When you purchase a timeshare, you’re essentially buying the right to utilize the property for predetermined, limited time. In general, timeshare properties usually include houses, condominiums, apartments, villas, cabins, and chalets in vacation or holiday-worthy locations. Here’s what you need to know when contemplating a timeshare purchase.
Top Considerations when Buying a Timeshare
For starters, from a practical standpoint, you need to figure out whether you’d be able to really use your share of a timeshare property; otherwise, you’d just be wasting your money. Check if the timeshare properties you’re looking to buy allow flexible use plans. If you’re checking out timeshare plans with properties in various locations, you might likewise need to consider whether the resort or club has enough units at the specific sites you’re planning to buy to ensure that you could use your timeshare on your preferred times. Timeshare properties in clubs and resorts are usually on a first-come-first-served basis, timeshare lawyers note.
You could choose between one of two standard timesharing plans, which are non-deeded and deeded plans. With a non-deeded plan, you purchase a membership, license, or lease that gives you use of the property for a predetermined period every year, while with a deeded plan, you purchase an ownership interest in a timeshare property. With both options, your cost would be proportionate to the amount of time and season you want to spend on the property.
Also, you should review the resale restrictions since if you decide to sell later on, you might have to compete with the seller of your timeshare or local agents who might not be willing to include your timeshare in their own listings.
Other Crucial Considerations to Keep in Mind
Before signing your name on a timeshare contract, make sure to review and understand all paperwork, or better yet, have a lawyer experienced in timeshare purchases review it for you. Ideally, your contract should have a cooling-off period provision, which is a set period for when you could cancel your purchase without penalties.
It’s also best that you use this cooling-off period to think about your decision to help ensure that buying a timeshare is right for you. If your contract doesn’t indicate a cooling-off period, make 100% certain that you understand all the terms and conditions of your timeshare purchase before signing.