Timeshare News

Many people have discovered, during recent trips to Hawaii, that an ever-increasing number of timeshares can be found in the state. The overwhelming trend in Hawaii in recent years has been a rise in the number of available timeshares, with a corresponding decrease in the number of available hotel rooms. Acting on this trend is a good idea for those who are in a financial position to do so.

A leader in the Hawaii timeshare industry is Hilton, the celebrated hotel chain. One of the latest new developments in Waikiki is owned by Hilton and sees tours from prospective timeshare owners every day. The chain is taking advantage of this timeshare growth trend to turn a significant profit. Towers with timeshares built by Hilton include Lagoon, Kalia, Grand Waikikian and Hokulani. In fact, the Hokulani is built on the site of a former hotel, demonstrating how much hospitality trends have changed in the last decade.

Timeshares currently account for about 13 percent of the hospitality industry. As the demand for places to stay in Hawaii grows, timeshares are expected to make up the bulk of new vacation real estate. Over the course of this past decade, primarily new timeshares have been built, as opposed to the hotels that were popular in years past. Clearly, many buyers have noticed the many advantages that come with owning a property versus renting a hotel room.

Another trend that is expected to further drive up interest in timeshares is a drastic increase in the price of hotel rooms. The current nightly average for Hawaii hotel rooms is $230, with high-end rooms much more expensive. Accordingly, ever since 2000, approximately 8,000 hotel rooms have been lost. Investors have been looking to make up for this by investing in the timeshare market.

Both the American Resort Development Association (ARDA) and RCI have conducted research that looks promising for timeshare owners and potential owners. The results of this research demonstrate several encouraging points for anyone who is following industry news closely. Trends like those discussed below are expected to continue in the foreseeable future.

Hawaii ranks highest in vacation property ownership after the Caribbean and California. This clearly demonstrates the value that many investors find in buying timeshare property in Hawaii. In addition to American tourists who are seeking a quality vacation property, many Asian tourists buy timeshares here as a more convenient option for visits to the United States. This means that many who purchase a timeshare to lease or resell are able to secure a solid return on their investment. A majority of the area’s timeshare owners are highly satisfied with their properties, and therefore are likely to retain them for a long period of time. This helps provide a more positive image of timeshare ownership for potential buyers.

The economic downturn has had a minimal effect on timeshare ownership – good news for those who have been unsure about purchasing because of problems with other real estate markets. Trends indicate that timeshares in Hawaii will only become more popular in the future.