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Before considering the purchase of a timeshare, it is important to understand Timeshare and how does it work. The responsibilities that this purchase would Involve.
A timeshare can be an excellent purchase for some families, as well as a big scam for others. 50 years ago, also known as “Holiday home sharing” or timeshare trips, timeshares have been created with the idea of offering comfortable and fully furnished accommodation at a lower price than a full-time property. Nowadays, a timeshare has become a very popular vacation option, however, many people still do not know how a timeshare works.
When considering the purchase of a timeshare, your first question will most likely be “how does a timeshare work?” Well, the answer can be very complicated, since it really comes down to the type of membership you are considering buying and the terms and conditions of the contract.
Essentially, a timeshare is a vacation unit that belongs to several people. Each unit is divided into weeks, and these are sold separately. Timeshare initially started selling as “timeshare fixed weeks“, but in recent years this has been changing and some other timeshare plans, promotions have been introduced.
- Fixed weeks: This is the most basic program. You can use the unit during a specific week of the year.
- Floating weeks: You can use the unit during a certain season of the year. The first person making the reservation will be considered as confirmed.
- Split weeks: You can divide your week into two or more periods, on different dates
- Points system: You buy a certain number of timeshare points, and change them for the right to use a unit during a certain period. It is more flexible than the system of fixed weeks.
- A timeshare is designed to be acquired for a long period -30 years or more since they can sometimes be inherited by their relatives.
- A timeshare is a very expensive financial commitment!
A timeshare should never be considered a financial investment. Owners of a timeshare have many financial obligations associated with the resort. In addition to the initial payment and the total price of the purchase, there are other expenses that will be charged continuously, such as maintenance fees and special fees, which are prone to increase each year. Another factor to keep in mind is that timeshare does not rise in value, in fact, a timeshare loses around 70% of its value at the time of purchase.
A timeshare can be a great option for specific groups of people with specific wishes in their way of vacationing. There are many timeshare owners who are very happy with their purchase, as they can use their timeshare every year, but there are many They still do not understand how a timeshare works and they feel that the membership they bought was sold based on lies and fraudulent tactics.
Topmost complaints in timeshare :
They guarantee profits through income in the timeshare: During the sales presentation, people are told they will make a profit by renting their weeks, in case the owner can not use the timeshare that year. But the truth is that, once the buyer arrives home, they will be referred to a rental agency that charges a high amount of money in advance in exchange for renting their weeks.
They guarantee the resale of their timeshare: There are people who already have a timeshare and are not interested in buying another. These people are usually told that the resort is going to sell their old timeshare, but after they decide to sign the new contract, and then they are referred to the timeshare resale agents. Here is the list of timeshare companies.
False annuity programs: This is another service that does not exist. The buyer is told that the resort has an agreement with a major bank and this will offer an indefinite income program with which you will obtain an economic benefit.
Maintenance costs increase continuously: the timeshare maintenance Fees are not fixed, in fact, they increase faster than the rate of inflation.
Timeshare Special Assessment fees: In addition to maintenance fees, some timeshare companies also implement special fees, for special projects or to cover unforeseen circumstances.
In recent years, and due to the growing number of complaints and Timeshare scams, it has often been linked to time-sharing with tourist fraud. Unlike traditional rents or hotel reservations, where the client has the option to choose where to stay and how much to pay, a very expensive initial payment is required in a timeshare.
Timeshares are often criticized for being too expensive and for maintenance fees increasing, also the resale of a timeshare is almost impossible. However, what has hurt the industry the most is aggressive sales practices. Timeshare presentation is high-pressure, long-term and deceptive. During a timeshare presentation, it is not advisable to rely on the verbal promises told by the timeshare Specialists, since those promises do not really answer the question, how does timeshare work?
A timeshare can be good for large families who are used to traveling regularly to one place and fully understand how timeshares work, but definitely not for people who like to travel spontaneously and without restrictions.
What happens if you are stuck in a timeshare?
There are a number of solutions, but most of them are not viable. The most effective solution to get rid of a timeshare is by canceling the original contract. The cancellation of a timeshare is an efficient alternative since the owner can cut all the commitments he has with the resort. American Timeshare Solutions is a legitimate company that helps timeshare buyers who feel they were scammed by sellers. and have a free consultation, it’s time to get rid of your contract without having to pay in advance.