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What You Should Know About Special Assessment Fees and Timeshare Cancellation Option

There are approximately 10 million American households that own a timeshare. Unfortunately, most people do not understand the hidden fees that come with the contract. One of the biggest headaches is timeshare fees, which are charged on top of maintenance costs.

In this article, we examine assessment fees and your options for timeshare exit support.

Types of Assessment Fees

First, it is essential to understand the difference between maintenance and special assessment. Maintenance costs include specified charges for keeping the resort in good condition.

On the other hand, special assessment fees are fees that the resort may charge randomly for various reasons. They may include natural disaster expenses to cover repairs after a storm. A special assessment may also include costs for significant renovations on the property.

On average, you may pay anywhere between $400 and $1000, depending on the location and size of the property. However, the total cost you’ll have to pay annually may be much higher since it includes utilities, taxes, and maintenance fees.

Change of Ownership Charges

Sometimes when the resort changes ownership, tenants can expect to pay additional assessment fees. When a larger company acquires a smaller property, they may want to spruce it up and turn it into a profitable venture. Unfortunately, that will include billing timeshare owners with unexpected fees.

Owners Raising Capital Through Special Assessment

Also, if the resort managers cannot raise capital to renovate the premises, they will find a way to raise the money. The special assessments could be in the form of non-payment or revenue gap. When it gets to that point, you may want to consider a timeshare exit.

Evaluating Your Timeshare Cancellation Options

You may want to go for timeshare exit support, but it is crucial to consider your options first. For some owners, the property has all the features they’ve been looking for for years. So you may decide that you can put up with the fees.

In that case, make a point of fulfilling your payments. Otherwise, the managers may decide to increase charges elsewhere to make up for the shortfall. You also have to acknowledge that the costs can increase at any time.

Consider Timeshare Exit Support

If the assessment fees have been exorbitant, chances are you are not the only one complaining. One option is for fractional owners to come together and pursue legal action as a group. Most resorts do not want to deal with such controversies, and so the group review can send a strong message.

The only downside is that there is no guarantee that you’ll get a favorable outcome. That is not to mention the legal fees and the time it may take to resolve the issue. That’s why you may want to consult experienced professionals for timeshare exit support.

As much as special assessments can be frustrating, remember that non-payment is never an ideal solution. You may be subject to a credit smear, foreclosure, or a lawsuit from the resort. That’s why you should consider timeshare cancellation and support services to deal with the issue conclusively.

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