Are timeshares really a scam?

Timeshares get a terrible reputation, and for good reason: High upfront costs, rising maintenance fees, and terrible resale value are all real issues. On top of that, as someone who focuses heavily on credit card points, I naturally avoid anything that looks like a recurring travel cost.

But after traveling with my parents for over a decade with their timeshare, I think the answer is a bit more nuanced.

We just got back from a weeklong trip to Las Vegas, Zion National Park, and a few stops along the way. Like most of my trips, we kept out of pocket costs low by using points for flights, Hyatt points for Zion, and leveraging credits like the Venture X $300 travel credit for our rental car. Watch our vlog below!

But one part of the trip stood out because it does not fit the typical points strategy.

A timeshare.

I have been traveling on my parents’ Hilton Grand Vacations ownership since 2008, and this trip was a good reminder that, if used correctly, it can actually provide strong value. My dad pays about $1,200 per year in maintenance fees and receives 9,000 Hilton Grand Vacations points. That works out to roughly 13 cents per HGV point.

During the Las Vegas portion of the trip, we stayed at the Trump Hotel using those points. We had a one bedroom suite with a full kitchen and living room, which made a big difference traveling with a toddler.

To really understand the value, I compared it to a consistent example at Hilton Grand Vacations Club Grand Beach Orlando.

• A one bedroom suite for a week costs about 3,240 HGV points. Based on the maintenance fee, that comes out to an effective cost of around $430 for the entire stay.

• The same property was going for about $1,148 for the week in cash.

• If you tried to book with Hilton Honors points instead, it would cost about 54,000 points per night, or 378,000 points for the week. Even buying those points during a 100 percent bonus sale would run you around $1,900, and that would only get you a standard room.

That is where the comparison gets interesting.

Most people think about timeshares versus hotels, but that is not really the right comparison. What you are actually getting is a suite with a kitchen and living space, which is much closer to a condo-style stay than a standard hotel room.

That does not suddenly make timeshares a good deal for everyone. The upfront purchase price still matters. Maintenance fees can increase. Flexibility is limited compared to points. But if you already have one, travel regularly, and value space for a family, the math can work better than expected.

The rest of the trip followed a more typical points strategy. We booked flights using a mix of Delta and Air France miles, used Hyatt points to save about $600 on our Zion stay, and used a free night certificate at the Rio for a quick overnight before heading home.

We also made our way through multiple lounges, including Capital One, Delta Sky Club, Chase Sapphire Lounge, and the Sidecar by Centurion Lounge in Las Vegas. Those small upgrades make a big difference, especially when traveling with a toddler.

The main takeaway is this.

Timeshares are not for everyone, and I still would not recommend going out and buying one retail. But if you already have one and use it well, it might not be the worst thing in the world.

What’s In our Wallets (Newsletter Exclusive)

Our lineup for this week is below. See our rationale here just for newsletter subscribers like you.

Matthew: World of Hyatt Business | Capital One Venture X

Sarah: Chase Sapphire Reserve | Capital One Venture X | American Express Business Platinum

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