Thinking about a place at Purgatory but not sure if a condo, fractional share, or whole ownership makes sense? You want easy mountain access without surprises on fees, rules, or resale. In this guide, you will see how each option works in the Purgatory Resort area, what it really costs to hold, how rentals fit in, and a clear checklist to buy with confidence. Let’s dive in.
Purgatory area at a glance
Purgatory Resort sits north of Durango in La Plata County. Depending on where you start in town and winter conditions, the drive is often 25 to 45 minutes. The Durango-La Plata County Airport is the nearest commercial airport, and the drive to Purgatory is commonly under an hour.
You get four-season appeal. Winter brings ski demand, while summer draws hikers, mountain bikers, and golfers. That mix creates steady second-home interest across the year, with strong peaks in ski season.
Ownership options, side by side
| Option | What you own | Financing | Use flexibility | Ongoing obligations | Resale considerations |
|---|---|---|---|---|---|
| Condo (full unit) | Deeded unit plus shared common elements | Often conventional second-home loans, subject to project rules | Flexible for personal use and potential rentals, subject to HOA rules | HOA dues, possible special assessments, property taxes, insurance | Broadest buyer pool vs fractionals, policies and HOA health matter |
| Fractional share | Deeded fraction or membership with scheduled use | Specialty financing or cash more common | Limited weeks by calendar and agreement | Pro-rata HOA, management fees, assessments, taxes | Narrower market, structure and terms drive value |
| Whole ownership (home or full unit) | Full fee simple title | Standard second-home or investment loans | Maximum control for use, rental, and improvements | Owner bears all costs, plus HOA if applicable | Typically strongest demand for resale |
Condo ownership: flexibility with services
With a condo, you hold a deed to your unit and a shared interest in common areas. Many projects at mountain resorts offer on-site amenities like hot tubs, a pool, shuttle, ski storage, and concierge-style check-in. Some buildings also run rental programs.
Financing is often available through conventional second-home mortgages, though lenders will review the project’s HOA documents, insurance, and any litigation. Expect different underwriting than a primary residence.
HOA dues typically cover exterior maintenance, snow removal, common utilities, master insurance, amenities, staff, and reserves. Special assessments can occur for major repairs. The upside is clear title, easier financing, and flexible use, balanced by higher dues in resort settings and rules that may limit rentals or renovations.
Fractional ownership: pay for the time you use
Fractional products let multiple owners share a single property. You might see 1/8 or 1/4 interests with scheduled use weeks. Structures vary, including deeded fractional interests, tenancy-in-common, and club or timeshare-style memberships. The legal structure affects financing, taxes, and resale.
Many mainstream lenders do not treat fractional shares as standard collateral. Buyers often use cash or specialty financing. Costs typically include your share of HOA dues, maintenance, property management, and sometimes a separate fractional management fee. Agreements should spell out use calendars, cost splits, assessments, reserves, and dispute resolution.
The appeal is lower upfront cost and access to higher-end units for fewer dollars. Tradeoffs include limited use, a more specialized resale market, and shared governance that requires clear rules.
Whole ownership: maximum control
Whole ownership means you hold full title to a home, duplex, or entire condo unit. If you plan frequent visits, want maximum flexibility, or care about renovation control, this can be a strong fit.
Financing options are similar to condos for second homes or investment properties, depending on how you plan to use it. You carry all operating costs and maintenance unless the property is in an HOA, in which case HOA dues and rules also apply. Resale is typically more straightforward because buyer demand for whole ownership is broad.
What your fees actually cover
HOA dues in resort settings cover a lot. Expect exterior maintenance, snow removal, common insurance, staffing, amenities, and reserves for big-ticket projects. Review the current budget, reserve study, CC&Rs, bylaws, board minutes, insurance certificates, and assessment history. A well-funded reserve lowers the chance of surprise assessments.
Many Colorado mountain communities also use special or metropolitan districts to finance infrastructure like roads, water, sewer, and amenities. These show up as separate line items or mill levies on your property tax bill. Always check the property tax notice for special district charges and outstanding bonds.
Amenities are not always universal or fully included. Some buildings include access in the HOA dues. Others require a separate club membership or have amenities operated by a third party under contract. Owning near a resort does not automatically include ski passes or guaranteed resort perks. Confirm shuttle service, parking, ski storage, and any limitations tied to unit type.
If you plan to rent short term
Short-term rental rules depend on both county or city regulations and HOA rules. La Plata County and the City of Durango have policies and lodging tax obligations that can affect registration and net revenue. Because these rules can change, confirm current requirements before you buy.
Many HOAs set minimum stay lengths or restrict STRs altogether. If rentals are allowed, vet management options. Management companies often charge a percentage of rental revenue plus cleaning and marketing fees. Ask for sample contracts, owner statements, and expected occupancy for comparable units. Seasonal demand peaks in winter and extends into summer due to outdoor activities.
To understand net income, tally HOA dues, utilities, cleaning, management fees, booking platform commissions, and lodging taxes. Build a conservative pro forma and pressure-test it against recent comps and occupancy patterns.
Financing and tax basics
Second-home loans usually require higher down payments and stricter ratios than a primary residence. Lenders will also look closely at the project for condo loans. Fractional shares often need specialty financing or cash.
If you plan to rent, rental income is taxable. You can typically deduct allowable expenses and depreciation under IRS rules. The treatment of fractional interests depends on the legal structure. The primary residence capital gains exclusion generally does not apply to second homes unless you meet occupancy and other rules. Work with a Colorado-savvy CPA to plan before you close.
Insurance, maintenance, and winter logistics
Mountain properties face snow load, freeze risk, and regional wildfire exposure. Insurance can cost more than you expect compared with low-elevation areas. If you buy a condo, check what the HOA master policy covers and budget for an HO-6 policy for interiors and contents.
Plan for winterization and remote maintenance. Out-of-area owners often benefit from on-site management or a local property manager to handle turnarounds, guest issues, and emergency access. Verify housekeeping capacity, snow removal, entry systems, and vendor response times.
Due diligence checklist
Use this list to move from “interested” to “offer” with confidence:
- Title and structure
- Confirm the exact ownership type: fee simple, condo unit, deeded fractional, TIC, or membership program.
- Review deed language and any shared-use or management agreements.
- HOA and association health
- Read CC&Rs, bylaws, rules, current budget, reserve study, and recent board minutes.
- Verify insurance coverage, special assessments in the last 5 years, and current rental policies.
- Financing and lender fit
- Ask whether the project qualifies for conventional second-home financing.
- For fractionals, identify realistic financing options or plan for cash.
- Taxes and district fees
- Pull the current property tax notice and identify any special district levies or outstanding bonds.
- STR compliance
- Confirm county or city registration requirements and lodging taxes, plus HOA rental rules.
- Operating costs
- Review historical HOA dues and trends, utility averages, insurance quotes, and seasonal maintenance costs.
- Rental program terms (if applicable)
- Understand management fees, cleaning policies, owner blackout dates, payout schedules, and reserves.
- Physical access and condition
- Map travel time to lifts, winter plowing responsibilities, parking rules, and road maintenance.
- Evaluate building systems like roof, HVAC, plumbing, and elevators.
- Resale and performance data
- Pull comparable sales in the project or area.
- If counting on income, confirm typical occupancy and average nightly rates for similar units.
Match the option to your use
- You plan frequent weekends or extended stays: whole ownership or a condo you fully control usually fits best.
- You want predictable weeks and a lower buy-in: a deeded fractional share can make sense, if the calendar and rules match your lifestyle.
- You want rental flexibility or potential income: focus on whole or condo ownership, and vet STR rules, management costs, and seasonality before you buy.
Local guidance that protects your time
The right choice depends on how you plan to use the property, your tolerance for shared governance, and your financing path. Clear documents, realistic numbers, and local knowledge will save you time and reduce surprises.
If you want a hands-on local advisor who knows Purgatory-area buildings, HOA dynamics, and mountain home mechanics, connect with Jeremiah Aukerman - eXp Realty Luxury. His technical trades background adds practical value during inspections, HOA and reserve reviews, and negotiations, so you can buy with confidence.
FAQs
What should I know about owning near Purgatory Resort?
- Expect a 25 to 45 minute drive from Durango depending on conditions, strong winter and summer demand, and HOA or district fees that can materially affect your annual costs.
How do condo HOAs around ski resorts typically work?
- Dues usually cover exterior maintenance, snow removal, common insurance, amenities, staffing, and reserves, with potential for special assessments for major projects.
What makes fractional ownership different from a timeshare?
- Fractional interests can be deeded real property with scheduled use and shared costs, while some timeshares or clubs are personal property memberships with different financing and resale dynamics.
Do owners get free lift tickets or resort perks with a purchase?
- Ownership near a resort does not automatically include season passes or special perks, so plan to purchase passes separately unless a specific program is confirmed.
What should I check if I plan to run short-term rentals?
- Verify local registration and lodging tax rules, HOA rental policies, management fees and agreements, occupancy patterns, and all costs that impact net income.
