ownership at $79,100.00 USD
It is also appealing because of the hassle free concept that is integrated, you do not need to burden with normal second home chores like utility bills, fixing rental damage, change of furniture and appliances, Maintenance, etc... Instead you can use your vacation time to enjoy the location that you chose for your leisure activities. Plus there is cleaning service every day, WIFI, Satellite TV and much more...
I believe that a well maintained and organized Fractional Ownership Project is the best way to own a vacation home and at a reasonable price.
It is important that you get a deed because some projects offer shares of a company and that does not ensure what you are buying. And some Time Shares disguise themselves as fractional ownership when they are not.
You own a certain time frame for that 60 days, not any 60 days necessarily. You share in the expenses for maintenance, rentals, management, etc.
This is technically a tenant-in-common interest exchange. It may be worthwhile if you don't otherwise qualify for a larger property, but there are of course, risks involved when you are sharing ownership with other people. In order for this to sell, a certain number of the "fractions" must be sold. If you qualify, I recommend a VA or FHA loan starting out. If you already own your own home, then these types of properties may be worth considering. These were very hot about 3 years ago, but I haven't heard much about them lately in the residential market.
Here are a few references for you to review.
http://rodomino.realtor.org/rmomag.nsf/0/6b6632bc7477fd48862 (see 1031 about 2/3 of the way down)