Free Timeshare Unit?

[genchan]

I have a co-worker who has a timeshare unit that he says he will give me for free. I know he paid about $35,000 for it a few years ago. Why would he be willing to give it to me for free? Is this some type of scam? It sounds too good to be true.

[akaivyleaf]

He can't sell it basically... he has a bad week and a bad location that nobody is willing to trade out with. Is he with RCI by any chance?

If you assume his Timeshare, there are annual dues/fees associated with it so ask him about those fees. Secondly ask him what week(s) he has? Well I guess the very first question should be where is the timeshare? Then ask the rest. I forget what color the weeks are divided into, but generally speaking you can only swap out your week for a week in that same color family, and not all of the timeshare properties have weeks available when your weeks are. In other words its very hard to swap out a week for a premium week in Orlando to visit the mouse, unless your week is comparable.

Most people who get into these timeshare deals pay a lot of money for nothing because they vacationed at the location once or twice and have now moved on. They invisioned being able to swap out their week for sunny Hawaii, or a visit to the mouse on the east or west coast and it just isn't possible, so they are saddled with something they have to pay yearly in the form of annual dues and they can't even sell their week to a friend to recoup some money.

I don't think he's trying to scam you, he's just dumping an expense.

[terry1156]

akaivyleaf hit it right on the nose. He most likely has monthly payments for upkeep that he doesn't want to pay. You also want to make sure he isn't trying to get you to take over his loan. If that is the case, I would stay far away from it. I would stay away from it in any case. I have never heard of anyone who has been happy after buying a timeshare.

[genchan]

Thank you for the information. I figured there was a catch somewhere. It isn't right when somebody tells you how great something is and then says they are willing to give it to you for free. I mean, if it is that great, why aren't they selling it?

He also did want me to take over his loan on the place. I am happy I asked as I was tempted when I first heard. Back to concentrating on buying a house.

[terry1156]

Originally Posted by genchan

He also did want me to take over his loan on the place. I am happy I asked as I was tempted when I first heard. Back to concentrating on buying a house.

That sounds like the best thing to do. You really don't want to get involved with a timeshare unless your know exactly what you want. And you don't want to take over someone else's loan!

[genchan]

Are there any postive points to timeshares? There seem to be an awful lot of them out there.

[terry1156]

Not really. There is an article on them here which gives the basics on what they are really like. You can tell by the title that it is not good. It's called <A HREF="http://www.savingadvice.com/forums/showthread.php?t=113">Timeshare Trap</A>.

[akaivyleaf]

The only positive that I've been able to come up with is that if you make the payments and pay the fees you have a guaranteed and prescheduled week of vacation at your home location. But to me, thats not good-too many catches in what seems to be a simple statement.

I don't get the lure of them AT ALL. Although I do like going to timeshare presentations for the free stuff they offer. But I always seem to be like an old record, constantly stuck on the word "No" and my writing hand is always sore, or the wrist is broken, or some other ailment has befallen me when it comes time to sign my name on the bottom line. No matter how tough the "closer" is, I have numerous ways of saying "no" and know how to express myself in various languages too.

[jhd815]

A previous post asked "Is there anything good about a timeshare?"

I was looking at timeshares myself a while back but also decided against it due to the costs.

The only positive would be if you enjoy vacationing at the same place every year or two years at the same time of year.

If you have a good location and a good week, you have more possibilities to trade off for other good locations and weeks. But you are probably paying more in upkeep fees as well.

As to the post regarding saving for a house ... much better idea. Interest rates are still low and house sales have settled down a bit with our economy, so you may be able to find a very good price in the coming year (or years depending on the economy).

[moneyrant]

Originally Posted by genchan

Are there any postive points to timeshares? There seem to be an awful lot of them out there.

None. Throwing money out the window is smarter.