I'm relatively new to timeshares, having inherited a couple. I'm very pleased with them, but discouraged to discover that what my father had spent hard-earned dollars for are worth so little on a secondary market. One I own just sold for $1 on e-Bay, and I understand most charities won't even take them now -- because they are considered more of a liability than an asset.
I'm concerned that with the economy the way it is, fewer people will be able to manage their maintenance fees, which in turn further drives down the market values, and (because these fees cover fixed costs of the operators) will also drive UP the maintenance fees, further and further. What incentive do the operators really have to keep down maintenance fees, especially when they are not developing new properties?
Since there is always a hassle in unloading timeshares (even at $1), what would happen when owners simply stop paying their annual fee? Are they foreclosed upon, does it hurt their credit, or is there some kind of relief from government -- such as what's proposed for homeowners (ie, can you walk away from your timeshare and not suffer a consequence). I was really alarmed to see that ABC Nightline video, and how owners can be responsible for damages to their property far in excess of money they've already spent, for what may be essentially worthless to begin with.
Any legal opinion, or firsthand experience on this, is greatly appreciated...
I'm concerned that with the economy the way it is, fewer people will be able to manage their maintenance fees, which in turn further drives down the market values, and (because these fees cover fixed costs of the operators) will also drive UP the maintenance fees, further and further. What incentive do the operators really have to keep down maintenance fees, especially when they are not developing new properties?
Since there is always a hassle in unloading timeshares (even at $1), what would happen when owners simply stop paying their annual fee? Are they foreclosed upon, does it hurt their credit, or is there some kind of relief from government -- such as what's proposed for homeowners (ie, can you walk away from your timeshare and not suffer a consequence). I was really alarmed to see that ABC Nightline video, and how owners can be responsible for damages to their property far in excess of money they've already spent, for what may be essentially worthless to begin with.
Any legal opinion, or firsthand experience on this, is greatly appreciated...