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Why a timeshare is a BAD investment
10 comments. Current rating: 
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Question:
That sales guy told me buying a timeshare is a smart move. I'd get a foot in the hot real estate market and could even make profit renting it out. I'll even imrove my credit history by making regular payments.Answer:
The last part about building credit is true. The rest - in most cases - is not.Facts:
- The developer pays staff (on commission) to lure you into a sales presentation. Who pays that commission? Right, you, the buyer.
- To entice you to listen to their 60 minute presentation, you get a GIFT. That can be a $50 - $150 value, typically some sort of coupons. I've once received $100 in casino money. Let's say 20 people come into that sales presentation - that's $2,000 in gifts. Who pays for that? The one person out of the 20 who signs the paper.
- All the sales people at the presentation wear Armani outfits and drive big BMWs. Who pays for that again? Right, you, the buyer.
- A good investment increases its value or at least holds its value. The sales people will tell you that the price of timeshares has steadily gone up. What they do not tell you is that there are web sites where people *desperately* try to sell their "used" timeshare - typically for 30%- 50% of the "new" price.
I once brought the resale market up when I spoke to such a sales person and they dismissed it as "USED" (as if it was a 10 year old car).
On the right hand side you'll see some ads for timeshare resales at a fraction of what the developer asks for. Go check them out.
At those prices, a timeshare actually may make a lot of sense, depending on your personal situation.
Comments:
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How to cancel a timeshare. We bopuight it on May 3 2006 at 3.00 p.m. at Orlando but we live in Canada.
My e-mail: channan@telus.net | ||
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I just off'd my timeshare albatross with a company called Timeshare Relief. I went every route imaginable to get rid of it but this was the only way I found to get the title completely transferred out of my name and put an end to ever-expanding maintenance and assessment fees. I searched high and low and this was the only honest to goodness way out I was able to find. Good luck to you. I realize you posted some time ago but if your experience is anything like mine I'd guess you're still trying.
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I also got rid of a timeshare with Timeshare Relief. They are definitely worth talking to. You can find them at:
 http://www.timeshar..elief.com/ | ||
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Please give info on validity, and trustworthiness of TIMESHARE RELIEF>
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They have a good rating with the Better Business Bureau of which they are a member. They scored a B, which is high for a new company and is reputable by the BBB standards. So they're reliable as far as the BBB is concerned. Another website you can check out for more information is
http://www.timeshar..group.org/ | ||
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Of course sales guys will tell you timeshares are a good deal. They are...to the sales guys who collect commissions on them. The article is correct in directing timeshare-interested individuals to resale markets, where you can collect a timeshare for a fraction of what any corporate rep will sell it for. But in general timeshares are a bad deal all around.
A few of the other comments mentioned Timeshare Relief. I personally have never gone through them but some friends of my parents found them very helpful. They might be an option worth investigating for those who have no other way out. | ||
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The salient point here seems to be not to believe everything a sales pitch tells you. If you vacation a lot to the same area or would like to try your hand at timeshare exchanges, purchase one on the resale market. There's no reason not to. You'll get the same timeshare (sans the sales pitch) for around a quarter of the price, typically. That being said, be prepared to hold on to your timeshare for a long time, since the resale market is what it is. It's not an investment, people. It's a vacation property.
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There's a lot of misleading information out there about timeshares being impossible to get out of. It's actually more simple than we are lead to believe. I found this instructional video about title transfers, a means byb which timeshare owners who want out can have their deed transfered out of their name:
http://www.vmix.com..o/976089/
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good info
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I almost also got tricked into buying a timeshare a couple of years ago in one of those fancy hotel rooms where a very strong and high pressure sales pitch was done on me to buy a timeshare. I almost purchased one as I travel a lot but at the end, my inner voice of reason got the better of me and stopped me from committing one of the biggest financial mistakes of my life. Thanks God for that! Instead, on my search for an affordable, easy to use and to access vacations, I came accross a friend of mine who was offering a luxury membership which sounded too good to be true. The membership he was offering didnt require a fair initial investment of $10,000 to $40,000 unlike a timeshare; it also didnt have any annual fees, no maintenance fees, no renovations or remodelations fees every few years; it didnt have any restrictions or limits as far as the number of weeks per year I could use my membership; heck, if I wanted, I could vacation upto 52 weeks per year!!! and more incredibly, it would gave me as a member unlimited and unrestricted access to over 5000 4 & 5 star resorts worldwide for life! Plus, there is no need to book months in advance, I could book with as little as 7 days in advance! I could not believe it! This sounded way too good to be true! But because this was a dear friend of mine, I trusted him and purchased my membership right away! Ever since I purchased my membership, I have been extremely pleased with it. The membership is easy to use, the customer service is top notch, 24-7 and responding to emails within minutes! Just an incredible overall deal!Basically, total freedom to travel, anytime, anywhere and have unlimited unrestricted access to over 5000 resorts at a fraction of the cost of a timeshare! Here is the link for more information about this luxurious lifetime membership: www.luxurytravelsforlife.com |
