Compared to Hotels, Do Timeshares Make Sense?

Timeshares vs. Hotels

If you and your family own a timeshare, can afford the associated fees, and love the destination, then maybe you made the right choice. However, if these fees have become insurmountable and the destination is getting stale, this blog might prove beneficial. I’m going to take a moment to compare the costs and benefits of hotel travel as compared with timeshares.

Timeshares are a luxury item that most people simply can’t afford. Ignoring, for a moment, the staggering special assessments and maintenance fees, even the fundamental cost of buying a timeshare is just too much for the average family to manage. Unfortunately, these fees can’t be ignored, and they often rise to more than $1,000 per year for timeshare owners. So when typical people want to take their family on a vacation, they do it the old fashioned way – by spending their time at a hotel. This method may not have the sexy glitz and glamour of timeshare ownership, but what these trips lack in water cooler status, they make up for in affordability and the freedom to choose a new destination every year.

Destination Freedom

One of the major drawbacks of timeshares is that, by signing a contract locked in to perpetuity (i.e. the contract is eternal and will be passed down to your next of kin), you’re committing to an annual vacation to the same location every year for the rest of your life. In high school, I went to Clearwater Beach, Florida two years in a row for Spring Break. I had a great experience on both occasions, but I soon learned that it’s easy to get bored with a vacation destination. When my sister moved to that area a few years after I graduated, it just wasn’t the same. The beaches were still beautiful, the sun still shined brightly, and the jet skiing was still a riot, but that flair was somehow lacking.

It’s true, there’s nothing quite like the excitement of an entirely new, fresh experience, but, with repeated use that excitement can become ordinary very quickly. However, when you’re able to choose a new vacation destination every year, your trip will always yield new and exhilarating adventures! Most timeshares don’t afford the owner the opportunity to explore different locales, but by visiting hotels, you open up a world of travel possibilities.

Oh, the Financials

It’s time for everyone’s favorite subject: math! I’ll try not to bore you with the figures, but please bear with me for a moment. Let’s remain conservative and say that you purchased your timeshare for $20,000. If you’re planning on using your timeshare for one for the next 30 years, that works out to roughly $670 per year. This works out to be roughly the same amount that most families of four would spend to reserve a mid-range hotel in a trendy vacation spot. But we left out the maintenance fees. Even if we kept these numbers relatively low, most timeshare owners would still have to tack on an extra $500 annually. Put together, these figures work out to $1,170 that would come out of your bank account every year.

For the sake of objective comparison, I did a little travel research on priceline.com. I entered in a six-night stay at the Westin in Fort Lauderdale, Florida for one of the busiest times of year – the end of March, which, traditionally, marks the Spring Break period for students. I found accommodations for $136 per night, which, when multiplied by the six nights that most people would spend during this time, the number comes out to $816; that’s more than $450 less than the annual cost of timeshare ownership!

To be fair, the average hotel room can’t compete with the fancy amenities that many timeshares offer, but for the family that prefers to spend their vacation actually enjoying the sites and activities of a new place, the money saved could easily be used for several big-ticket activities such as ski-lift tickets or a trip to an amusement park. Not only that, but there would probably still be money left over for a nice meal.

In the end, vacation options will vary from person to person. The most important thing is getting the most enjoyment out of your trip for the least amount of money. Some people feel this is achieved by visiting their timeshare, while others prefer to scope out new places every year and stay in a hotel. If you already own a timeshare, but would rather save money and travel to new destinations every year, perhaps it’s time that you transfer your timeshare contract.

Newton Group Transfers

Newton Group Transfers is a timeshare disposal company with an excellent reputation for quickly and seamlessly removing families from their timeshare obligations. We have a fantastic track record within the industry and we have built our name by sticking to our core values of accountability and transparency. Constructing a culture of good faith between ourselves and our clients based on our 100% Money Back Guarantee and an A- rating from the Better Business Bureau is our ultimate goal. We are fully equipped to remove you from your timeshare obligation, so please contact us today at 1-877-354-4321 or visit our website at newtongrouptransfers.com for immediate relief from timeshare stress.

Special Assessment Watch: The Truth in Real Time

Maintenance fees and special assessments are no joke. They add up… fast! These fees increase annually whether you use your timeshare or not, and they have become so expensive that many people are now reconsidering their timeshare ownership. While some owners only pay a couple hundred dollars per year, some families have reported paying as much as $1500 dollars or more for the supposed “upkeep” of their property!

These are the kind of financial figures that scare most people away from entering a timeshare contract, but people are usually unaware of just how ridiculous these fees can get until it’s too late. Unfortunately, it can be difficult to wade through the copious piles of manure in a timeshare sales pitch to determine just exactly what your annual costs will look like… until now.

Special Assessment Watch

In 2011, a new independent website was created to help track the total dollar amount of maintenance fees and special assessments collected in the United States annually. The site is called the Timeshare Special Assessment Alert Network and can be accessed at specialassessmentnetwork.com. The proposed mission statement of the site is to “notify timeshare owners of special assessments and maintenance fees in real time as we receive them.”

As of today, December 11^th, the website’s “Year to Date Total Fees Collected” meter (which is continually rolling upward like an odometer) reads $46,500,000 with three weeks left to go in the year. This is a figure made all the more shocking by the fact that only a small percentage of timeshare owners have actually reported their fees to the site. The total numbers are estimated to be well over $1 billion. To put that figure in perspective, the gross domestic product of Liberia barely topped the billion dollar mark last year!

Site Features

Below the staggering national collection meter, visitors can view the most recently posted maintenance fees and special assessments for various resorts, along with where they are located. These figures are submitted by objective, unsolicited timeshare owners who are trying to spread awareness relating to the timeshare crisis. In fact, Special Assessment Watch validates the neutrality of their mission by including flattering photos of the resorts and a brief write-up describing some of the perks of each development.

The site is extremely user-friendly and offers interactive menus to help you determine what resorts are charging what fees. At the top of the page, you can scroll through a comprehensive list (there are literally hundreds!) of timeshare developments to find the resort that you’re looking for. Once you’ve discovered the resort you’re curious about, you can examine the most recent maintenance fees, special assessments, or both. Unfortunately, it doesn’t seem like many owners have been contributing their special assessment figures yet, but the site is still new and many people focus solely on their exorbitant maintenance fees.

Below this list, the visitor has the opportunity to share their annual fees with the site and a curious public. To do so, simply enter the name of your timeshare resort, and the name of the city and the state in which the resort is located. Below these informational boxes, there’s a drop-down box for you to choose whether you want to submit information regarding your maintenance fees or your special assessment fees, the amount, and the date you submitted the information.

Finally, near the bottom right corner of the homepage, visitors can quickly access the most expensive resorts in terms of special assessments and maintenance fees. Unsurprisingly, Marriot and Wyndham developments dominate the top of this list. Granted, these resorts are absolutely beautiful and are located in prime vacation locales, but the fees reported are jaw-dropping.

Finally!

From what I can tell, this is the first third-party site of its kind. Special Assessment Watch maintains an honest, objective approach to one of the more critical issues in the timeshare industry today. They do so in the hopes that the site will, “Help educate helpless” and “prevent someone from making an uneducated decision.”

Special Assessment Watch is doing potential and current timeshare owners a valuable service by making them fully aware of the current fees at hundreds of different resorts. If only the rest of the timeshare industry would follow their lead by operating with more straight-forward transparency, perhaps the current timeshare crisis wouldn’t exist. At Newton Group Transfers, we applaud their efforts to educate potential timeshare owners, and we intend to continue to follow our own core values of leadership, honesty, and integrity to inform everyone of potential alternative options.

Large Travel Fees Associated with Timeshare Vacations

For some timeshare owners, the journey to their property is a short drive away from home. For most, however, their annual vacation destination is located quite far away. Actually, that’s usually the whole point of going on vacation; sometimes, you just need to get away! In this case, traveling to your timeshare requires a lengthy road trip or flight. These costs can add up rather quickly, especially if you are traveling with several family members. The fact is that, often times, the travel costs associated with timeshare ownership are left out of the equation when people consider their vacation budgets.

Air Travel

As the economy continues to struggle, and the cost of fuel progressively rises to record highs, experts predict that the price of airfare will persistently increase annually over the next 20 years. In fact, the current average price of airfare is already up nearly 10% from this same time last year. According to Ed Perkins, a blogger with smartertravel.com, “Just about everyone in the business believes that airfares are going up, generally, across the boards, and more or less permanently.” Factors for the price hikes include decreased airline capacity, labor strife, conflict in the Middle East, and recent mergers among large carriers. Unfortunately for travelers, none of these issues seem to be going away any time in the near future.

It’s not all bad, though. On the whole, flying is still a relatively cheap form of travel (in relation to rates adjusted for inflation over the last 30 years), and most airlines stay afloat by throwing in hidden costs such as large baggage fees or instituting small price increases several times throughout the course of the year. Many carriers are looking to invest in more fuel-efficient planes, but much of the technology has yet to be fully realized and the cost for research and development alone is well into the billions of dollars. The average consumer who’s grown accustomed to paying modest fees is likely in for a rude awakening in the near future.

Car Travel

The typical timeshare traveler overlooks several fees associated with car travel that can add up quickly, even if you’re flying. If you’re flying, parking your car in an airport ramp can cost as much as $100 per week. In addition, you’ll have to either rent a car or rely on taxicabs for the duration of your trip, and these costs can get out of hand quickly. For instance, I checked to see how much it would cost to rent a compact car over Christmas this year, and the overall figures well exceeded more than $100 per day with Enterprise.

If you’re driving to your vacation destination, there are obviously costs associated with fuel, oil changes, and potential car problems. While fuel prices remained relatively low over this past summer (in large part due to the political elections), most experts don’t expect that trend to continue. In fact, many economists are predicting $4 per gallon again by the end of January.

There are also the unseen costs of piling mileage onto your vehicle’s odometer. In 2011, Americans drove an average of 13,500 miles per year (this statistic includes teenage and senior drivers that typically wouldn’t be driving cross-country to a timeshare destination). A roundtrip car ride from the northern eastern seaboard to southern Florida is more than 2,500 miles. That’s almost a fifth of the miles you’ll put on your car in an entire year! Cars are meant to be driven, but packing on the miles will shorten the length of your vehicle’s life.

Just One of Many Fees

Many people are completely comfortable with paying the travel fees associated with timeshare ownership. Others, however, are beginning to see these costs as the straw breaking the proverbial camel’s back. Once these expenses are coupled with maintenance fees and special assessments, along with the headaches associated involved with scheduling your allotted time at your vacation property, the cost of owning a timeshare becomes less and less feasible.

If you’re feeling overwhelmed by your timeshare, the smartest, fastest way to remove yourself from your contract is to seek the assistance of a timeshare transfer company like Newton Group Transfers. We pride ourselves on our honest approach with our customers, and we won’t sugar coat the situation. We are fully aware of the severity of the timeshare crisis.

At Newton Group Transfers, we offer the opportunity to forge a new financial future by accepting each predicament for exactly what it is, and by working together to develop guaranteed alternative solutions. Please contact us at 1-877-354-4321, or enter your information at our website to receive a free quote today!

What Constitutes an Investment?

Throughout our lives, we will invest in many things. We will invest in our family. We will invest in our friends and neighbors. We will invest in a set of values, in political candidates, and in our favorite baseball team. All of these investments serve to heighten the enjoyment of our lives, while keeping us grounded and focused on what is truly important, but there are other types of investments as well.
Financial investments provide security for the future of our families. They allow for our country to prosper globally, nationally, and locally. Without a constant state of investing, the economy would stagnate and fail. For these reasons, investing is a vital element of our nation’s framework and is built into the fabric of our financial systems.

Investments such as homes, businesses, and stocks are purchases made in which a profit is expected and the analysis shows reasonable assurance of security for both the principle and the return. These are sound investments that most Americans will engage in at some point in their lives, but not all big purchases can accurately be referred to as investments.

For instance, buying a new car is not an investment. The instant the vehicle rolls of the lot, its value depreciates significantly. Unless the car is a classic model in mint condition, there is no reasonable assurance of security for the principle or the return. This isn’t to say that there wouldn’t necessarily be an emotional investment in buying a car, but financially speaking, a car is simply a big purchase with the potential to improve the quality of life for the purchaser. There is no prospect of monetary gain attached.

A timeshare can be thought of in much the same way as the new car rolling of the lot. It’s beautiful, it’s exciting, the family loves it, and the future looks brighter from inside of it. Not only that, but a timeshare can be a symbol of status, of moving up in the world toward a more comfortable lifestyle. Unfortunately, after the initial love affair with your new property, the shiny veneer of the new timeshare begins to fade over time and the once sleek and sexy “investment” becomes just another expensive responsibility. To complete the analogy, when one considers the travel expenses, maintenance fees, special assessments, and depreciating value of the property the timeshare begins to look less like a Lamborghini and more like a lemon.

The bottom line is that a timeshare is not a typical property because it’s not an investment. At numerous sites across the internet, an interested buyer can find timeshare owners desperately trying to sell their “investment” for less than one dollar. There are two interesting elements to this phenomenon: The first, is that a timeshare owner would be so eager to rid him or herself of their property that he or she is willing to sell it for the price of a candy bar. The timeshare is so economically toxic that giving it away makes more fiscal sense than keeping it. The second element, is that despite an offer that is obviously too good to be true, occasionally a buyer will come along with no conception of the financial hell that they have voluntarily entered. This cycle will continue to repeat itself as new timeshare owners become frustrated, angry, and cynical concerning the pitfalls of timeshare ownership. Eventually, they too will be willing to practically give the property away rather than deal with the headache of timeshare ownership.

Throughout the course of ownership, the average timeshare owner will spend over $100,000 in costs related to the property. This amount is staggering considering the brief time actually spent at the property and the already significant original price tag.

If you would rather not spend your children’s college funds on a one week per year vacation destination, then maybe you should consider allowing Newton Group Transfers to provide an affordable, efficient, and guaranteed exit solution from your timeshare contract. For a nominal fee, you and your family can be free of the mounting costs associated with the property. Please contact us at 1-877-354-4321 or online at newtongrouptransfers.com to discover a new path to financial security. Who knows, maybe with the money you save, you could buy a new car…

The Pros and Cons of Timeshare Ownership

Let’s be honest, owning a timeshare isn’t all bad.  If it were, no one would ever enter into an agreement with a resort development.  There are many advantages that come along with purchasing a timeshare (as any salesman worth his salt will tell you).  But it is important to investigate all variables when considering purchasing a timeshare.  In this article, I’d like to take a minute to look at both the good and bad aspects of timeshare ownership.

The basic premise behind timeshares is simple: buy a fraction of a piece of vacation property and use it for a fraction of the year.  This is an appealing proposition for those families who vacation regularly and have a favorite destination.  Rather than purchasing their own property outright to use during their trips, timeshare owners share the cost of a property with a collection of other investors and spend an allotted amount of time there.  In theory, this is an excellent way for many families to enjoy quality time with one another in a prized vacation locale.  For those owners who really enjoy a specific vacation destination, they can familiarize themselves with an area and create lasting memories.  Unfortunately, for many timeshare owners, these memories have a nasty habit of becoming bittersweet.

Most families really enjoy the first few years of owning a timeshare.  It can be an exciting and convenient vacation option.  However, as children get older, and families begin to use their timeshares less frequently, the property can begin to lose its luster.  What initially seemed like a great way to treat your family to a special annual trip can become a headache as various maintenance fees and special assessments begin to add up.  Coupled with the rising cost of travel and a stagnant economy, suddenly your timeshare can begin to seem like less of a luxury and more of a burden.

At this point in the life cycle of timeshare ownership, many people consider selling their property.  The problem with this, of course, is that a timeshare is a liability, not an asset.  The value will only depreciate over time, which makes the resale market virtually non-existent.  There are many listing agencies and exchange companies who will make empty promises about the value of your property and the abundance of buyers lining up to purchase it, only to cash a large check without providing adequate service.  The bottom line is that it is nearly impossible to sell a timeshare.  The resale market has decreased significantly and shows no signs of rebounding.

We make no pretense about the value of your timeshare.  If you use and enjoy your timeshare, then it has significant value to you and your family.  If not, then you need to ask yourself if timeshare ownership is still a good choice.  The best option to get out from under the heavy burden of a timeshare contract is to transfer it with Newton Group Transfers.  Ever confident in our ability to remove the timeshare from your name, we back up our service with a 100% Guarantee of our services.

Please visit us online at newtongrouptransfers.com or contact us today at 1-877-354-4321 to begin the process of becoming timeshare free!

What Is a Perpetuity Clause?

There are a lot of things that we wish could last forever: the latest book by your favorite author, a perfect evening spent with family and friends, the youth and innocence of a new-born baby. These things have a timeless quality that, although short-lived, we carry with us as treasured memories for a lifetime. Other things, we are stuck with for eternity, whether we like them or not.

You may not have realized it at the time, but if you signed a deeded timeshare contract, you were committing to a potential financial nightmare from which there’s no easy escape. Most timeshare contracts are written with a “perpetuity clause” that makes your contract nearly impossible to break. Timeshare salespeople insist that this element of the contract is vital to ensuring that your progeny will enjoy ownership of such a valuable asset. But what this really means is that, after purchasing your timeshare, you will be required to all of the costs related to your timeshare for the remainder of your life. When you pass, the responsibility of maintaining these fees will be assigned to your next of kin.

Usually, family members do not want the property bequeathed to them for a few critical reasons. In recent years, timeshare occupancy has steadily decreased due to a struggling economy and unfair business practices on behalf of the resort developers. As the number of buyers decrease, resorts raise maintenance fees arbitrarily and well above the rate of inflation in order to mitigate their losses. In fact, the average annual cost of timeshare maintenance fees was $674in 2009. According to 2011 figures, that number has now jumped to $776 every year. That’s a 13% increase in just two years!

In addition to astronomical maintenance fees, the value of your timeshare decreases dramatically the instant you purchase it. Therefore, in the unlikely event that you are able to sell your timeshare, you will only be able to do so after taking a significant loss. Taken together, two factors make selling a timeshare extremely difficult; people just don’t want to take on your financial burden in the same way that you no longer want to continue to suffer under it.

So, if you’ve signed a contract making you and your family the permanent owners of the property, what are your options? Well, resale listing companies have very little incentive to follow through with their promise to sell your property; most donation options are scams that will land you in hot water with the IRS; and failing to keep up with your timeshare obligations will lead to a foreclosure that will destroy your credit.

Newton Group Transfers is NOT a resale listing agency or a donation company looking to scam you by falsely appraising your timeshare. We are a timeshare disposal company with a sterling reputation within the industry. We take an honest approach with our customers to completely transfer the deed from timeshare owners who have paid their mortgage in full. We are an experienced group of veterans of the timeshare transfer industry with a universal reputation of integrity based on our core values of accountability and transparency.  We’ve built a culture of good faith between ourselves and our clients based on our 100% Money Back Guarantee and an A- rating from the Better Business Bureau.

We have our client’s best interests in mind, and we will work tirelessly and honestly to remove you from your timeshare obligation.  So please contact us today at 1-877-354-4321 or visit our website at newtongrouptransfers.com to liberate yourself from your timeshare contract.

The Sad Truth About Timeshare Donation

The holiday season is rapidly approaching and we all know what that means… the season of giving is upon us! Christmas is a time of goodwill, peace, and charity, but it’s not necessarily always better to give than receive. For instance, donating your timeshare to charity might seem like a convenient way to rid yourself of such a financial burden, but the only thing you’ll receive is a massive headache!

Timeshare donations paint a picture of philanthropy coupled with massive tax deductions, along with the obvious benefit of ridding yourself of your timeshare obligations. This pie in the sky offer seems too good to be true! Unfortunately, it is.

Timeshare donation is one of the most common and expensive scams in the industry today. Not only that, but it could trigger an audit of your tax returns by the IRS, upon which, it will be revealed that the donation was really a scam – leaving you owing Uncle Sam a hefty sum. To put it simply, donation just isn’t a viable option as a timeshare exit solution.

Here’s how it works: A group of sales professionals sequester a group of disgruntled timeshare owners into to a physical location or a webinar with someone posing as a timeshare counselor.

Once the presentation begins, they’ll feed you quasi-accurate information about the folly of listing your timeshare on the resale market (Note: This is the only part of the scam that is remotely valid – timeshare are nearly impossible to sell).

When they feel like they’ve convinced you to enlist their services, they will request a large up-front fee to channel the timeshare to various charities with which they’re affiliated. Next, they’ll appraise your timeshare and claim that it’s worth roughly 75-80% of its initial value.

After the bogus appraisal has been completed, they’ll ensure you that you can write the appraisal figure off on your taxes. For the salespeople, the closer is that the amount that you will receive in your tax deduction will far exceed the amount you paid for their services – a patently false claim.

Keep in mind, if you go through with this process, the IRS will audit you and hold you responsible for the refund that you receive. At this point, it will be too late to plead ignorance.

Given the shabby resale market, the IRS is fully aware that your timeshare is not worth what these companies appraise them at. Further, they know that you are also well aware of this fact, and they will act accordingly.

Timeshare donation is a dangerous, expensive, and inefficient method of timeshare disposal. If you don’t believe me, discuss the matter further with your attorney or accountant; you’ll hear the exact same thing from them. At best, it’s a poor financial decision, at worst, it’s a scam that could get you and your family in hot water with the IRS. If you’re honestly considering timeshare donation, please, at the very least, seek an accurate appraisal of your timeshare from an objective source.

I strongly urge you to be thorough in your search for an efficient and expedient timeshare exit solution, but I’d really hate to see you dig deeper into financial difficulty by dealing with timeshare donation agencies. I know that many of your have dealt with less that reputable individuals and organizations in the past, so please don’t make the same mistake twice!

At Newton Group Transfers, we make no pretense about the value of your timeshare. The goal isn’t to prey on your financial insecurity and then swindle you out of your hard-earned money. We genuinely want to help you end your timeshare obligation through honest and legitimate means.

If you use and enjoy your timeshare, then it has significant value to you and your family. If not, then you need to ask yourself if timeshare ownership is still the best choice. The legitimate, most expedient way to get out from under the heavy burden of a timeshare contract is to transfer it with Newton Group Transfers. Ever confident in our ability to remove the timeshare from your name, we back up our process with a 100% Guarantee of our services. 

We have our client’s best interests in mind, and we will work tirelessly and honestly to remove you from your timeshare obligation through legitimate means. Please contact us today at 1-877-354-4321 or visit us online at www.newtongrouptransfers.com to liberate yourself from your timeshare contract.