According to the American Resort Development Association (ARDA), almost ten million households in the United States own a timeshare unit as of 2022. The country's two most popular destinations are Orlando, Florida, with over 50 resorts, and Las Vegas, which has more than 30.
Las Vegas is many folk’s favorite getaways. Luxurious casinos, amazing entertainment, and unparalleled dining options keep folks returning to Sin City. Travelers necessitate accommodations, and timeshare companies have presented themselves as a reputable choice. Whether that claim is genuine will be discussed further in detail below.
Timeshares first began in the U.S. in the late 1960s. They offered a new way to vacation that included having a stake in the ownership. Rather than booking a different hotel every vacation, travelers could own a resort unit for a specified week(s) they could use each year. What began as a niche market would soon skyrocket.
By the '80s and '90s, timeshares received significant backing from large hospitality chains. This involvement from familiar corporations bestowed this still-new industry more credibility. Today, the revenue of the timeshare industry is comparable to the music industry and even Major League Baseball.
A timeshare is a vacation ownership product in which multiple parties own the right to use a property for a set time. This ownership is often marketed toward those who love traveling. Timeshare vendors allege a timeshare could be a guaranteed vacation. Or it can be used as an investment, such as rental property. While agreeing to a timeshare purchase, a cooling-off period is available should you change your mind.
A small percentage of timeshare purchases take place on the resale market or as a gift. The majority come on behalf of property developers. These companies encourage potential buyers to attend a sales presentation in exchange for a free or discounted resort stay.
A salesperson's pitch often compares prices to options, such as a hotel. Alas, timeshares may not be the cost-saving alternative. In 2022, the average price of a weekly timeshare unit in the U.S. is $24,140. The average annual maintenance fee is $1,000. Both figures have gone through significant increases and continue on that trajectory.
Before purchasing a timeshare, consider whether doing so is a wise financial decision. Timeshares are not as easy to get rid of as they are getting into.
When approached by timeshare vendors, interested buyers may discover multiple options. While the general use is the same, the long-term effects are the critical difference. Below are the two common timeshare ownerships.
Timeshares are often sold as a deeded property, where buyers receive a title to a specific resort unit. These have typical real estate ownership rights, such as being free to sell, rent, will, or gift the property to others. This ownership is supposed to offer flexibility in usage, as owners can use their units when and how they want or exchange weeks and locations. Still, deeded ownership has restrictions and is unlike typical real estate.
A right-to-use (RTU) timeshare is a non-deed agreement that permits buyers to lease property. These shared leases last anywhere between ten and a hundred years. The unit's title deed remains with the property developer. Therefore, the ownership rights for an RTU timeshare are limited to having the right to use it for a set time.
Nevada is best known for the Las Vegas Strip, the busiest part of the state and home to world-famous casinos. Tourists can try their luck at card games, slot machines, and sportsbooks. Or, explore the entertainment shows, golf courses, and fine dining that Sin City has to offer.
Many timeshare resorts are within walking distance of The Strip. They also provide luxurious 24/7 amenities like in-house casinos, spas, and restaurants. While staying in a timeshare is one way to experience all Las Vegas has, be cautious about purchasing one.
Many former owners find that the disadvantages outweigh the advantages of timeshare ownership.
Be careful if approaching a timeshare as a hospitality option. While they provide several benefits, oftentimes, it has been proven that they take advantage of unsuspecting vacation-goers. Hence, the establishment of the timeshare exit industry.
Wesley Financial Group, LLC* (WFG) is a timeshare exit company assisting buyers who are misled into purchasing. As a pioneer in the industry, WFG’s track record speaks for itself. With over a decade of experience, this reputable company has accounted for more than 30,000 timeshare cancellations.
Contact a WFG representative if you know someone who experienced deceptive sales tactics with a timeshare purchase. Their timeshare termination services may help them achieve financial freedom.