|Is Pacaso a timeshare?No, Pacaso is not a timeshare. We provide luxury second home ownership opportunities using an LLC co-ownership model, where we bring up to eight owners to co-own a luxury second home. As a Pacaso owner, you own a real estate asset.|
What is Pacaso?The Pacaso second home ownership model is a revolutionary way to buy, own and sell a luxury second home in a world-class vacation destination. We simplify the process of co-ownership by creating a fully managed LLC for each property and selling shares to qualified buyers. Pacaso owners enjoy all the benefits of second home ownership without the hassle of maintenance, scheduling or resale. All of our homes are professionally designed, fully furnished and impeccably maintained, offering a consistent and luxurious experience every time. Buyers can also take advantage of competitive financing options, flexible scheduling and a resale marketplace for owners who want to upgrade, sell or swap their shares.
What is a timeshare?A timeshare is a type of vacation property that allows you to share ownership or use rights with other buyers. Depending on the agreement, you may own a fraction of the property, a lease or a right to use it for a certain period of time. The time increments may be fixed or flexible, and may be based on weeks, months or a point system. Timeshares are often sold through high-pressure sales meetings that claim to offer low prices and long-term benefits. Timeshare companies can provide you with a predictable vacation setting in a professionally managed resort. Still, they have some drawbacks, such as lack of flexibility, difficulty in reselling and risk of scams.
Pacaso vs. timeshare: 5 key differencesIf you are looking for a way to own a luxury vacation home in a desirable location, you might be wondering about the differences between a timeshare vs. fractional ownership of a second home.Both options allow you to share the cost and use of a vacation property with others, but there are some key distinctions that make Pacaso a better alternative for many buyers. Here are five reasons to consider LLC co-ownership of a second home.
1. Each Pacaso listing is a one-of-a-kind second homeNot just any home can be a Pacaso home. We seek out the best homes in the best locations — each one is different, and all have plenty of wow factor. Then our professional interior designers get to work, selecting the perfect furnishings, modern amenities and special touches to ensure your home is a place you’ll feel comfortable and relaxed whenever you walk through the door. A Pacaso home is a luxurious home away from home. A timeshare is almost always a unit at a hotel or condo complex. Think cookie-cutter floor plans and typical hotel-style furniture.
2. A small group of co-owners enjoy the homeBecause we limit the number of shares per home to eight, you and (at most) seven other owners will have access to the home. (Only one owner will occupy the home at a time, of course.) Plus, Pacaso homes are reserved for the exclusive use of owners and their guests — rentals aren’t permitted. We vet potential owners who agree to a common sense code of conduct to ensure they will treat the home as their own — because it is! Plus, you won’t feel like you’re “sharing” your home. We conduct a thorough inspection and cleaning after each stay so your home is pristine when you arrive. A timeshare vacation home may be shared by 52 other people — one person or group for every week of the year. Additionally, some timeshares allow for swaps or rentals, increasing the number of potential guests.
3. You own real estate, not timeOne of the most significant differences between a timeshare vs. vacation home is what you actually own. With Pacaso, your share is real property, not simply a block of time — you own a real estate asset. And because it’s a real estate asset, its value will move with the market, meaning any realized equity is yours. When you purchase a timeshare, you typically own the right to use the property for a period of time, not the property itself. That’s why you can’t usually get a conventional home loan to purchase a timeshare — there’s no “home” as collateral, only time. Financing is offered through the timeshare company, often at a high interest rate, and some buyers secure funds through a personal loan or home equity loan. Since even the best timeshare property is not a real estate asset, you are likely to see the value depreciate, much like a new car begins to lose value once it’s driven off the lot.
4. You can use your home year-roundPacaso’s SmartStay scheduling gives owners easy, ongoing and equitable access to their home. Owners can stay up to six time per year, and they aren't locked into a specific week or weeks each year,. Owners can enjoy a weekend getaway or a mid-week escape, with the flexibility to plan stays anywhere from eight days to two years in advance. When you purchase a timeshare, you’re often locked into a fixed week, year after year. You may have a “floating week” option, but your choices are still restricted to a range of dates. With either option, you can only check in on certain days, and you typically must book a full week. There are exchanges and point-based systems that allow you to choose different resorts, but you’ll often pay extra for more desirable locations, and availability can be limited. If you have a fixed-week schedule, you may never get a particular holiday week if another owner already locked it in.
5. The resale process is streamlinedWe think you’ll love your second home for years to come — but when it’s time to sell, we want that process to be as smooth and simple as the purchase process. You set the price you want, and we’ll market and list the home much like a traditional real estate listing. Because our homes are thoughtfully selected and located in some of the most desirable second home markets, we’ve experienced strong buyer demand for Pacaso shares. On the other hand, selling a timeshare can be extremely difficult. There’s an entire industry of timeshare exit companies that will help you offload your timeshare for a fee — and, unfortunately, many of them have been known to take advantage of sellers.
Pick the right choice for youKeeping your second home goals in mind while comparing Pacaso vs. timeshare opportunities can help you find exactly what you’re looking for. If you’re specifically looking for a luxury getaway and a place to make memories together with your family, browse through our listings or destinations to get started.
Pacaso vs. timeshare FAQ
How is Pacaso not a timeshare?
Pacaso is a new way of owning a second home that is different from a timeshare. Unlike a timeshare, Pacaso owners have ownership of their property and can tap into the Pacaso pipeline of buyers, setting their selling price. Pacaso is an LLC co-ownership model that allows you to enjoy the benefits of owning a second home without the hassle and cost of full ownership.
Is fractional ownership better than a timeshare?
Unlike a timeshare, LLC co-ownership can give you access to your home year-round. If you want to enjoy a vacation home throughout the year, fractional ownership may be a better option.
What is a better option than a timeshare?
LLC co-ownership could be a better option than a timeshare, depending on your needs. This ownership model gives you access to a luxury home more often than a typical timeshare is able to provide.
Is a co-op the same as a timeshare?
No, a co-op and a timeshare are different types of property ownership. A co-op is a corporation that owns a building, and the residents are shareholders who own a portion of the corporation based on the size of their unit. A timeshare is a shared ownership model of a single vacation property.