Timeshares are responsible for providing owners joint ownership of vacation properties commonly in resort and or tropical places around the world like Mexico, Florida and Hawaii. Apart from the buying price, the properties also come with annual maintenance charges and other expenses along the way that can add up to thousands of dollars annually.
Irrespective of the fact that the resort property you acquired didn’t seem to be the paradise you dreamed of owning, or the annual expenses outweigh the benefits… then know that you are among many timeshare owners who strive to unload properties they once purchased when the economy and perhaps your life were in a much better place.
The desperation of timeshare owners wanting to sell their timeshare has attracted many scam artists. Many of whom charge an upfront fee, and promise to sell your timeshare – only to end up failing to do so.
This issue and the practice of charging consumers large upfront real estate fees is so alarming that the Federal Trade Commission warns about it.
On the brighter side of things, you can actually have your timeshare unloaded without being scammed; however, it comes with its own price. You are going to lose some money upon a sale, this is because the resale price is relatively much lower that the purchase price.
You need to ensure that all your ownership paperwork is together with specific details concerning what and where you own, fees and resort amenities, etc. are ready before you decide to sell it. All your maintenance fees and payments must be up to date for you to successfully transfer the title.
A good number of homeowners associations and timeshare management companies do offer free ads on their website or newsletter in case you venture into attempting to sell it on your own.
It is possible to have your timeshare advertised on websites like eBay and Craigslist for free or a very reasonable fee ~ our local gay realtor tells us this is one of the most successful methods of selling a time share. You can have your ads on travel and real estate sections of websites and magazines that are dedicated to timeshare resale, though this will cost more. In different scenarios, advertising fees may range from a few dollars to hundreds, therefore you need to put into consideration the cost and the duration in which your ads will be available ~ and what the success rate is.
The moment you get a buyer, you will undergo similar steps as selling a home. Besides drafting a contract that has all purchase details, the buyer might ask for your hand in having a closing company help the entire process transfer, this will cost you up to $300 or more.
It is recommended that you make effort in contracting with the company that is responsible for your property management and development. In some cases, high end companies with timeshare properties e.g. Hilton or Marriot can assist broker a resale, in this case you will pay a pricy commission. Ensure that you inquire on any transfer fees or restrictions that are related to reselling your property.
If you are willing to pay commissions of 10 – 30%, then you can work together with a licensed real estate company. The benefit of this is the advertisement and international access to clients they will offer, together with the entire closing and transfer of your property.
To sum everything up, make sure you find resellers who don’t ask for upfront payment. Be careful of other red flags like too promising deals like “eager buyers” willing to pay more.
It is possible to donate your timeshares to charity if you are a frustrated owner, this case does require thousands of dollars in fees. While the companies responsible advertise the possibility of a tax write-off, the percentage of money you can legally subtract to go for a charity donation will be weighed against the market value, and in some saturated markets it could mean zero value.
Author Jeff Hammerberg is the Founding CEO of GayRealEstate.com, offering Free Instant Access to the Nation’s Top Gay, Lesbian and Gay Friendly Realtors Coast to Coast. FREE Buyers Representation ~ Free Relocation Kit to any City, USA ~ Free Sellers Market Analysis for home sellers.
