Right to Use
The term Right to Use is generally offered for vacation / timeshare ownership in locations where deeded ownership can not be offered, or where a resort developer may choose Right to Use rather than deeded ownership. Right to Use (RTU) agreements are usually for a set period of time ranging from twenty to ninety nine years. In most cases with RTU agreements the developer or management company retains the actual deeded ownership to the resort development or program, leasing it to the owner for use as agreed within the RTU agreement for a set period of time. Within the set period of time the owner may transfer the usage rights, rent the property, bank and exchange the usage through their designated Exchange Company or bequeath it for the remaining period of time within the lease agreement.
While Right to Use programs do not allow perpetuity ownership as deeded ownership does, they tend to be more popular with owners looking for a specific amount of year's ownership. With some Right to Use programs the developers or providers of the program will allow the owner to use more than one week a year (see Accelerated Use), allowing them to take a two or three vacation or holiday hence accelerating the use of their set amount of years. The Right to Use program are readily used in Mexico and Hawaii.
Go back to Timeshare Glossary of Terms
