Question

Dominique purchased a timeshare that conveys the right to occupy the property for two weeks each year, continuing for 20 years. However, the timeshare does not convey ownership. This is an example of a ______ timeshare?

1) Fixed
2) Floating
3) Seasonal
4) Fractional

Answer 1

Dominique's timeshare that allows her to use the property for two weeks each year for 20 years, without ownership, is an example of a fractional timeshare.

Step-by-step explanation:

Dominique's timeshare, which entitles her to occupy a property for a specified number of weeks each year without conferring ownership, fits the description of a fractional timeshare. A fractional timeshare provides usage rights to a property for a fraction of the year, usually in one or more-week increments, for a set term of years.

Unlike a fixed timeshare that assigns a specific week each year, or a floating timeshare that allows the owner to choose from multiple weeks, a seasonal timeshare that restricts the choice to a particular season, the key here is the duration of the timeshare agreement which is for a period of 20 years. This suggests a longer-term arrangement that is synonymous with fractional ownership but without transfer of property title.

Dominique's timeshare is an example of a fractional timeshare. It provides the right to use property for two weeks each year over a period of 20 years, without owning the property.