Fractional Ownership

1. What is fractional home ownership? It is an exciting and fast growing concept in resort luxury vacation home ownership. Think of it as you and three friends buying a vacation home together. Each owner has the ways and means to own a vacation home, but not enough time to use it as much as they'd like. Since each owner enjoys the benefits and convenience of having access to the vacation home for a fraction of the year. Only a fraction of the property is purchased. Their investment and ownership is matched to the expected use, and the costs are kept lower by paying only for the portion that actually used. The concept of purchasing only what you need is perfect for people who wish to own at Aldea Thai & Pueblito Escondido fractional condos. All of the luxury associated with spending time in the Caribbean, without the hassles normally associated with owning and maintaining a vacation home. Your fractional vacation home is professionally managed and maintained for you by the Resort Operator, in this case Mistik Getaways & Resorts. 2. How is this different from a timeshare? Timeshares are not sound investments; in fact they are really not investments at all. The typical timeshare usually has from 26-52 owners per unit. The sponsor will mark up the property as much as 300% of its true market value, leaving no opportunity for appreciation. This is in addition to a history of misrepresentation and high pressure sales tactics. The fractional ownership vacation home investment is structured as a true investment shared by a very small group. A share in La Vida Residence Club represents a real estate asset with the appertaining tax benefits and opportunity for appreciation. Most importantly owners occupy a home in a prime location that is built and furnished to the highest standards. 3. How does fractional ownership of a luxury vacation property compare to sole ownership? While some vacation home owners require availability for four weeks or more per year, many find fractional ownership a wonderful alternative to paying the full purchase price and operating costs, as well as managing and maintaining a second home. With fractional ownership, owners get most of the benefits of sole ownership, without the expense and hassle. For four weeks or more each year you get full use of a wonderful vacation home, while being responsible for only 20% of the up-front and on-going operating costs. 4. How do you balance the return among those who buy the property purely as an investment and those who want to use it more personally? Owners choose how to use their weeks; for personal use or to generate rental income. 5. What happens to the weeks that I do not use personally? In order to maximize the investment return for owners, we will re-market and attempt to rent as many unused weeks as possible. 6. May I purchase more than one fractional interest in my residence? Absolutely! The minimum purchase is 4 weeks or one fraction, but you do have the option to choose between 4, 8 and 12 weeks.

Sales Center Playa del Carmen 5th Ave between 24th and 26th St. +52 984 803 4604 +52 984 803 4605 [email protected] www.lavidaresidenceclub.com

7. If I purchase more than one fraction in my vacation home, may I sell part of it in the future? Alternatively, may I purchase more fractions later? Yes you may sell part of it; the beauty of fractional ownership is the flexibility it provides in these and in many other ways. The ability to purchase more fractions in the future will of course be subject to availability. 8. Do I purchase an interest in a specific unit or will my fractional vacation homes vary from visit to visit? You purchase a fractional interest in one specific resort and this will be your vacation home for all your visits to the beautiful Mexican Caribbean. Owners have the option to exchange time at another property located in a different destination, these properties are always of comparable quality to the one owned. 9. Why should I buy a fractional vacation home? Despite their best intentions, many people recognize that they are just not able to use their vacation homes as much as they would like. For many, one to two fractions or four to eight weeks matches their available leisure time. With fractional real estate, you are able to match your investment with the quality and level of luxury you want for the time you actually plan to use your vacation home. 10. Why buy in México? Annual property taxes are often based on a percentage of the property value. The average is around 1.8%, in Florida is 2.4%, while in México you only pay .5% annual property tax. 11. If I buy in Mexico I don't really own it? Foreigners can own land in Mexico with full title, as long as it is at least 50 kilometers away from the coastline. Regarding beachfront property (or property within 50 kilometers of the coast) the Mexican government instituted what's called a Fideicomiso or Bank Trust. Foreigners are encouraged to invest in Mexican property through this process and the title to the property is held in Trust by a local Mexican bank. You still have all the rights of ownership you would expect buy it, sell it, lease it, improve it. You are the beneficiary of the Trust. Your interest can also pass to heirs with a Mexican Bank Trust. 12. Can the Mexican government take my property away? Not likely as there are 100's of millions of properties owned by Americans, Canadians, Europeans; this drives their economy more than almost all other industry. Any rumors or stories of this kind are dated, and founded on poor information. 13. Tell me more about how worry-free my vacation ownership can be? Aldea Thai and Pueblito Escondido are poised to provide high-quality support to its owners and their property. All activities related to the operation of the property are taken care of; scheduling housekeeping, paying of all bills, maintenance of the condo-hotel and all of its contents. Just travel to the Mexican Caribbean on your designated block and enjoy the property. We will have already checked everything out to ensure your enjoyment.

Sales Center Playa del Carmen 5th Ave between 24th and 26th St. +52 984 803 4604 +52 984 803 4605 [email protected] www.lavidaresidenceclub.com