You’ve heard about timeshares, and you’re probably curious on what they are all about.  Some people say good things about them, but others say bad things about them.  If you ask me, I would say stay away, because you’re much better off just going on vacations on your own dime, when you want to.

Before we look into the downfalls, let me tell you what a timeshare is all about.  A time share is a piece of real estate, where a number of individuals own the subject piece of property.  The timeshares are not only going to be owned by you, but others as well.   Each timeshare company works differently.  Most of these are located in resort communities such as Hilton Head Island, etc.    With your timeshare, you can pick out a place for a week, and stay.

This all may sound appealing, and it can be worth it to some, but there are things that you have to look at before you even consider signing the dotted line to a timeshare.

Watch the maintenance fees: Timeshares are notorious for slapping maintenance fees on the packages.  You’ll notice that the fees may be minimal at first, but as the years go on, you notice that the rates go up, and up.  Since you’re under contract, you’re going to have to pay these fees monthly, or annually.

Signing a lifetime contract: Most timeshares are going to make you sign a lifetime contract.  This means that if you regret the purchase, you’re going to have to pay the fees until you can dump the timeshare.  Yes, most timeshares allow you to transfer them, but you’ll find that you’ll get pennies on the dollars, compared to what you spent.

Scheduling is a pain: Since you’re going to be sharing a timeshare with others, you’re not going to be able to drop things today, and head to your unit.  Instead, like a hotel, you’re going to need to make reservations, and you may find that you can head to your unit until 30 weeks down the road.

Not worth it: Take some time one day, and find a timeshare seminar to attend.  Most of them will give you nice gifts such as a free dinner, $100 gift card, etc.  See how the program works, but don’t buy into it.  After you go to the seminar, compare the fees to your own vacation budget.  You’ll most likely see that it’s cheaper to attend a vacation on your own, rather than being stuck to the same unit year, after year.

A timeshare is a big purchase, and I would recommend that you look at these points before considering one.  If you really do decide that you want to buy one, I would highly consider that you check out Ebay, since you’ll be able to save up to 80%.