Many timeshare owners are asking, “Can I resell my timeshare?” Check out 3 key factors that determine the answer.
As with most timeshare questions, the answer to “Can I resell my timeshare?” is maybe. Timeshare contracts are highly specific and can vary a lot from contract to contract, even within the same resort. These three factors will help you figure out the answer.
Does Your Contract Allow Resale?
Not all contracts will allow you to resell your timeshare. If your contract does not allow you to resell, then sadly, you’re out of luck. Or if they do allow resale, you may be required to offer the resort first right of refusal. In that case, the resort would have the right to buy your timeshare before you sell it to anyone else.
Additionally, there may be limitations on the rights and benefits the new owners would have. For example, Marriott limits the rights of owners who purchase on the secondary market. According to the Marriott Vacations Worldwide’s 2015 Annual Report, “Owners who purchase vacation ownership interests on the secondary market typically do not receive all of the benefits that owners who purchase products directly from us receive. . . such as the right to reserve a resort unit that underlies their vacation ownership interest in order to occupy that unit or exchange its use for use of a unit at another resort through an outside exchange service provider.” Limitations like these may make your timeshare less attractive to prospective buyers, which may mean you’re unable to sell because you can’t find a buyer.
What is the Value of Your Timeshare?
The issue of timeshare value is a tricky one. As with traditional real estate, the value of a timeshare depends on location, location, location, especially for fixed-week or deeded timeshares. If your timeshare is in a highly desirable location or coincides with a highly desirable week, then your value will be higher. Age and amenities will also factor in. However, you must also consider your annual maintenance fees and your maintenance fee history. Hefty fees or steep increases over time will affect what you can charge for your timeshare. Keep in mind that your resort may charge transfer fees or commissions on the sale.
Would Anyone Want to Buy It?
We can’t really imagine why people would want to buy a lifetime of fees. But let’s say someone does want to buy a timeshare. The real question is, do they want to buy your timeshare from you? For your sake, we hope so. However, you may find it difficult to resell. After all, many other timeshare owners are also looking to unload timeshares for various reasons. A quick internet search will bring countless listings at rock-bottom prices. Many owners try and fail to sell or get scammed in the process. There are no guarantees in timeshares, except the guarantee your maintenance fees will go up over time. And if the cost to rent a unit at your resort exceeds the maintenance fees? Well, it’s going to be much harder to find a buyer.
So, you may be asking, “Can I resell my timeshare?” Truthfully, it’s hard to do. Luckily, if you’re looking to get out of your timeshare, the complex resale process is not your only option. We help people get out of their timeshares every day, often after they’ve failed at resale. Contact us for a FREE consultation to see how we can help you.
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