962: Timeshares | Skeptical Sunday

Industry Overview

Timeshares are a surprisingly large industry, generating $10.5 billion annually, which is more than Major League Baseball's revenue. Jordan Harbinger and Kevin Rapp discuss the prevalence of timeshare resorts in the U.S., with over 1,500 resorts and around 10 million households owning timeshare products 1. Despite their popularity, many timeshare companies, especially legacy ones like Westgate and Diamond Resorts, have been involved in unethical practices, such as preying on immigrants and pushing people into financially precarious situations 2.

   

Major Players

The major players in the timeshare industry include companies like Westgate, Wyndham, and Diamond Resorts, which have garnered a reputation for unethical practices. Kevin explains that these companies often engage in deceptive tactics, such as selling non-existent properties and pushing buyers to take out high-interest loans 2. However, brands like Disney, Hilton, and Marriott are more conscious of their reputation and strive to maintain customer satisfaction 3.

   

Consumer Trends

Contrary to popular belief, timeshares are increasingly popular among younger generations. Over half of timeshare owners today are Gen Z or millennials, with an average age of 39 4. Jordan and Kevin discuss how this trend reflects the broader challenges of homeownership for younger people, making timeshares a more accessible option 1. This shift in demographics highlights the evolving landscape of timeshare ownership and its appeal to a younger, educated, and middle-class audience.