Maximize Timeshare Ownership
The ultimate resource to understand, maximize and leverage timeshare ownership to travel in luxury accommodations on a reasonable budget.
I have done a similar post on this type of timeshare strategy before but with new readers and a new example of why this could be a very smart and economically prudent strategy, I thought I would go into some additional details.
As I mentioned in my past article, I spent three weeks in Hawaii over Christmas break. It was a great holiday vacation. Almost immediately after I returned, I had an additional ski trip planned for Beaver Creek, Colorado.
Of course I used American AAdvantage miles for this trip as well as I flew in Eagle / Vail airport which makes it a very easy drive to Beaver Creek. I won't go into the savings for flights but flights into Eagle / Vail can be very expensive so it is generally a very good use of frequent flyer miles to fly into EGE.
While I normally exchange my Hyatt Residence Club points for other timeshare properties, for this particular ski trip, I actually used Hyatt’s internal trading options to secure a four night stay at the Hyatt Mountain Lodge in Beaver Creek.
4 night stays are the sweet spot in Hyatt Residence Club points redemption as it is a lot less points to stay 4 nights instead of a 3 over a weekend. While a 4 night stay does not include a Saturday night, these 4 nights stays can be a very good use of Hyatt Residence Club points. Take a look at this post on more details on the 4 night stay sweet spots.
In a separate post, I’ll do a review of this property but for this post, I’ll outline the economics of this stay and you can see why owning a timeshare can actually be economically advantageous.
I ended up needing two rooms for this vacation so I booked one room for myself using Hyatt Residence Club points and another room for my family members using cash. While I would have booked an extra room using points, an additional room was not available using points.
I used 280 Hyatt Residence Club points for a four night stay in a studio unit. The Studio unit was actually quite large and will post some photos of this unit and a review in a later post.
As discussed elsewhere, my points cost me $0.65 per point so this 4 night stay cost me $182 (in points) plus an exchange fee of $39 for a total cost of $221 or $55 per night. This stay is in the beginning of January – peak ski season.
For my family members who did not have access to timeshare points, they booked a cash reservation for $337 PER NIGHT plus taxes, resort fees and fees for a total cost of over $1600. Basically, my family members paid over 6 times the amount that I spent using Hyatt Residence Club points.
Also, for those of you wondering, even though the cash reservation was in my name and I am a Globalist, I did have to pay a resort fee for the cash room since Hyatt Residence Club properties do not offer almost any perks for World of Hyatt members.
Additionally, to further show you the value of a timeshare relating to this particular vacation, the total cost of their 4-night stay was $300 in excess of my annual maintenance fee of $1300. Essentially, if they had a Hyatt timeshare, instead of paying cash for 4 nights, they could have paid $1300 for maintenance fees and stayed 28 nights (if they are available) in a studio unit during ski season. Quite a remarkable difference.
Here is the math in case you are interested:
2000 points per week for $1300 maintenance fee / 280 points needed for a 4-night midweek stay = 7 vacations of 4 nights each or 28 total nights.
If you just elected to use your 2000 points for 7 vacations of 4 nights a piece, you would be paying about $46 per night for luxurious accommodations during peak ski season where room rates are easily $300+ per night if not significantly more.
Timeshares may not work for every type of travel or travel style but if you enjoy skiing, many top tier, name brand hotel and timeshare brands have very luxurious ski-in/ski-out properties at popular mountain resorts. Hyatt has a few properties that can offer tremendous value and as you can see from this example, it may only take one trip to more than make up for the maintenance fees for the year and still end up saving you money.
This example does not include my initial cost to buy the timeshare but if done right, they can be had for a reasonable up-front cost which will ultimately decrease each year in which you use it. As discussed here, my up front cost has been fairly reasonable and still believe that even if you factor in the initial cost, the savings are material.
Did you book a timeshare for ski season this year? Where are you going? Make sure to comment below.