When you buy a timeshare, you are essentially purchasing the right to use a property during a specific period. If you are thinking about becoming an owner, consider these factors before making the decision to purchase a timeshare.
A timeshare can be a great way to take a vacation each year if you have a large family. Booking a block of hotel rooms can be a costly way to travel with a group of people, but a timeshare condominium typically includes multiple bedrooms and bathrooms, often providing accommodations that are more economical for large families and groups.
Do you have a favourite vacation spot you enjoy visiting every year? If so, a timeshare might be the most sensible way to go. When you own a timeshare, you are guaranteed to have the same accommodations each year without worries of availability or booking costs. If you decide to travel somewhere else instead, many timeshare contracts allow you to occasionally exchange units with another owner so you can visit a new destination.
According to Ontario's Consumer Protection Act, your timeshare contract should include any additional fees that are charged for swapping units. This way, you won't incur unexpected expenses if you occasionally decide to visit a new destination.
If you prefer to travel to new destinations regularly, a vacation club may be a better choice for you. Vacation clubs offer accommodations similar to timeshares, but there is often more flexibility when it comes to travelling to different locations.
In addition to the initial lump sum payment for the right to use the property every year, you'll be required to pay annual maintenance fees. These fees should be listed in your purchase contract along with any circumstances that may cause the fees to change. Maintenance fees will likely cost hundreds of dollars each year, so it's important to compare these annual costs to the price you'd pay to stay at a comparable hotel or resort during the same time period.
If you're on the fence about buying a timeshare, go for a "test drive" first. Rent one for a week to gain a better understanding of how timeshare ownership works and to get a feel for the type of accommodations and amenities included with the timeshare. This will help you decide whether a timeshare is right for you.
