Buy a Timeshare Using a Licensed Resale Broker

If they are bought on the resale market, then yes, timeshares are worth it. The problem is that consumers often don’t realize there is a resale market for timeshares until after they have bought from a developer at a resort. But you are reading this now, hopefully before you chose to buy at a resort, so you can see how much money you can save by buying resale.

Timeshare prices at the resort include sales commissions and marketing costs that can add up to as much as 60 percent of the cost of a timeshare. When you buy from an existing owner on the resale market, those overhead costs don’t exist. Since the average cost of a week of timeshare at a resort is about $23,000 according to ARDA, there are thousands of dollars that can be saved when buying on the secondary market.

Let’s use the above numbers as an example and estimate a timeshare for sale for $9,000 on the resale market. The average annual maintenance fee is about $1,000, so over a 20 year period the annual cost of a vacation week would be about $1,450 or about $207 a night. Obviously this doesn’t factor in variables such as the size of a unit, resort location, etc., but it does give you a gauge of how the comparisons could break down compared to a hotel stay. A night in a decent hotel room at a nice destination will set you back at least $200 a night and much more. So why cram the family into a hotel room eating take-out on the bed when you could have a condo-style unit with bedrooms and a kitchen for the same money?

The key factor is use, since some people buy timeshare and don’t use it every year. Unexpected factors can come into play, but many of today’s programs allow for usage to be punted into the following year if it can’t be used in the current year. Everyone should take a vacation getaway at least once a year, so wouldn’t you want a program with great accommodations and amenities in a fun destination?

Timeshares are definitely worth it – but remember to buy a timeshare as a resale and reap the savings.         

There are a few ways to purchase a timeshare, but some will cost you more money than others.

If you purchase through a resort, you will pay more just because of the sales agents and marketing overhead involved in getting you to the resort in the first place to hear the sales pitch. You would take a tour of the resort, listen to the options and sign a deal at the resort to buy into the resort or points program that is being offered.

The other options take place on the secondary market. One would be purchasing a timeshare on your own and the other would be using the services of a licensed brokerage firm.

Many consumers start out at the resort listening to the presentation, then go online to see how the resale prices stack up against the resort prices. Once you see how much money can be saved as a resale, you can look up the options for the resort and see what is available.

You can search yourself, find a timeshare, make an offer and negotiate the sale yourself. Once you agree to a purchase a timeshare, a purchase and sale agreement would be signed and the deal sent to closing to conclude the process and transfer the timeshare from the existing owner into your name. Then you’ll be able to use the timeshare according to the specifications of the agreement with the resort or program. 

When working with a licensed brokerage such as Timeshare Broker Associates, you can have an agent help you throughout the process. Just searching for the right timeshare can be time-consuming, much less dealing with the negotiation and the paperwork.

Agents are licensed real estate agents that are licensed by their respective states. You would begin by telling them what you are looking for and they’ll search to present you with options, much like a real estate agent would when looking for a home. In this case, the process would preferably begin over the phone and conducted online, with the agent handling the paperwork and facilitating the use of a closing company. You would just sign the necessary documents, provide a deposit and the balance when needed, and you’ll be a timeshare owner.

Depending on the resort or program, the entire process can take between 30-90 days from start to closing. Since timeshares are primarily a product that is used months after a reservation is made, this allows plenty of time to secure the purchase and plan for your vacation.

This depends on the type of program. Traditionally, a timeshare works on a weekly basis, meaning a buyer purchases a week of timeshare at a specific resort. This is referred to as a fixed week, and the resort ownership is divided up between all of the owners who buy weeks of timeshare. You would vacation at your unit during the same week every year, with many resorts also offering a float or flex week option which allows for the week to be booked within a given season or limited timeframe.

Fixed week ownership is effective for owners who want the certainty of vacationing at a specific time of year, such as summer on Cape Cod or Christmas in a Hawaii timeshare.  

Points programs have given timeshare ownership a significant boost, with the buyer purchasing points to use at a given resort or within a network of resorts offered in the program. The points can be deeded to a specific resort or sold on a right-to-use basis, but they are essentially a form a vacation currency used to book a stay at a resort.

A package of points are bought, with a certain number of points needed to stay in a resort. The needed amount of points varies depending on the time of year or size of unit. For instance, for the Wyndham Bonnet Creek resort in Orlando, a 2-bedroom unit would require 224,000 points to stay in March but only 112,000 points for a September vacation. A buyer needs to make sure they purchase enough points to cover a stay at their favorite time of year in their desired unit size.

This is the big question, since the cost to buy a timeshare varies significantly depending on where the timeshare is purchased.

Buying a timeshare at a resort through the developer is the most expensive method, simply because the overhead costs involved in getting you to the resort is expensive. Resorts prices can have 50-60 percent of the cost covering commissions and marketing expenses, which is why the average developer price of a timeshare is nearly $23,000. That’s according to the American Resort Development Association.

On the other hand, there is the timeshare resale marketplace. Current owners sell on the secondary market when they want to opt out, so there are significant bargains to be had. Resale timeshares can go from $5,000 upwards, with many asking in the $10,000 range. Because of the variety of resorts, locations and unit configurations it is difficult to give an exact average resale price. The affiliated brand also makes a difference, since Disney timeshares tend to hold their resale value better than just about any other brand in the industry.

The best way to check out the cost to buy a timeshare is to do a search for your favorite resort or destination and see what owners are asking for their timeshares for sale.     

You can but that is usually dependent on the resort or the financing available. Most people who buy timeshare through the resorts finance their purchase at the resort and pay monthly for a timeshare as they pay off their mortgage.

Most resale timeshares are purchased in full at the time of sale, but there is resale financing available as well. Some consumers buy a timeshare using a credit card, which would be another way to pay monthly but you’d be dealing with the high interest rates.

Not if they are bought on the resale market and used properly. Owners sometimes think timeshares are a waste of money because of what they have initially spent on their timeshare, but buying on the resale market can save a buyer up to 70 percent off the cost of buying at the resort. Since the average price of a timeshare is about $22,900, that’s thousands of dollars to be saved by buying on the secondary market.

The whole idea of buying a timeshare is to use it for an annual vacation, so if an owner doesn’t use it each year, or doesn’t understand how to exchange it, then that can be a problem. The programs and products available on today’s timeshare market have enough flexibility so that an owner can either forward usage into a future year or exchange it for use at a time of year that may be more convenient for the owner.

Resorts and managers of points programs understand that circumstances can arise occasionally which may make it difficult to use a timeshare during its originally intended timeframe. But staying in communication with the resort or management company, and understanding how exchange works, can make it easier to use your timeshare.

When you prorate the amount of money spent on a timeshare resale, even including annual fees, over a 20-year period, you’ll find it less expensive or comparable to a hotel stay every year. Since timeshares come with upgraded amenities, living rooms and separate bedrooms, vacationing in a timeshare over a cramped hotel space is anything but a waste of money. 

This depends on which timeshare or points program you purchased. Most timeshares are bought in perpetuity, which means you own them until you sell or otherwise transfer them to a new owner. Resorts and programs run by hospitality providers such as Wyndham Vacation Ownership, Hilton Grand Vacations and Diamond Resorts have programs that offer to take back timeshare ownership if certain criteria are met. This could also limit the time of your ownership.

Companies such as Disney Vacation Club offer timeshares on a limited timeframe of ownership, so the original owner may have bought a timeshare on a 50-year use agreement. When they sell, a new owner could buy a timeshare for the remaining years left on the agreement. Disney would then give the owner the option of adding more years to the agreement. Other operators such as Mexico timeshare resorts offer right-to-use ownership on a limited-year lease arrangement which provides a specific year when the ownership ends.

Taking about the best timeshare for a specific buyer is like asking you to pick your favorite grandchild – they all have their great features and qualities. The real issue is what kind of vacation activities you are looking for and what type of resort amenities you need at a price point that works for you.

For instance, if you are an avid skier, then a week at Myrtle Beach may not be the best timeshare destination for you. This also lends to discussing programs such as Marriott Vacation Club or Club Wyndham, since those programs offer a network of resorts with a variety of destinations to select from when you want to vacation.

Vacationers tend to be more familiar with hospitality brands such as Marriott, Hilton and Hyatt, so timeshare buyers may tend to gravitate towards timeshares affiliated with those brands. Nearly every major brand has a timeshare component, whether it is Disney, Diamond, Westin, Sheraton or those previously mentioned. The level of quality combined with the options for a variety of vacation experiences and unit choices tend to move buyers toward products affiliated with those brands.

Other programs such as those run by Capital Vacations, Bluegreen Vacations and Westgate also offer significant value as resales. Westgate, for example, operates the famed Westgate Las Vegas Resort and Casino, which is one of the very few timeshare resorts in Vegas with an onsite casino and entertainment venue. Details like this can make a difference, so you can reach out to our licensed agents at 877-624-6889 if you have any questions regarding specific programs.

A vacation club is similar to a timeshare but not exactly the same. Both offer shared ownership vacation accommodations in resorts at top vacation destinations, but there are differences in the way they operate.

A traditional timeshare primarily offers a fixed week of usage in a specific resort during the same week or time of year every year. While that can give the owner certainty for vacations in time-restricted destinations such as summer in Ocean City or a ski week in Park City, the lack of flexibility can be an issue.

A vacation club operates more like a travel club, even though many clubs sell products that are deeded to a specific resort. Clubs offer points packages that are deeded to a specific “home” resort where you would have benefits such as an early booking window to stay at your home resort. But these programs also offer the chance to use those points at other resorts within their networks. As an example, this could provide an owner who purchased points connected to Wyndham Bonnet Creek resort in Orlando with the opportunity to also use those points on a ski vacation at Wyndham Park City resort.

Both a vacation club and a timeshare have their strengths and weaknesses, so a lot really depends on the way you vacation and the type of destinations you prefer.     

That’s easy – you can buy a used timeshare right here at Timeshare Broker Associates. Used timeshares are more commonly referred to as timeshare resales or resale timeshares which comprises the secondary market where existing owners go to sell their timeshares.

These previously owned timeshares are promoted online through websites such as ours or a number of industry-specific timeshare sites. Owners advertise their timeshares for sale or list them with a licensed brokerage firm such as ours and our agents work on the owner’s behalf to find a buyer for them.

If a buyer sees a timeshare they are interested in, they can place an inquiry or an offer on it and the negotiation begins until both sides agree to a price. Paperwork is signed, the deal goes to closing, payment is made and the timeshare is transferred into the buyer’s name.

For buyers who don’t have the time to search for their desired timeshare, they can contact us and our agents will search to find the timeshare for them. To start the process, you can contact us and let us know what you’re interested in and we’ll go over the details with you at your convenience.  

Commission only, paid by either buyer or seller. Commissions may vary depending on a number of factors, including the resort, location of timeshare. The percent is typically higher than residential real estate due to the nature of the product.

Developer's right to buy back the interval. Developer replaces the buyer but terms of the contract remain the same. ROFR fluctuates from developer to developer depending on a number of conditions, including contract terms and market conditions.

Closing costs vary based on the title company, resort, contract terms and if insurance is needed. Typically buyer's responsibility unless negotiated otherwise and varies from $300-$750. Some resorts or regions require additional fees which can increase closing costs to well over $1,500.00.

Closings for timeshares typically take some time to complete. A general average is 90 days, but some closings will take longer. Some of the reasons for the delay include waiting for a response from a resort on a ROFR request (this can take up to 30 days), completing a title search, documents being signed and returned in a timely matter by both parties and some counties do not allow for electronic recording of deeds, which delays the process.

This depends on the developer. For most resorts, there is no difference. However, larger developers, such as Disney and Marriott place restrictions on benefits that will not transfer to a buyer on the resale market.