Timeshare Council » Purchasing

Fixed Week or Floating Week?

Time Share Advisor — Sat, 24 Sep 2011 14:22:42 +0000

Purchasing a timeshare for the first time can be very confusing. The timeshare industry seems to have a language of its own, and many people tend to feel a bit overwhelmed when it comes down to deciding whether to get a fixed week or a floating week. There are several factors to consider when deciding to go with a fixed or floating week, for they both have their advantages and disadvantages.

With a fixed week, you must plan on vacationing at the same time each year. The weeks you buy, coincide with the calendar year. Therefore week 6 would be in February and week 51 in December. Of course the dates would slightly vary each year, (by a few days) but your fixed week would fall around the same time each year. If you and your family like to travel to Mexico every Thanksgiving to get a break from the bitter cold winter and take advantage of the warm sun and sandy beaches, then buying a fixed week timeshare in Playa Del Carmen would be a great idea. The best fixed weeks to own are holiday weeks such as Christmas, Easter, New Years or in March during popular Spring Break times. High season weeks are very desirable therefore their exchange value will be high. Fixed weeks are great for families who like to plan their vacations around their children school breaks, a skier who likes to take advantage of the fresh powder every January in Aspen or a couple who enjoys spending their anniversary in Hawaii.

A floating week does exactly that, it floats. The biggest benefit in owning a floating week is that there is more flexibility in the dates that you want to go. Although at first it seems like the best deal, often times there is little to no availability during the high season weeks because they have been taken up either by the early bookers or the fixed week owners. To guarantee availability for your floating week you must book your vacation fairly far in advance. Floating week owners at some resorts are able to pick any week out of the year, though at others you have to choose from a group of weeks during a particular season. Floating weeks work best for people who have a great deal of flexibility in their schedules and those who do not like to plan their vacations a year in advance.

Whether you choose to go with the fixed or floating timeshare week, depends greatly on your lifestyle and career. If you have children and like to plan your vacation during their Christmas break every year, then a fixed week may work better for you. However if you have a hectic career, where you can not get the same time off from year to year, then a floating week would much better suit you. So before you go ahead and pick the fixed or floating week, make sure that it will indeed fit your lifestyle.

10 Things You Should Know About Timeshares

Time Share Advisor — Thu, 22 Sep 2011 03:28:34 +0000

Understand the contract.
It is easy to sign a timeshare contract, but it may be hard to get out of one. Make sure you understand all of the terms. When do you get to use the property? Do you get the same property every time? What is your yearly total cost of ownership? Are there set dues and fees? How much can the dues and/or fees increase each year? Who manages the property? Who do you contact with contract questions?
Walk away from high pressure sales.
There are good timeshare deals, and there are timeshares deals that require high pressure sales. Walk away from a sales pitch if you feel pressured to make a decision on the spot. The last thing you want is buyer’s remorse after signing a binding contract. You should also research the company you are doing business with, or at the very least check their rating on the Better Business Bureau. Walk out the door if the word free comes out of a sales persons mouth.
Location, location, location
If you want to trade, you need a desirable location. You will probably not get the best trades with Vegas or Aspen in the summer.
Timeshares are not investments
The stock market is for investments, timeshares are for vacations. The value in a timeshare is the quality of your vacation. You should feel good about breaking even, should you decide to sell your timeshare. You can rent some timeshares, but again, feel lucky if you break even.
Maintenance fees
All timeshares have maintenance fees. You will pay an annual fee, even if you do not use the timeshare. Read the contract, and make sure you understand the terms of the maintenance fees.
Exchanges
You may never tire of your timeshare if it is in a desirable location and time of year. You may have the option of exchanging your timeshare through a timeshare exchange broker should you want to explore other locations.
New or resale
You can save a considerable amount of money by purchasing a timeshare from a previous owner, maybe even 50% or more.
Fixed week vs. floating week
Fixed week means that you get the same week every year (IE: 4^th of July). Flex week means that you can claim a week within a range of weeks.
Taxes
Any profit from the sale of your timeshare is taxable. Selling at a loss is typically not deductible.
Donating a timeshare
You can donate your timeshare to a charity

What is the difference between owning a timeshare and fractional ownership?

Time Share Advisor — Mon, 03 Jan 2011 18:13:30 +0000

With a timeshare you purchase rights to use the property, typically on an annual basis. There is a recurring, and predictable, cost associated with timeshares in the form of maintenance fees. The fees are paid to either the developer or an HOA that manages the property. Timeshares offer ownership without the worry and effort of managing typical burdens of owning a property.

Fractional ownership is used for houses, boats, airplanes, and other big-ticket items. It is also used for vacation property as well. Some think of the fractional ownership concept as the grandfather to timeshares. The main difference is a group owns a property together. The number of owners and terms of the agreement determines who gets to use what and when. Some would say the fractional concept is a better option than timeshares. The main problem with the fractional concept is: What do you do when owners stop paying their fair share? When owners stop paying it can put an unfair burden on the other owners in the group to keep up with maintenance and upgrade bills. If there is not enough being paid in then things can get neglected fast.

Like everything else however, I think you need to look at your own circumstances. Do you really want to commit a large amount of money to the same vacations for several years? Does having access for the time offered work with your desires and time off? Are you able to deal with terms at the contract end? These are some of the things you need to consider in making this decision. Read the agreement and all other documentation very carefully, and then review with your attorney!

Benefits of timeshares

Time Share Advisor — Wed, 10 Nov 2010 02:25:48 +0000

Timeshares have a bad reputation. The bad reputation comes from high pressure sales tactics that push timeshares on buyers who are not a good fit. Timeshares do not work for everyone, for some it is the only way to vacation. Timeshares work well for those that vacation frequently (more than twice a year), travel in a group, and desire accommodations similar to home.

Timeshares are a financial obligation. Timeshare owners pay an annual maintenance fee, even if they do not use their week. Timeshares do not work well for those who may have difficulty paying a maintenance fee and vacation costs (transportation, food, entertainment, etc) on an annual basis.

Timeshares are often condos. They typically include multiple bedrooms, a kitchen, and a family room. A timeshare usually offers more space than a hotel room in the area. They can offer the comforts of a home on vacation. Timeshares work well for families, or other large groups. Preparing meals in a full size kitchen can offer families substantial savings when they vacation at a timeshare.

Timeshares can also provide accommodations globally. There are numerous exchange programs that facilitate exchanging weeks owned at one resort for weeks at a comparable resort. Exchanges can enable a timeshare owner to vacation in the mountains of Aspen Colorado one year and enjoy the ocean at a Mexican resort the next year.