Timeshares are a similar concept, except you will go in on the purchase with people you do not know.  There is a management company that takes care of finding multiple buys for a timeshare.

Timeshares are typically setup in vacation spots.  They are used to sell property in areas where you do not live, but want to vacation in.  Ski and beach resort towns are usually very hot for timeshare locations.  Timeshares are available all over the world.

There are different types of timeshares available.  In some cases, you are actually buying a piece of property and have ownership rights.  When selling timeshares, if you have ownership then you will get your share of the sale price.  In other cases, you are just paying for a right to use.  You pay to be able to use the property for a certain period of time every year for a pre-determined number of years.

The current trend for timeshares is more of a vacation club situation.  There are companies that will bring people together who own timeshares and you can trade if you want.  So if you have a timeshare on the beach but want to go skiing, you can trade your designated week with someone who owns a beach timeshare.  This is a good way to be able to travel to new places every year.

It is extremely easy to waste money on a timeshare.  It is important to do a lot of research before you purchase one.  In many cases, it is cheaper just to reserve a condo every year than it is to pay for a timeshare.  However, if you view it as an investment then you could make money.  Some people are into buying and selling timeshares.  You buy a percentage of a vacation home with the price is low, and sell when the price is high – just like a real estate investor may do.

Be careful when purchasing timeshares.  If you do not vacation a lot, then it can be a waste of money.  Additionally, if you get into a bad deal you will have problems selling timeshares if you need to unload it.