Why You Can't Exchange Where and When You Want To Go
There are several reasons why many timeshare owners cannot get the exchanges they would like, which is why so many are trying to figure out how to get rid of a timeshare. This information is featured in my book, EVERYTHINGS ABOUT TIMESHARE: Before, During and After The Sale.
Many timeshares are not timeshares
Many of the timeshare companies do not own the hotels where they sell. They simply rent out some rooms, set up a sales center, and sell as much as they would like. These are travel clubs and have flourished throughout the United States, Mexico and the Caribbean Islands.
I worked for one resort in Cancun that was sold out for ten years and yet, the sales room was packed with new prospects attending the sales presentation and buying. They were generating hundreds of thousands of dollars daily - with little inventory for all their members.
Unfortunately, the resorts are listed on the exchange company's website as a timeshare property when, by definition, they are travel clubs with little inventory. Timeshare owners get frustrated when they cannot get into their own resort or exchange into another property. There simply isn't enough inventory for the demand.
With travel clubs, there might only be a few rooms available for members. If you multiply 3 rooms X 52 weeks, there are only 156 weeks available for thousands of members.
Supply and Demand
Your exchange depends solely on two things, and two things only; The supply and demand of where you own, and the supply and demand of where you want to exchange into.
The supply and demand of the resort where you own
Depending on where you own will determine where you can and cannot go. Whether your resort is a Gold Crown or not will not determine your exchange power. It has to do with how many people want to come to your resort the week that you own? Is it a high demand area, and how many others resorts are there in that area?
For example. Orlando has many timeshares spread out in the area, and there are many four and five star resorts. However, if you purchase there during the excitement of visiting a Disney theme park, you might be disappointed when you try to exchange into somewhere like Paris, or New York City.
It has to do with how many timeshare owners in your area want to exchange into the same place. With a plethora of timeshares in a high demand destination, you are competing with too many other timeshare owners.
The illusion here is when consumers visit a place like Disney and buy their timeshare while they are in Orlando. Once the kids are grown and no longer want to visit Mickey Mouse, families are trying to exchange into other locations and cannot. Too much supply and everybody is trying to get out.
However, if you owned at the Manhattan Club across from Carnegie Hall in New York City where there are only two or three timeshares, your chances of getting into Paris and other high demand locations are much higher because of the low supply and high demand that New York City carries.
Moreover, depending on what season, unit size you own your timeshare will also determine your exchange power. This is the problem I see with the points systems as the points are generally attached to a deed which represents a week, unit and size. If there is not a demand for your unit during that time, your exchange power is weak. If you are lucky to exchange into a high demand location in with your points, you probably will only be able to stay a few days.
The supply and demand of the area where you want to exchange to
The supply and demand of where you want to go is also a factor when trying to exchange into a place like New York City or Paris that has little timeshares. You are competing with other exchange company members around the world who also want to visit these high demand locations.
Points Are Just Hot Air
Additionally, if you purchase or convert to a points based system, you really do not know what you own or what is being traded.
Although the resort tells you that your points can get you anywhere anytime, keep in mind that the points (within the U.S.) are attached to a deed, which means to a specific week and a specific unit. If your deed is in an off season, this may be why you cannot trade.
Also, where is your deed really located? Did you pay a lesser price and the deed is in an area that has little exchange power? Read the paperwork and know exactly where you own your timeshares.
Additionally, the points inflate over time, and therefore, you'll need to buy more points in the future just to visit the same places, or to use the new resorts.
Read the paperwork
Look at the paperwork, discover what you really own, and never buy at a timeshare sales presentation because you are buying on their terms, not yours. You want to make sure that you have all the information before making a timeshare purchase anywhere. Otherwise, you will spend energy researching how to get rid of a timeshare.
Review the timeshare forums
I must admit that many are discussing ways on how to get rid of a timeshare, but they are real experiences on particular resorts.
Download the book, today, and get all the information you need to make the right decisions for you and your family.