Timeshare is becoming a more popular choice for consumers all over the world nowadays as it offers a variety of options from a holiday point of view.
Timeshare does have lots of pros and cons so you really need to have an understanding of what you are looking for and whether you are ready for the level of commitment and investment. Timeshares generally do not yield a high value (always important to think about if you are considering the option of selling it on in the future) and timeshare is generally of the most benefit to people who have found their perfect place and are looking to holiday in that same place every year (forever pretty much!).
When talking of commitment and investment, you need to understand that coming out of a timeshare can be a difficult, complex and sometimes impossible process and that whilst you are in a timeshare contract you will be expected to pay yearly fees (which as history notes, will rise year on year).
Before you consider buying into timeshare there are some factors that we here at ABC Lawyers feel are an important considerations in the process. For example, there are different types of timeshare and not all of the products are the same. Some timeshare deals offer a fixed amount of time to stay at a property, such as a certain week every year, likely the one you are most familiar with and have heard about whilst others operate on a floating timeline, where you can reserve the property for any designated time in the year. However, it is important to note that there is a caveat with timeshares on a floating timeline: It is not guaranteed, you could be competing against other timeshare holders who want the same time as you, you’re not promised the reservation. Someone else could win it!
A different option could also be getting involved in timeshare that is points based. This works by you accumulating points by staying with a travel-related company, like a resort, or you’ll buy points, but there can be benefits, too. For example, if you’re investing in a timeshare network, one with properties around the globe, you won’t always have to go to the same holiday destination every year!
There is also another type of timeshare is a right-to-use timeshare, where the property is yours to use for numerous years, however, in this case you don’t actually own the timeshare, so you can’t sell it. It is important to note here that since timeshares can be hard to resell, you may see investing in a membership and lease as a benefit.
One of the most important things to remember is the yearly fees for timeshare. These are costs to consider when you are look to purchase. They are timeshare costs and maintenance fees that are charged yearly. In the USA for example the fees average for basic timeshare around $1000, however, dependent on what type of timeshare you have, what type of resort it is on, what company you are with etc, there could be various other fees and cost attached to your timeshare contract. These are often in the small print and when you come to purchase your timeshare, sometimes these important factors are not discussed enough for purchasers to make an educated buy.
Another thing that you must remember is that you will still need to pay for your travel. Wherever in the world your timeshare is, you will need to get there , those yearly costs are not included! If you buy and then decide that the travel costs are too much, you won’t be getting the use out of your timeshare, but you will be expected to pay the yearly fees, not a great use of money and an expense that will not go away!
It is always important to stick with well-known and reputable brands. Always the most important thing to remember when you are looking to purchase timeshare is looking out for the scams. They are everywhere and there are people out there with no moral core who will sell you a dream that doesn’t exist. It’s really hard to tell the difference between the good and the bad out there, but remember that there are bad and they will, with no thought of the consequence and no conscience, take your money and sell you something that doesn’t exist (no property) or something that you are unable to use when you want, doesn’t look like it should and doesn’t deliver for the money you have spent on it. Know who you are dealing with, know what you are looking for and pick a holiday option that suits you for now and in the future!
See our recent post regarding timeshare and divorce.