How to Buy a Timeshare Cheap
So, you want to buy a timeshare and pay as little as possible.
Rule number one - Don't buy from a developer unless it is a
genuine closeout. The first timeshare I bought was from a
developer that had sold out his resort and had a few weeks
remaining that he wished to "blow out" so he could start a new
project elsewhere. I paid $1900 for a week that in the previous
year was being sold for $16,000 by the same developer! Don't be
fooled by sales tactics on timeshare tours where they start out
very high on the price and then magically find ways to keep
lowering the price until you feel that it's a deal you can't
refuse. Up to 60% of the cost of a timeshare is marketing costs.
It is not uncommon for a developer to hire a marketing company
that takes 50% of the sale proceeds. Sadly, in spite of promises
made by salespeople, most timeshares resell for 20-50% of their
original purchase price.
Do your homework. Are you seeking to own a timeshare simply for
exchange purposes or do you intend to use the resort? It really
does make a difference. If you are seeking a timeshare for
exchange it is important to understand the rules of the exchange
companies (the two biggest players in the industry are RCI and
Interval International. Each has similar rules concerning
exchanges. As a general rule, last minute exchanges are "first
come, first serve". It makes little difference whether you are
trading an expensive high season week or an inexpensive off
season week. So, that week you buy on ebay for $100 may do the
job as well a $10000 high season week if you have the
flexibility to travel on short notice and choose from a variety
of resorts and areas available.
On the other hand, if you want to exchange into top notch
resorts in high season it becomes more important to own
something that is in high demand. Exchange companies operate
under the principle of "comparable exchange" meaning they try to
match the vacation experience provided by what you own to where
you exchange to. So, if you owned a 2 bedroom, 2 bath condo at a
5 star resort in Vail Colorado in the peak of season a
comparable exchange would be to a 2 bedroom, 2 bath, 5 star in
Cancun, Mexico in February.
In other words, you have to tailor what you purchase to the
vacation experience you are seeking. Read everything you can at
authority sites such as
Where to buy? Two great places to start are
not unusual to find timeshares for under $100. The important
thing is to know what you are buying. Contact the resort and
inquire about the unit and week you are interested in. As the
new owner you are liable for any back taxes, unpaid maintenance
fees and assessments. Do a search on the internet for "timeshare
user groups" and search for the resort you are interested in to
see if there are any problems you should be aware of.
Another source of inexpensive weeks is from homeowner
associations at resorts. Contact resorts you are interested in
and inquire about homeowner association weeks for sale. These
are weeks that are owned by the homeowners usually because they
were signed over to them in exchange for releasing the owner
from back maintenance fees and taxes owed. Usually the
association only wants to recoup the back fees owed and is not
terribly interested in making a profit. See if the resort has a
website for owners. There will usually be weeks listed for sale
there. If there is an owner's forum it will provide you with a
window on how well the property is managed and experiences that
owners want to share.
About the author:
Dan Palmer runs a website where people can list their timeshare
for sale or rent. You can see current listings or place a
listing here: http://www.timesharelisting.net email:
admin@timesharelisting.net
posted by Amigo at 2:55 AM
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