When consumers first purchase a timeshare they are told by a salesmen that their timeshare will hold or gain value over time and that it can easily be sold. This is not true. The market for buying a timeshare is not a good one because most owners are willing to give their timeshare away for free. Owners give away their vacation properties for free because of how high timeshare ownership fees can get. Unfortunately most of these fees are directly controlled by the resort and the timeshare owners are are subject to paying what ever price is set. Here is a list of some common fees that are associated with timeshare ownership.
Upfront purchase price
This price is based upon the demand of timeshare property. Popular weeks in beautiful destinations are more expensive to purchase than less popular weeks. Amenities and location also play a large role determining the upfront price.
Maintenance fees are the annual (sometimes monthly) payments that the resort establishes and collects. This fee is put in place to cover things like landscaping around the building, new furniture, housekeeping, remodling, insurance, etc. Many resorts claim to that this fee is used to improve the property but it can also be seem as an excuse to raise the amount charge owners.
Special Assessment Fees
This is the unexpected fee that resorts charge you when they need to cover “damages” or “renovations” to a property. This is one of those fees that a resort can charge you at any time during your ownership. Many people believe that resorts use this fee to cover losses in revenue from canceled contracts
RCI and II Memership
RCI and II (Interval International) are exchange companies that timeshare owners can use to exchange their timeshare week for another week within the same exchange network. Members have to pay an annual membership fee and an additional fee for when you actually make the exchange.
Cost of Travel
A major cost that many timeshare owners forget to consider is how much it costs to actually get to the resort location. If you own a timeshare located on the other side of the country getting every member of your family there can be quite expensive on an annual basis. Timeshare resorts also make it difficult for you to use the timeshare at your convenience so you will not be able to buy your flight tickets early in advanced, making the tickets more expensive.
When these fees begin to pile up it is understandable as to why people are not even willing to take on a timeshare for free. If you are looking to stop paying high fees associated with owning a timeshare , companies like American Resource management group specialize in permanently transferring timeshare ownerships.
Just like any other real estate transaction there are closing costs that are associated with the purchase of a timeshare unit. A common closing cost is the fee that is charged for putting together transaction paperwork together.