(Apex Professionals LLC) April 2, 2009 — For years the words timeshare and investment were spoken in the same sentence, along with fun, relaxation and vacation. Today a timeshare is considered a long term usage product, which over the course of 12 to 15 years might breakeven, if it’s used every year. The words that are used in the same sentence with timeshare now are obligation and a commitment of time, energy and money, which has little potential for a financial return. Everything’s not about money, but in the case of a timeshare investment, money is what usually puts people over the edge and they wind up calling Apex Professional LLC to help them unload a timeshare, which has turned into a vacation albatross that’s hanging around their necks.
Timeshare Investing
There are several reasons why timeshares have fallen from grace in the eyes of people who want to enjoy a yearly vacation in the same place and make some money while they do it. The first reason is a timeshare is not investment, because it is a depreciating asset like a mobile home or a car. As soon as a timeshare is purchased it depreciates dramatically. Another issue with a timeshare is it’s hard to sell if the owner needs to get some money out of it for some reason. That’s where Apex Professional LLC can come to the rescue. They help owners get out of the contract and free them of the timeshare.
Another concept that doesn’t make much investment sense is a timeshare owner purchases part of the building in the deal and if there is a natural disaster or another situation where damage is done to the building, the timeshare owner is responsible for rebuilding part of the timeshare. Even though an owner has insurance, it may not be enough coverage to pay for all the damage.
Timeshares must be used every year in order for the owner to justify its expense, unless money is no object. A week in a hotel might cost $1800, but that’s all you pay for that year and if you don’t go you don’t pay. A timeshare homeowner may pay only $1600 but if it’s not used one year the owner still pays the $1600, unless it can be rented and that is easier said than done, especially to cover the breakeven figure. When someone purchases a timeshare they believe they will use it every year but in reality things are changing constantly, so the chances of being able to use a timeshare at the same time each year is more of a dream than a solid business plan. Apex Professionals LLC understands how lifestyles change from one year to another and are able to get owners out from under timeshares, which have become a serious burden because they can’t be used.
One other flaw in the timeshare investment scheme is in order to come close to breaking even, a timeshare must be paid in full. Banks charge a high interest rate on timeshares because they don’t consider them real estate loans, and they usually aren’t tax deductible either. The overall cost of financing puts the whole transaction in a negative mode right from the start. Maintenance fees, travel expenses and just about everything else increase each year so timeshare related costs continue to rise.
Apex Professionals LLC can and will help owners get out of timeshares when it’s no longer feasible to continue putting more money into a money pit, with no bottom. The concept of a timeshare can be a wonderful choice for some people, but they do it to enjoy ownership regardless of cost. Somebody’s got to do it, right?
About the Author: The timeshare experts at Apex Professionals, LLC, concentrate on helping disillusioned timeshare holders to rid themselves of unwanted maintenance fees, unnecessary assessment costs, and to do away with those annoying high-interest mortgages by offering to take over unwanted timeshare agreements instantly. Related posts:
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