The Advantages of Full Ownership over Fractional

The Advantages of Full Ownership over Fractional

Fractional ownership, also known as timeshare or vacation club, is certainly something that any visitor in Puerto Vallarta will be familiar with, as they will encounter numerous timeshare sales people during their holiday. While vacation clubs certainly have an appeal for some, here are a few reasons why buying a property in Puerto Vallarta may be a better investment, both economically and for your lifestyle.

  • With a fractional property, you have no real control over the property. You are not able to change furniture, redecorate or renovate to make it your own space.
  • You have no control over who is using the property, other owners or the people they allow to use the property, who may not treat it with the same care as you would, meaning additional maintenance costs.
  • Although resale is often touted in the sales pitch, reselling a timeshare is often very difficult and it is extremely challenging to recoup your initial costs. Furthermore, if you sell your timeshare at a loss, the IRS will not allow you to claim it as a capital loss, as can be done with your own property.
  • A timeshare property is much like a car, in that the price is at its highest when the property is new and will then decrease in value as it ages.

When you buy real estate in Puerto Vallarta, none of these issues exist. You are free to decorate your condo or house in Mexico as you please, you can use it as you wish, not limited by scheduled access and the real estate market in Puerto Vallarta has a proven record of exceptional R.O.I, with property values raising consistently year after year. And finally, you have the option to rent your Puerto Vallarta property when it is not in use, with the control to decide the tenants you want and the tenants you don’t. A very basic rule of personal finance is that if you are spending money for the future, it should be an investment, and If it’s not generating income, then it is not an investment, it’s an expense.

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