Yeah. We have all done it. We go to the timeshare information meeting not intending to buy a timeshare, but rather we’re there just for the free weekend stay. But if you have the money to go on regular vacations and have the willingness to buy, is a timeshare a good deal? Will it save you money on vacations?
I am someone who has two, yes two timeshares. I am here to share the many ups and the many downs of timeshare ownership.
What is a timeshare?
There are many different plans, but the timeshare is basically one of three categories:
- You buy “points” to be used at hundreds of locations
- You “buy” a room that you can use or trade for another room at hundreds of locations
- You “buy” a room that will be in the same spot every year.
Is a timeshare a good investment?
I am going to be very honest with you. Although I really like my timeshares, it has not always been the wisest investment. In fact it has been expensive – even with the 2-year interest-free payments. However I definitely don’t believe that it was the worst investment decision that I have made either (uh, that is reserved for the pyramid scheme in the 90s! Oi!). It has also played a large part in memories I have had with my family.
How do I pay for it?
Basically all of these plans are paid for the same. If you are lucky enough to be able to pay for it in one lump sum – do that. If you make payments it may span 2 to 4 years.
Also, every year you will pay annual fees as well. Those usually range from $100 to $2000 depending on the size of your points package or room package. Finally, one of my timeshares even has a “room cleaning fee” of $50 every time I book a few days.
Use it or lose it baby!
One of the worst things about owning timeshare is if you don’t use the room or the points, you lose them. It is like getting a really nice hotel room for a week and not staying there.
How easy is it to get my room?
Most places only give you a couple of seasons to choose from. Many times you have to book well in advance. This kind of limits you on your vacation options. However, if it is not a holiday weekend, then there is relatively little issue with getting the room when you want it.
What do I like about it?
The timeshare “forces” me to go on vacation. Sometimes it is hard to get away, and also I am pretty cheap by nature (they don’t call me BudgetQueen for nothing).
What do I love about it? Where to start? I love the giant swimming pools. I love having a washer and dryer in the room so you don’t have to pack as much. I love that the boys get their own room and usually the master bedroom comes with a steam shower, or a jet tub. I love all of the money we save when we can go to the local market or store to grocery shop, because we have a full-sized kitchen.
I loved the room we got in Hawaii that was right on the beach. I also loved when we were encased in snow in our room in Yellowstone and the boys made a giant igloo on the super-sized porch.
The bottom line is that I love vacations. Would I have gone on all of the vacations if I didn’t have a timeshare? Probably not. Have I spent too much money on timeshares? Probably so. If you love vacations too, and sometimes you need a little “push” to go, then a timeshare may be right for you. But make sure to read the fine print carefully.
However you get there, with careful planning, make sure to take those vacations — they will forever be engraved in your children’s memories.
Before you make other investments, make sure that you have emergency savings in a savings account or money market account first!
