The timeshare industry is a multibillion-dollar enterprise, which indicates that exiting ownership is not a straightforward process. When you enter a timeshare contract, you commit to paying expensive maintenance fees to the resort for your entire life. Unfortunately, many people are unaware of this, and the excitement of having unlimited vacation options blinds them to the fact that owning a timeshare will be a permanent financial burden. Regardless of the brand, whether it’s Wyndham, Marriott Vacation Club, or Hilton Grand Vacations, every flashy timeshare brand has its own set of drawbacks that may leave you regretting your decision to purchase. If you find yourself in this situation, you’re probably looking for legal ways to get out of a timeshare. Here are three legal methods for relinquishing ownership.
1. Pursue the Timeshare Rescission Method
The tactics employed by timeshare salespeople to entice customers into purchasing a timeshare are infamous for being manipulative. They use the strategy of starting with a high price and then reducing it to make the sale seem more appealing. They also offer tours of the luxurious resorts they want you to buy from and throw in extras like free breakfasts, gift cards, and hotel stays. These methods can overwhelm potential buyers, leading them to make hasty decisions that they would not have made otherwise. Consequently, timeshare developers are required to provide a rescission period.
During the rescission period, which typically lasts between 3-10 days, depending on state law, customers can cancel their contract and return their timeshare if they have had a change of heart about the purchase. If you have recently signed a timeshare contract and are reading this, you may be fortunate enough to take advantage of the rescission period to legally get out of a timeshare. However, be cautious and follow the specific guidelines for this technical process.
To initiate the rescission process, you must write a cancellation letter to your timeshare developer, specifying the date of purchase and the type of timeshare bought. The letter should match the language used in your timeshare agreement and refer to the sections discussing the developer’s timeshare cancellation protocols. Some developers might view the cancellation letter as an opportunity to offer a different type of timeshare, so it is vital to communicate clearly that cancellation is the only acceptable option, and you are not interested in any other type of deal. State your intention to receive a full refund of all fees paid and track the letter’s delivery to ensure it is sent via a secure postal method or delivered in person within the rescission period. Failure to deliver the letter in time may result in the contract being binding.
2. Put Your Timeshare on the Resale Market
If the rescission period has elapsed, your alternatives are limited. If your timeshare company does not have a deed-back scheme, which is the case for many, participating in the timeshare resale market may seem to be the next logical step. However, before doing so, you should consult with your timeshare developer. Failing to do so could be a violation of your contract, resulting in exorbitant fees or other undesirable consequences.
If you decide to pursue the resale market, begin by examining comparable listings to your own. Look up what other units in your resort and surrounding areas are selling for. If you search on eBay or Craigslist, you will get a good idea of the prices you are competing against. Unfortunately, these prices may be as low as $0 because many people are willing to relinquish their timeshare for nothing.
Remember that timeshare resales are fiercely competitive and seldom result in a profitable transaction. Even people who engage real estate agents that specialize in timeshare sales do not usually succeed. This is because people frequently find themselves in the same predicament as you: burdened with annual maintenance fees and regretful about their timeshare purchases. The timeshare resale market is extremely over-saturated, making it almost impossible to distinguish yourself from the competition and locate a buyer.
Furthermore, as a timeshare owner, you most likely have a loan payable to your timeshare company. As a result, even if you are able to sell your timeshare or give it away for free, you will still be obligated to repay the loan, which is most likely worthless or next to nothing in value.
3. Seek Out an Exit Company
If you are unable to sell your timeshare property due to restrictions from the developer or financial constraints, seeking cancellation with a timeshare exit company may be your only option. However, it is crucial to be aware of timeshare exit scams that exist in the industry. These scams include companies that do not disclose their exit strategy, request a large upfront fee without explanation, fail to communicate with customers, ask for additional funds during the process, and have poor or no customer reviews.
It is unfortunate that many timeshare exit companies are scams that take advantage of desperate customers. They do not provide successful exits and may even consider foreclosure as a viable option. However, Centerstone Group is a trustworthy and reputable full-service advocacy group with over 33 years of experience in the industry. We have a unique three-pronged strategy to achieve successful timeshare exits, including working with established law firms to resolve contract issues with your developer. Our team takes the time to understand your specific situation and develops the best legal strategy to help you get out of your timeshare.
Choose the Best Route for How to Legally Get Out of a Timeshare
Exiting a timeshare contract can be a challenging task, particularly if you’re beyond the rescission period and have already invested a substantial amount of money. While attempting to sell your timeshare or seeking assistance from a timeshare exit company may be an option, Centerstone Group is your best bet for a successful exit.
Our track record of achieving timeshare cancellations and high customer satisfaction, reflected in our 4.78-out-of-5-star rating and positive reviews, demonstrates our expertise in this field. Take advantage of our free consultation today.