Are Timeshares Worth It?

“Would you like free massages/tickets to a show/a television set/a night at our hotel? All you have to do is listen to this 90-minute presentation and take a quick tour of our fabulous resort!”

We’ve all heard it before: the timeshare pitch. But timeshares can’t be all bad, right? After all, people must be buying them or the salespeople wouldn’t keep doing these pitches.

Weigh the pros and cons

If you’re considering a timeshare purchase, take the time to weigh the pros and cons. Never purchase a timeshare during a high-pressure sales situation.

You can often get much better deals by buying a timeshare from an owner who wants to offload one than you will from purchasing retail. When you find a timeshare you’re considering, go ahead and sit through that sales pitch—you’ll get a great tour of the building and the amenities, and possibly some free gifts—but go online to find a current owner looking to sell. It’s the best of both worlds!

Timeshares may be worth it if you’ve absolutely fallen in love with a location, or if you have family or friends who live in that area. Many timeshares are tied to a specific property, so it could be a good option if you and your family travel to the same destination on a regular basis.

Some timeshares are more flexible than others, allowing you to trade timeslots or stay at other properties. You’ll want to know if this is an option before you buy.

If you love to explore, look for a flex system or points system, where you can spend your points on timeshares in different locations.

It should save you money

Ideally, having a timeshare means you’re saving money each vacation. But it’s a use it or lose it situation. If you never make it to your timeshare destination, you’ve essentially wasted your money.

It’s also worth first checking out the costs to rent an equivalent property for the length of time you’d be going on vacation. If it costs less to rent than it does to pay for a timeshare, you’re better off renting. Don’t forget about upkeep and major repairs; timeshare owners generally have to split these costs.

Before you make any purchase, conduct a title search on the property and look into the developer and management company that will be handling the timeshare. Warning flags include complaints that the management company doesn’t properly handle payments, or more dramatically, that buildings have gone into foreclosure.

Share:

Sign up for our newsletter and be the first to know about new tips, insights, and products from First Bank.

First Bank may use this email address to contact you about products, services, and promotions.

You may be interested in...

Four Tips Before Starting Your Business According to research from the SBA.gov in a 2020 report of small businesses, North Carolina had a total of 934,604 small businesses. And despite everything the last year threw at us, the number of new businesses in the state continues to grow as many have been tapping into their creativity\, making the leap from side business or unemployment to self-employment. If you’re exploring the idea of starting a business, you should know that in the first two years of a business’ life, an average of 68% survive. Then after five years, 49% of those are in business, and 34% make it to that 10-year mark. The trick to being one of those survivors? Be well prepared with the right financial tools. To help, we collected the following 4 tips to help you start your business off on the right foot. Consider where you want your business to go. Before you start, think about your daily life and understand your market. Why do you want to start your own business? Do you understand your industry or your customer base? What is your daily activity like? Do you have extra income? Think about your long-term goals. What risks are you willing to take? Then, think about your business idea. Do you have a business plan? How will you purchase necessities you will need to start out? Do you have a plan for growth? Answers to these questions will be different for every potential business owner, but making a decision on these topics may lead you to tip number two. 2. Get your finances in order. Start by making a budget for your business. Things to include might be the cost of supplies, equipment, rental fees for your storefront, travel, or anything else that is a requirement for your startup. Next, consider your initial financial goals for your new business. Establishing financial goals (annual, monthly, weekly, and even daily) can keep you on track if you are planning to open or accept customers in the near future. Need help sticking to the plan? Take our financial course on creating a budget, which teaches you strategies and tips to help you stay on track. 3. Consider how you will fund your business. Once you 5 min read

Chalk on pavement with true and false checkboxes

5 Common Mortgage Myths Debunked While it’s important to do your research during the home-buying process, you can’t believe everything you hear. We’ll help you spot the popular mortgage myths and reveal the truth behind them. 5 min read

Construction Loans 101: Adjustable Rates If you’re considering building a home, one of the more pressing concerns is the rate you’ll receive for a construction loan. For residents of the Carolinas, First Bank* has convenient locations to stop by for a discussion about your construction loan options. With our One-Time Close Construction-to-Permanent loan, you have the potential to build the house of your dreams. Construction-to-Permanent Loan First Bank offers a One-Time Close Construction-to-Permanent Loan.** With this loan, the cost of your lot, construction, and permanent mortgage is covered in a single loan. Our construction loan rates vary, but you can choose from a variety of fixed or adjustable rate loan options for your permanent financing. Our One-Time Close Construction-to-Permanent Loan consists of two phases: the construction phase and the permanent phase. During the construction phase, you will only make interest payments. When the construction is complete, the permanent phase modifies the loan into a permanent loan. During the permanent phase, the construction loan will be converted to a permanent loan. Other benefits of First Bank’s One-Time Close Construction-to-Permanent Loan include: No prepayment penalties A single set of closing costs Flexible use to finance a primary residence Ability to purchase your lot Benefits of Building a Home If you are thinking about building a home, consider these benefits: Customization—Building a home gives you the opportunity to make everything look exactly how you want it. Low Maintenance Costs—Because homes are built with all new materials and typically have all new appliances, you will spend less on repairs and updates. Efficiency—As technology improves, new homes are becoming increasingly more energy efficient. When you build a new home, you have the opportunity to include as many green materials as you want. Value—New homes have a longer life expectancy so they typically appraise higher than older homes. Ready to get started? You can begin your mortgage application or visit a First Bank branch to speak with a mortgage loan expert today. *Equal Housing Lender. NMLS #474504. **Loans subject to credit approval. ——— Source: http://www.investopedia.com/articles/personal-finance/062614/should-you-buy-or-build-home.asp 2 min read

Credit Card Processing for Businesses If you are a business owner, you probably know that accepting multiple forms of payment (cash, debit, credit, and checks) is important. But you may not know just how essential credit card processing is to the success of your business. In the next few years, only 23 percent of all point-of-sale purchases are expected to be made with cash. That means a greater number of shoppers favor credit and debit cards over the traditional cash payment. Couple this statistic with the growing trend of mobile shopping, businesses have to innovate to acquire and maintain customers. Transitioning from cash-only to accepting other forms of payment may seem like a hassle, but with First Bank, it doesn’t have to be. Credit Card Processing from First Bank* First Bank offers payment processing and management services for businesses of all sizes. With First Bank, your business can accept credit cards, debit cards, electronic checks, and other forms of electronic payments. First Bank is partnered with Heartland, one of the nation’s largest providers of merchant card processing. With our services, you can: Improve revenue capture Expand your customer base Create purchase mobility Reduce payment risk Our payment processing and management solutions give you the ability to process payments through point-of-sale terminals, the Internet, and wireless and mobile applications. And we make it easy to keep track of your sales and payments with our web-based reporting service. Before you put a “cash only” sign on your front door, stop by your local First Bank to speak with one our experts about credit card processing. We’ll talk to you about your options and show you how our flexible and customizable payment processing solutions could work for your business. Sources: http://www.businessnewsdaily.com/4394-accepting-credit-cards.html 2 min read

Are Timeshares Worth It?

Ready to talk to an expert?

Weigh the pros and cons

It should save you money

Ready to talk to an expert?

You may be interested in...