The Difference Between Fractional Ownership and Timeshares

Millions of people worldwide dream of taking a vacation when life returns to normal. Luckily, there are several options for folks to choose from. Among these choices are fractional ownership contracts and timeshares. This article will explain the difference between fractional ownership and timeshares. Ultimately, it’ll be proven that neither selection is a wise investment.

Old vs. New

Essentially, timeshares are the old way of doing things and fractional ownership is the newer model. In a fixed deeded timeshare, owners get the deed to the property and a set week to travel. The set week never changes throughout the entirety of the agreement. Although this option offers little flexibility, at least people are guaranteed a vacation every year.

A credit system, or non-deed option, is a newer alternative that timeshare companies are trying out. In these programs, resorts sell credits to people that they can use to buy a week at a timeshare property. However, these credits are grossly oversold. There are 3.4 million timeshare owners and only 210,000 available weeks to choose from. Simply put, the math doesn’t compute. Experts occasionally convince individuals to exchange their deeded timeshares for credits. Yet, as the numbers show, these credits are essentially worthless. Moreover, when timeshare companies take your deeded property, they turn around and sell it to other developers to make a profit. These actions are shameful, and they’re just one reason why people should never invest in a timeshare or similar program.

There are significant differences between fractional ownership and timeshares. Timeshares are the more traditional way that companies operated, and fractional ownership is a newer method. The evidence proves that neither choice is ideal for vacationers. Anyone who’s signed one of these contracts should contact Preferred Cancellation Services today. We’re a trusted exit company that specializes in timeshare cancellation services. We understand how confusing and overwhelming this situation is, and we’ll be honest with you every step of the way.