Did you know that approximately 9.9 million American households own some form of timeshare? Additionally, in 2019, the timeshare industry grew by 7%. There is a lot of interest in timeshare and people are wondering if it’s the right choice for them.
Many people choose timeshares, but what exactly are they and how do timeshares work? When planning a vacation, having a timeshare is a convenient option for you and your family.
There are many misconceptions about timeshare. There are different ways to operate, and in this brief guide, you’ll learn about the options and which one works best for you.
What is a timeshare?
If you’re wondering, “how does timeshare work?”, a timeshare is the ownership of a vacation home that is shared among families during different weeks of the year. These residences can be condos, resorts or apartments. Each family has certain weeks that they stay at the timeshare.
Buying a timeshare is a great idea for a family that wants to vacation every year at a resort. Most timeshare owners will pay a lump sum at the start of their contract, which can help save you money in the long run.
There are two ways to divide a timeshare between owners. The first is “shared ownership”, which is when each individual owns a fraction of the timeshare. This type of property that you can transfer or gift to someone else.
The second type of ownership is what is called “shared rental ownership”. With this option, individuals have full rights to use the timeshare, but it does not give you ownership rights.
How do timeshares work?
As for how the weeks are decided, there are three timeshare options. These are the fixed week, floating week and points system options.
The fixed week system is what most people are used to. With this option, you have one week to which you are entitled each year. There isn’t much flexibility with this option, but you can plan your vacation with this.
The floating week option is slightly different from the fixed week option and offers more flexibility. With this option, you have one week out of the year, but you can decide when that week takes place each year. While this is a great option, you should make sure to claim your week well in advance, especially if it’s a popular time of year.
The third option is the point system. With this option, you receive a certain number of points every year or every two years. From here you can book your timeshare vacation.
Depending on the length of stay, dates of stay and number of rooms, you will earn a certain number of points. The Hilton Timeshare Seasons is a great example of how this option works.
A great option for your family
Although many people are hesitant about timeshare, there are plenty of great options for your family. Finding a vacation spot each year can be difficult and time consuming. With a timeshare, you can avoid this problem and have a reliable option every year.
You may have started reading this article wondering “how does timeshare work?” but thanks to this informative guide, you now know the basics and why you should consider one.
If you want to know more about the holidays this year, be sure to check out our travel section.