A decade ago you probably had never heard about the term timeshare resales. However, today’s market for reselling timeshares is exposed by the media on a daily basis, and people are getting familiar with timeshares as an honest way to vacation. Vacation ownership has become cost effective to many families as a result of the by-owner market for the expansion of timeshares. When you buy a timeshare otherwise known as the timeshare resale by the owner on the secondary market, you can make savings of up to 70% as compared to purchasing the same timeshares from a vacation or resort club directly.
Surprising facts about timeshare resale
Selling a timeshare is not the same as you would for the traditional real estate
The laws that regulate the trade of timeshare may vary from one state to the other and by the jurisdiction of individual countries. However, the legal process for the sale of timeshare is similar. It is critical to note that all your rights may not transfer to the buyer depending on the type of ownership or resort. It is also advisable to carry out some research online about your timeshares to ensure that your experience is as smooth as possible.
You can also work closely with an accredited closing firm or make consultations with a reputable timeshare broker or company. Sometimes it can be challenging to find a buyer who is willing to purchase your timeshares. This is mainly due to the competition with many owners at your resort who have a unit that is identical to yours. In real estate, your ability to sell is determined by how well you can differentiate your property from the rest.
You will probably not get back the initial value you purchased your timeshare.
When purchasing a timeshare from a developer, the chances are that you overpaid. This becomes a painful truth for most sellers to process. The whole cost of your ownership in monetary terms was likely used to cover incentives, giveaways and sales presentations. There are also chances that the sales representative that you purchase the share from even gave you the illusion that it would appreciate in value with time. This is not true except for sporadic cases when high-end fractional properties are involved. The resale of timeshares will often sell at half the price of their original value whereas some sell for as little as 20-30%.
Beware of scams
With the advent of millions of timeshare owners, an environment where illegitimate companies can scam hundreds of thousands of dollars from innocent and unsuspecting owners has been created. In the past and the present, there have been numerous scams in the resale of timeshare business. However, the most common of these scams involve firms that claim to have buyers for the timeshare waiting already. Once you buy the idea, they will charge you a middleman’s fee to transfer the property in a transaction where the sales never go through.
Despite the presence of potential bargains that are binding, you should always rent a timeshare to avoid a commitment to ownership. Rental deals are now available as many owners look forward to generating income to cover the costs of maintenance. You can get access to these deals through the web and social media advertisements.