From the exorbitant timeshare mortgage payments due every month to the always-increasing annual maintenance fee, timeshare ownership can be a recipe for financial disaster. These vacation properties often get sold under misleading tactics that wrongfully guise them as investments.
It’s no wonder so many people experience buyer remorse with their deeded timeshare purchases. Whether the feeling of regret comes the next day or years later, you’ll eventually wonder how to get out from under the timeshare industry.
Well, timeshare companies do not make it easy. All the time and money consumers consistently "invest" into their timeshares make a considerable profit for these resorts. This guide will discuss why getting out of a timeshare agreement can be challenging yet, address five timeshare exit strategies available to you.
Timeshare companies make getting out of their agreements difficult. If it were up to the resort, you would stay in your timeshare agreement for the rest of your life.
Attempting to get out of an agreement can feel like you are lost in a maze because the timeshare company is constantly working against you. Still, the last thing you want to do is default on timeshare payments. Doing that can cause immense damage to your credit score and risk facing a collection agency or even foreclosure. When your timeshare becomes insufferable and you need to find a way out of it, be sure you do it the right way.
Since the resort developers will likely enforce your agreement with them, your cancellation experience can be tricky. Although these deals typically are written perpetually, it's a common misconception that owners have no other available options. Here are five strategies recommended to timeshare owners:
Follow along as we closely dissect each exit strategy.
Before trying anything else, determine if your purchase agreement is still within its rescission period. Rescinding your timeshare purchase is the only option to walk away from a timeshare and receive a full refund. However, there is a catch.
Timeshare rescission periods are infamous for having very short windows of usage. If you hope to rescind, you must act quickly. Refer to your paperwork for instructions, but a rescission must be completed between 5 to 15 days and typically requires a cancellation letter. Be aware that getting out becomes more challenging and costly once this period ends.
Timeshare rescission laws in the U.S. will vary from state to state. According to the Federal Trade Commission, timeshare companies must allow at least a three-day rescission period. However, some states have timeshare laws that are a bit more generous. Still, nothing exceeds a two-week rescission period. When looking to get out of your deal, closely examine both your signed agreement and any state laws of relevance.
If you missed that short window of opportunity to rescind, there is still hope for you to escape your agreement. Your next option is to relinquish your deed via the resort’s deed-back program. You must check your agreement to see if your resort offers a deed-back program. Giving your deed back to the resort allows for the resort to reclaim the property and resell it to someone else. If you're looking for a low-price way to get rid of your timeshare, a deed-back is your best bet.
When negotiating with timeshare representatives, be sure to do so with caution. Often owners seek help, and the resort tries to upsell them on an upgrade that will supposedly resolve all of their issues. Rarely do timeshare upgrades ever make an owner's life easier.
Often, owners receive little to no help from their resort. If you missed the rescission period and the resort will not take it back, you may have to do the heavy lifting yourself. One option that timeshare companies recommend is selling your timeshare. However, they fail to mention how complicated reselling them can be.
First, you need to find out whether reselling your timeshare is even an option. What are the deciding criteria? It typically comes down to whether or not you are still paying off your timeshare mortgage loan payment. You will not be eligible for the resale market until you repay the loan.
Once you are ready to step foot into the timeshare resale market, be aware that your property is probably not worth much. To obtain a better idea of what your timeshare's listing price may be, speak with a real estate agent or look up comparable timeshare selling values online. However, unfortunately, thousands of owners are looking to get rid of their timeshare. The result is a flooded secondary market with no buyers. So, it’s unwise to expect to profit off of your timeshare resale.
By selling your timeshare, it's nearly impossible to make back what you originally paid. However, it can finally end future expenses, such as those dreadful maintenance fees. Unfortunately, for many, that's more than enough.
An alternative option timeshare companies give clients is to rent their units out to others for a profit. Timeshare salespeople claim that you will make enough money to cover your mortgage costs and other timeshare fees by renting it out. The truth is that while renting it out can help to lighten the financial hardship, it is often minimal help. If you want to keep your timeshare ownership but need help covering the expenses, listing it for rent may help.
Unfortunately, the timeshare exit strategies listed thus far are not too promising. Rescinding your timeshare or giving it back to the resort will only work under certain circumstances. Selling and renting out your timeshare often delivers disappointing results.
The growing number of unhappy timeshare owners is why we now have the timeshare cancellation industry. Timeshare exit services have recently become a hot commodity because they have worked for many people.
So, what is a timeshare exit company? It's a team of timeshare experts who develop exit strategies for their customers. Their solutions are customized to meet the unique needs of each customer.
Wesley Financial Group, LLC* (WFG) is a perfect example of a timeshare cancellation company. They are a pioneer and leader in the timeshare exit industry with a track record that speaks for itself. Since 2011, Wesley Financial has helped over 16,000 customers in canceling timeshare purchases. Did you experience deceptive sales tactics when buying your timeshare and are now unable to escape? It may be worth determining if you qualify for WFG's termination services. We can help you take the right steps to eliminate your timeshare.
As you can tell, getting out of a timeshare obligation is far from easy. There are very few routes to take towards timeshare freedom, but you must follow one of these strategies if you hope to reach it. Choose which method best suits your needs.
While the timeshare developer may go above and beyond to keep you tied down to your agreement, you are now aware that you can cut ties with them for good. You don't have to endure the unbearable stress of unwanted timeshare ownership anymore.
Wesley Financial Group, LLC, and its affiliates, successors, or assigns are not lawyers or a law firm and do not engage in the practice of law or provide legal advice or legal representation. All information, software, services, and comments provided on this site are for informational and self-help purposes and not intended to substitute for professional advice, legal or otherwise.