My wife and I went on vacation to Disney World a couple of years ago. The family had a great time, and I personally was glad to get away from the business. We stayed at my parents' Orange Lake Resort timeshare, which is just outside the park.
Even though they've owned the timeshare for more than 10 years, this was the first time I had gone there. The resort itself is very nice, has all of the amenities and is in a great location. However, I have always thought that my parents' purchase was a bad decision. After all, they paid $10,000 for it, and today the maintenance is $750 per year.
A timeshare gives you partial ownership in a vacation property. You can even think of it as owning shares of stock in the vacation rental. You pay an upfront price to purchase your unit and then an annual maintenance fee. This gives you access to the property for a certain period of time, which is usually the same time slot each year. When you are not using the timeshare, others with similar interests are.
For starters, you have an interest in the same unit as other people who participate in the timeshare. Your interest, therefore, is not standalone ownership. You are not free to do with the unit as you please.
If you still think buying a timeshare is a good idea, and you want to avoid paying more than you will ever sell it for, buy one on the secondary market. There are many websites where you can buy a used timeshare.
In my opinion, you're better off staying at a local hotel than buying into a timeshare. Take my parents' timeshare as an example. They paid $10,000 for the initial purchase, and if you add the $750-per-year maintenance fee paid over a 10-year timeframe, there is a total investment of $17,500 in that timeshare.
A timeshare is definitely not an investment and should never be considered as such. I am sure we all can agree. As far as a bad deal, you are correct in MOST situations as most people get sucked into buying from the developer and high-pressure salesmen. People need to know what they are doing, the best resort to buy, cost of maintenance fees, etc. Please read the details below so you can see what I am referring to and how it could be a good deal.
I have been told by our Florida estate attorney that your family has no responsibility to inherit your timeshare. Therefore once your estate is closed any timeshare properties not inherited will return to the timeshare owner organization. I would check your individual state legalities to confirm this.
I think the Disney Vacation Club can be its own category. The Disney brand is very powerful and the quality of the hotels and amenities are incredible. Even adding more value, many people would prefer to stay on property at Disney World because of ease of transportation. In California, the value is even higher, as the local zoning laws cap the amount of timeshare units near the park. There is no land around Disneyland but it keeps growing every year, with hotel rates and (timeshare units where built) keep rising in value.
resale timeshares can be a lot less than 50% of the original sales price. I bought 4 recently and paid less than 5% of original sale price. Buying at full price may take 5-10 years to break even but the resorts are way better than the typical hotel. the guy that wrote this is marginally educated in Timeshares.
You can do the same thing with airbnb, vrbo, etc without shelling out massive amounts of money up front or $1k/year in maintenance expense. Many hotel chains also have in room kitchens (home2, extended stay america, towneplace suites, etc) with on site laundry rooms for a couple bucks and most have free breakfast. There is really no reason whatsoever for timeshares anymore.
Not all timeshares have the points system. I would appreciate comments as to the best way to get rid of one, or whether having a deed matters, or tax and selling strategies if any of you have ideas, ie going to promotion meetings.
I agree that a timeshare is not an investment. But I do say it can be a smart purchase for people. As the person above explained it gave them moe vacations than they would normally experience. The glaring discrepency in this atricle is the fact of finding a nice hotel for $150 in popular vacation areas. If you like Motel 6 then yes you are right, but for a nice place you will pay $200 to $250 per night. And this article leaves out that those prices will increase over the years as well.
Buy timeshares is never a good idea. But for those who really feel they need one I make one recommendation: Never buy from the developer. Always wait for timeshares to appear on the secondary market, usually at half-price. People like you get excited at the new developments and jump right in, only to become disillusioned later and dump the property onto the secondary market, at a loss, for a patient, informed buyer to take advantage of.
True, there is an opportunity cost to the principle of the purchase price. However, there have been many ways to lose an investment over the last decade. With all that said, I do agree that most timeshare investors are naive and purchase an inappropriate property for too much money.
A timeshare is a deal in which you own a part of a vacation property. By paying a certain amount up front and a yearly maintenance fee, you receive access to the property for an allotted number of days, which tend to be during the same period every year. When you are not using the property, someone else is vacationing there.
Hiring third-party exit companies like ours is essential to exiting timeshares because we ensure timeshare companies adhere to whatever exit promises they offer or work to create a tailored exit solution.
Timeshares are further split into two overarching versions: shared deeded timeshares and shared leased timeshares. With the former, timeshare owners actually own a percentage of the property, along with the other owners. With the latter, you are leasing the right to use the timeshare for a specified period of time each year, for a certain number of years.
Timeshares also spare you from the stress of planning your yearly vacation. This might include booking hotels to researching the beaches and attractions near your destination. With a timeshare, you know exactly what to expect from your vacation.
Buying a timeshare in Mexico is ideal for those who have a fixed yearly vacation (up to one week). Mexico is a great option if you are from the USA and Canada because of the close proximity and direct flights.
If, for example, you are not able to do your vacation this year, those days/points can be moved into the following year. Between the two, point system timeshare is better and way preferred. The big 5 timeshare companies in Mexico use this system more.
The price of buying a timeshare in Mexico depends. Primarily, the math is the following: you are purchasing a duration of a hotel room rental over a period of 30-50 weeks of vacation depending on the contract.
When you are buying a timeshare, you are also paying for extra fees like maintenance fees. It will be stated on your contract that you will be obligated to pay these fees as part of your timeshare purchase.
Now that you know the destination in Mexico where you want your timeshare, you need to find a resort in that destination that sells timeshare. First tip: it is always way better to buy a timeshare from newer resorts.
The timeshare agent will give you a complimentary breakfast (i.e. the restaurant in the resort) and will give you a full tour of the resort. You will walk around the property and show you the room options.
Cancun is my go-to place for vacation and I am considering a \"second-hand\" timeshare. There are tons of units for sale with good prices and low maintenance fees. Here is my question: If the current seller, a US resident purchased the timeshare from a developer in Mexico, all the signed paperwork was issued and signed in that country. If the seller wants to resale the unit now, and the seller and buyer are residents in the US, how to transfer the ownership legally in in the US Do the papers signed in the US have any value in Mexico too
I did not have a clue what a timshare was before I read your posts and I did not even know people would go into such life long commitments with accommodation businesses. Not something for me for sure, as I get bored of going to the same place. But I know people who go to the exact same spot for years and in that case such deals can be very useful. If it a great option that the timeshare is inheritable and that you can transfer it to other people.
I can understand the lure of a timeshare in Mexico. But I must admit I have talked to many people who bought timeshares and wish they had not. Equally concerning if the timeshare laws are confusing. I had not heard about a points system for timeshares and was interested to see the flexibility it offers. I certainly would want to fully understand my ability to re-sell my timeshare.
A timeshare is a type of vacation property with a shared ownership model. With a typical timeshare, you share the cost of the property with other buyers, and in return, you receive a guaranteed amount of time at the property each year. In many cases, timeshares are smaller units within a larger resort property.
The average cost of a timeshare is $22,942 per interval, according to data from the American Resort Development Association. Annual maintenance runs $1,000, on average, but can vary based on the size of the property.
A non-deeded timeshare can cost less than a comparable deeded timeshare, but non-deeded timeshares often have more stringent limitations on the transfer of property than deeded ones do, which can make resale more difficult.
The resale market is crowded. Since supply is plentiful, if you decide to sell your timeshare down the line, you could incur a loss. There are also scammers out there looking to take advantage of those who want to get out of their timeshares, so be careful.
Disney Vacation Club is a big investment, but it can be worth it. You can save money while enjoying flexibility, variety, peace of mind, and a few special perks along the way. I would serious consider it if: 59ce067264