Timeshare Council » FAQ

Timeshare Inheritance

Time Share Advisor — Thu, 08 Sep 2011 02:17:48 +0000

Many people would like to be able to keep their timeshare in the family. There different options for dealing with the title of a timeshare that you may want to pass to your beneficiaries. Some may think that a simply willing a timeshare would be enough, but it is more complicated than this. When a property interest is willed it must go through probate court before the beneficiaries can use it. This can take at least a year and in that time the family cannot use the property. Even worse they still have to pay maintenance fees while it is tied up in court. It is doubtful that this is your wishes, but it is reality.

One option to avoid this is to add the beneficiaries on the title before death occurs. This solution is almost too simple and of course doesn’t come without problems. When this option is used any time a contract of any kind having to do with the property comes up, all the titled owners must sign off on it. This will lead to hassles of all sorts. Let’s face it simple family feuds can make this a nightmare waiting to happen!

The best option is to have a revocable living trust. This option leaves you in control until the death when the trustees take over. This option avoids the cost and hassle of probate court. A living revocable trust can be complicated though and it is best to consult with your accountant and lawyer regarding the best way to set it up for yourself and trustees financially.

One piece to think about it, talk to your family members and be sure they have a vested interest in the property. You may be leaving them with more responsibility then they can handle. Some families may not have the time or money to spend on a timeshare and it can really cause problems trying to keep up with it in this case. This topic is obviously not as simple as it may seem at first so do your homework. Look into the best options for you and your beneficiaries.

Working With A Title Company For Your Timeshare

Time Share Advisor — Thu, 01 Sep 2011 14:27:20 +0000

Can a title company help with buying and selling a timeshare? The answer is yes. Many people wonder
why they need a title company to close on a property deal. They only see the obvious things they assist
with, like telling you where to sign. The fact is these companies do a lot more than that. Title companies
provide title insurance, research titles, prepare documents, establish and maintain escrow accounts,
work with law firms representing buyers and sellers (or the probate officers handling a seller’s estate),
and ensuring the proper recording and distribution of all documents related to a sale. These ear every
important things to have taken care of when you are buying a property and can be even more beneficial
for a timeshare.

Title companies will research whether a deed has any liens on it from previous owners. This is a very
good idea especially of you are buying a resale timeshare. This is also where title insurance comes in
handy. Title insurance will protect the new buyer of a property from any judgments against a property
from affecting them. These are major considerations when you are spending a large amount of money
on any kind of property.

Although not all title companies handle timeshare transactions, there are firms that specialize in them. If
you are in the market for one, find one of these. Hiring a title company lead you through your purchase
is one idea that will help to make your timeshare purchasing as well thought out as it should be.

Joining a Timeshare group

Time Share Advisor — Mon, 08 Aug 2011 02:16:37 +0000

If you are a timeshare owner or are considering buying one you could benefit from a timeshare group.
These groups consist of other timeshare owners and are set up to learn more about timesharing, travel
costs and options, dealing with resort companies and working within the industry. You can also find a
group of people who have a shared interest and can give you a heads up on things and resorts to avoid
in the industry. These groups can be a valuable resource for owners. Some of them have guest speakers
and newsletters. One really great benefit is the ability to exchange your timeshare with other members
of the group. Groups keep an inventory of who owns what, so that inner group exchange can be utilized.
This is a wonderful way to avoid the middle man fees that exchange companies charge. Groups can also
network with other timeshare groups allowing for an even larger base of properties to choose from.
There are numerous benefits to joining a timeshare group. A simple internet search could help lead you
to a timeshare group that fits your needs.

Floating or Fixed Week?

Time Share Advisor — Sat, 16 Jul 2011 15:37:27 +0000

Purchasing a timeshare for the first time can be very confusing. The timeshare industry seems to have a language of its own, and many people tend to feel a bit overwhelmed when it comes down to deciding whether to get a fixed week or a floating week. There are several factors to consider when deciding to go with a fixed or floating week, for they both have their advantages and disadvantages.

With a fixed week, you must plan on vacationing at the same time each year. The weeks you buy, coincide with the calendar year. Therefore week 6 would be in February and week 51 in December. Of course the dates would slightly vary each year, (by a few days) but your fixed week would fall around the same time each year. If you and your family like to travel to Mexico every Thanksgiving to get a break from the bitter cold winter and take advantage of the warm sun and sandy beaches, then buying a fixed week timeshare in Playa Del Carmen would be a great idea. The best fixed weeks to own are holiday weeks such as Christmas, Easter, New Years or in March during popular Spring Break times. High season weeks are very desirable therefore their exchange value will be high. Fixed weeks are great for families who like to plan their vacations around their children school breaks, a skier who likes to take advantage of the fresh powder every January in Aspen or a couple who enjoys spending their anniversary in Hawaii.

A floating week does exactly that, it floats. The biggest benefit in owning a floating week is that there is more flexibility in the dates that you want to go. Although at first it seems like the best deal, often times there is little to no availability during the high season weeks because they have been taken up either by the early bookers or the fixed week owners. To guarantee availability for your floating week you must book your vacation fairly far in advance. Floating week owners at some resorts are able to pick any week out of the year, though at others you have to choose from a group of weeks during a particular season. Floating weeks work best for people who have a great deal of flexibility in their schedules and those who do not like to plan their vacations a year in advance.

Whether you choose to go with the fixed or floating timeshare week, depends greatly on your lifestyle and career. If you have children and like to plan your vacation during their Christmas break every year, then a fixed week may work better for you. However if you have a hectic career, where you can not get the same time off from year to year, then a floating week would much better suit you. So before you go ahead and pick the fixed or floating week, make sure that it will indeed fit your lifestyle.

Maintenance Fees

Time Share Advisor — Fri, 08 Jul 2011 02:21:05 +0000

One of the costs that tend to keep people away from buying timeshares is the everlasting maintenance
fees. Even when you have paid off the timeshare property you will be bound to the maintenance fees.
Many times, the fees are what end up sending a timeshare into foreclosure when it has been paid off.
Even if a person has inherited a timeshare the maintenance fees can keep them from using it. One thing
you may not realize when you buy a timeshare is that the maintenance fees can vary over time. Most
the time they increase, sometimes substantially. This can be due to the loss of owners, major repairs
etc.

So what do the fees go towards you may wonder? Here are some of the items they are used for; cost
for security, including personnel at the property, professional and management fees and expenses
for accounting and supervision, taxes for real estate, payroll and sometimes sales or rentals. Costs
for maintaining recreation facilities, expenses for refuse collection and utility services, lawn care and
replacement, building repairs and supplies, insurance for liability, directors and officers, wind, flood
(many times) and workman’s compensation, administrative and salary expenses and benefits, bad debt,
legal expenses and annual audit of accounts, linen and cleaning supplies, service contracts for pest
control, appliance, elevators, linen, etc., maintenance weeks upgrading of units. This is just the general
up keep of a property. When large projects occur it can really cause fees to rise to owners. Things like
paving, roofing major repairs etc.

So you can see why there is a need for the maintenance fees. Someone has to pay for these things and
when you become a part owner of a property you are responsible to pay. When you are feeling upset
about paying these fees when the yearly bill comes, keep in mind why you have to pay.

There are also instances when the resort company may not be using the fees as they should, There are
many stories about resorts continually degrading in quality over time. There are even resorts that have
been condemned! This is yet another reason to thoroughly research who you are buying from. DOD
yourself a favor and be an informed consumer, it will pay off in the long run.

Timeshare Collections

Time Share Advisor — Fri, 01 Jul 2011 13:33:02 +0000

The majority of the time the timeshare company will ding your credit. Additionally,although they can sue, sometimes they will not because they will turn around and put yourtimeshare either fixed/floating week or points back into inventory and sell it at market value.This is what the big timeshare companies do. The smaller ones may operate differently they maywant to take it to court to get their money. Try to sell it if at all possible. Even if you take a loss,it is better than taking the hit on your credit. Should you need to buy or refinance a home, youwill regret having done this in the future.

How they are able collect can also depend upon your states laws. The timeshare company could file in civil court to seek a judgment and garnish your wages. North Carolina,Pennsylvania, South Carolina and Texas — do not allow wage garnishment at all except fordebts related to taxes, child support, federally guaranteed student loans, and court-ordered finesor restitution for a crime the debtor committed.

The company might also place a lien on your contract so that if you do sell it, they willget the proceeds. In some cases, your contract may show a default clause where they can sellyour time share and seek legal action for any loss in the sale price. Many times these loans areset up similar to an auto loan. If you have your car repossesed they can still sue you for thebalance due on the loan.

Maybe you are reading this and it is too late. You have been sent to collections for youbalance due. You are trying to clean up your credit, and attempt to pay the timeshare company.They tell you are too late, nothing can be done. You are dealing with the original creditor thatmay have sold the account to a 3rd party collection agency. The collection agency would beentitled to any payments.Check to see if a 3rd party collection agency has the account, if so you’ll have to pay them andnot the original creditor.

Deed in lieu of foreclosure timeshare

Time Share Advisor — Wed, 29 Jun 2011 13:31:33 +0000

So you have tried to sell your timeshare and have had no luck. You may be facing yet another yearof maintenance fees or worse you are still making payments on the timeshare. Foreclosing on thetimeshare is one option. If you go this route you could still be sued by the timeshare company for anybalance owed after they resell the timeshare. Many people wonder if it is possible to set up a deed inlieu of foreclosure with the timeshare company.

A deed in lieu of foreclosure DOES have a negative effect on your credit, just not as badly as aforeclosure. Your FICO score will be affected. A deed in lieu will be a 100-200 point hit, where aforeclosure is 200-300 at least. If your lender is offering you this option on a timeshare, take it. It willtake a lot less time to repair your credit from a deed in lieu mark than a foreclosure.

Timeshares are notoriously bad investments and you will continue to have difficulty selling it. If you askthe timeshare company for a deed in lieu, don’t get your hopes up. Timeshare companies are notoriousfor their fees. This is how they make money on the units. The longer they can keep you on the line forfees the more money in their pocket.

Another thing to note is that many times they will not offer you a deed in lieu until you are at least 90-120 delinquent on your payments. Meanwhile, they are adding extra late fees etc. If you do get offereda deed in lieu, be sure to make it clear that they cannot come after you for any money after the fact.

Timeshare Travel Insurance

Time Share Advisor — Tue, 28 Jun 2011 13:00:18 +0000

Many people do not consider purchasing travel insurance. At most it may not even enter theirminds until it is offered at the time of purchase of airfare. A lot of times we do not purchase travelinsurance. Especially when you buying airfare you already consider costly, with baggage fees etc. Somepeople who are timeshare owners may have not considered it either. It can be a good thing to have for atimeshare you have already paid for.

There are things to consider that may increase the importance of travel insurance. If you travelwith children or an elderly person, they tend to become ill more often than others. It would be a realbummer to lose out on all your travel costs due to last minute illness. It can be a really good idea tohave travel insurance if your timeshare is out of the country. Natural disasters, terrorism etc. arenot something you want to be part of and travel insurance can help pay to get you out if you are inthese situations. Even if your timeshare is in your home country, things can happen. Floods, tornados,earthquakes, and blizzards the list goes on and on. These things are unforeseeable and could leave youvacation less and out the travel costs as well.

There are many places to purchase travel insurance. Do an internet search and research whattype and how much coverage you might need. Some places charge only $9 a day to insure your vacation.That is a small price for something that could cost you a whole lot more if you are without travelinsurance.

Best way to rent a timeshare

Time Share Advisor — Tue, 28 Jun 2011 02:30:12 +0000

If you are looking for ways to rent out your timeshare, there are many ways to market yourtimeshare for little to no cost. One piece of advice and the best way to rent out a timeshare is by postingads on every possible spot you can imagine to get people to know that your timeshare is for rent. Thiscan be in your email signature, your forum posting signatures, bulletin board at your work, laundry mator grocery store for example. On the internet you can find many classified site such as craigslist, or evenauction sites like eBay.

If you are a timeshare owner, consider talking to your home resort first. There are also websitesthat specialize in timeshare rentals and sales. Just beware of fees. Many times people have paid fees tolist and have seen little to no result. These companies just list it for you; they do not actively try to rentit.

One of the best ways is to try to find friends or friends of friends to rent it out. Advantages of thisapproach are that you will know who is renting, so it’s likely they won’t wreck the place. You also maynot have to hassle so much with ads, calls and emails.

There are many people who are looking to rent their timeshares. The more you can marketyou’re the better. If possible have pictures of the property and be prepared to include all the perks ofthe resort, area and anything else that makes your timeshare great. Being a standout in a sea of adscould really pay off!

Timeshare Maintenance Fee Default?

Time Share Advisor — Tue, 21 Jun 2011 03:54:27 +0000

Thinking about not paying your maintenance fee? It is not an easy choice, however for some, it is the only choice.

Expect the following if you do not pay your maintenance fee:

You will eventually lose your right to use the property
The resort will eventually foreclose on the deeded property or terminate your right-to-use contract
The resort may sue you for money owed including late fees, collection fees, and legal fees.
The resort may sell the debt to a collections agency who will harass you.
In most instances your credit will be tarnished

Give your timeshare away if you cannot afford the maintenance fee. There is a good chance that you can find a buyer who is willing to buy the timeshare for the price of the maintenance fee. Donating your timeshare is another option when you cannot afford the maintenance fee.

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