Financing your next timeshare may not be an obvious option. However, paying cash up front may not be the best financial decision. Once you read the best reasons to finance your next timeshare purchase, you might reconsider the benefits of buying. We’ve mapped out all the details you need to know.

Why Financing is Preferable

Having cash in hand is great if you are able to afford it. However, many families scrimp and save for several months or years to pay for their timeshare.  If saving is difficult for you, it might be a viable option to finance.

Financing allows buyers to spread out their timeshare costs instead of parting with all of their funds at once. By financing, pay a hefty chunk or as little as 20% of the purchase price as a down payment. Wiping out savings is ill-advised.  It’s a much wiser decision to leave an emergency fund in your savings account for unexpected costs that sometimes arise.

Buyers that finance can use some of that cash to actually go on vacation and enjoy their new purchase. It’s called “balancing the fun with the funds.” Why pay $10,000 today for 10 years of future accommodations when you can pay $1,000 each year (plus a small amount of interest) for ten years? Not to mention enjoying the same accommodations for that same amount of time.

Financing will allow you to get the vacation package that you otherwise can’t afford upfront.  You can have your choice of premium accommodations and best seasons more suited for your family’s lifestyle. Rather than settling and trying to upgrade later, financing a timeshare will open up more options.

This doesn’t mean taking on a bigger loan that’s not as affordable.  Your resale broker can provide you with options and price ranges on vacation ownership best suited for you.  Use this easy payment calculator to see prices vs. down payments. Pick the one that you are most comfortable with, without stretching your budget.

Read more: What is Vacation Ownership?

Timeshares Are Not Investments

Although timeshares depreciate in value, investing in your family’s happiness is priceless.  If you are planning on vacationing as often as your lifestyle and career allows, purchasing a timeshare is a great choice.  It’s well known that the superior accommodations over hotels will bring many happy memories, while also avoiding the discomfort of sharing small spaces with little amenities.

We purchase assets that depreciate all the time, like a car for example. If you are comfortable with the fact that a vacation is an expense just like a car payment, why not save cash and finance the larger purchases?

It’s implied in the “cash only model” that all debt is inherently bad. This is not completely true.  Paying cash for everything wouldn’t build a healthy history of credit, which can actually hurt in the long run. Having good credit when applying for car insurance or a loan can verify you are responsible and able to follow through on your commitments.

Financing a timeshare purchase can actually help increase your credit score.  By using a lender that reports to credit bureaus you can benefit from making payments on time.

Regardless of the price and down payment you choose, make sure your loan does not have additional monthly fees or a prepayment penalty. These add to the cost and can erase all the savings you made on the original purchase.  You should be able to make your monthly payments on just the principle and interest.

Ready to Finance Timeshare?

Contact for a free credit evaluation and quote if you would like to learn more about financing your next timeshare purchase.


Hannah O’Brien is a Rollins College graduate with a Bachelor of Arts in Communication Studies. Her passions include writing, traveling and spending time with her friends and family. Originally from the mountains of Deep Creek Lake, Maryland, Hannah has been a serial traveler to the beaches of Florida since she was young and now lives year-round in Orlando.

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