Timeshare Trade May Be Best Strategy For Buyer's Remorse

In the pressured environment of the 90-minute timeshare sales pitch and captivated by movie-theater scale videos showing idyllic getaways, many consumers who bought on the spot suffered serious buyer's remorse six months later. And then, they just wanted to get rid of the thing.

Although that sentiment is understandable, it's best to avoid acting in haste twice -- and to first consider trading. Here's why. Unloading a timeshare can take much time and effort, and sellers who don't want to hassle with the details may have to pay a hefty fee -- up to 25 percent of the purchase price -- to a resale agent.

The new era of timeshares -- and the allowable purchase structures -- feature far more flexibility than the timeshare of even 10 years ago. That's why a trade may be a better way to avoid losing one's shirt.

Two major time share exchange companies, Resort Condominium International (RCI) and Interval International (II), are making disgruntled time share owners a little happier. For a nominal annual membership fee (about $80), owners can trade their timeshare use time (not the ownership of their share) through these companies for time at a property that's either closer or more desirable.

The basic concept is this: RCI or II assigns a point value to a given timeshare based on its desirability (location, week of the year and unit size, among other factors). The timeshare is then color coded -- red for the most desirable (Aspen in December, for example), white for middle-of-the-road (the central coast in late autumn) and blue for least desirable (Orlando in scorching, muggy mid-September).

The catch is that participants can only trade straight across for similarly colored/rated vacation slot. And an exchange fee of about $100 is charged in addition to the membership fee. But that's still better than practically giving away a $9,000 purchase.

The choices through both networks are abundant, but RCI, the larger of the two, claims more than 2 million members and lists 3,500 resorts worldwide.

To make the exchange as advantageous as possible, consider the following:

• Recognize the true value of the timeshare being put into the pool (don't expect to obtain a nice "red" week for a white-level unit).

• Plan as far in advance as possible to allow for the most flexibility, up to one year with 45 days before a planned vacation at the minimum, or the pickings are likely to be very slim.

• Take advantage of incentives exchange companies offer; some allow members to trade in their timeshare week unused one year to bank more "points" on the trading market the following year.