Timeshare Resale Answers

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If you are in the market for a timeshare during this economic time and don’t want to have to listen to a lengthy presentation, you are in luck. Just as with any property, a timeshare resale is a great way to find a bargain on a timeshare property of your choice. Several years ago you couldn’t find a reasonable price on a timeshare, however as more people are looking to cash out of their timeshare, you can now pick up a property during peak seasons at reasonable prices.

It used to be that if you wanted to purchase a timeshare your only choice was to deal directly with the timeshare company. You would have to sit through a lengthy presentation and deal with the high pressure sales pitch to buy a new one. Then, with enough pushing on your part, you could look at the list of properties for sale that are already owned. Not anymore!

Now, you can find a timeshare listed in many places. You can find timeshares in places such as Craigslist, on auction sites such as eBay and many other new businesses that specialize in selling your timeshare for you. The main reason that many people are looking into a “used” timeshare is that you can find them at a steep discount over what a new one would cost.

Many new timeshares are so expensive because of the advertising costs associated with marketing, the construction and maintenance costs associated with the property, and the commissions that are paid to sales people. Once a timeshare has been initially sold, any sales after the initial owner are pretty much fresh money into the market. However, you really need to know some basic information before beginning your search for a timeshare resale.

One of the first and most important tips is to not purchase based strictly on the promise that the location is great. You really should visit the resort or timeshare location in person, or have first hand knowledge from a friend or trusted source, that is really is a good location. Just because the property is located in a beautiful area doesn’t mean that your particular unit isn’t located to where you can’t see the beach, or worse yet, over top of the laundry room area or other noisy location.

Timeshares are a great investment if you buy the right one. You need to consider the demand for the location and if it is close by to tourist locations, grocery stores, restaurants and more. Another consideration is how close your location is to other popular tourist locations. You will also want to weigh the cost of prime season versus off season. Buying a timeshare in prime season is one of the best investments because you can sell it later for a higher amount due to demand.

The next thing to look into is the floor plan. Some timeshare unit are old motels that have been converted into timeshare units. Others are built with the sole purpose of being a timeshare. You will want to look for a well laid out floor plan that is convenient and well maintained. If the unit is clean, free from damage and looks like it is well maintained (no squeaking doors or broken window seals), then you are probably looking in a good location. Well maintained units and properties can sometimes represent a good management company that is responsive to fixing any problems.

One thing many people fall into a trap with is looking at the purchase price of the unit without taking into consideration the other fees, such as maintenance fees, property taxes and any other assessments or charges you might have to pay. You need to be sure who is responsible for paying these and if they are current at the time of the sale. The timeshare fees are another aspect that you want to consider when purchasing in addition to location.

If you are dealing with a broker or agent, you want to make sure that they are licensed, just like a real estate broker or agent is. There have been many scams and frauds related to timeshares due to the demand and popularity of them. You will want to deal with a reputable timeshare resale company because they have their reputation and repeat business on the line. Don’t forget that you can use an escrow account just like when you buy a home to hold the money until you verify the sale is good.

Since the most important decision you have to consider is price, be sure to check what other properties in the same location have sold for, both new and used. Also keep in mind that you are buying an investment that you will be able to use for as long as you own it. You should be able to purchase a timeshare resale for about 30% to sometimes 70% less than the cost of a new unit. Look around at eBay, Craigslist and the open market to find out what the going rate is for your location and other similar locations. Any good broker should be able to show you a price comparison of similar units.

With all of the considerations to take into mind with a timeshare resale, the main thing to remember is if you are happy with the location, pleased with the prices and are thoroughly knowledgeable with the points systems or ammenities that might accompany your location.