Timeshares: The Pros and Cons Timeshares

Timeshares are defined as shared property ownerships that are commonly inclined to vacation properties and resorts. It suggests that it simply means that co-property owners are required to invest in fractional asset ownership that is based on the specified amount of time with regards to annual usage of the property. This type of proprietary rights also includes sharing the property costs with the co-owners, which also gives each owner the right to occupy the said timeshare for a guaranteed amount of time. 

As an example, a fifty-two-week timeshare is a vacation property that has a calendar with fifty-two weeks. The deal for co-owners is to fractionally invest in the property that offers a fixed number of weeks ownership. Which means, each owner will have one week of the fifty-two weeks of the timeshare every year. A pretty straightforward arrangement that usually works perfectly. But, no matter the terms presented by timeshares, people will always see the advantages and disadvantages of such proprietary arrangements. 

Pros and Cons A Timeshare Has to Offer

A timeshare is an asset that can be considered as an investment, a property with shared ownership. An arrangement that raises a lot of different opinions, both advantageous and disadvantageous. Making it a tricky kind of investment, due to the benefits and drawbacks it presents. So, investing in such assets requires a lot of consideration. 

The Pros of Timeshares

• Low Cost for Long Term Vacations - Investing in a timeshare is one of the best ways to greatly lessen the expenses. It allows an investor to have the ideal property for a perfect vacation. Eliminating the requirements of booking and paying expensive hotels for accommodation. It is a practical way of investing in a vacation property for a year that is a lot cheaper than booking hotels with expensive rates for a week’s vacation. 

• Offers Privileges to Owners - Owning or renting a timeshare comes with a lot of privileges to make vacations hassle-free. Some of these benefits include first-hand access to various facilities, restaurants as well as amenities. In addition, property maintenance is also on the house. 

The Cons of Timeshares

• Up-Front Fees or Costs of Investment - One of the greatest drawbacks of investing timeshares is the up-front cost or fees for the ownership of the property. Aside from paying for it up-front, the fees of owning a timeshare also varies depending on location. Apart from the price, investing in timeshares also includes its annual maintenance fees and other expenses. So purchasing an ownership can be expensive.

• Challenging Resale Opportunities - Since timeshares have peaks seasons future demands for such properties are very much uncertain, reselling ownerships can be very challenging. As an asset within a tough market, selling or renting timeshares can be extremely difficult.