Research shows that 55% of millennials have vacationed in a timeshare at some point. Out of this percentage, 1 in 4 liked it so much they would consider getting a timeshare.
If you own a timeshare, you may get to the point where you no longer want it. If that is the case, you may want to sell a timeshare to avoid the expenses.
A lot of people make the decision to sell a timeshare to family members. This process can feel complicated, but it doesn’t have to be.
Keep reading to find out how to sell a timeshare so that it is no longer your responsibility.
Requirements For Transferring Timeshare to Family
The good news for you is that you can sell a timeshare to a family member. This is a very common option that people choose and do every day.
But it is important to understand that a timeshare exit is not an easy process. There are certain things required to get out of your timeshare contract.
Even when you are selling it to a family member, you have to go about this legally. That is the only way to make sure ownership is officially transferred over.
Here are the main requirements that allow you to sell a timeshare.
Maintenance Fees
You may want to transfer a timeshare if you aren’t getting your investment out of it. This is something that commonly happens as people get older.
Your priorities may be changing, and you no longer want to have as many vacations. If that is the case, a timeshare can become a strain on your finances.
If you want to sell a timeshare to a family member, you need to make sure you aren’t behind in payments. You have to be up-to-date with all related maintenance fees for the timeshare.
If you aren’t up-to-date, you need to start paying what you owe before starting the process of selling. This provides a clean slate for the next person.
Transferring Costs
Selling a timeshare requires a few steps to do this legally. One thing you need to do is confirm the cost of transferring the timeshare to another person.
You also need to understand any new membership applications that are necessary. These may need to be filed to an institution where the timeshare is located.
This is also information that the person buying the timeshare needs to understand. You should be upfront with them and include them in the process.
New Deed
Do you want to get rid of a timeshare? If so, you are going to need to obtain a new deed for the timeshare.
You can get those at the county clerk’s office in the country where the timeshare is. Both parties need to sign the deed to make this a legal document.
You need to do this in front of a notary public as well as create copies. The original copy of the deed will be stored at the province clerk’s office.
If your timeshare is in a foreign country, this can get a little more complicated. You may need to hire someone to help you find the right location and translator for the deed.
Payment Plan
A timeshare mortgage is a heavy responsibility for any timeshare owner. Depending on your situation, you may have gotten a timeshare mortgage to help you financially.
If you want to sell a timeshare to a family member, you need to consider the mortgage. If there is any mortgage remaining, someone has to continue making payments.
Both parties need to come to an understanding of who will take over the mortgage payments. In most cases, it will be the person who is taking over the timeshare.
But you need to make sure that this is clear and that both of you have agreed on it. You don’t want any misunderstandings occurring when it comes to something so important.
Real Estate Contract
There are certain legal requirements when you transfer a timeshare to family. The reality is that this is not nearly as simple as you may think.
Some people choose to gift a family member with their timeshare. This is a great option that is a little less intense than actually selling it to them.
But there are still legal requirements, such as drawing up a real estate contract. This is required whether you are selling or gifting the timeshare.
There are specific things that you need to include in the real estate contract. One thing is an appraisal of the property that is no older than 60 days.
A professional needs to do the appraisal based on the market value of the property. The timeshare at the timeshare is available to be used is also important.
The contract documents need to contain the resort and unit number. Any applicable maintenance and membership fees also need to be specified whether they are monthly or annually.
Whoever is responsible for the fees, their information needs to be on the document. This includes contact information and the person’s name if they default on the payments.
When the document’s complete, both parties need to sign it. This has to be done in front of an authentic notary republic for the document to be legal.
This may feel like a lot of work if you are gifting the timeshare, but it is worth it. This ensures that no legal issues will come up later on.
Country Laws
You legally need to create a real estate contract and deed when transferring a timeshare. But you also need to make sure you understand the local laws.
The laws are different depending on the country where the timeshare’s located. All related contracts have to follow these laws for them to be legal.
This is why experts recommend finding a third party who has experience in local regulations. For instance, some countries have a reputation for false records.
The Caribbean island is notorious for producing fake deeds and contracts. These may seem real at first, but later on, everything will fall apart.
Different local laws may also require that you include additional information. Extra processes may also be necessary to complete these documents.
Deeded Timeshare
Depending on the type of timeshare you have, selling it is going to look a bit different. For example, you may have a deeded timeshare, which has a very similar selling process.
You need to follow all the same steps to prepare your family member. In some instances, people don’t charge their family when transferring the timeshare.
They are usually expected to take over any related expenses. Keep in mind that the process of doing this is very similar to a property closing.
There are a lot of things that you need to make sure you do the right way. Because of this, experts recommend finding a timeshare company to help you with each step.
Lonestar Timeshare provides timeshare transfers where you don’t have to do everything yourself. A successful transfer is guaranteed as everything is done legally.
For a Right To Use Timeshare
There are certain timeshare transfers that include a much simpler process. An example of this is for right-to-use timeshare.
This is a type of transfer where no deed is required. The process is straightforward, and the resort can provide the paperwork you need to fill out.
Once you have filled out these documents, the timeshare’s automatically transferred to your family. They will then own the timeshare for the remainder of the contract.
Who Can You Transfer to?
If you don’t want your timeshare, you may have family that does. If this is a decision you are considering, you may be wondering who applies.
The good news is that you can transfer a timeshare to just about anyone. People commonly do this when it comes to family members or friends who are interested.
But that isn’t the only option you have, you can also sell the timeshare to a buyer. You can use an online marketplace or a timeshare resell company.
Buyers can show interest in your timeshare and negotiate a fair price. Keep in mind that there are fees involved depending on your agreement with your resort.
There also may be times of the year when timeshares are not as popular. Because of this, selling to an individual buyer can take a while.
That is why most people choose to sell to family or friends or simply cancel their timeshare.
Is It Better to Cancel Or Sell a Timeshare?
Did you get into a timeshare contract many years ago? If you answered yes, you are not alone, as many people got into timeshares.
This may seem like a great investment at first, but it isn’t ideal for everyone. Only specific customers are going to get their investment out of a timeshare contract.
Because of this, you may be wondering if you should sell or cancel your timeshare. Both are very valid options but require a different process.
There is no answer to this question when it comes to individual cases. Whether you sell or cancel depends on your situation and your goals.
Canceling a Timeshare
If you want to get rid of a timeshare, you could always exit your contract. But you do need to remember that this is not a simple process.
Timeshare companies can make this very difficult to do on your own. The first thing you need to do is make sure you have grounds for a legal timeshare cancellation.
Examples of this include receiving false information when you bought the timeshare. They may have promised that you would get tax benefits.
Or they may have used fear and intimidation tactics to pressure you. You could also cancel if you received inaccurate information about fees and limitations.
If any of these situations apply, you have grounds for canceling your timeshare. You will need to hire a timeshare exit company to help you with this process.
They will gather documentation and evidence for your cancellation. As long as you hire a company, you won’t have to manage much on your own.
Selling a Timeshare to Family
A lot of people end up not wanting their timeshare for a variety of reasons. A lot of the time, you may have gotten older and no longer enjoy vacationing.
If you are interested in canceling your timeshare, there is another option. Selling or transferring it to family is a great option as well.
You may have family who enjoys traveling or friends who have always liked your timeshare. This provides the perfect opportunity for them to take over the timeshare responsibilities.
This process can be a little more intense, as there are many legal regulations. You will have to sign documents and understand the country’s laws for the location of the timeshare.
Your family will also have to understand that they will be financially responsible from now on.
Sell a Timeshare: Transferal Options For Family Members
If you own a timeshare mortgage, you may not know what to do with it. If you no longer want to pay for it, you can always sell a timeshare to your family.
To do this, you need to have your maintenance fees up-to-date and create a new deed. Both parties also need to create a real estate contract and sign it.
There also needs to be an understanding about who will take over the mortgage payments.
Are you interested in transferring a timeshare to a family member? Contact us today at Lonestar Timeshare to schedule a consultation.
