If you are looking to buy a condominium in Mexico it’s likely you may be thinking of it as vacation property, a winter home for your retirement. As a buyer it’s good to keep in mind that the your condo can also double as a great property investment where you can earn good money if rented out when not in use. This is especially true if you purchase a unit that is in a condo-hotel setting.
In this first part of our series we look at the basics of what defines a regular condo vs. a condo-hotel, and some of the differences between them.
A multi unit property, either a vertical building or a horizontal project with various homes. Each unit is privately owned by various individuals. Within the same property you will find common areas that are jointly owned by the individual unit owners. They might include a swimming pool, gym, garden area, tennis court, etc. In order to maintain the common areas a condo association is formed to administer the expensive and upkeep.
All of the above, plus an infrastructure ready to receive vacation renters and a rental management company to operate the property. A condo-hotel is a hotel where some or all the rooms have been legally transformed into condominium units which are sold to purchasers. It is intended that the condominium units will be part of the hotel’s rooms inventory to be rented to the public and operated by the hotel management. This may also include a front desk, reception area, lobby area, warehouse area, and amenities you would commonly find in a hotel. Owners can use unit for personal use or put it on the rental market to earn revenue for the owner.
One of the distinguishing features between condos and condo-hotels can be the price. Condos cost less on average and can start as low as $100,000. Luxury condos can cost hundreds of thousands. Prices for condo-hotels begin at about $200,000 and go up to $3 million or more.
Amenities in Condos vs. Condo-Hotels
The average condo has a community pool and some common areas. Your individual unit would likely be sold to you unfurnished. A condo-hotel, on the other hand, has many of the amenities you would find at a high-end hotel. In addition to a pool (or pools), there is probably an on-site restaurant (possibly several), a lounge, a spa, an exercise facility, poolside bar, etc. Your condo-hotel unit would likely be sold to you completely furnished with high-end furniture and appliances and would be rental ready.
You can read, Condo vs. Condo Hotels – Part 2: Making Money on Your Investment here.
If you´d like more information about condo-hotels that are available for purchase in Mexico then we invite you to visit our web site. Or please feel free to contact any of our Top Mexico Buyers’ Representatives and we will be glad to help you.
And remember, here at Top Mexico Real Estate…
We Make It Happen!