There are two basic kinds of timeshare ownership, “deeded” and “non-deeded” and two basic types of scheduling, “fixed” and “floating.” Tackling ownership and scheduling systems can be confusing, so here is some basic information. If you are planning on owning a timeshare, these are some of the most important information you need to know.
Deeded Timeshare Ownership
A property is deemed to be a deeded timeshare if the owner purchases a percentage in a specific portion of the real estate, thus giving them actual partial ownership. This is not too dissimilar to how someone can have partial ownership of a corporation by purchasing shares. It is through deeded timeshare arrangements that owners may eventually gain real property ownership. The deed is recorded in the relevant offices and the owner has all the rights of ownership as other form of property, typically limited only by mutual agreement between the owners. Most timeshare owners prefer a deeded timeshare.
Non-deeded Timeshare Ownership
These are timeshare properties where the owner purchases, rather than partial equity in the property, a lease, license, or club membership. This allows them to utilize the property and all facilities and amenities for a limited amount of time every year for a specific number of years. Non-deeded timeshares are not particularly common in many places, but are frequent on leased land areas such as Mexico and Hawaii.
You buy a specific unit within a specific week in the year in fixed-time scheduling or fixed-unit arrangements. In this arrangement, you will need to use the same unit or property in the same period of time every year. This needs to be strictly followed unless you swap your timeshare with a different exchange company.
Timeshare owners gain the benefit of when their vacations will be, allowing them more time to arrange their schedule around that period. However, while this does grant a large amount of security, it can also be detrimental. This is because there are very few avenues available for those who wish to change the location or time that they can use property.
There is no fixed time on when you can use your unit in floating-time schedule. You can choose to go on vacation anytime, but you need to make arrangements to the resorts in advance to secure reservations. Usually, you will be informed when you can make reservations on your destinations already. Some timeshares only allow you to make your reservations within an exact season, which is also called “seasonal floating”.
Now that you are already aware about these basic concepts on timeshares, it will be easier for you to decide on what to purchase. Study your options well. Weigh the pros and cons, and choose what option works best for you so you can make the most out of it.
Some timeshare companies offer deals that are simply too good to pass up. Just be sure that they’re reliable and not scammers who are only after your money.