Discover the New Name for Timeshares: Vacation Ownership Explained

• by Corbin Fairweather
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Remember when timeshares were the hot ticket to a stress-free holiday escape? Fast forward to today, and that word seems to have disappeared from brochures—unless you’re flipping through one from the '90s. The travel industry has been hard at work rebranding the whole idea, swapping “timeshare” with flashier terms like “vacation ownership,” “fractional ownership,” or even “travel clubs.” But why the name change? It’s not just about sounding fresh. It’s about trust, flexibility, and shaking off a reputation that’s been more embarrassing than a sunburn with your shirt off at Piha Beach.

Why ‘Timeshare’ Is Getting Replaced

Start asking around with folks who got roped into a timeshare presentation in the early 2000s—a lot of them still grumble about the experience. Old-school timeshares locked you into a rigid calendar: same place, same week, year after year. Sales tactics were famously pushy. According to a survey by the American Resort Development Association (ARDA), more than 60% of people associated the word “timeshare” with scams or regret. Not exactly a ringing endorsement.

The industry knew it had a problem. So they started scrubbing “timeshare” from their vocab. Enter “vacation ownership.” Instead of selling a week at a single condo, companies sell you points or fractional rights. Want to visit Queensland in April instead of Rotorua in October this year? Now you can—if the calendar isn’t already fully booked, of course.

Here’s a quick look at the lingo:

• Vacation ownership: Same root idea as classic timeshares, but more focused on flexibility. You’re not tied to one place or week.
• Fractional ownership: This usually means you actually own part of the property, not just the time. We’re talking equity, not just a slot on a calendar.
• Travel clubs: These aren’t ownership at all, but subscription models where you buy the right to access different resorts or hotels at discounted rates.

Big brands—think Marriott or Wyndham—have jumped on this rebranding train. For example, Marriott has its “Vacation Club,” and Wyndham now promotes “Club Wyndham.” Both sell “points-based” ownership, letting you mix, match, and swap destinations. This approach has boosted their sales: ARDA reported in a 2023 market update that vacation ownership revenue in the US reached $10.5 billion, up from $8.9 billion in 2021. That’s a stronger rebound than most independent timeshare operators can claim.

Even more interesting, the long-time stigma is finally starting to fade. Independent reviews on sites like TripAdvisor and Trustpilot show that buyers under 40 are less wary of vacation ownership—mainly because they’re signing up for points, not being frightened by contracts that feel like they need a lawyer to untangle. “Vacation ownership is bringing transparency and flexibility that old timeshares just couldn’t offer,” says Caitlyn Sloan from independent travel research firm BrightStay, in a 2024 interview. “Younger buyers want choices, tech integration, and easy upgrades. The name change is more than marketing. It reflects a fundamental shift in how properties are sold and used.”

Still, there’s plenty to watch out for. Fees haven’t disappeared. Agreements can still be tough to exit. But at least you can chase the sun a little more freely, and leave the word “timeshare” in the past—preferably with corduroy shorts and tube socks.

How ‘Vacation Ownership’ Works Today

If you’re picturing your dad’s old timeshare, you’ll need to clear your mind. Today’s systems look more like airline policy than rigid real estate. Most of the major players—Marriott, Hilton, Wyndham, Accor—offer points instead of weeks. The premise is simple: buy a set number of points, and then cash them in for time at properties across the globe. Sounds good, but does it actually work for everyone?

Let’s break down the mechanics:

• Buy-in: You buy a block of points, which usually starts around NZD $15,000 for entry-level memberships and can run well above NZD $100,000 for premium access.
• Booking: Use an app or website to reserve your stay. The bigger your points package, the more fancy or peak-season getaways you can afford.
• Flexibility: Fancy a ski trip at Lake Tahoe, or rather bask in the sun at Fiji? No problem, as long as your point balance covers it and there’s availability. If you budget right, you might pull off two longer holidays instead of one short stay.
• Annual fees: No way around this one—they’re still here. Maintenance fees, club dues, and possible extras for special access. These averaged US $1,200 per year in 2023 for American owners, similar in Australasia after currency conversion.
• Trade or rent: You can often swap or “bank” your points into the next year or even transfer your stay to someone else for a fee.

Here’s a quick comparison between the old and new approach:

Now, all this flexibility comes with a tech boost. Bookings are usually online, and most club apps show you photos, live availability, and even member reviews. Some newer programmes allow split stays—say, five nights in Tokyo and two in Queenstown—within one booking cycle. Fractional ownership takes it further: you physically own part of a high-end villa or chalet, typically with 1/10th or 1/12th shares that rotate each year, sometimes generating a modest return if the property value appreciates. That’s more investment than holiday club, and the buy-in can easily top NZD $300,000 in hotspots like the Bay of Islands or Byron Bay.

If you’re all about VIP extras, vacation clubs also tempt you with perks: free spa credits, airport transfers, exclusive dinners, and more. Hilton Grand Vacations, for instance, throws in room upgrades and late checkout for preferred tiers. But loyalty comes at a price—the more you pay upfront and the higher the annual fees, the deeper the perks.

But let’s not kid ourselves. Few owners actually “make money” on vacation ownership. Instead, you’re frontloading your holiday spending and beating inflation if you use your points smartly. That’s why independent travel advisor Michael Henson says,

“It’s best to treat vacation ownership like a pre-paid holiday, not an investment. If you get great experiences and save a little, you’re ahead.”

One tip? Don’t rush your decision. If a resort or brand pressures you, walk away and compare offers calmly. Read reviews from Kiwi owners, not just the happy faces on the company website. And always ask for all the extra fees in writing before you sign anything. That paperwork will tell you a lot more than a flashy brochure.

Tips and Pitfalls for Modern Shared Property Seekers

So, should you jump into vacation ownership—whatever the label? It really depends on your lifestyle, travel habits, and comfort with contracts. There are some clear pros: flexible bookings, a huge portfolio of locations, loyalty perks, and hassle-free escapes if you’re a planner. But for every happy owner flashing Instagram shots from a Greek cliffside, there’s someone struggling to book during Christmas, or grumbling over a surprise fee. Let’s look at what you should think about before diving in.

• Calculate total cost: Add up the buy-in, annual fees, booking surcharges, and travel costs. It usually only makes sense if you’ll use your points every single year. If you skip a year, you’re losing out.
• Check the fine print: Are there blackout dates? Can you resell if you want to exit? What does cancellation look like?
• Know the difference: Is it equity (fractional ownership) or right-to-use (club points)? Fractional usually has strict legal obligations; points give you more flexibility but less real property.
• Resale realities: Don’t trust the happy talk about resale value. Most vacation ownership contracts are tough to unload, and resale prices can be a fraction of your buy-in.
• Look out for hidden fees: There might be cleaning fees, upgrade fees, or even transfer charges if you want to give a week to your cousin. Always ask for a fee sheet.
• Talk to current members: Find owner forums and social groups. Real-life feedback beats shiny marketing any day.
• Visit first: Some clubs let you “try before you buy” with discounted test stays. Take advantage of these instead of signing after a single tour.
• Remember, flexibility is only handy if you can actually travel: Consider your life stage. Kids? School holidays are peak times, which means competition and more points. Retired? You’ll snag the best deals in off-peak months.
• Avoid pressure: If your salesperson says “today only,” treat that as a red flag. The deal will be there tomorrow or next month—maybe even better after cooling off.

While the stigma of the old-school timeshare is fading, vacation ownership isn’t a magic bullet. The industry has gotten more transparent, especially with newer digital-first clubs in 2024 and 2025 offering real-time availability and easy booking changes. But contracts and costs still require attention. Some owners even team up with friends or family to split annual fees and multiply the available options—they basically form their own travel co-ops. People have gotten super creative in making the most out of flexible ownership; a few families in Auckland have started “holiday syndicates,” sharing points, swapping access, and making holidays way more affordable when the cost is split five ways.

If you love routine, enjoy planning years ahead, and can use the perks, vacation ownership could be your ticket to reliable escapes. But it’s not for spur-of-the-moment travelers or anyone who hates paperwork. One last twist—watch this space for even more tech integration. AI is starting to pop up in club services, helping members find hidden deals, plan itineraries, and even trade weeks peer-to-peer. One Auckland-based start-up is pushing a blockchain-based ownership model, promising to make it easier to transfer or resell shares.

So, has the dream of guaranteed holidays been revived? If you know the rules, watch those contracts, and see through the buzzwords, modern vacation ownership is a lot safer and smarter than the timeshare pitch of your parents’ era. Just keep your wits about you, and don’t believe the hype—unless the perks and flexibility are really worth it for your kind of traveling. That’s the true new story behind the old timeshare, whatever label they slap on the door.