Just in time for Memorial Day weekend, here come the timeshare good news/bad news reports. Forbes starts out early this month with a Thomson financial report on the good news. Delinquencies on U.S. timeshares have continued to decline in the 1st quarter. While still high, it seems that seasonal cold weather dips in timeshare performance were already receding in March. So, is it all good news?
AP news writer, Erin Conroy, interviewed several industry experts this month who say what has always really been the case: timeshares are a good idea if you vacation. With fast and loose financing abounding in the past few years, some have considered timeshares as real estate investments. The argument doesn’t hold up. Howard Nusbaum, president of the American Resort Development Association, said basically, it is like buying a car if you can’t drive.
As vacation season begins, you will also see more and more scams starting to crop up. Beware of those dinnertime phone calls from automated voiced announcing your sweepstakes win. As with any other opportunity to plunk down your hard earned money, do your homework.
If you already vacationing and have an opportunity to tour a timeshare property, do it! Then, check out the developer and sales organization. Do they do this for other properties? Is what you see, what you get? Or, are all the good ones gone? Be wary of the “buy now or you won’t be ever able to buy again at this price” argument. Developers are hungry. They will use the best and brightest marketing and sales talent to try to persuade you to sign on the dotted line, today.
Agreements for timeshares can be complicated, you will need time to review them. You will also want to have an attorney look at them. This takes time. So, take your time. Vacation is no time for pressure. Enjoy the tour, then think long and hard about it after you’ve left.