Are you trying to find ways to travel more? There are several benefits to traveling including finding your purpose, appreciating your home more, and realizing how easy it is to make friends.
Have you thought about buying a timeshare so you can save on a lifetime of vacations? You may be wondering how do timeshares work? Well, keep reading!
We have the answers to this question and more as you think about answering the question “should I get a timeshare.”
What Is a Timeshare?
A timeshare is a program for a vacation destination or resort residential property. There are multiple owners to cover their “share” of the cost of the property. In return, all owners have the right to stay at the property for their assigned period of time.
For example, if you purchase 1/52nd share of a certain unit, you can stay there one week of the year. This is the standard amount of time that resorts sell to one owner. You may be able to purchase more depending on the resort or unit.
How Do Timeshares Work?
Typically, you own that one specific week each year at the resort you choose. You can choose to travel to your resort for your fixed week, but there are also other options with timeshares to exchange your week to go somewhere else.
Does a Timeshare Exchange Program Give Me More Flexibility?
Many resorts participate in exchange programs so you can trade your time with another participating property. For example, if you own one week in March at a beach resort, you can check into exchanging it for a week at a ski property instead.
You will have to find a property that is similar to yours and classified similar. Think about the size and the destination’s desirability. You will probably have to pay a fee to exchange your week with another participating property.
You can see what’s available before you exchange. And, you have to exchange with other participating resorts so you may not have as much flexibility on the week you want and destination.
Make sure you know your deadlines for exchanging to make the best use of this program. For example, check out these Marriott Vacation Club banking deadlines to give you an idea.
How Much Does a Timeshare Cost?
You will have two fixed costs—your upfront costs and also annual maintenance fees. These costs can vary greatly depending on the location, unit size, and time of your stay. The American Resort Development Association estimates that upfront costs average around $19,000 with maintenance fees around $660 a year.
You will have to pay your maintenance fees each year whether you use your timeshare or not. You may also have to pay property assessments for any needed upgrades or repairs. You will also have to split the property taxes with the other owners.
When Should You Buy a Timeshare?
The benefits of timeshares are best for one specific kind of traveler. Do you look forward to an annual vacation every year? If traveling at least once a year is a big part of your lifestyle, you may want to consider a timeshare.
Do you like the visit the same place each year? You can lock in your annual week each year with a timeshare. Over time, you will spend less than paying for an individual vacation each year.
Time to Travel
How do timeshares work? You buy a week a year at one resort and you may be able to exchange that week. If you can commit to a week of travel each year, a timeshare may be a great option for you.
Looking for more travel advice? Check out our travel section today to prepare for your next adventure.