All About Timeshare

Step #1 Understanding fractional ownership. Owning a timeshare property is much like owning a townhome or condo, except that your ownership is limited to a specific time period during the year. A timeshare has a deed and a property description just like any other real estate. It is recorded in the county courthouse just like other real estate, and it requires property tax, insurance, a title, title insurance, and a formal closing like other property. The one difference is that the property description will have a time element included. That is key since if you don't like the time slot, you essentially have to sell your unit and buy a new one to get a different time slot. Two more rules that apply to real estate may be important here. First, understand that nothing that the salesperson tells you is binding since in real estate, the only thing that matters is what is in writing. Second, since these purchases are legally recorded, they are very difficult to undo. Step #2 Red, blue, a...

1. Timeshare Salespeople Are Notorious for the Hard Sell Many people go to timeshare presentations with no intention of buying a timeshare. Often, they want the promised free round of golf, spa treatment, or restaurant meal. Unfortunately, some of those folks walk out of the presentation as timeshare owners. Other people might go into the presentation thinking they might buy a timeshare, but get pressed into signing a contract without carefully weighing the pros and cons or assessing the total cost of timeshare ownership. Depending on where the timeshare is located, if this happened to you, you may have a right to cancel the contract if you act quickly. 2. You Are on the Hook for More Than Just the Mortgage Payments If you cannot afford to pay cash for the timeshare, you’ll have to get a mortgage. But read the fine print of the timeshare contract – you’ll be responsible for other costs in addition to the mortgage. In most timeshare contracts, you will be liable for special assessment...