Timeshare Statistics and The Real Cost of Ownership
A timeshare, or Vacation Ownership, is a property where you purchase the ‘right to use’ assigned condos during certain weeks of the year. Most timeshare companies have now switched to a point system, and you may not have a fixed week.
Each owner of the same place is allotted their period, or alternatively their amount of points. Many people end up buying a timeshare contract after sitting through a grueling, 4-hour, high-pressure timeshare sales presentation and feel they have no other option if they want to get out of there anytime this century. But a lot more people change their minds once they’ve stepped away from the glitz of vacationing and go home.
Life changes, and sometimes your timeshare isn’t a good fit anymore. Changes in health, financial status, or a family situation do not make sense for you to keep paying monthly maintenance fees and mortgages for something you can no longer use. Remember, your maintenance fees will never stop coming.
Stop the commitment! Call Linx Legal today. We are experts in timeshare exit plans and will personalize one for you based on your unique experiences. Our team understands what you’ve been through, and we are here to listen. Now let’s look at some timeshare statistics and the real cost of ownership.
Timeshare Statistics You Need to Know
- In 2019, timeshare sales increased 7% to $12.5 billion as the industry recorded its 10th straight year of growth. But now, with the unforeseen catastrophic change in the travel economy in 2020, the industry is taking big hits. If people can’t travel, they can’t buy it. With no foreseeable end to the COVID-19 crisis, these companies will likely go bankrupt, or their product will become so expensive that they will have to cut their sales staff in half and raise prices.
- Vacation Rental income grew 5% in 2019, and that $2.9 billion segments of the industry are growing as people realize that they don’t need to own a timeshare to use them. Instead, they can rent the same exact places in the secondary markets.
- The average price for a one-week stay at a timeshare was $21,455. You could rent the same timeshare condo you own now for an average of $700 for the week every year. Or luxury resort stays for as little as $329 a week on sites like the Armed Forces Vacation Club.
- Maintenance fees averaged $1,112 per month in 2019. You could travel 12 weeks a year at several luxury resorts for that cost.
- Occupancy rates reached 81.1%, compared to 68% for hotels. People want to rent timeshares because of the added amenities and upscale resorts. That’s fine. There are many low-cost ways to rent these same units listed on the internet.
- More than 9.9 million families own timeshares
- Over 4.4 million people dump their timeshares into the secondary markets each year. You are not alone, there will always be more sellers than buyers.
Alternative Timeshare Options Are Increasing
- There is a term in the travel industry that used to describe getting the most revenue possible for any given week of the year, “heads in beds.” A whopping 47% of Timeshare resorts now use online travel agencies to put additional “heads in beds.” They don’t care how they get people in as long as they are full. If they can use these sites, why can’t you? Online sites give the best deals to ordinary non-owners over timeshare owners any day.
- Sites like VRBO, are a popular place to list (and rent) timeshare weeks.
- Airbnb is right behind with 43%, followed by hotel leasing, 22%, and travel clubs, 18%.
You have options when it comes to exercising your right to be financially free from timeshare contract obligations. With a 95% success rate in getting you out of your timeshare and zero risks, it’s the right decision to call Linx Legal.
- Why should people be locked down lifetime timeshare contracts when these same resorts rent out weeks to non-owners every day?
- Why do resorts make it so difficult for someone to book their timeshare when it is often easier to book as a non-owner on sites like Airbnb?
- You may ask yourself, “How could we have fallen prey to the slick-talking timeshare sales reps? We are smarter than that!” It’s okay to make a mistake, especially under enormous pressure. The entire sales process from the moment you check-in is designed to sell you. Realizing your mistake and correcting it is the smartest move of all.
The timeshare industry has been in business for over 55 years, and they have spent that time perfecting the art of selling overpriced, worthless resort weeks to thousands of people who, over time, cannot afford them.
Very few people ever travel as much as they think they will. The lies that were told to you to be accurate, such as “You can sell your timeshare at a profit.” Wrong. A timeshare is, and always will be, a depreciating asset. Look at the Wyndham rental market on Ebay. As you can see, the better option is to rent a condo on Ebay Timeshare Rentals for pennies on the dollar than to “own” an inflated timeshare.
Boomers vs. Millennials: Who’s Buying Timeshares
The Baby Boomer generation is people born between 1944-1964.
Why do Boomers buy timeshares? The short answer is; because they could. Back when timeshare was new, it was the thing to do. Now Boomers are entering their later years of life where many have to choose between paying $1200 mortgage and $500 maintenance fees or their rising cost of health care and medications. They do not want their children to have the burden of timeshare ownership, so they turn to Linx Legal to help them get rid of their timeshare without destroying the credit they’ve worked hard to build.
The Millennial generation is people born between 1981-1996. They tend to live at home longer and make far less money than previous generations. But they also have contributed greatly to the world creating some of the most innovative technology in history.
Are Millennials buying timeshares? Both Boomers and Millennials may have less disposable income that the middle-agers, but they both believe in the American Dream, albeit different versions. Nevertheless, they want it and are willing to find more affordable ways to get it. And if there’s not a way, they’ll create one. With many sites like Airbnb and FrontDesk, luxury travel is more affordable and accessible than ever before.
Regardless of when you were born, you can still enjoy a luxurious, affordable vacation by renting on the secondary markets. Why do people prefer to rent a timeshare rental over a hotel room? The cost comparison is about equal, but the amenities and grandeur of the property is the main reason.
What is the Next Step to Get Out of My Timeshare Contract
Call and talk with our awesome team at Linx Legal. We are good listeners and will never pressure you into anything. Let us create a timeshare exit plan that releases you from all timeshare contract obligations. We can even come to you. Check us out on the Better Business Bureau website and then give us a call or text. We are here for you.
- Take our short quiz above to get started
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- Call us toll-free at 1-800-604-3989
The Timeshare Industry is Worth More Than $10.2 Billion Dollars
- There are 1,580 U.S. Resorts and 204,100 Units as of 2019
- 84% Of Timeshare Resorts Offer Some Type Of Rental Program
- 2.1 Million – Number Of Nights Rented At Timeshare Resorts
- $2.4 Billion In Rental Revenue
*Sourced from ARDA