Timeshare maintenance fees are used by the resort HOA or developer to pay for the required upkeep to maintain the property in a desirable condition. As with any property, such as your home, it costs money to keep the property maintained and safe. Maintenance items like carpet, paint, and roof repairs are typically funded by owner maintenance fees.
The annual maintenance fee is established by the timeshare management company, either the developer or the HOA. New properties still managed by the developer tend to have lower fees. Most developers want to keep the fees low in order to keep costs down for the initial buyers.
You should expect to pay at least $815/year in maintenance fees. You could pay more than the $815 average depending on the property, and depending on what is defined in your contract. Review your timeshare contract thoroughly to understand your financial obligations.
Be prepared to pay special assessment fees, in additional to your annual maintenance fees. Special assessment fees can be levied at any time due to unforeseen events. A common example of an unforeseen event is hurricane damage that exceeds the payout of the insurance company.
If you understand your costs, and budget properly, you should not have any problem paying the fees. Owners that cannot pay the fees should investigate the option of either donating the timeshare or the option of a quick claim deed to the property management. If a quick claim deed offer is not accepted, and donating does not pan out, then you can sell your property for one dollar and have the new owner assume the maintenance fees.
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