How to Buy a Used Timeshare
Timeshares have a certain stigma attached to them. You may view them as a scam or, depending on the details of a timeshare sale, they may well be less-than-ideal real estate transactions. While timeshares can be considered actual real estate, they're often sold in crowded rooms by salesmen willing to say almost anything to make a deal. Used timeshares can often be purchased for a much lower price and without any high-pressure sales tactics.
Other People Are Reading
Instructions
-
-
1
Educate yourself about what a timeshare is and how it works. You need to find out when you can use the timeshare, what privileges come with the timeshare and what's included in being an owner. Knowing what weeks cost more and why is important to knowing what kind of deal you're getting.
-
2
Find out what the timeshares go for or went for new. Used timeshares can go for as much as 10 percent of what the original cost was (the average is about 50 percent off the original price).
-
-
3
Look at used-timeshare listings. Most real estate companies sell time-shares, and there are also thousands of websites that specialize in timeshare sales (you can even find time-shares on sites like eBay).
-
4
Get all the details and fees. Besides paying the initial cost, there will be ongoing costs. Usually the biggest cost will be a yearly maintenance fee that will be raised every few years. Ask if there are other fees to use certain portions of the timeshare, such as trading in the week to a trading company like RCI.
-
5
Decide if you'll actually use it. A timeshare is not a good investment---it's really the choice for a better vacation. You'll usually get a lot more space in a timeshare than in a hotel or resort and for less money. It's only worth it if you plan to use it.
-
6
Get funding. Because of the low price of timeshare resales, you may just want to pay cash. If you're buying a high-end-resort timeshare, you may be paying a lot more money and will need to find a lender. You're probably going to pay personal loan rates that are much higher than those for a house mortgage.
-
7
Try out the timeshare before you buy it. Many timeshare locations will have some units available for rental. Find out what the place is like and talk to other guests to see how they like the place. Pay special attention to what's available in the surrounding area. If there's not much else to do or places to shop, this location may not be right for you.
-
8
Make an offer and close on the deal. The price for timeshares is very fluid---often, most reasonable offers will be accepted. Look into getting an experienced agent who knows the timeshare market to make sure you know what you're getting in the deal.
-
1
