Timeshares - good or bad idea?

[CaliKid]

....
Not gonna debate the wisdom of buying a timeshare but I think the folks who believe the product is categorically horrible miss the mark by a wide margin.

I agree with you. I know many people that get incredible value out of their timeshares.

It's like debating politics!

 

[Dog]

My parents bought several timeshares during their retirement years (Branson, Wapato Point in WA, Cabo, and Puerto Vallarta). Mother bought another in SF after Dad passed. On the up side, there were several family vacations at Wapato and a couple in Cabo over the years. The Branson and PV timeshares were not used, but they traded points for upgrades in Cabo. Mom spent a lot of time and got pretty good at figuring out trades, points, etc., but she paid extra for RCI and Wyndham programs that allowed her to play with week/points. She traveled until the last 18 months of her life and never did use the SF unit. I was the executor for her "very small estate". The timeshares ended up being the hardest part of settling her estate. I was able to turn back the Wapato unit for a small title transfer fee. After much work the same was true for the Mexico timeshares (both Pueblo Bonito). However, I had to go through probate process in both CA and MO to turn back those units paying attorney and title transfer costs. It was a very stressful time for me as no one in family was interested in taking on any of the timeshare units. Also could not close out probate for estate without unloading the timeshares (unless estate wanted to continue to pay maintenance fees).
I tried donating to charity - none were interested. Looked at possibly selling, but there are already a ton for sale on secondary market. I offered them free to friends - none interested. The estate ended up paying maintenance fees for the 18 months it took to unload the MO and CA units.
Upon reflection, my parents could have traveled quite nicely for the amount they ended up paying for the purchase and maintenance fees. I'm totally turned off of timeshares after having to go through the hell of getting rid of them. Even if you buy the timeshare on the secondary market - how will you get rid of it when you are done?

 

[MooreBonds]

I agree with you. I know many people that get incredible value out of their timeshares.

It's like debating politics!

That's like saying you know people who have returns that handily beat the indexes, year in and year out. Or saying that life in North Korea is great (just as long as you don't mind having your family executed if you somehow are actually able to escape the country) Do examples exist of this? Sure. Are they common? Well, I wouldn't consider 1%-2% as "common". If timeshares were such a marvelous idea for most people, they wouldn't resort to such high-pressure sales tactics and deception, because people would be beating down the doors to buy them up, like Black Friday deals the day after Thanksgiving. Instead, they do not let you out of the contract, even upon your death! Talk about a hard-sale tactic!

 

[athena53]

Even if you buy the timeshare on the secondary market - how will you get rid of it when you are done?

That's one thing I think Disney does right although I'm not fond of Disney: I've read that their timeshares have a limited term, so eventually they belong to Disney again.

 

[bclover]

That's like saying you know people who have returns that handily beat the indexes, year in and year out. Or saying that life in North Korea is great (just as long as you don't mind having your family executed if you somehow are actually able to escape the country) Do examples exist of this? Sure. Are they common? Well, I wouldn't consider 1%-2% as "common". If timeshares were such a marvelous idea for most people, they wouldn't resort to such high-pressure sales tactics and deception, because people would be beating down the doors to buy them up, like Black Friday deals the day after Thanksgiving. Instead, they do not let you out of the contract, even upon your death! Talk about a hard-sale tactic!

I never heard anyone say it was a marvelous idea, it's like buying a vacation home at the Jersey shore or boat purchase, it's more of, "do your research before buying one".

Now I do have one (disney) and I will admit that I never thought about how my sons will get rid of it after I die. LOL, truthfully and I know everyone here will faint, I really don't give a rats patooie. Let's see, kids got bachelor degree with no loan, one kid is going to law school, no loans, not to mention driving around in cars they didn't pay for, annual vacays a few to Europe

along with most likely inheriting a tidy sum of cash at my demise.

LOL, yeah, they are really going to have a horrible time with my estate.

Now we purchased Disney, just got back from a great time at the food and wine festival and maybe DVC is different but they sell out rather briskly and I've never had anyone hard sell me. We go annually, maybe twice a year and my sons 22 and 25 still go, so I thinking when I kick the bucket they won't want to sell it.

I'm not pro or con timeshares, I say pretty much the same thing when people tell me they want to buy a boat or a condo at the Jersey shore do your homework, know yourself and how you travel and don't let the glossy papers do you in.

 

[bclover]

That's one thing I think Disney does right although I'm not fond of Disney: I've read that their timeshares have a limited term, so eventually they belong to Disney again.

Yes you're correct. I own at the Beach Club villas. I think my ownership ends in 2045. I purchased it in 2001. I love it but I'm a Disney phanatic. my goal is to visit ever Disney park around the globe. (LOL, stop laughing)

 

[audreyh1]

My parents bought several timeshares during their retirement years (Branson, Wapato Point in WA, Cabo, and Puerto Vallarta). Mother bought another in SF after Dad passed. On the up side, there were several family vacations at Wapato and a couple in Cabo over the years. The Branson and PV timeshares were not used, but they traded points for upgrades in Cabo. Mom spent a lot of time and got pretty good at figuring out trades, points, etc., but she paid extra for RCI and Wyndham programs that allowed her to play with week/points. She traveled until the last 18 months of her life and never did use the SF unit. I was the executor for her "very small estate". The timeshares ended up being the hardest part of settling her estate. I was able to turn back the Wapato unit for a small title transfer fee. After much work the same was true for the Mexico timeshares (both Pueblo Bonito). However, I had to go through probate process in both CA and MO to turn back those units paying attorney and title transfer costs. It was a very stressful time for me as no one in family was interested in taking on any of the timeshare units. Also could not close out probate for estate without unloading the timeshares (unless estate wanted to continue to pay maintenance fees).
I tried donating to charity - none were interested. Looked at possibly selling, but there are already a ton for sale on secondary market. I offered them free to friends - none interested. The estate ended up paying maintenance fees for the 18 months it took to unload the MO and CA units.
Upon reflection, my parents could have traveled quite nicely for the amount they ended up paying for the purchase and maintenance fees. I'm totally turned off of timeshares after having to go through the hell of getting rid of them. Even if you buy the timeshare on the secondary market - how will you get rid of it when you are done?

This was very valuable! If I ever think of buying a timeshare, this will stop me. You are buying a lifetime of maintenance fees, and then your heirs or estate are also stuck with the annual fees.

I talked to someone in Hawaii who inherited her mother's timeshare in a great location in Maui. So it can work out. But when she is ready to move on, what happens? Tough job, like above.

 

[kcowan]

We had a 30-YEAR TS in PV. We bought fulltime in PV with 5 years to go. We sold the 3-weeks ground floor oceanfront for $4000 just to unload it and avoid its outrageous maintenance fees for another 5 years.

We did enjoy it though (same time next year) and I am sure FIL would have considered it a good lifestyle expense had he lived longer.

 

[Walt34]

Instead, they do not let you out of the contract, even upon your death!

Hmmm. Perhaps I'm mistaken, but in a basic law class many decades ago one of the things taught was that all contracts were void upon the passing of one of the members to the contract.

Why wouldn't that apply to timeshares? Can not the estate executor simply tell the timeshare company that "He's dead, we're not paying" and let them do what they want with the timeshare?

 

[Texas Proud]

I think timeshares are a waste of time and money....


So, to the people who keep saying they are getting a great deal etc. with trading points etc. etc.... that means little to me... back it up with some numbers...

IOW, I have never had a problem booking a vacation in a place that I like for less than what it appears that you are paying for your timeshare... so if it cost more money, it is not a good deal...

 

[MooreBonds]

Hmmm. Perhaps I'm mistaken, but in a basic law class many decades ago one of the things taught was that all contracts were void upon the passing of one of the members to the contract.

Why wouldn't that apply to timeshares? Can not the estate executor simply tell the timeshare company that "He's dead, we're not paying" and let them do what they want with the timeshare?

The difference is that a timeshare is fractional OWNERSHIP, while you are talking about a contract. A timeshare is not a contract, but a fractional ownership of the property that I believe you are (?) officially titled to. Therefore, it is an asset (even though you cannot give it away...just like a toxic waste dump is technically an asset, even though its value to anyone is less than zero....or perhaps some sliver of land that you dont' want, but still have to pay property taxes on). As such, you cannot simply walk from it, as the owner is liable for the property taxes, common fees, etc.

 

[audreyh1]

Hmmm. Perhaps I'm mistaken, but in a basic law class many decades ago one of the things taught was that all contracts were void upon the passing of one of the members to the contract.

Why wouldn't that apply to timeshares? Can not the estate executor simply tell the timeshare company that "He's dead, we're not paying" and let them do what they want with the timeshare?

Because a timeshare is a property and it has a deed.

 

[samclem]

IOW, I have never had a problem booking a vacation in a place that I like for less than what it appears that you are paying for your timeshare... so if it cost more money, it is not a good deal...

Sure, a timeshare owner spends a bit more money, but at least they have less flexibility and more hassles. And something for the kids to remember them by.

 

[bclover]

The difference is that a timeshare is fractional OWNERSHIP, while you are talking about a contract. A timeshare is not a contract, but a fractional ownership of the property that I believe you are (?) officially titled to. Therefore, it is an asset (even though you cannot give it away...just like a toxic waste dump is technically an asset, even though its value to anyone is less than zero....or perhaps some sliver of land that you dont' want, but still have to pay property taxes on). As such, you cannot simply walk from it, as the owner is liable for the property taxes, common fees, etc.

but when the owner dies, the heirs do not have to take the inheritance. guy on my job (and I'm just going by what he told us, so he could have been simplifying it) told us. His mother died leaving a small estate to him and two siblings (estate consisted of her house and her time share with Marriott in Aruba) no one wanted the house nor the timeshare. there estate attorney advised them to elect to not inherit the assets.

house was sold, timeshare went back to the Marriott, life went on. don't know what happens if you have a large estate with assets maybe the timeshare people could come after.

Take this with a grain of salt, this was a workplace story.

 

[Walt34]

The difference is that a timeshare is fractional OWNERSHIP, while you are talking about a contract. A timeshare is not a contract, but a fractional ownership of the property that I believe you are (?) officially titled to. Therefore, it is an asset (even though you cannot give it away...just like a toxic waste dump is technically an asset, even though its value to anyone is less than zero....or perhaps some sliver of land that you dont' want, but still have to pay property taxes on). As such, you cannot simply walk from it, as the owner is liable for the property taxes, common fees, etc.

Ahh, got it. Thanks.

Note to self: Never buy a timeshare.

 

[DJRR]

If you want to do it then I would only buy something that can be sold like a DVC or Marriott.

Satisfied Marriott owner for over 15 years. I don't really track it anymore, but when I did, assuming a 5% return on capital invested my net average per night for a 2bd was ~ $145 a night tax included. Much better than renting from Marriott.com but probably more than trying to rent a private residence or from another owner. Anywhoo it seemed like a reasonable deal to me and I have enjoyed great trips to wonderful resorts with great kids programs, etc. I enjoy the space and never wanted to go through the hassle of private rentals.

It is also a psychological trick - I would never pay $500 a night cash to go beachfront on Marco Island, but I would pay $1,500 in maintenance fees for 6 nights plus my initial capital investment. It is a mind game because the sunk cost is gone for me and it seems like a deal. Maybe not smart, but managing yourself to do what you really want is a trick I have learned that is worth more than a few extra $$$ in the bank.

Bottom line to me is that for what I would spend on a decent car I got to travel where I wanted in style. Definitely not the cheapest way to go but a reasonable value that fits my lifestyle. Combined with the business travel I did with Marriott I have gotten far more out of the system than I would have expected. I am sure others would spend the money on something else but it works for me.

 

[akck]

but when the owner dies, the heirs do not have to take the inheritance. guy on my job (and I'm just going by what he told us, so he could have been simplifying it) told us. His mother died leaving a small estate to him and two siblings (estate consisted of her house and her time share with Marriott in Aruba) no one wanted the house nor the timeshare. there estate attorney advised them to elect to not inherit the assets.

house was sold, timeshare went back to the Marriott, life went on. don't know what happens if you have a large estate with assets maybe the timeshare people could come after.

Take this with a grain of salt, this was a workplace story.

+1

I did some research and you can refuse a timeshare inheritance. Of course, the timeshare managers will deny this. One thing to know is that need to not show any interest in it. This means not paying any bills presented or using the timeshare (i.e., bill paid for that year, so you decide to utilize it). Also, there is a time restriction for starting the paperwork to refuse it.

 

[haha]

There is much to be said for not owning anything. Everything is pretty much a package of assets and liabilities.

An older man I met in my neighborhood sold his condo and moved to an apartment to have fewer liabilities that might under various circumstances affect his life. Another couple had to have a tree removed from the grassy strip between the sidewalk and street in front of their house, the tree was likely planted by the city 50 years ago, but the homeowners were stuck with a big bill. I remember when I was about 15 my Dad was stressing about being stuck with the same thing years ago.

I now own one condo, 0 cars, 0 bicycles. Nothing titles except this condo. Fora while I was on the board here trying to accomplish some truly meaningful improvements. not likely in my lifetime, so I resigned. We have no big or otherwise hazardous trees, no pool, and even the plantings on the sidewalk/street divider strip are young and reasonably sized.

Regarding a timeshare, no no no never!@!

Ha

 

[zinger1457]

I think timeshares are a waste of time and money....


So, to the people who keep saying they are getting a great deal etc. with trading points etc. etc.... that means little to me... back it up with some numbers...

IOW, I have never had a problem booking a vacation in a place that I like for less than what it appears that you are paying for your timeshare... so if it cost more money, it is not a good deal...

If you purchase (resale) at the right place and have some flexibility when traveling it can definitely pay off. I purchased a 2BR at the Westin Kierland in Scottsdale resale many years ago, could easily sell it for at least what I paid for it, maintenance fee is ~$1500/year. This year I traded the small 1BR side for a 1BR (1 week) at the Highlands Inn Carmel in August. Used the remaining points for a 1 week stay in November in a 1BR at the Westin Kierland Scottsdale and a 1 week stay in a 1BR at Westin Desert Willow in Palm Springs. So that's roughly $500 for a one week stay in very nice 1BR units with a full kitchen at 4-5 star resorts. The Highlands Inn is a very nice trade, you might pay close to that per night if renting direct. Have had similar trades at the Four Seasons Aviara and Marriott Newport Coast. In addition I purchased several Getaways for ~$300-400 each throughout the year for 1 week stays at similar resorts to the Westin.