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Timeshare Secrets Those Pushy Salesmen Won't Tell You

A timeshare resort sounds like a pretty sweet deal. You have a consistent vacation home in some gorgeous slice of paradise, and you never have to go through the frustration of booking a hotel room again. Though a timeshare resort can verge on the pricey side, you and your family will always have a place that you can call your own... for one week per year at least! But there are definitely some timeshare tips to be aware of.

Sure, all those positives about timeshares sound ideal, we can't help but wonder: what are some secrets that timeshares are hiding from you? While buying a timeshare may seem like a smart investment, it's actually not an investment at all! Similar to buying a car, a timeshare loses 50% of its value the second that you purchase it. And similar to buying a car, the salespeople you have to deal with, can be pretty shady. Whether it's using tricky language or hiding certain fees so you're more willing to buy, timeshare reps, and time share resale reps are almost as bad (if not worse) than used car salespeople! No one wants to get hoodwinked by a timeshare scam, so be a smart shopper!

Before you decide to commit to buying a timeshare, you really should weigh all of the different pros and cons. Whether this list makes you rethink your decision or has you moving full steam ahead on securing your dream timeshare, we hope you enjoy!
  • Trading Timeshares Isn't as Easy as the Reps Make It Out to Be

    During a sales pitch with a timeshare rep, they'll make it sound like it will be a walk in the park to trade your timeshare unit with other properties around the world. However, it's actually a lot easier said than done; you usually have to pay extra fees to make a trade happen, and, more often than not, a trade isn't possible at all.
  • The IRS Doesn't Care About Your Timeshare Losses

    What a shocker, the IRS doesn't care about your bad business decisions! If you sell your timeshare at a loss (which most people do) the IRS will not let you claim a capital loss, as it would with other real estate investments.
  • Travel Costs Aren't Factored in When Making Comparisons

    When meeting with a timeshare rep, they'll usually try to sell you on how much of a "great deal" timeshares are by factoring in travel costs of your current vacation. However, the reps conveniently forget to include travel costs when calculating the cost of your future timeshare. Pay attention to their calculations, because you might think you're saving when you're not.
  • If You Can't Pay for Your Timeshare in Full, It's Definitely Not Worth It

    Because timeshares lose their value immediately upon purchase, most banks will refuse to provide you with a real estate loan. While they may provide you with a timeshare loan, their interest rates can reach the double digits and most often, are not tax-deductible. When you calculate the cost of financing to the overall cost of the timeshare, it's usually wiser to pay up front in cash, or not buy one at all.