If you are thinking about buying time share, there are likely many questions that are running through your mind. Buying a time share on the resale market rather than directly from the developer has many advantages, but there are also many differences. Furthermore, you may have general questions about timeshares that have nothing to do with the option to buy timeshare on the secondary market. This page seeks to provide comprehensive and useful info for timeshare buyers, but if you can't find what you are looking for in our resale time share FAQ, don't hesitate to call us at (877) 884-9577 to speak to one of our timeshare specialists!
Many first-time buyers purchase timeshares directly from the resort simply because they are unaware that the same properties are available on the resale market – often for thousands of dollars less. Time share resales are simply vacation properties which had been previously purchased from a resort, and which are now being resold by the current owner. The reason that resale time shares are significantly less expensive is that individual owners do not have to cover the extravagant marketing promotions and commissions that the resorts do. Think of a timeshare like a new car; as soon as you drive it off the lot, its value drops significantly because the dealership marked up the price to cover its own expenses. A time share resale works the same way, except that instead of losing actual value like a car (by adding mileage, wear and tear), the only thing that is different between a resort timeshare and a resale timeshare is the price.
Timeshare ownership is designated by "intervals" – which is why it's also often known as interval ownership. A standard timeshare interval is seven days, and most owners choose annual usage with one interval. Other options for ownership including biannual ownership – which allows the owner two intervals per year – biennial ownership – which entitles the owner to one interval every other year – and triennial ownership – which, while uncommon, entitles the owner to one interval every third year. When most people buy timeshares, they opt for interval ownership, however, other types of ownership do exist such as points-based ownership and vacation clubs.
If you own a fixed interval then your usage always falls during a specific week every year. A week number will designate your particular week (from 1-52). As a fixed interval owner, you are guaranteed your vacation week and unit each year.
Floating weeks, on the other hand, usually fall within a particular "season" or time-frame at the resort that may be determined by the literal season or the demand at the resort. Owners of floating weeks must call their resort during a reservation period, and may choose to reserve any week that falls within their particular season. Reservations are usually on a first-come, first-served basis.
Vacation clubs are very similar to regular timeshares in that there is still a contract and annual maintenance fees (see below). One of the advantages of joining a vacation club – or of buying timeshare resales at a resort affiliated with a major vacation club – is that you can often visit multiple resorts in addition to your "home" resort property. Many vacation clubs operate internal exchange programs so that their owners can visit any resort within their system. Often owners are allotted "points" which can be redeemed for weeks within the club's network. Like normal timeshares, vacation club memberships can be sold on the resale market and rented out with guest passes.
Not all resorts have points programs. If you choose a resort that does offer points, you are allotted a certain number of points per year that correspond to the value of the unit associated with your original purchase. For instance, if you buy time share in a two-bedroom luxury suite during a high-demand season, you will receive more points annually than someone who purchases a studio suite during a low-demand season at the same resort. The more points you have, the easier it will be for you to get the accommodations and weeks you want each year. As discussed above, points programs are most often associated with vacation clubs. Points can be used within the vacation club network or traded through an external exchange company, and they can be purchased on the resale market.
Resort Condominiums International (RCI) and Interval International (II) are the two major timeshare exchange companies. These companies allow owners to trade in their points or week(s) for use within their networks of affiliated resorts – which are extensive. When you utilize exchange companies to trade your points/weeks (fees apply) you have the option to bank them. Once you deposit with the exchange company you usually have about two years to use them. Whether you buy timeshare resales or purchase from a resort, timeshare exchange will be available to you.
Whether you buy time shares directly from the resort or you purchase resale time shares, you will have to pay a maintenance fee (usually annually). The purpose of this fee is the maintenance of upkeep of the individual unit which you co-own, as well as the general upkeep and beautification of the resort and grounds. These costs are split among all the owners of an individual unit as well as all the owners at the resort. Keep in mind when you are searching through our selection of resale timeshares that maintenance fees will vary by resort.
Deeded and Right To Use are the two most common forms of ownership available to timeshare buyers. Deeded ownership means that you actually hold a title, and own a portion of the resort's property. With RTU you do not hold a title; rather, you own only the right to use the property, much like a lease. For both deeded and RTU the owner has the option to sell, donate or bequeath the property. However, RTU contracts usually designate a set number of usage years before the contract expires, a date which does not change if the "property" is transferred to a new owner. Be sure to keep this in mind if you purchase RTU time share resales.
If you have any more questions about buying a timeshare resale, do not hesitate to contact us today. Whether you are interested in buying a time share by owner or you would like the assistance of one of our licensed time share resale brokers, we are standing by. Timeshare resales do not have to be confusing – call us now at (877) 884-9577.
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