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, the week,
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!
