6 key things to consider before purchasing a timeshare
Timeshare ownership is full of hidden pitfalls. Here’s what you need to consider to ensure you get a timeshare that’s right for you.
For many people, buying a timeshare sounds like a dream, offering the opportunity to enjoy exotic holidays with friends or family each year. However, in some cases, the dream fails to live up to reality and a significant number of owners end up pursuing claims for timeshare compensation.
To avoid this happening to you, there are some key things you need to consider before signing a timeshare contract.
Don’t fall for the hard sell
Timeshare companies are notorious for applying the hard sell, so be on the lookout for high pressure sales tactics. From time-limited special offers, overblown claims, and bombarding you with information, timeshare sales agents have an array of tactics up their sleeve to persuade you to part with your cash. But don’t be afraid to say no and refrain from making any impulse decisions – instead take a couple of days to consider the offer, do your research and carefully read through the terms and conditions. It’s easy to get caught up in the excitement of purchasing a timeshare, but a lot more difficult to escape from a contract.
A long-term commitment
One thing you need to be aware of before signing any contract is that owning a timeshare is a long-term commitment. Many timeshares come with ‘in-perpetuity’ contracts which tie you to the property for many years – and even for life in some cases! And these contracts can be difficult and costly to escape from. Timeshares can also be difficult to sell on, so you could end up saddled with a property you no longer want.
Research the location
A timeshare usually involves returning to the same spot year after year, so you need to make sure that it is a location that you love. Before signing on the dotted line, take the time to do a bit of research – find out what facilities and activities are on offer at the resort and in the surrounding areas, what the cost of living is, what the weather is like, and how busy it gets at certain time of the year. Head online to look at reviews from other holidaymakers and, if possible, try to pay a visit to the specified resort to make sure that it’s the right destination for you.
Know your budget
Before you look for timeshare opportunities it’s important to know how much you have available to spend – otherwise you could get enticed into buying a timeshare that you can’t actually afford. Set your budget from the start and do your best to stick to it. And don’t just look at the purchase price. You will also need to take into account a number of additional expenses such as closing fees, property taxes and ongoing maintenance costs as these can swiftly add up, leaving you out of pocket.
It’s not an investment
Some unscrupulous companies promote their timeshares as an investment opportunity, but there is little, if any, truth to this claim. The reality is that timeshares significantly depreciate in value over time and with so many properties on the market it can often be difficult to find a buyer when you do decide to sell up. If you’re looking to enjoy regular exotic holidays, a timeshare can be a good option, but if you’re looking for a good investment you should probably consider exploring different avenues.
Get professional advice
As with any significant purchase, you should take the time to seek professional advice before signing on the dotted line. A solicitor with expertise in timeshares will be able to look through your contract to identify any potential issues and ensure that it is legal and fair. This will help you to make an informed decision, ensuring that you enter into any timeshare purchase with your eyes wide open.