TIMESHARE
Time Share is the pre-purchase of a vacation for a specific number of years. It is a form of exclusive accommodation usage for a particular number of days each year. Generally sold by weeks, also known as Interval or Vacation Property. It involves the prepayment of future accommodation in a hotel or tourist condominium. It comes with a fixed discounted price and an annual maintenance fee.
It is the advance payment for future accommodation in a hotel or tourist condominium. It involves a fixed discounted price and an annual maintenance fee.
In Time Share, you acquire the use or enjoyment of a vacation period per year (usually weekly) to be enjoyed for a certain number of years (from 20 to 30), in a unit with capacity for two, four, six, or more people.
Article 64 of the Federal Consumer Protection Law of Mexico
Establishes that it is: “The provision of the time-share service, regardless of the name or form given to the corresponding legal act, consists of making available to an individual or group of individuals the use, enjoyment, and other rights agreed upon regarding a property or part thereof, in a variable unit within a specified class, for prearranged periods, through the payment of a certain amount, without, in the case of real estate, transferring ownership thereof.
México
Mexico is ranked second country in the world in the development and commercialization of Time Share projects, only behind the United States. It is also ranked second country globally in sales of weeks or memberships of this type.
The occupancy rate in the main tourist destinations is 72% for beach resorts
Compared to 60.3% for traditional hotels. Therefore, traditionally hotel-oriented organizations (such as Marriott, Omni, Posadas de México, Meliá, Sheraton, Hilton, and the giant Disney Corporation) enter the time-share market to complement their marketing strategy.
As of now, approximately more than 400,000 people work in this industry.
TIMELINE
1
1974
Timesharing was introduced as an innovative “tourist concept,” the pioneering destinations were Acapulco, Mazatlán, and Puerto Vallarta. The first Timeshare projects, such as SITUR, VIDAFEL, PALACE RESORTS, SOLMAR, PLAYA GRANDE, and VILLA DEL PALMAR, begin.
2
1976-1986
It expands to destinations such as Cancún, Ixtapa-Zihuatanejo, and Huatulco.
3
1980
180 developments operated under the Timeshare modality.
4
1984
The Federal Tourism Law considers Timeshare as a ‘Tourist Services Provision.
5
1993
The Ministry of Commerce and Industrial Development published the Official Mexican Standard NOM-029-SCFI-1993, Commercial Information – Normative Elements of the Timeshare Service.
6
1998
The first update of the OFFICIAL MEXICAN STANDARD NOM-029-SCFI-1998, COMMERCIAL PRACTICES – INFORMATIONAL REQUIREMENTS FOR THE MARKETING OF TIMESHARE SERVICES, is published, canceling NOM-029-SCFI-1993.
7
2008
Record-breaking figures are reached before the real estate crisis in the United States.
8
2010
The second update of the OFFICIAL MEXICAN STANDARD NOM-029-SCFI-2010, COMMERCIAL PRACTICES – INFORMATIONAL REQUIREMENTS FOR THE PROVISION OF TIMESHARE SERVICES, is published, rendering NOM-029-SCFI-1998 ineffective.
9
2021
The third update of the OFFICIAL MEXICAN STANDARD NOM-029-SE-2021, “COMMERCIAL PRACTICES – INFORMATIONAL REQUIREMENTS FOR THE PROVISION OF TIMESHARE SERVICES,” is published, which cancels NOM-029-SCFI-2010.