|Vacation Rental Information|
Timeshares Vs. Condo Hotels For Vacation Home Ownership
Condo hotels, also known as condotels, are a relatively new concept in vacation home ownership. They allow individuals to own condos in luxury hotels and have access to all the amenities of that hotel. When not using their condo unit themselves, owners have the option of placing it in the hotel's rental program and receiving a percentage of the revenue it generates.
Because the condo hotel concept is so new, it's often confused with timeshares, a popular vacation home option that has been around since the 1970s. In reality, condo hotels have many qualities that set them apart from timeshares and make them appealing to a unique segment of the second home market. Here's a comparison between these two types of real estate investment.
FLEXIBILITY IN USE
Timeshares - When you purchase a timeshare, you choose not only a set location but also a specific week or two that you will use your vacation home every year.
Condo Hotels - With a condo hotel, you have flexibility to use your unit whenever you want. Keep in mind, however, that some condo hotels do have living restrictions that prevent you from making your condo a permanent residence.
Timeshares - The average timeshare has a community pool and some common areas.
Condo Hotels - Condo hotels have many of the amenities you would find at luxury hotels. In addition to a pool (or pools), there is probably an on-site restaurant (possibly several), a lounge, a full-service spa, a state-of-the-art exercise facility, a poolside bar, etc.
Timeshares ? Timeshares are sold fully furnished. The quality of furnishings depends on the individual development. The cost for the furnishings is built into the price.
Condo Hotels - Condo hotel units are sold fully furnished typically with high-end furniture, appliances and fixtures selected by a professional interior designer. The cost for furnishings is included in the price of the condo hotel unit.
Timeshares - In a timeshare, you are responsible for your own housekeeping and unit upkeep during your stay.
Condo Hotels - You get daily housekeeping as you would in a luxury hotel. You have access to room service, concierge services, maintenance services and check-in services. The vast majority of condo hotels are operated by big-name hoteliers like Ritz Carlton and Hilton, the consummate professionals when it comes to customer service. Most of the same services available at their high-end hotels are offered at their condo hotels.
Timeshares - Timeshares are located in highly-desirable resort areas.
Condo Hotels - Condo hotels are also located in highly-desirable resort areas.
Timeshares - Prices for timeshares vary greatly but are typically lower than condo hotel prices because you are only purchasing one or two weeks of usage. In addition, you do not receive any of the revenue generated during the 50+ weeks that your timeshare unit is used by others.
With timeshares, as much as 40%-50% of the price goes to sales commissions. Why are the sales commissions so high? The developer must maintain a large sales force in order to make approximately 50 sales for every unit (one for every week of the year).
Condo Hotels - You receive deeded ownership to the property. Although more expensive, condo hotels tend to give you more for your money than timeshares. More of your dollar goes into "bricks and mortar" high-quality finishes not sales commissions.
In addition, when not using your condo hotel unit, you can place it in the management's rental program and receive a percentage of the revenue it generates, helping to offset your maintenance costs and debt service.
RENTAL INCOME POTENTIAL
Timeshares - You have the option of renting out your timeshare to someone of your own choosing or placing it in a rental program if you decide not to use it during your allotted week. If you participate in the rental program, you will split the revenue generated with the property's management company. Remember, you are only renting out the one or two weeks per year that you own.
Condo Hotels - Like a timeshare, you have the option of finding your own renters or placing your condo hotel unit into the rental program. You may participate in the rental program and receive a portion of the revenue it generates any time that you are not occupying your unit, whether it be for one night or 365 per year.
Timeshares - Historically, timeshares depreciate in value from the time they are purchased. Values have been poor because of the large number of resales on the market and a continuous stream of new developments competing with them.
The secondary market for reselling timeshares has never taken off. The fact is, most people who buy a timeshare will have it for life, whether they want to or not.
Condo Hotels - Because condo hotels are a relatively new type of property investment, they are limited to just a handful of locales across the country. The supply is small and demand is currently high and growing, all of which contribute rapid and significant appreciation. Another factor to keep in mind when reselling a condo hotel unit is that you're selling not only the actual unit but also the luxury lifestyle that comes with an amenity-filled, high-service property.
Many condo hotels are sold out in pre-construction. Often the developers, sensing the high demand, will themselves raise prices many times before all units are gone.
For example, The Mutiny condo hotel located in Coconut Grove, Florida was the first condo hotel to be built in South Florida. From the time the developer began accepting deposits until it sold out in pre-construction, there were nine price increases. People who bought early did exceptionally well.
Joel Greene is the President of Condo Hotel Center, a licensed real estate brokerage that specializes in the sale of condo hotels. For more information on condo hotels -- including property listings, photos and prices -- visit his website at http://www.CondoHotelCenter.com Be sure to sign up for his Property Alert e-newsletter to receive notification when new condo hotels come on the market and are available at pre-construction pricing.
Keys to Contentment
Most of us take vacations for the express purpose of getting away from it all. The desks piled high with paperwork, unmanageable schedules, unbearable bosses, traffic gridlocks and all things necessary but at times unwanted. Cabo San Lucas is the ultimate great escape but it isn't all that easy to find peace and quiet in a town known for it's party atmosphere and large, impersonal hotels and resorts. Or is it?
A Closer Look at Pigeon Forge Real Estate
Those looking to invest in real estate should not overlook Pigeon Forge, TN. Though the 2000 census estimates the number of permanent Pigeon Forge residents at just over 5,000, the population during the popular summer months can soar to tens of thousands. Pigeon Forge has doubled in the last 25 years, and the real estate business is booming.
Looking Closely at Pigeon Forge Vacation Packages
Vacation packages are a great way for travelers to book everything they want in a trip ahead of time and usually at a discount. Different types of Pigeon Forge vacation packages are available to help bargain hunters save money on their visit to the city. Pigeon Forge vacation packages are available by season, with the lodgings and attractions chosen based on their appropriateness to the time of year and the weather. Some travel companies also offer custom vacation packages where the travelers pick where they stay and the attractions that they visit.
How To Close A Timeshare Sale ? Minimize The Hassles
Making the decision to dive into the world of timeshares for investment or family vacation fun is a huge one. With a small financial exchange and the stroke of a pen, the commitment to join an ownership group in the maintenance of a piece of property, sometimes a world away, is sealed.
Costa Rica has been Called the Hawaii of Central America
Considering a romantic or family Costa Rica vacation? You're choosing one of the best tourist destinations in the world. Costa Rica has been called the Hawaii of Central America. A Costa Rica vacation is full of beauty, lush foliage, many wildlife surprises, incredible lakes, rivers, and waterfalls.
Vacation Home Exchange V Renting - Trade and Save, or Do You ?
Vacation Home Exchange V Renting Trade and save, or do you ?
Pigeon Forge Hotels
Hotels are a large component of Pigeon Forge lodging. As with any major tourist destination, there is a wide array of hotels to choose from. There are local independent hotels as well as well known national chains. The prices for a night range from under a hundred dollars to several hundred. Budget conscious travelers will be able to meet their needs with more a economical Pigeon Forge lodging and visitors with more money to spend can stay in a lavish hotel like the new Belle Island Village, which features attractions like Debbie Reynolds' Hollywood Motion Picture Museum.
Why Visit Magical Cape Town?
People often ask me why we keep returning year after year to Cape Town and my answer is always the same, because we've not seen everything yet!
The Cape Town Wine Route Wonders
Just drive out to one of these delightful wine estates to find something quite magical about the art of viticulture and we dare you to say you didn't have a great time.
An Island A Day
Stand by the shores of Casco Bay on the coast of Maine and you may expect to find ocean as far as the eye can see. Instead seemingly endless islands dot the seascape. Sometimes called the calendar islands, there is rumored to be an island in the bay for every day of the year.
Vacation Rentals on Lake Tahoe?s South Shore
South Lake Tahoe vacation rentals are particularly in demand with those folks who crave the excitement of being near the variety of entertainment choices and the abundance of recreational facilities for which the area is well known. Here at South Lake Tahoe you have your choice of world class hotels with all the amenities, beautiful houses for rent, condos, cabins, apartments and the smaller, less crowded facilities popularly known as boutique resorts.
Luxury Cairns / Port Douglas Hinterland Accommodation Will Take Your Breath Away
Cairns Rainforest Retreat is ideally located for your unique rainforest hideaway experience.
Dare to Dream: The Vacation of a Lifetime In A Timeshare
What are your chances of getting the vacation of a lifetime without having to save for a lifetime?
Villasin Algarve - No1 For Property Investors
The Algarve, and particularly the areas around Carvoeiro, Albufeira, Praia da Luz, Vale do Lobo, and Lagos are considered to be some of the finest private Villa rental locations in Europe. The area is an increasingly popular holiday destination for all age groups, due mainly to the fact that there is something for everyone, and at most times of the year. The area is located in the far south of Portugal and is famous for its many beautiful beaches, golf courses, fine restaurants and of course, its wonderful coastline.
Choosing a Maui Condo Rental Agent
Choosing a condo in Maui is definitely a great investment. If you are in the market for a new condo in Maui, you should research the process involved in buying your Maui condo, a good place to start is a visit to as many of the Maui condo rental agents as possible.
All Inclusive Vacations
Most of the time, when an individual is planning a vacation, they have to consider all aspects of the time they will spend away from home. The lodging, the transportation, the meals and so on are all things that have to be thought of. One way to limit the expense that all of this creates, is to book an all inclusive vacation. While this will not alleviate all of the things an individual has to think about, it will help to reduce the amount of planning that is needed.
Is An All Inclusive Resort Right For You?
Destinations such as Aruba, Cancun, St. Thomas, and Bahamas have an infrastructure that is well suited to all-inclusive and not all inclusive resorts because there is a wide election of restaurants and amenities for tourism. Jamaica and the Dominican Republic on the other hand don't have the tourism infrastructure in place and are best suited for all inclusive vacations.
Visiting Whistler Before The 2010 Olympics?
As a resident, business owner and frequent skiier at Whistler, I have realized that there are "secrets", things to see and do that the average visitor to Whistler has NO idea about. I'll try to pass along a local's knowledge, but know that Whistler is a paradise all of its own - these secrets merely add to the magic!
Mindfulness and Retirement: Considering Brazil
I have a 17-year-old daughter who is finishing up a year in Vitoria, Brazil. She's been having the time of her life in a gorgeous coastal city with the beaches of her dreams and the cute guys to match. What's not to like?
Ditch The Hotel For A Villa Or Vacation Home
Two visits to Budapest. Two apartments, walking distance from downtown. I did not even set foot in the Hilton. My mother and I saw Budapest like only someone who stays away from the Americanized hotels can. We stayed with the locals. We came to feel the city, not just see it.
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