How to Buy a Timeshare

How to Buy a Timeshare and What are the Benefits of Buying It

This article explains the process of buying a timeshare. It will be useful information, if you love spending vacations with your loved ones at a specific holiday destination.
WealthHow Staff
Last Updated: Jun 3, 2018
Everyone loves a good getaway, where they can enjoy and relax. However, not everyone can afford to buy a holiday house. In such cases, timeshare properties are a great option. They allow you to spend specific time of the year in your dream holiday house, and you do not have to buy the house either.

Timeshare is a piece of property that is owned by multiple partners. These properties are generally found in tourist places, which are endowed with the beauty of nature, such as beach towns and snowfall cities, etc., where people like to visit more than once.

Benefits of Buying It
  • You do not have to pay the entire cost of the house.
  • Timeshare has more facilities than a hotel, and is like a condominium. It generally has 3 - 4 bedrooms with bathrooms, washing machines, swimming pools, kitchen, barbecue grills, and a lot of other home facilities. Unlike hotels, the entire house is yours for those specific days.
  • You do not have to worry about the hotel bookings, and do not have to bear the expenses of staying in a luxurious hotel.
  • If you cannot make for the yearly vacation, you can also treat it like a rental property. In fact, you can rent it at an increased rate and earn some extra income. Many people buy timeshares as an investment and use them as vacation rentals.
  • Most importantly, you can enjoy the luxury of coming back to your favorite holiday destination every year.
  • You know the exact details of the property, so you know what to expect. You can carry different things to the destination and plan your holiday as per your recreational preferences.
Ways to Buy It

You can buy these properties from real estate agents, timeshare companies, or you can directly approach the owners of the vacation homes. It is essential that you do a thorough research before you buy one, so that you are not fooled by the agents. This will also help you to know about the approximate cost, so that you can negotiate well and settle for the best price possible. One of the best ways to go for it is buying it from the current owner. It can save you from high-pressure sale tactics that agents use. You can also save on the money that commission agents generally charge. Apart from this, you can also negotiate with the owner on a personal level, which can possibly prevent you from getting into scams. However, if you have no option, but to take the help of the agent, then go through the legal documents and government regulations carefully to avoid complications in future. According to experts, it is advisable to pay in cash, as you can bargain on the spot and settle for the lowest price possible. Also, check the contract carefully, and do not forget to consult your investment advisor.

Tips
  • You must visit the location before you buy it. See if it is the right spot for you, and whether you would like to visit that place often.
  • Analyze if it fits into your budget and if it's worth buying.
  • Ask the current owners about the facilities available, and if they are satisfied with them.
  • If you are not the person, who plans holidays in advance, then these properties are certainly not meant for you.
  • Check if you can bank upon the unused allotted time period, sometime later in the year. Also, ask for the maintenance charges.
  • Check if the period of ownership is in sync with your holidays, so that you can have a perfect family vacation. So, check for the type of timeshare before you invest.
Follow these tips to make the buying process and transactions safe and sound.