This is how I calculate the true cost/savings to own a timeshare, is this right?

[Steve Fatula]

Sometimes TUG makes me feel like we're doing timeshares all wrong.

I don't think that's wrong at all. For some people, it appears the only thing that matters to them is precise financial formulas and it has to make sense to them financially (only) else it's not a wise deal. That's ok. For others, the non financial aspects are at least as important if not more in some cases (I fit into this category). Those who do not understand that way of thinking will not understand how someone can buy x when it's not the cheapest way (and compare dissimilar ownership such as resale week vs enrolled week). Both are fine ways of thinking. What matters most is what makes sense to you. There are benefits to ownership levels that I value extremely highly. To some, they see that as a meh and value those things at $0. Some believe renting is the only way, which is also fine, for them. For some of us, never desire to rent so any comparison of rental rates is meaningless to me. There's so many ways to look at timeshares, I don't think any of them are wrong really.

 

[TravelTime]

My ROI situation is somewhat unique, since my preferred season is low or shoulder. It was eye-opening when I finally compared numbers a couple of years ago. I was paying MFs for three TS contracts, but since MFs don't vary by season (Platinum and Gold owners pay the same), I realized it was more cost-effective for me to rent, especially since I could often get entire weeks at my preferred resorts for as a little as $300 via exchange company getaways, during my preferred seasons. I divested my contracts.

One nice thing about points programs is they take seasonality into account. You can get better deals (lower point cost) when you travel in off seasons. For example, the cost in points to stay at the Ritz Carlton St Thomas with a direct ocean view in a 2BR can be about half or less than peak season weeks. Surpisingly, the point cost to stay at Ritz Carlton St Thomas in the summer is close to the point cost to stay at Marriott Frenchman’s Reef. I do not see why anyone would pick Marriott over Ritz Carlton given the negligible cost difference.

 

[PcflEZFlng]

One nice thing about points programs is they take seasonality into account. You can get better deals (lower point cost) when you travel in off seasons. For example, the cost in points to stay at the Ritz Carlton St Thomas with a direct ocean view in a 2BR can be about half or less than peak season weeks.

Quite true. Traveling during low season can even yield an extra week at a given resort compared to, say one single week during high season for the same number of points. Depending, of course, on the resort, its location, and the point spread between seasons.

 

[bnoble]

For some people, it appears the only thing that matters to them is precise financial formulas and it has to make sense to them financially (only) else it's not a wise deal. That's ok. For others, the non financial aspects are at least as important if not more in some cases

Oddly enough, I think I am both of these people. I do care about the dollars-and-cents part, and it does have to "make sense" to go through with something. It doesn't have to be the absolute cheapest option, but it does have to be a "good" option.

On the other hand, I can guarantee that I have not "saved" money by owning timeshares---because I am traveling much more than I would have otherwise. The use-it-or-lose-it annual commitment is a forcing function that helps me prioritize travel as important rather than fitting it it around everything else. To me, that's the real value of ownership.

 

[Ken555]

Oddly enough, I think I am both of these people. I do care about the dollars-and-cents part, and it does have to "make sense" to go through with something. It doesn't have to be the absolute cheapest option, but it does have to be a "good" option.

On the other hand, I can guarantee that I have not "saved" money by owning timeshares---because I am traveling much more than I would have otherwise. The use-it-or-lose-it annual commitment is a forcing function that helps me prioritize travel as important rather than fitting it it around everything else. To me, that's the real value of ownership.

With few notable exceptions, I’m definitely in this camp as well. I know what it costs to have a nice place to stay on a nightly basis, and I’m not too particular where I spend that night… so I strive for the most interesting, most relaxing, or whatever I’m most curious about at the time and book it. It may be a timeshare, it may be a hotel (with or without a “free” night on points), it may be a cruise, etc. I track my travel expenses and I know the average cost per night so if I find a good deal I take it and when I don’t, I pass. Timeshares have been a valuable component of my overall travel strategy but I’m not paying a lot more for one over another, within a similar category, without good reason.

There’s another current thread about California timeshares and I posted I spent a week at one within a block of the ocean in September. It was a great week and I enjoyed it, but the accommodations compared quite poorly to Westin and yet was *more* expensive on a nightly basis. I enjoyed it a lot anyway, as the quality of the resort isn’t always the most important criteria (it rarely is for me, but I’ve generally been able to get nice resorts).

I’m also with you re the overall cost savings. Timeshares have definitely cost me money, but it’s been money I’ve been happy to spend since it gets me out and about, visiting great places, and generally enjoying myself, usually with friends and family. TUG has been an instrumental reason why I have enjoyed and benefited by timeshares and I thank everyone who has contributed.


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[Dean]

Oddly enough, I think I am both of these people. I do care about the dollars-and-cents part, and it does have to "make sense" to go through with something. It doesn't have to be the absolute cheapest option, but it does have to be a "good" option.

On the other hand, I can guarantee that I have not "saved" money by owning timeshares---because I am traveling much more than I would have otherwise. The use-it-or-lose-it annual commitment is a forcing function that helps me prioritize travel as important rather than fitting it it around everything else. To me, that's the real value of ownership.

Exactly. I want savings, quality, options, flexibility, etc. But I'm certain I've used up any savings with volume, esp with out family trips. I too take a big picture approach but also at least consider the reasonableness of an individual option. For example, I might use reward points for 0.8¢ PP return but not for 0.5¢ and likely will not hold out for only options that give me a full 1¢ PP or more. I do feel the people that commit to using a timeshare ONLY "because it's already paid for" tend to limit themselves and limit the value they garner from the ownership.

 

[little1]

It is 13 months until Christmas/New Years 2022. Plenty of time to plan. Show me a few ads for a 7-night vacation in a 3 bedroom/2 or 3 bath condo that I can rent for less than $2,000 that has a free shuttle that is 10 minutes or less to the base, and I will concede the point that renting is as good as owning. With my timeshare, I know I can book a certain week every year, if I want, and exactly what is will cost a year in advance. Search time is less than 10 minutes.

I use my timeshare to stay in 1 bedrooms during the off-season at resorts with swimming pool, hot tubs, clubshouse, etc. for $360 for the week (about $50/night) -- total cost with no additional cost for housekeeping, like many rentals. Pinetop, AZ, St. George, UT, Steamboat Springs, CO when the leaves change, just to name a few available to me using my timeshare.

That is how I value timeshare ownership. I know it saves me thousands of dollars every year versus renting and the hassle of searching for a vacation rental.

FYI. These deals don't come 12 or 13 months out. And who would want to plan that far ahead if it is not necessary (like when you own a timeshare). I typically get these deal 2 to 4 months out. Last minute deals (<1 month) is cutting it too close.

 

[bogey21]

For some people, it appears the only thing that matters to them is precise financial formulas and it has to make sense to them financially (only) else it's not a wise deal. That's ok. For others, the non financial aspects are at least as important if not more in some cases..

Absolutely true...

George