Time Shares, overrated or legit?

I don鈥檛 get it, what would be the incentive to invest in one instead of bonds, stocks or gold? Has a time share worked for you?

Oh, ok moonman, that's like when people do condo or cabin swaps from around the country.

Timeshares can be an excellent thing for some people, but are definitely not for everyone. We've gotten a lot out of ours. Some years we use the unit we purchased, but many years we trade it for a unit somewhere else. (There's an international exchange organization called RCI that will arrange a swap for about $150.)

The reasons we like timeshares vs. hotels are:
1) We own and usually trade for a 2-bedroom unit which is much more spacious and comfortable than a hotel room.
2) Having at least three separate rooms (2 bedrooms plus a common area) means we don't all have to be together in the same room all the time, which can be nice sometimes. (We like each other, but don't really want to be together 24 hours a day every day for the whole vacation!)
3) The unit we own and the ones we trade for have a full kitchen. We typically eat breakfast and one other meal in the room and go out for one meal a day. That saves a lot of time and money vs. eating every meal in a restaurant.
4) Many units have a no-charge washer/dryer which can be very nice for drying swimsuits and other wet clothes or just to allow you to pack less.
5) For us, the overall costs are less than it would be to rent a room at a nice hotel where we wouldn't have the first four items I listed.

I think they're a good deal for someone who either wants to go to the same place the same week every year (and buys a unit at that place) or for someone who likes to visit lots of places, plans trips months ahead, and is flexible with their travel dates and locations.

I think they're not good for people that are not flexible in their schedules or destinations or those who prefer to make plans at the last minute. (It's not easy to find a trade to a specific location on a specific date and nearly impossible to do a trade at the last minute.)

In my opinion, they are NOT a good thing for anyone to buy as an investment (with the primary goal being to make money). Most do not go up in value much over time. One bit of advice if you decide to buy one...don't buy it directly from the resort developer. Their prices are greatly inflated to cover all their advertising expenses. You can save a lot by buying a resale unit from someone that no longer wants theirs.

Investment? I don't think most people use them that way. Usually you don't earn much (if you don't lose money) on time shares. You likely won't get the full price of the time share back from the property managers, and you have to pay annual fees.

It is a great investment (in terms of the value of enjoyment) if you want to spend a week at a condo someplace every year, or you want to exchange your condo and see different places each year.

Time shares are not an investment to make $$$. Theoretically they are supposed to provide for future vacations at today's prices. This may work for you if:
1. you want to go to the same place for vacation for the rest of your life.
2. they don't start adding maitenance or other fees in future years.
3. they don't let the place run down over the years
Most smart people can take the cost of the Timeshare, invest it and take nicer annual vacations with the interest/gains from investment.

TIMESHARES ARE NOT AN INVESTMENT

This system makes vacation home ownership possible for many people who cannot afford a second home or who otherwise would not be able to enjoy such resort facilities. It is important to remember that purchasing timeshare should NEVER be viewed as a financial investment with the expectation of gaining a profit in either reselling it or renting it to someone else. Timeshare is an INVESTMENT IN LIFESTYLE, in future holidays, in family time together, and when viewed that way it can be a good investment indeed.

I wouldn't invest in a timeshare to make a return on my investment. The only way you could probably make $ with Timeshares is buying them resold from someone desperate to get out, and owning a good enough week or resort that you KNOW you'll be able to rent it and make a profit. I wouldn't do it, unless it was unrealistically cheap.