How to Sell a Timeshare: Getting The Right Price for Your Vacation Home
Owning a vacation home is an alluring prospect, especially if you vacation at the same destination year after year. That is why timeshares are a popular form of homeownership: They give people the option to “own” a vacation home at a considerably lower cost.
However, like any other property, timeshares come with their share of responsibilities, and many find themselves in a position where the property is more of a liability than a convenient holiday option. Other times, they simply outgrow the location.
If you are looking to sell timeshare property, it’s important to approach the resale process with caution and adequate research. With that in mind, we’ve compiled a practical guide on how to sell a timeshare deed successfully.
A timeshare is a shared ownership model of a vacation property whereby multiple people have a divided form of ownership or use rights. The owners get exclusive access to the property for an allotted period, typically once a year, usually without the expense or maintenance requirements of purchasing a property outright.
Timeshare properties are a popular offering from resorts. In fact, some of the most world-renowned hospitality brands offer timeshare sales. As the demands and habits of travelers change with the times, so do timeshare options.
A Deeded Timeshare is where the owner gets a deed for their period in the year when they own it. It is commonly called fee simple ownership and is becoming less common in favor of flexibility.
A Right to Use Timeshare comes with a contract stating how long the owner has the right to use the timeshare. Like a common lease, it can run up to 99 years.
A Leasehold Timeshare is when buyers have basic ownership rights, obligations, interests, and security. However, the owner does not hold a title in perpetuity and so the deed expires after a specified date.
Timeshares are an ideal vacation option for those who travel frequently. On the other hand, timeshares can be limiting and repetitive to some.
Options to Sell Your Timeshare
Unfortunately, because there is an oversupply of timeshare properties in the market, resale of a property is often difficult and owners can be forced to offload their timeshares at a discount. Can you sell a timeshare at a good price? The answer is yes, but it will require you to explore most, if not all, of your options:
1. Advertise Your Timeshare Online
Many people buy and sell property on consumer sales websites such as Craigslist and eBay, making the internet a great way to reach as many people as possible. Social media is an option, too, as friends and family could know someone who is looking for a timeshare. Or, perhaps, they want to purchase one themselves. They’re also more likely to want it if they’ve holidayed with you at the property and loved it.
2. Run Local Ads
What’s unknown to many is that people also look for timeshare properties in their hometowns. They could be looking to get access to recreation facilities while having the advantage of some extra space for visitors or even as an Airbnb investment. For this reason, it’s definitely worth advertising your timeshare in the travel and real estate sections of local newspapers, on real estate websites, and promotional boards.
3. Timeshare Marketplaces
Online timeshare marketplaces such as RedWeek or Timeshare Users Group offer more than just exposure. Most of them are a good resource for market pricing, licensing, local requirements, and keeping track of timeshare scams. Selling a timeshare through one of these platforms is highly recommended.
4. Timeshare Resale Companies
As with selling homes, there are numerous timeshare resale companies out there. They do a lot of the work for you, such as listing the property online and in other relevant marketplaces. You also then have the option of professional advice on how to sell a timeshare from a licensed real estate broker.
Tips to Sell a Timeshare
What’s the best way to sell a timeshare? Different properties and markets offer different practices. That said, here are some tips that apply to almost every situation.
Beware of Scams
There are many scammers in the timeshare resale market. One of the most common involves resale companies asking for a high up-front fee, then failing to deliver on their promises of advertising or closing a sale. Make sure you are familiar with how to sell a timeshare before approaching a company so that you can be aware of due processes and realistic timelines.
If you’re wondering how to sell your timeshare for a profit, you’re likely going to be searching for buyers for a long time. Timeshares typically depreciate in value, considering factors such as the location and condition of the property. How do you sell a timeshare for the right price? It’s all about research. Consult everything from online marketplaces to local real estate agents.
Revisit Your Contract
Look closely at your contract before you try to sell it. Doing so will provide clarity on the type of ownership and whether there are any contract clauses on resale.
CreditAssociates can help
If you are looking to sell your timeshare because it is causing you to accrue unmanageable credit card and other debt, in addition to selling your property, consider help from CreditAssociates. CreditAssociates’ expert team of Debt Consultants can put together a personalized plan for you to show you how you can be debt-free in 24-36 months. Get started with a free consultation today.