How to Get a Great Deal When Buying Timeshares

When it comes to real estate, timeshares are something of a joke. A timeshare allows you the right to spend a certain amount of time at a particular property, usually a high-end resort. However, there are usually restrictions surrounding the use of the property. The purchase of a timeshare is usually considered a poor choice, since they can be hard to unload, and since they depreciate in value so quickly.

If timeshares are such a bad deal, how is it that so many people have them? One of the reasons is that those selling timeshares are smart about how they reel you in. You might be invited to a free presentation, located on a property. You might be asked to stay for one or two nights, get a nice tour, and have access to the high-end facilities. Many of these companies get you to come stay for a low price (or even for free) and then pressure you to buy in at prices of $10,000 or more… sometimes much more.

Buying Timeshares on the Cheap

Of course, there are some ways to get a timeshare for less. If you can buy a timeshare for much less, it’s not such a bad deal. You can look for those hoping to sell timeshares they have bought. This is where the rapid depreciation of a timeshare works to your benefit. You can find good deals if you know where to look on the secondary market.

People who have bought them resell them on eBay or other online sites. Unlike traditional real estate, timeshare prices depreciate immediately after purchase. How to Get a Great Deal When Buying TimesharesSome of these sell on eBay for as low as $1.00 US. Watch out, though! There are usually a whole range of fees that come with timeshares. You might be required to pay the current year’s maintenance fee at purchase time, or you might possibly be on the hook for closing costs and transfer fees. All these costs might also be covered by the seller, depending on the auction. Be sure to read carefully to ensure that you understand the terms and requirements.

Concerned about having to stay at the same place every year? You could join RCI orInterval International. These companies allow you to convert your timeshare to a points value depending on the supply and demand of your resort. These points can then be used to stay at other timeshares in the program. RCI is so commonplace that the eBay auctions often have the points value included in the listing.

When bidding on timeshares, look for “deeded” properties, as these will give you ownership of the week, registered similar to real estate. The owner can sell, rent and will the property to others. I would suggest not getting “right to use” properties as these are only in effect until a lease until a certain date. You want to make sure that you will at least have better access and ownership of the property with a deeded timeshare.

Before purchasing a timeshare, you might want to consider joining the Timeshare Users Group. This website costs $15 to join but will give you ratings and reviews from other timeshare owners.

As with any purchase, it’s important to make sure that your timeshare purchase is well-researched, and that you try to get the best deal for the money.

Written by Tom Drake

Tom Drake is the owner and head writer of Canadian Finance Blog. While you’re here, consider signing up for the RSS feed or email subscription. Both deliver the latest articles directly to you everyday! Have a Twitter account? Then follow me for all the latest posts or to send me any comments or questions!

3 Responses to How to Get a Great Deal When Buying Timeshares

  1. Max says:

    I must agree there are many different options to buy timeshares other than purchasing them directly from the resort. I would recommend buying from a timeshare resale site with a good reputation though instead of ebay, many people have been ripped off using timeshare auctions.

  2. Peggy Bryant says:

    There are good timeshares out there, as well as there are people who feel happy about their timeshare purchases, especially those who enjoy to vacation at the same place and are not spontaneous travelers. Unfortunately, due to the big number of timeshare scams being committed against many vacationers, the industry has gained a terrible reputation.

  3. Emili Gray says:

    Timeshares are one of the best-selling products in the hospitality industry. There are thousands of units available and millions of people have bought one. However, timeshares have been hardly criticized due to the high-pressure tactics that are used by the salespeople to sell the properties. To improve their reputation, many timeshare companies, along with some travel agencies, have launched in the market numerous timeshare deals and vacation packages in order to attract new prospect buyers.

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