The Timesharing concept was  born in Europe and often been accredited to Paul Doumier a developer in the French Alps in the late 1960’s who coined the phrase “ It is cheaper to own the hotel than rent the room” And, it caught on! The industry has changed along the way however millions of families today enjoy the simple concept of being able to “own their vacation”

As the industry grew typically in the 70’s and 80”s timeshares were quickly built around the world and very prominent in the U.S. in places such as Florida and Hawaii. The industry’s reputation was perceived to be less than favorable especially due to urgency placed on the choice to “buy today “and sometimes considered to be high pressure. As the industry evolved with various governing bodies placing strict measures and implementing improved regulation, the timeshare industry enjoys a much more consumer-friendly and positive reputation.

In the early days the timeshare industry had little respect. However beginning in the 1990s the timeshare industry experienced a renaissance and it continues to mature. New developer sales and timeshare resales activity continue to grow beginning a new era for this once questionable industry.

Initially timeshare properties were marketed as investments. Timeshares are not in fact investments and one should not buy a timeshare with the expectation of reselling it for a profit.

While one might buy a timeshare property to make an investment in a lifestyle, few timeshares appreciate—only the ones in choice locations during specific seasons.

The increasing positive image of the retail and timeshare industry is a result of two main factors. One is the influx of well established companies into the new sales market such as Marriott, Disney, Hilton, Hyatt, Wyndham and others. These corporations have spent significant resources informing the public of the many benefits of timeshare and counteracting the poor reputation that lingered from the early days of the timeshare industry. Branding by Marriott, Hilton, Disney, Westin, Hyatt and others has improved product image and helped new timeshare sales & resales.

The second factor is that people are realizing that the concept of timeshare is a real vacation option. With the improved industry reputation, more and more people are attracted to the idea of timesharing as opposed to discrediting the concept because of those early, new sales techniques and marketing. The day has come where consumers are waking to the idea of “Today I am going to look at buying a timeshare.”

The timeshare industry is the fastest growing segment of the Travel and Tourism industry. A study released by the ARDA International Foundation (AIF) in 2007 and conducted by Ernst & Young, LLP points out indicators of future growth and accelerated growth in the future.

In 2006 14,000 new units were built and 11,000 in 2007. In 2008 and beyond, the current forecast is for about 47,000 new units. The Ernst & Young study showed a new sales growth of 81% over a five year period. Additionally, the number of timeshare owners in the U.S. grew from three million in 2002 to 4.4 million in 2006 with 1,615 resorts operating in the U.S. and 176,232 timeshare units.

The AIF study further found that U.S. new sales reached a new high of $10 billion in 2006.

Developer/Hoteliers also have found that occupancy rates for timeshare units exceed those of their hotels.

What does that say about the timeshare industry? That demand for new timeshare-vacation clubs is growing and the resale secondary market will continue to grow proportionately.

• 73.8% say it has increased the degree to which they look forward to holidays, including: 41.8% for whom this has been “greatly increased.”
  
• 69.1% believe it has increased their learning experiences, probably by opening new vacation possibilities.
  
• 65.0% find it has increased the amount of time they spend on holidays (a perception that is supported by the data in the following chapter).
  
• 55.2% believe it has increased their health and happiness.
  
• 33.9% feel it has facilitated their family/household communication patterns.

 

These results suggest that timesharing helps deliver specific benefits that go beyond simply making vacations easier to arrange or more affordable.

Here is a handy weeks Calendar to help you identify important travel times.

For example: : Week 24 in the year 2009, your desired travel date would be June 13.

Acceleration
The ability to use your vacation program more quickly (travel more) while shortening the length of the original program.

Appraisal
The estimated worth of a timeshare, expressed in terms of market value. Timeshare appraisals are not necessary for buying or selling a timeshare on the resale market and are often considered unreliable. Market value of a timeshare can be estimated by market value survey or the comparing of prices of similar timeshare listings on the resale market.

ARDA (American Resort Development Association)
The leading organization based in the U.S. upholding professionalism and establishing Code of Ethics within the timeshare industry

Banking
The ability to save unused timeshare weeks to use later. Banked timeshare weeks can be exchanged for other locations and different timeshare weeks. Banking is sometimes called "space banking".

Biennial or EOY (Every Other Year)
Allows owners to travel every second year as opposed to every year

Check-In Date
Typically in the timeshare world check in days are Friday, Saturday and Sunday depending on the resort.

Closing Costs
Expenses at closing on a timeshare property including deed preparation for deeded timeshares, recording fees, administrative fees, escrow costs, and equity transfer for right-to-use timeshares

CRDA (Canadian Resort Development Association)
The leading organization based in Canada upholding professionalism and establishing Code of Ethics within the timeshare industry

Deed
This legal document demonstrates ownership rights with title to a timeshare property. Once a timeshare property is deeded the owner can bequeath, rent, or sell the timeshare just as an owner can do with traditional real estate properties.

Exchange
The ability to deposit your week into an exchange company(commonly referred to as “space-banking”) and extract a week in another resort somewhere other than your home property.

Exchange Company
A company that coordinates the trading of timeshare weeks that timeshare owners deposit. There are two main timeshare exchange companies. These are Resort Condominiums International (RCI) and Interval International (II). RCI and II are affiliated with more than 5,000 resorts globally and enable a timeshare owner to trade his or her vacation week at a specific resort with another owner's vacation week at a different resort. This process gives timeshare owners worldwide travel possibilities.

Fee Simple
Owners can will their timeshare to anyone they choose

Fixed Unit
The timeshare owner has the same exact unit every year in the same timeshare resort.

Fixed Week
The timeshare owner has the timeshare during a specific numbered week of the calendar year, every year. Timeshare weeks are numbered sequentially from the first week of the calendar year to the last.

Floating Week
Depending on the timeshare resort's availability, the timeshare owner can use the timeshare during any week of the season purchased. If a timeshare week is in high-season, the owner can reserve any comparable week in the high-season that is available.

Fractional Ownership
Typically purchasing multiple weeks (often five) in a resort or condominium style of property. Often, but not always receiving one week per season with one for trading  through an exchange company

Gold Crown Resort
The highest rating given by RCI for a timeshare resort which includes the highest of standards and meets all site requirements including available amenities.

Internal Exchange
A timeshare owner can exchange a timeshare week in the same timeshare resort or in another resort within a resort network under the same company ownership.

Interval
In timeshare ownership an interval is a measure of time representing one seven-day week in sequentially numbered weeks from 1 to 52 or 53.

Lease
These programs typically range from 20 to 99 years and eventually expire. They are often purchased in countries such as Mexico where deeds do not exist

Lockout
Normally a studio unit and a one bedroom unit (make up a two bedroom to sleep eight people) but can be separated to receive more travel but smaller units.

Maintenance Fee/ Dues
The yearly fee a timeshare owner pays the timeshare resort management company or homeowners association for timeshare property upkeep, insurance, utilities, and taxes.

Management Company
A company that manages daily operations of the timeshare resort for a yearly fee to timeshare owners or with funds received by the homeowners association.

Points/Credits
A numeric form of currency utilized in the timeshare world- Factors considered are unit size, seasons, location, amenities, etc. Points also offer flexibility in terms of shorter stays including nightly travel and various check in dates.

RCI
Resort Condominiums International (www.rci.com) is one of the two main timeshare exchange companies.

Resale
A timeshare or vacation club being sold by the owner(s) after it was originally purchased from a developer.

Right-To-Use
A timeshare lease that generally expires after a said period of time- normally (RTU) programs range from about 20 -99 years and whatever is left can be willed, sold, or donated to whomever the owner chooses.

Season
Typically there are three colors for different travel times around the world. These seasons are harmonious with demand in each area. To travel high time is indicated by (red) to travel mid-season is (white) and to travel low season is (blue). With other travel clubs there can be other colored seasons as well.

Special Assessment
An additional fee over the yearly maintenance fee levied for special circumstances such as a major timeshare resort refurbishment.

Timeshare
The purchase or lease of a resort for an interval of time with the option to exchange for other time intervals at the same or a different resort. Timeshare ownership allows for affordable vacationing in that the timeshare owner only pays for an increment of time in contrast to full ownership of a vacation property.

Vacation Club
Also known as a holiday club, this is an organization which is unregulated by laws covering the sale of timeshares. Buyers need to be aware of companies that are less than reputable. A vacation club offers timeshare weeks to its members.