Many people do not fully understand what timeshare really is. Such misunderstanding can lead to referring to timeshare as scam when in fact, it is a genuine vacation product that has been serving many families for years. Hopefully, this article will enlighten you about the realities of timeshare.
Timeshare refers to a variety of vacation products whereby you share time at a destination, hotel group or specific property. There are a number of products that fall under the umbrella of timeshare, although the basic concept is that you are buying a second home that you share with multiple owners or shareholders.
Not a new concept
Timeshare companies streamlined the idea of having vacation homes shared by families and friends. This concept is not new since even in the late 1980s, timeshare has been getting more popular. The improvement made by the timeshare industry is getting unrelated parties share ownership thereby providing more options and better coordination. Even the payment system is more organized when you purchase timeshares for your next holiday destination.
How long are timeshares?
When timeshare first started, the first available durations were weekly allotments. This concept was then enhanced with the introduction of fixed week timeshare which allows members to access their second homes the same week each year. This was later followed by floating weeks which members could reserve within particular seasons. The points-based system is another membership option giving more freedom to property owners when it comes to how long and when they want to stay (removes the seven-night limitation).
RCI and Interval International are two companies that emerged to cater to the demand of timeshare owners for more and more flexibility for their vacation home usage. These companies enable timeshare members to swap their timeshare weeks in different destinations in other countries around the world.
Manipulated sales, scams, and unethical behaviors emerged as problems related to the early years of timeshare in the 80s and 90s. These were the results of lenient regulations and irregular guidelines which challenged the industry. At present, stricter regulations guide the timeshare transactions and policies like greater transparency and cooling off periods were made for better services.
- Fixed – This was the first form of timeshares offered commercially. This provided access to timeshare for the same week each year. Having a fixed week is great for those who have specific holiday breaks that is regular each year.
- Floating – This type of timeshare allows owners to reserve weeks during particular seasons according to needs and preferences. For those whose vacations may fall in different days each year, floating timeshare is ideal.
- Points – Purchasing timeshare points gives you the right to reserve different ranges of suites from your home resort or related properties owned by the same chain. More points will give you more opportunities with more flexibility which will allow you to spend shorter or longer times at your timeshares, removing the one-week restriction.