Timeshare Resale Value
If you are considering putting your
timeshare on the market, you may be wondering how much
it will be worth. There are several factors that
determine timeshare resale value, and knowing about them
in advance will help set a sales price for your vacation
ownership interest.
In most cases, a timeshare resale
will bring in less money than the original purchase
price. This is due to many factors. If the timeshare
was for a certain number of years, perhaps 40 or 50, and
some years have passed since your purchase, then it’s
not worth as much as it was before. Perhaps the biggest
factor affecting timeshare resale value is the amount of
new timeshare construction that is going on in the
area. Most people would rather stay in a brand new
resort, with upgraded furnishings and the latest
amenities. If there are plenty of new properties to
choose from in the same area, the older resorts will not
command as high of a price. If there is still
construction going on at your resort, then it will be
hard to compete with the incentives offered by the
builder, not to mention the strong sales skills of their
marketing staff.
There are occasionally instances
when you can sell your timeshare interest for more than
you paid for it. This might be possible in a popular
resort area where new development is restricted, either
by local zoning or environmental laws or by geography,
i.e., a beach community is bordered by the ocean, so you
only have so much land that can be built on and still be
close to the beach. A property that is well maintained
and regularly updated will retain its value better than
one that is showing signs of wear and tear.
Unfortunately upgrades and maintenance come at a cost,
which is passed along to the owners in the form of
higher maintenance fees.
Many owners in the popular Disney
Vacation Club have been able to sell their ownership
interests at a higher price than they paid. Disney
Vacation Club has a limited supply of vacation
memberships relative to the demand, and they offer
special benefits to their members that are not available
to owners in other Orlando timeshares, or even to guests
at the Disney owned hotels. This helps preserve the
value of DVC resales, even sometimes causing them to
increase over time.
The best way to determine your
resale value is to look at the recent sales prices of
comparable timeshare resales. Ideally you would
consider timeshares in your resort, for the same week or
number of points that you have. There are also many
timeshare resale experts who can assist you with
determining your timeshare resale value.
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