Inside the Pacaso home design process

You’re considering becoming a homeowner but aren't sure you can afford to do it alone. This is where Here is what you need to know about co-ownership, including how it works, its benefits and drawbacks, the differences between co-ownership and whole home ownership and how to get started. What is co-ownership? Co-ownership occurs when two or more parties jointly own an asset such as a home. In this arrangement, all owners are listed on the asset's title, signifying that each holds a specific percentage of ownership. Opting for co-ownership means entering into a legal and financial partnership with the other buyers and an agreement about shared property access. How does co-ownership of a house work? Co-owners of a house share obligations like property taxes and mortgage payments. Each co-owner must agree to decisions like renovations made to the property. Co-owners are also typically Shared ownership homes may work through either a joint tenancy structure or a What is a co-owned home? A co-owned home is a property purchased and owned jointly by two or more people. All owners are included on the title of the home, and all parties hold a portion of ownership in the property. When you buy a shared ownership house with other buyers, you enter into a financial and legal partnership and a new living arrangement. Why is co-ownership on the rise? Co-ownership has traditionally involved a group of friends or family members coming together to buy a second home, or a child inheriting a house from their parents or grandparents. While co-ownership isn’t a new concept, it has become a more viable Types of co-ownership There are different Tenancy in common A tenancy in common (TIC) is for two or more people with an ownership interest. Tenants may have unequal investment stakes. For example, one owner might have an 80% interest with two co-owners at 10% apiece.  Often, this corresponds to the financial investment contributed at the original purchase. Unless explicitly stated otherwise in the deed, TICs do not have rights of survivorship. Property shares pass to an heir if a tenant dies instead of the remaining tenants. Tenancy in common is available for everyone, regardless of their marital status. Joint ownership All tenants are granted their deeds at the same time and, upon death, agree to pass the property on to their co-owners via survivorship rights to avoid probate. Owners must demonstrate the “four unities” to qualify: Community property Married couples may co-own title as community property in nine states: Arizona, Texas, California, Idaho, Louisiana, Nevada, New Mexico, Washington and Wisconsin. These states recognize couples as a single financial entity. A right of survivorship must be specified so that when one spouse dies, the other can automatically take over the title. Unlike JTWROS, there’s no guarantee of automatic survivorship rights. Tenancy by the entirety Married couples can also choose tenancy by the entirety (TBE) as their co-ownership model. TBE is a type of joint tenancy that comes with survivorship rights. This ensures the property avoids a costly probate process and passes immediately into the widowed spouse’s hands. Tenancy by the entirety views couples as one financial entity, so the property is considered to be owned by “one person.” Modern co-ownership Pacaso is an example of modern co-ownership, the new way to co-own luxury vacation homes. Modern co-ownership comes with some key differentiators, such as: Pros and cons of co-owning a home As an alternative to buying a whole second home, co-owning a house offers owners a unique set of benefits for buyers, as well as things to consider: What’s needed to start a co-ownership agreement? Whether you are doing Common elements of a successful co-ownership agreement include: Types of co-owners You can co-own a home with a family member, friend and even a stranger. The people you’re looking to co-purchase a home with could influence the type of co-ownership. For example, friends, partners and strangers might consider a TIC or joint ownership, while married couples might benefit from community property and TBE. Buying a home with other people is a major undertaking, regardless of the co-owner. Not only is DIY co-ownership challenging, but it also presents factors outside of your control. Job changes, financial disruption, health issues and other major life and lifestyle changes could impact each person’s commitment to the second home.  Co-ownership mortgage differences If you decide to purchase a home through co-ownership, you and your co-owners will likely take out one mortgage loan — unless you plan on paying all in cash. Advantages of co-ownership mortgages include: But you’ll also need to consider: If you are co-purchasing a home part of a TIC, you may qualify for a fractional loan that reduces your financial responsibility to only your loan and not your co-owner’s. However, Differences between a co-signer and co-buyer A co-buyer (or co-owner) is different from a co-signer regarding ownership and payment. Co-signers take full responsibility for a loan along with a primary signer, but they do not have any ownership rights to the home. In contrast, a co-buyer has equal or similar rights to other buyers co-owning the home. Another difference is that co-buyers are responsible for payment from the start of the loan. Co-signers, however, only assume responsibility if the primary signer is unable to make their mortgage payments. Selling a home with co-owners If you decide to sell your home, there are scenarios to consider: The first is where all owners want to sell, and the second is when one owner wants to sell their ownership interest but the others do not. If all owners of a co-ownership property decide to sell, the situation is less complicated, as there would be no debate over the right to sell. Outlining these terms in the co-ownership agreement from the beginning is critical. What happens when only one person wants to sell? With certain co-ownership models like tenancy in common or joint ownership, you have the right to sell your interest in the home. While you cannot sell without the permission of the other owners (as you do not hold sole ownership), you can still share your share at any given time once approved. The buyer of your share — which could be another co-owner — would take on the same portion of ownership that you held in the property.  H2: Co-ownership vs. fractional ownership While co-ownership and However, unlike timeshares, co-ownership and fractional ownership models provide deeded ownership, Tips for co-buying a house If you’re thinking co-buying is for you, here are some additional tips to consider: Co-own a home today Co-owning a home empowers people to own property and build equity while lowering the financial and logistical burdens of buying and owning a whole house.

When you’re traveling, where you Enter another option: a Pacaso second home. Here’s why co-owning a second home is a better option for your vacations than a The unexpected value of a Pacaso People have compared Pacaso to a hotel, Airbnb or a luxury vacation club like Inspirato. And while there may be some similarities, the experience in each couldn’t be more different. Owning a Pacaso means you’re an owner of a While Pacaso offers a unique form of co-ownership through an LLC, traditional co-ownership models like But it's not just about these practical advantages. A Pacaso offers valuable benefits that can only be experienced as an owner. Here’s what our owners have to say.   1. You can just show up and enjoy your home While hotels and short-term rentals can vary widely in quality, you can expect your Pacaso to be fully appointed and pristine — every time you return. Your home is taken care of by a 2. It’s easy to host your favorite people Making memories with friends and family is one of the most life-enriching parts of a vacation. And with your Pacaso, it’s easy to do just that. From outdoor kitchens and al fresco gathering spaces to open grand rooms and game rooms, Pacaso has the space, features and details to help the ones you love feel comfortable and enjoy quality time together.  — Nkem, owner in Malibu 3. You have the whole place to yourself (and your guests!) At your Pacaso, you always have the whole space to yourself. Your home belongs to you. Our homes feature large gathering spaces, and many also have spacious outdoor areas, patios, balconies and decks. Whether you want to relax, work from home or throw a celebration, you’ll have plenty of space for your whole crew. And it’s not just about space — unlike hotels and Airbnbs, all your guests are welcome at your Pacaso (even your dog!).  — Doug, owner in Palm Springs 4. You get to live like a local When you own a Pacaso, you become part of a community. You’re not bouncing through different hotels, homes and places — you return to a neighborhood where every aspect is familiar, from your favorite place for breakfast to local museums. Being able to call a place you know and love home makes for a seamless (and special) vacation every time.  5. You won’t have to stress about your vacation Staying at your own Pacaso offers a different experience from the typical vacation. Rather than having to plan things to do and places to eat at, you have all the — Stuart, owner in Palm Springs 6. You have all the conveniences of home When you come to your Pacaso, there’s no need to pack the small things. Bathrooms are stocked with towels, hair dryers, a scale, magnifying mirror and basic toiletries. Your home has high-speed WiFi and 7. Every detail is luxurious One of the standout things about owning a Pacaso is having luxurious touches throughout your home, allowing you to vacation in style. In addition to our standard amenities and features, you’ll find high quality linens, Turkish towels, premium kitchen products (including Cuisinart, Le Creuset, Ninja and more), porcelain tableware and a Peloton in select homes. These are the small details that make your vacation special.  — Tim, owner in Telluride Vacations (and memories) made better When you co-own a Pacaso, you enjoy hassle-free time at a place that feels like your home (because it is). You have the amenities and convenient experiences of a hotel, the wow factor of a luxury Airbnb, and the space and privacy of a vacation home — plus, all the benefits of home ownership. This is what sets Pacaso apart.  Ready to shift into vacation mode and start making lifelong memories? Check out our

Fractional ownership allows multiple individuals to purchase property together and share usage rights. It’s a common practice among people buying big-ticket items like second homes, Because each party is only responsible for a portion of the full purchase price, Unlike timeshares, fractional ownership While a lot of factors go into deciding if fractional ownership is right for you, one of the most important considerations is how you’ll pay for it. Here are a few options for financing fractional ownership of a second home.  Types of fractional ownership financing Cash Of course, paying for your second home in cash is the most straightforward option — there's no financing application, no contingencies and, best of all, no monthly mortgage payment or interest charges. However, not all buyers have the amount of cash required to purchase shares in a property without Mortgage While not every bank or credit union offers mortgages for fractional ownership purchases, an increasing number do. It’s important to note that qualifying for a second home mortgage can be more difficult than qualifying for your first mortgage. You may need a higher credit score, longer employment history and a down payment of 20% or higher.  If you’re buying in a new vacation community, the property developer may offer financing through a banking partner as a way to encourage purchases.  Home equity  If you already own a home and have a significant amount of equity, you may be able to tap into it to purchase your second home. There are three different ways to do this. Be sure to explore your options with your financial advisor, mortgage broker or accountant.  Financing a Pacaso second home Pacaso is a popular choice for fractional ownership of a vacation home. Our unique co-ownership model allows you to buy a ⅛ share or more of a fully furnished and professionally decorated second home in your Buyers can pay for their co-ownership share in a Want to find your dream vacation home? Explore our

Fractional ownership: Experience the best of coastal and mountain living Fractional ownership is redefining what it means to own luxury second homes. This approach allows families to enjoy the best of destinations such as Palm Beach, Lake Tahoe, and Jackson Hole. With Pacaso, owners enjoy curated homes, professional management, and seamless scheduling so every visit maximizes relaxation and adventure. Let us compare these premier locations so you can find the destination that matches your vision. Your Palm Beach escape Palm Beach is famous for its pristine beaches, vibrant dining scene and boutiques. Recent years have seen fractional ownership become increasingly popular, giving buyers an opportunity to experience premium homes with less financial commitment. Pacaso homes in Palm Beach deliver sunny outdoor spaces, beautiful interiors and direct access to the best of the coast. The climate, culture, and proximity to Miami make this a top choice for those who value both relaxation and cosmopolitan energy. For more about South Florida, browse the Discover Lake Tahoe adventure and endless views Lake Tahoe draws those who value four season recreation, clear lake waters, and alpine landscapes. Pacaso homes in Lake Tahoe are perfect for those who want mountain activities like skiing and hiking alongside peaceful lakefront living. With fractional ownership, you can own in top lake or ski locations without the complexity of managing a second home. Explore more in our Explore Jackson Hole refined wilderness and cultural charm Jackson Hole offers a dynamic blend of outdoor adventure and living. Pacaso homes give owners quick access to skiing, hiking, and the beauty of Explore Find your perfect lifestyle with Pacaso Whether you see yourself enjoying Palm Beach’s coastal culture, taking in the views in Lake Tahoe, or adventuring in Jackson Hole, fractional ownership with Pacaso brings your ideal lifestyle closer. Explore

If you’re looking for a second home that offers luxury, convenience and flexibility, you might be tempted by the idea of a A But before you sign up for a timeshare contract, you should Unlike a 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 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 What is a timeshare? A 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 differences If 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 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 home Not 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 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 home Because 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 3. You own real estate, not time One 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-round Pacaso’s 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 streamlined We think you’ll love your 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 you Keeping 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

Co-ownership vacation homes: Elevate your lifestyle with shared luxury There’s nothing like sharing your second home with friends and family in one of the world’s most sought-after destinations. Co-ownership vacation homes make this lifestyle possible, blending the sophistication of luxury real estate with the ease of shared ownership. Whether you’re hosting a summer gathering in Palm Beach, a wine tasting in Napa, or a winter soirée in Aspen, each destination offers its own unique opportunities for entertaining. With Pacaso, you enjoy the benefits of a professionally managed, beautifully designed home — ready for memorable experiences whenever you arrive. Palm Beach entertaining tips for coastal gatherings Palm Beach is synonymous with vibrant social scenes and outdoor entertaining. Co-ownership vacation homes here often feature expansive patios, private docks, and resort-style pools — perfect for hosting sunset cocktail parties or alfresco brunches. Take advantage of local One of the standout features of Palm Beach homes is their seamless indoor-outdoor flow, ideal for entertaining in the balmy Florida climate. Picture evenings spent around a fire pit, with ocean breezes and lively conversation. For example, Santa Barbara gatherings with coastal elegance Santa Barbara’s Mediterranean charm and ocean views set the stage for sophisticated entertaining. Co-ownership vacation homes in this region often feature open floor plans, sun-drenched terraces, and lush gardens. Host a wine and cheese evening with selections from local vineyards, or plan a summer barbecue overlooking the Pacific. For a touch of local flavor, invite a private chef to prepare a farm-to-table meal using ingredients from the Homes like Napa wine country hosting and culinary experiences Napa’s reputation as a wine and culinary capital makes it a dream destination for those who love to entertain. Co-ownership vacation homes in Napa are designed for gatherings — think expansive dining rooms, chef’s kitchens, and outdoor spaces with vineyard views. Host a private wine tasting with a local Aspen mountain escapes for all-season entertaining Aspen is renowned for its year-round appeal, from snowy winter gatherings to summer mountain adventures. Co- ownership vacation homes here often feature vaulted ceilings, stone fireplaces, and expansive decks — ideal for après-ski evenings or summer barbecues. Arrange a Hallam’s living room, with its dramatic beam ceiling and sophisticated lighting, embodies the mountain lifestyle and provides a welcoming space for hosting guests in style. Owners of Parisian soirées in the heart of the city Paris offers an unmatched setting for intimate dinners and lively soirées. Co-ownership vacation homes in Paris blend timeless elegance with modern comforts — think beamed ceilings, stone fireplaces, and sweeping city views. Host a candlelit dinner with a Rue du Bac’s dining area, with its classic Parisian features, provides the perfect backdrop for memorable hosted dinners and gatherings with friends. As a Pacaso, Hosting essentials for every destination No matter the location, co-ownership vacation homes offer a foundation for effortless entertaining. Here are a few essentials to enhance your hosting experience: If you’re considering different types of vacation homes, think about which amenities and features best suit your entertaining style. Find your perfect co-ownership vacation home Whether your vision includes beachfront brunches, wine country dinners, mountain gatherings, or Parisian soirées, Pacaso offers a curated collection of homes in the world’s most desirable destinations. Explore Ready to create unforgettable experiences in your own second home? Learn more about the benefits of co- ownership by reading our guide on

If you’re exploring different Since this type of So, what is tenancy in common, and how can it help you purchase a primary or second home? Continue reading to learn about the pros and cons of this ownership model, plus the difference between joint tenancy and tenancy in common. What is tenancy in common (TIC)? Tenancy in common is a home ownership model that allows multiple individuals to own a single property, each holding a distinct share. Unlike joint tenancy, these shares don't have to be equal, making TIC a flexible option for diverse groups of varying income levels or investments. TIC agreements are usually very detailed, addressing various potential conflicts through comprehensive operating agreements. These documents outline financial obligations, maintenance responsibilities and exit strategies. In 2025, as housing costs rise, TIC is increasingly seen as an attractive path to homeownership since it enables individuals to pool resources. Each owner can independently sell, mortgage or will their portion of the property, offering significant autonomy. How a tenancy in common agreement works A tenancy in common agreement is a form of Here is how home buyers can become co-owners within a tenancy in common: It’s important to note that no one person or company is in charge of a TIC. This means that, for example, while one owner might have a 50% interest share in the property, they have the same usage rights as a tenant with 10% ownership.  How to finance a tenancy in common Although a tenancy in common is a form of fractional ownership, you still have access to traditional funding opportunities like loans.  When it comes to financing a tenancy in common, you have two options: Simply put, the main attraction of Tenancy in common property taxes In general, a tax jurisdiction may require property taxes to be paid as a unit. This may be because If your TIC receives a single tax bill, your tenancy in common agreement will determine how the property taxes are paid. Pros and cons of tenancy in common real estate As an arrangement that enables multiple individuals to share ownership of a single property, TIC brings a set of distinct advantages and challenges that prospective homeowners must consider. Understanding these key factors is essential in making informed decisions and forging successful co-ownership partnerships. Let’s dive into the pros and cons of tenancy in common. Tenancy in common advantages Here are the core advantages of opting for a tenancy in common agreement: Tenancy in common disadvantages Although a TIC agreement can be an easily customizable and flexible ownership arrangement, it also has its drawbacks, such as: Tenancy in common example  Now that you understand the basics of how tenancy in common operates, let’s see how this ownership model plays out in a real-world example.  In this scenario, three families enter into a tenancy in common agreement: The story above illustrates how Tenancy in common vs. joint tenancy  The major difference between Let’s break down both co-ownership types: Comparing the different types of tenancy  To understand property ownership, you have to differentiate between the various types of tenancies — and there's more than just the two we've mentioned already.  Ultimately, the type of tenancy you should choose should be determined by your personal situation, legal status (like whether you're looking to buy as an individual or as a How to dissolve a tenancy in common agreement Dissolving a tenancy in common is relatively straightforward and easy to accomplish, assuming all co-owners wish to end the agreement.  Additionally, seeking legal advice, drafting a formal dissolution agreement and adhering to the legal procedures required in your jurisdiction are crucial steps in the dissolution process.  If the co-ownership aspect of a tenancy in common appeals to your real estate goals and you’d like to skip property management altogether, Pacaso offers

A Understanding property managers Owners typically hire a property manager to help them achieve their goal of building a steady investment income while reducing the burden of daily property operations.  Property managers specialize in all operational aspects of ownership Every property will come with unique needs, and the property manager’s responsibilities are outlined in their contract with the owner. Owners with multiple properties might seek out a property management firm to coordinate all operations and oversight.  Because property management involves adherence to housing laws, some states require a license to manage a property, either as a real estate broker or as a licensed property manager. Property managers enforce federal, state and local requirements dealing with screening tenants, evictions, lease terminations and handling deposits.  Takeaways Property managers share these characteristics: In more detail: There are three primary kinds of property managers: commercial, multi-family and single-family. Some property management firms work with a blend of property types. Commercial property management focuses on office buildings and industrial spaces.  Multi-family property managers specialize in spaces with many units, most commonly apartment complexes. Similarly, single-family property managers work in residential housing, but they focus on renting out single-family homes versus large-scale complexes.  Every property has different needs, but generally, property managers: No, property managers do not own the property they manage. Property owners outsource the daily operations to a property manager because they specialize in finding new tenants and know the legal specifics of leasing.  Most property managers work for a property management firm that coordinates the needs of several individual properties. In turn, the property firm works directly for the property owner.  Pacaso's in-house team of experienced, local property managers to handle the day-to-day needs of each home, including: With Pacaso, you own the home, and we manage everything — it’s that simple.