Q. Why should I purchase a timeshare and how does it work?
A. Buying a timeshare means that you can use otherwise spent vacation dollars on an interest in vacation real estate which will serve your vacation needs for as long as you wish. Timeshare weeks can be reserved at your home resort or can be traded to vacation at other resorts through an exchange company. Here are some benefits to owning timeshare:
- You will have guaranteed use of quality resort vacations in the future for yourself and others in your family.
- You will be enjoying some of the finest vacation accommodations available, with larger condo-style units that are much more desirable than the standard hotel room.
- You will have beaten vacation inflation, which means you save money.
- When you rent a timeshare it is subject to availability. Ownership means you’ll always have access to your resort.
Q. How long do I get to stay at the resort if I purchase?
A. Typically the ownership period is one week consisting of 7 consecutive nights. Deeded timeshares are usually sold in intervals consisting of a seven-night stay.
Q. Can I use the resort at other times in addition to my week usage?
A. Many resorts offer additional time when owners can use the facilities at a reduced rate. For instance, timeshare owners living in Denver who own in Breckenridge can often use the facilities of their resort on ski weekends when making a day trip.
Q. Will I receive the major benefits that the resorts are offering if I purchase through BuyaTimeshare.com?
A. Most resorts provide the major benefits to owners who buy timeshare resales, such as access to all resort facilities. However, it is always best to check with the owner and the resort to verify the benefits which transfer and whether some do not transfer.
Q. What is a Gold Crown resort?
A. The top rating given to a resort in the Resort Condominium International (RCI) system.
Q. What does lockout mean?
A. timeshare that is divided into two separate living spaces with two separate entrances, but allowing for full use through a connecting doorway if desired. An owner of a lockout timeshare will usually have the option of renting out the additional living space if they don’t use it and “locking” the common doorway while retaining privacy. Lockout owners can usually exchange one week for two weeks in a smaller unit through their exchange company.
Q. What is a fixed week?
A set time that a timeshare can be used annually.
Q. What is a float week?
A vacation week that can be used during a predetermined time of the year, based upon availability. The week can usually be chosen from a group of weeks within a particular season. Some resorts offer floating week options which can be selected at any time of the year.
Q. What is a banked week?
A week of timeshare deposited with one of the exchange companies, to be saved or banked for use through a timeshare exchange at a later time.
Q. What is a point system?
A. Time share points are a type of vacation currency which are assigned annually by a resort or club and can be redeemed for daily stays, weekend getaways, full week stays or other products. Additional points can be purchased but usage varies from resort to resort. Exchange companies also offer points programs, but these are separate from a traditional point system offered through companies such as Bluegreen or Disney Vacation Club.
Q. What is red, white-yellow, and blue-green time?
A color-coded system used for rating the desirability of a timeshare week during a particular season of the year. Red is considered the most desirable, followed by white and yellow. Blue and green are considered off-season.
Q. What is involved in buying a timeshare?
A. When a buyer is interested in buying a timeshare through BuyaTimeshare.com, they will place an offer on a property through an advertisement on our website. The offer will then be submitted to the owner, who will either accept, decline or counter the offer until an agreed price can be negotiated between the buyer and owner.
If the owner has elected to use the services of a licensed real estate agent, then the prospective buyer will be contacted by that agent who will handle the negotiation process on behalf of the owner.
Once the negotiation process has been completed and a price has been agreed upon, either directly or through an agent, the sale will then proceed to closing. At this point, a buyer working directly with an owner will likely need to find a company to handle the document preparation such as the purchase and sales agreement. The buyer can use one of our affiliated brokerage companies, Gateway Timeshare Resales or Timeshare Broker Associates, to handle this process for a nominal fee.
Owners who use the services of a licensed agent will have that agent handle this process and, in this case, the agent absorbs the cost.
Q. What is involved in the closing process?
A. When an offer has been accepted, the transaction will be handled by a timeshare closing company, much the same way a home purchase is conducted. Once the sales documents are signed and the sale goes to closing, there are a few areas which could be included in the process:
- Transfer fee – depending on the resort and the ownership type, the resort may only need a transfer fee to be paid for the ownership to be transferred into the buyer’s name.
- Closing costs – these are costs for a closing, or title, company to handle items such as the title search, deed transfer and communication with the resort. Deposits and subsequent payments from the buyer are held in escrow, which is managed by the closing company, and monies are released to the seller once the transfer of ownership is completed.
- Legal fees – in certain states, a legal review is required.
The entire process can take about 4-6 weeks to complete, assuming both parties act in a timely matter. Additional costs such as the document preparation fees and closing costs sometimes come as a surprise to the buyer, who typically pays these fees, so keep this in mind when negotiating with the seller.
Q. Does BuyATimeshare.com recommend a closing company
A. Buyatimeshare.com has researched the various closing companies and recommends Chicago Title and First American Title as two of the most reputable companies in the United States.
Q. What is bonus time?
A. This is when a resort will offer additional weeks or vacation days either at no cost or a reduced cost, usually as an incentive to purchase a timeshare at that resort. Exchange companies also offer bonus time depending on the level of membership or the exchange value of a timeshare.