How to Buy a Timeshare
My way of buying timeshares is a little different. It may take a
bit longer, but you'll save money. Start by selecting a favorite
vacation spot. That's because if a timeshare exchange request
doesn't work out, it's nice to own at a resort that you enjoy
staying at. If it isn't far from home, you won't have to spend a
lot of time and money getting there. And if it is a popular
spot, others will be willing to exchange their weeks to go there.
Going Onsite
Now that you have a location selected, visit the timeshare
resorts in the area. Skip the sales presentations. In fact,
avoid resorts that are still in their initial selling phase.
Their prices are inflated and there are too many restrictions on
resales. You'll do better at places that are 100% sold out and
owner owned. Walk around the resort, including the common areas.
Look for bulletin boards showing owner-to-owner resales. Ask for
copies of their newsletter. Does the resort have a Web site?
Talk to other owners. How do they like the place? What is the
yearly maintenance fee? Is the board of directors doing a good
job? If you can, attend a resort get-together or a board of
directors meeting.
Ask which exchange companies they use, including any independent
companies in addition to Interval International (II) or Resort
Condominiums International (RCI). Which weeks are most popular?
Often you can buy bargain off-season weeks that still trade
well. In most cases, the larger two-bedroom units are more
popular for exchanges.
Meet the resort manager. He or she knows the place better than
anyone. Spend some time with this person. Ask for a tour, and
visit a couple of units. What rules and restrictions are in
place? What amenities are included? How are units sold? If
owners are required to sell through the resort, prices will be
higher.
Shopping for Deals
The best deals are owner-to-owner sales or better yet,
foreclosures. Ask about any bargain weeks they are trying to
sell. Remember, in timesharing, a resale unit is the same as a
"new" one. Both receive the same upkeep and usage year after
year. And shop for weeks that fit into your yearly vacation
period, in case your exchange plans fall through.
How much should you spend? Of course, it depends on the resort,
theweek, and the unit. Shop around -- you'll probably find weeks
selling for under $1,000. If you are uncertain, rent for a
couple of years before buying. Remember, if you pay the true
"going rate" for a unit, based on what owners are willing to
sell for and buyers are willing to pay, you'll approach the fair
market value. If you buy a timeshare week at a fair market
price, your future selling price should be closer to what you
paid for it.
How to View Your Timeshare
But no matter how much you pay, don't look at your timeshare as
an investment, any more than you would any other form of
vacation or recreation. If you take a cruise or fly to Europe
you don't look for a return on your investment. With
timesharing, you should get some money back if and when you
sell, but your main reason for buying should be the quality of
vacations you'll have at your home resort or the ones you
exchange to.
Happy timesharing!