Orlando Timeshare vs. Condo Ownership
– Which is right for you?
One of our new pages looks at the differences between Timeshare, fractional and regular condo ownership. The choice can be a difficult choice, especially for foreign buyers struggling to understand the U.S. real estate system. These are two very different real estate options with different legal definitions.
The truth is, there are pros and cons to each of these options and which one suits you best will depends on your individual circumstances. As an independent real estate brokerage and it makes no difference to us whether it’s the timeshare route, or the full home ownership route you prefer. We’ll try and help you learn about your various choices so you can make the best decision for you and your family.
Here are some very basic differences between an Orlando Timeshare and an Orlando condo or villa.
| Â | Time share | Full ownership |
|---|---|---|
| What you own | Time | Bricks and mortar |
| Usual time use: | 1-2 weeks a year | 1-52 weeks a year |
| Exchangeable: | Yes | No |
| Re-saleable: | Yes | Yes |
| Appreciation on value: | Yes | Yes |
| Typical cost: | $20-40k | $70k – unlimited |
| Inheritable/Deedable: | Sometimes | Yes |
| Additional costs: | Annual HOA fee | Taxes, monthly HOA fees |
What about “Fractional” ownership?
Fractional ownership allows a group of investors to buy a property and use it for a predetermined period, usually from one to two months depending on the number of investors in the group — and also to share maintenance costs. While this may sound like a timeshare, the difference is the owners are actually sharing one property, rather than membership in a development.
To learn more about all three options shoot us an email or give us a call. We’ll explain in more detail – maybe take you on a tour. All you’ll get is our best advice. No free Disney tickets – and no bull.
As far as “appreciation on value”, I would disagree that a timeshare would grow in value. The value of a timeshare is solely found in its usage. While it may be deeded for recording purposes, it has little intrinsic value. You can consider it as paying for future vacations with today’s dollar in order to offset inflation. But, when you get ready to sell your timeshare, you will not likely get out of it the money you spent on it……. IMHO…….
I think prior timeshare owners would agree with you Paul. It’s not so much a resale proposition. It’s much easier to sell bricks and mortar.
I presently own a condo that is in an area that would be great for fractional ownership. Can you give me information on selling off the condo into a fractional ownership situation? Does your office do this? Where do you advertise? Would there be a closing for each fraction? Could the fraction be sold without the whole group selling?
I am not sure that a time share is all that easy to resell and I am quite positive that the value goes down over time. Not to mention that there are quite a bit of fees associated with a time share such as the maintenance and also special assessment fees, and maintenance fees can increase each year, sometimes by a lot. Just looking at the comparisons, if you ever have a choice between a timeshare or a condo and the prices are close to each other I would choose the condo because you can actually sell it and visit it whenever you want during the year and spend extended stays at it.
Timeshare is a great VACATION option. The real value in owning timeshare is a guaranteed week’s vacation and exchange network. If you are planning a vacation in Orlando check out http://Orlando-Group-Getaways.com. You could save a lot of money.