Insights from ARDA's State of the Vacation Timeshare Industry Report: An Executive Summary

Today, we'll be presenting a summary of the ARDA International Foundation’s (AIF) recently published State of the Vacation Timeshare Industry report. This report- available for download here- is an essential resource for anyone in the industry who wants to stay up to date with the latest trends and insights. So, let's dive in and explore some of the key findings.

Industry Overview

The U.S. timeshare industry in 2022 had 1,541 resorts with an average of 131 units per resort, totaling approximately 201,600 units. These units are sold to consumers as parts of ownership corresponding to varying amounts of time, either as weekly intervals or points-based. The points serve as a reservation currency for the use of units in nightly or weekly increments, which were converted to weekly intervals for this study.

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‍Industry Health

In 2022, the timeshare industry saw a return to pre-pandemic levels with a 30% increase in sales volume, recovering fully to the level seen before the impacts of the COVID-19 pandemic. Operating performance metrics in 2022 were near or above 2019 levels, with average occupancy at 77.6%. Rental revenues increased by 21% in 2022, and the average maintenance fee billed increased by 5.3%. Resorts completed approximately 439,530 timeshare transactions in 2022, with the average transaction price increasing to $23,940.

The survey that served as the basis for the report's data collection asked respondents about the number of timeshare units recently built and planned at a particular resort. The reported numbers include units that have been approved by the corporate finance committee and for which financing has been secured. In 2022, 132 units were built, up from 31 in 2021. In 2023, 208 units are planned for existing resorts. Respondents also reported plans to add 1,293 units in 2024 and beyond, including 708 units at existing resorts and 585 units at planned new resorts. Five new resorts are also planned for 2024 and beyond.

The ARDA International Foundation

Thank you to the ARDA International Foundation for sharing key data on the timeshare Industry. We were pleased to see a 30% sales increase from 2021, which has brought the industry to a full recovery from 2019 levels. MDK is proud to be a part of such a resilient industry!

To access AIF’s library of research reports and comprehensive industry analysis, please click here: https://www.arda.org/research-aif/research-library