Timeshares. They can help create generational memories for you and your loved ones.
If you enjoy a specific location or specific lodging, this allows you the opportunity to enjoy it every year.
Plenty of Americans do this, with nearly 10 million of them owning timeshares. However, you will need to be prepared to pay because the average timeshare purchase is over $24,000.
If you are someone that is thinking about buying a timeshare, you may not even be aware that there are different types of timeshares out there.
Which one is best for you? This guide will help you review your options.
One type of timeshare that you can consider getting is a deeded timeshare.
The big benefit for you with this option is that you will get to own it forever as long as you keep up with the maintenance payments and other obligations. However, as long as you are still alive, you get to come back to your same timeshare every year if you so desire.
With this type of timeshare, you also have the right to give it away to other people. An example would be if you want to sell the week one year because you can’t make it or you could use the extra cash. In that situation, you have every right to sell your timeshare week for that year.
One other thing that you are going to want to consider with this is the possibility that you may want to pass the timeshare down to your children and grandchildren. If you have a deeded timeshare, this is one of the only timeshare arrangements where that is possible.
The average inheritance left to kids is just over $46,000. Even if your kids do not want to use the timeshare for themselves, it could be an opportunity for them to make some money either by selling the week every year or by selling the timeshare outright.
This can be a great option for those that see this timeshare as part of their family for generations to come.
Right to Use Timeshare
The right to use timeshare is similar to the deeded timeshare in terms of operational use. Essentially, the person that has this has the right to use the timeshare at a dedicated week each year. They divide that right typically among 52 people who each have a week in the calendar year that they are allowed to use the timeshare.
However, there is one big difference with this type of timeshare compared to a deeded timeshare. That difference is that you do not own this one in perpetuity.
What this means is that at some point, your rights to use this timeshare are going to expire. This arrangement is treated as more of a long-term lease than outright ownership.
The good news is that despite your rights have an expiration date, they will still last decades most of the time. So, you could still have rights to this timeshare for at least 30 years. Some places may even extend this to close to 100 years.
This one is arguably one of the preferred types of timeshares out there. The reason why is that this type of timeshare gives you more flexibility.
How this works is usually, a larger hotel chain will offer this to you. That is because they are more likely to have multiple properties where you can use this timeshare.
What you will do is you will select a home property to base this timeshare around.
For example, let’s say that you want to stay at a Miami property yearly. However, this company may also have a property in Hawaii that you may want to go to one year.
Well, with this type of timeshare, you can go to the Hawaii property at little or no cost to you.
What happens is that you are given a certain amount of points to use every year based on your plan and what your home property is. However, you do have the option to build points towards a different property in this arrangement.
So, what this type of timeshare does is it gives you a full commitment to a home property while leaving the door open to change things up and go to a different property once in a while.
Floating Week Timeshare
Another type of timeshare that may catch your eye is the floating week timeshare. This is another type of timeshare that promotes flexibility to the person that owns it.
How it sounds is exactly how it works. Basically, you will have one week dedicated each year to use that property how you see fit.
However, the beauty of this arrangement is that you would not be tied down to a specific week every year. This option allows you to choose a different week every year if you so choose.
Some policies are more flexible than others about this, but you typically get to pick from any week in a given season.
For example, let’s say that you have a floating week timeshare that you want to use in the summer. You may typically use this week at the end of August, but you may decide that you want to use it on the 4th of July one year.
In this situation, you would be able to change weeks as long as you claim the week that you are desiring before somebody else swoops in and takes it. So, if you are someone that will likely want to change weeks regularly, this may be the timeshare plan for you.
Fixed Week Timeshare
In contrast to the last timeshare, this one provides a lot less flexibility. However, as a pro, it does give you a lot more stability with your timeshare.
The way this one works is that when you sign up for a timeshare, you are locked into the same week every year for as long as you have the timeshare.
This can be great for those that want to lock in weeks that are in high demand. An example could be the 4th of July or Christmas week. With this arrangement, you will never have to worry about losing a week as valuable as that.
The con is that you can’t use the timeshare at any other time of the year. So, if you are a group that likes to change up their travel arrangements more frequently, this may not be the best option for you.
Let’s say that you are a group that is not thrilled at the idea of having to commit to the same timeshare or group of properties every year. No problem, because this arrangement allows you to have a little less commitment.
How this one works is that instead of having the timeshare every year like the other arrangements above do, you would have this one every other year. This can be very appealing to those either looking to save money on a timeshare or those that like to travel around to other destinations.
A biennial timeshare can give you the flexibility of taking your vacation somewhere else every other year while having the stability of one location every other year.
This can be especially important for those that have limited vacation time. The average American may only get 10 vacation days per year, so find the best way to use them.
Finally, for those looking for a bigger piece of the pie with a timeshare, this could be the best arrangement for you. This is because, unlike the traditional arrangement of owning one condo or one apartment on the property for one week per year, you can take on a bigger role.
An example could be if you want the property for an entire month out of the year, this type of timeshare can make that possible. It can also apply to certain locations where you get to have more rooms or more condos in a building for that week you have the timeshare.
Anyone that is looking for a bigger commitment should take a serious look at this type of arrangement.
See the Best Types of Timeshare
These are some of the most popular types of timeshare that people consider using. Which one is right for you depends on your situation.
Do you want to have the stability of being locked into the same week and same place every year? Do you need more flexibility? Do you need less commitment? Or do you need a bigger piece of the pie?
You may end up getting one that you need to back out of. We can help you with that.
Message us to see how we can help you with this situation.