Vacation time sharing arrangements can be a great way to purchase a vacation home and spend time with your family. However, time share vacations are not for everyone. There are both pros and cons to time sharing properties. A look at both will help you determine if this is the right vacation choice for your family.

PROS:

1. Time sharing is cheaper than hotels in the long term. Over a decade or two, these savings can really add up, and might eventually equal the cost of the property itself. In other words, it could literally pay for itself over time.

2. Vacation properties have better accommodations than hotels. It’s like living in an apartment, not in a tiny room. This is a big advantage if you’re traveling with a family.

3. Deeded time sharing properties are real property that you can sell, deed to heirs or rent. Note that not all properties are deeded.

4. Your time can be exchanged for time in another property in your property network. You have a choice about where you want to vacation.

5. If you own a vacation property, you will go on vacation. With people so busy these days, many people never bother to take a real vacation. Having a vacation already booked and planned will make it easier for you to take the time away.

6. Time sharing provides flexibility if you can’t make it one year. Property exchange companies allow you to bank your week, or you can rent your property.

7. These vacation properties require less maintenance and effort than a traditional vacation rental. You’ll have lower maintenance costs, pay only for the time you use each year, and not have to furnish or decorate the unit.

CONS:

1. There are a few scams and unethical dealers out there. While they are the exception, you do need to be sure you’re dealing with one of the majority of property agents who are completely trustworthy.

2. Although time sharing allow flexibility, some people want to be able to pick up and go whenever they want, rather than having to go at a certain time each year.

3. Exchange may be more trouble, or more expense, than you expect, and what property you buy will determine when and what you can exchange for.

4. Your time share is most valuable in the long run, but you pay for it up front, and your money is tied up in it. Time sharing properties are not liquid. Plus, if you finance, you’ll be paying interest, so keep that in mind.

5. Time sharing vacation properties are not an investment. While your property may be deeded real estate, it won’t appreciate and should not be considered an investment opportunity.

6. Properties can be difficult to sell. If you take a look at ads of properties for sale by owner, you’ll understand why your property will be most valuable in the long run. Selling a unit is not easy.

7. Properties come complete with annual maintenance fees and sometimes special assessments. If you’re expecting and ready for these fees they are not a big deal, but they should be noted.

So what’s the bottom line?

Time sharing vacation property ownership might be right for your family if you’re looking for a long-term vacation home, are willing to vacation at a regular time each year, don’t expect this to be an investment, and most importantly, can afford it.

If you want more flexibility of when and where you go, have a shortage of upfront money, or are looking for an investment, time sharing properties are not for your family.