Timeshares are a common vacation lifestyle product. They allow you to stay at a resort for an increment of time each year. Some timeshares offer a number of benefits, such as exchange and loyalty programs, but they also come with some serious drawbacks.
1. You can’t get rid of a timeshare once you buy it.
Once you buy a timeshare, you’ll have to pay yearly maintenance fees for as long as you own it. This is a hard commitment to make, especially if your financial situation changes.
2. It’s a good idea to run the numbers on a timeshare before you decide to buy one.
Timeshares depreciate in value quickly, so they’re not a good investment if you plan to use them frequently. They also add travel costs and maintenance fees to your budget, making them an expense you’ll need to keep in mind when planning a trip.
3. Getting out of a timeshare is very difficult and expensive.
Once you own a timeshare, it’s almost impossible to sell it on the open market or even to a family member. This is because it’s a deeded property, meaning you own a share of the property. This means you can’t give it away or sell it for less than the amount you paid for it.
4. They’re not a good deal for everyone
When you are looking at buying a timeshare, be sure to check your finances and figure out whether it is something that you can afford. This will help you avoid being talked into a purchase that is not right for your situation.
5. They’re a high-pressure sales tactic
A timeshare presentation is an intense, well-oiled, high-pressured sale machine. It’s designed to prey on people who are misinformed and easily persuaded. This is why it’s important to prepare yourself and know what you want to hear before you go into the sales pitch.
6. You’re not the only one who doesn’t want a timeshare
It is not unusual to hear stories of people who went to a timeshare presentation and decided they didn’t like it, but were then pressured into a purchase. Many times, these people end up with a heavy burden on their shoulders, and can’t afford to continue paying the yearly fees.
7. It’s very common to be pressured into a timeshare by a slick salesperson who tries to make you think that it’s a great deal.
The best thing to do when a timeshare presentation is coming up is to have an honest conversation about your finances. Discuss how much discretionary spending you have in your budget, and what percentage of that amount you can spend on vacations. This will help you understand how much you can spend on a vacation that you’d be willing to forgo to stay at a timeshare, even if it was the best deal in town.
If you are unsure about a timeshare, consider renting one or two weeks for your first test drive. This way, you can see if it is a good fit for your needs and preferences.