When timeshares were introduced, they were packaged in a manner that made them sell fast but as time went by and analyzers dug into the issue, the bad was exposed. Timeshares have major problems which can’t be ignored. You are probably going to focus on the amount you will pay for the timeshare but you will later realize that there is a mandatory annual fee to be paid on annual basis. Some people pay as high as one thousand dollars for timeshare maintenance or even more. This fee is to be paid whether you use that timeshare or not. This cost will keep on piling and eventually, you will have used a lot of money. If you found another investment opportunity to channel the money through where you can earn interest it would be much better. When you go for a hotel instead, you may not even spend one thousand dollars in a year. The contracts are usually indefinite which means you won’t get out easily. You will be taking a huge risk financially if you decide to commit to payment of maintenance fee for as long as you are alive. In case you do not want to go on vacation you can opt for points but they are too low to the point that you cannot even buy something significant with them.
Timeshares tie you to a particular vacation location and you won’t be happy going to the same point over and over again. When you ponder the thought for a while, you will be better off paying for accommodation in whichever place you go to. Since there are many people with timeshares, you are not just allowed to drop in at any point and if your slot passes you have no other option to wait for the next year unless you are willing to pay for the full amount. There is no point in having timeshares if you cannot use it whenever you wish. You can’t be sure when your vacation will be because things might change. Timeshares cannot be considered as investment opportunities because the returns are a big joke. This arrangement only benefits the salespeople and those who own the resort. Just like a new car starts depreciating in value the moment you drive it home, so will the timeshare units. This is because the initial cost includes the giveaways, incentives and sales presentation. When timeshares are presented to you during a vacation, your defenses will be down and you are likely to give in.