Buying A Timeshare Directly From The Developer
Should I buy a timeshare directly from the developer or purchase through the resale market? What are the pros and cons of buying my timeshare from the resort directly?
How To Purchase Direct From The Vacation Resort
Chances are if you are thinking of buying a timeshare directly from the resort or developer then you have probably heard of a timeshare presentation.
This is where you go to a vacation resort and meet with a sales agent who will go over the details of the type of timeshare that they have to offer for purchase.
They might have fixed or floating weeks, or they might have a points based system. They might have a timeshare that you own in perpetuity, or they might have timeshare that you lease (often referred to as right-to-use).
You will also go on a property tour so you can see all of the amenities that the resort has to offer for purchase.
If you end up liking everything you see and hear, and let the sales agent know that you are interested, they will then have you fill out some paperwork so you can see what you qualify for.
This process is pretty similar to buying a home… your credit score and debt to income ratio are factors that will be taken into consideration when this decision is being made. The better those things are the more you will qualify for.
But on the same note, if you have a low credit score, have a lot of debt, and have a low paying job, then chances are you might not qualify at all, in which case buying a timeshare from the developer is now omitted as an option for you.
But if you do end up qualifying to purchase then congratulations! Welcome to the world of timeshare ownership!
Pros, Or Positives Of This Method
Buying a timeshare directly from the developer often comes with some perks, or positives.
First of all, you have already taken a tour of the property, so you have been able to personally see the quality of the resort(s) that you would be staying at.
Second, you have a sales agent in front of you who works for the company who wants your business, so you can ask them any and every question you might have regarding your possible future ownership.
Third, depending on the company, you will more than likely have access to other timeshare resorts within that company’s brand.
For example, if you were to purchase your timeshare at the Elara by Hilton Grand Vacations in Las Vegas, you aren’t limited to only being able to stay at that specific resort, you will now have the ability to stay at any other Hilton Grand Vacation property within their club.
And last but not least, you will have the ability to upgrade to VIP status if you would like to do so in the future, each of which comes with its own special perks.
Cons, Or Downsides Of This Method
Choosing to buy your timeshare from a resort developer also has some cons, or downsides.
The first one being that you have to go and sit through the timeshare presentation, which can usually last a few hours.
And odds are pretty high that you will find yourself listening to a high pressure sales pitch. Second, the price you will be paying if your purchase from a resort developer will definitely be inflated.
This will be due to the company’s overhead such as paying out commissions, the cost of presentation incentives and developer promotions, and other marketing costs.
And last but not least, if for any reason you decide in the future that you would like to sell the timeshare you purchased, you will be lucky to receive even a fraction of what you originally paid for it at its original retail value.
The Alternative: Purchasing Resale
Buying a timeshare directly from the developer or resort isn't the only option. In many cases you can purchase a timeshare on the resale market for a great deal cheaper than buying straight from the resort developer.
As you can probably guess, there are pros and cons about Buying a timeshare on the resale market too! For more information about purchasing a timeshare resale, visit the following page:
Need help understanding your timeshare better? Visit our FAQ Page on timeshares.