Definition of "Timeshare Homes"

Timeshare homes is the popular name given to the concept of fractional ownership in real estate, and, in fact, is a better term to explain its meaning.

Why?

Well, fractional ownership means basically someone owns a fraction of something, right? In this case, a real estate property. But how can one share a property with someone? They can’t each get half of a room, right? So, they created timeshare homes, where the fraction in question is time and not property; that is: that house is theirs – the whole house; not a fraction of it! – only for specified periods of the year. Got it?

Timeshare homes are very popular in typical vacation areas. For instance, Orlando Real Estate Agents are used to negotiating lots of timeshare homes because, when buying a second home, a lot of people – from the US and elsewhere – find it a good opportunity to have a house for their annual vacation near Mickey Mouse and company.  For instance, a lot of snowbirds have their second home in a time-sharing regime.

But how is that timesharing done? There are several ways it can be done. In some of them, the owner purchases interest in the property; in others they don’t and the timeshare home contract acts as a lease that gives the buyer the rights of use. Some are fixed-week (or month) ownership and every year they own that specific period, while others are floating-week ownerships where there is a range of available time slots the owners have a right to use. Not to mention the point-system ownership (also known as vacation clubs) where buyers get “points” that can be converted and redeemed at various locations, and act as a currency of preference in the busiest seasons.

Real Estate Tip:

Timeshare homes can be great! But before committing, do your due diligence! And the best way to do that is by having a real estate agent that knows his/her way around timeshare homes!

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Terms

The number of units currently occupied in a facility, neighborhood, or city, stated as a percentage of total capacity. For example, a hotel has 80 rooms available for guests. Its average ...

Need to know the Ad Litem definition after coming across this weird term? Ad litem is short for “Guardian Ad Litem” or “Attorney Ad litem”, a legal term that ...

Type of mortgage, which is not based on a constant interest rate. ...

The clause in a deed beginning with the words " to have and to hold" limiting or defining the ownership nature of the estate in the property granted by the deed. Declares the type of ...

Will not meeting all the requirements of a valid will. ...

Position taken by a real estate consultant representing the best interests of the client. ...

The definition of the term right of way is an easement or the right of another person to pass over land owned by someone else to reach a particular destination. An individual is typically ...

Decline in the credit status of a prospective homebuyer. ...

Roof having two slopes or pitches on each side. The lower slope is greater than the upper slope. ...

Popular Real Estate Questions