A timeshare is a form of shared or divided ownership of vacation properties, wherein purchasers have allotted usage, usually one-week intervals. You thought that getting that Timeshare is such a great idea. Soaking up in the sun, sipping wine by the beach,  while savoring the summer breeze, the luxurious feel of amenities, and the club to that promising Resort you enjoyed for a week or two. But now you want out. 

You probably want to stop paying the maintenance fees and associated costs, or your marriage might be on the brink of divorce, and you prefer not to be reminded constantly of your past holiday getaways with your spouse while vacationing at the resort. It could also be due to travel restrictions or unemployment resulting from the pandemic, or maybe you simply desire to exit the timeshare arrangement altogether.

Whatever the case or reason it may be, you feel detained. Timeshare, after all, is not considered investment or an asset. Its value depreciates for a long period of time.  All it has is the lifetime obligation to settle payments like maintenance cost, Annual fees, Club dues, taxes, and other future costs. You are trapped with the situation and if you are wondering, “Can I get out of this Timeshare?”. Yes, you can. It may not be as easy as you think but yes , it is possible. There are ways to get out of that contract but also there are things to avoid, let us discussed it and pay attention. 

Here are ways to Get out of your Timeshare

Right to Cancel the Contract and the Rescission Period

You must read it somewhere in the contract with the smallest font; you have to read it again. These companies acknowledge that selling timeshares is not like selling a house or any other transaction, which is why they include a Right of Cancellation in the agreement provisions. The rescission period starts after you sign the contract. It’s also known as the “cooling-off period” and varies from state to state, applying based on where the timeshare property is located, not where it was signed.

If the property or resort is in Hawaii you have 7 days to cancel the contract, whereas in Mexico 5 days is the given period, in Florida, it is generally for 10 days. So pay extra careful with the details. If it seems that you still have the days within the given period you have to act straight away, by sending out the documents needed for the cancellation, again refer back to your stipulated contract and check the details. Consider using express or fast delivery for the contract and requirements to ensure they are well documented, stamped, and dated at the time you send out the cancellation letter.

Buyback Program and Terms 

Check out that contract again. Some timeshare companies include buyback terms, but if they’re not mentioned in the agreement, contact them and start negotiating. While it’s rare for companies to buy back the property from you, it’s possible. Be warned though, you might not receive the full price, but it’s still a better deal than paying future costs for properties you won’t use or visit. If your timeshare company has buyback terms, you’re fortunate. If they don’t, keep reading.

Sell It

Assuming it’s already too late you have already missed the “Cooling-off period”. This is another option, but before you prepare the sale, let me ask you, Is your timeshare eligible? Is it still under a loan? 

Determine first the worth of your timeshare, ask Real Estate agents then compare it with other properties that may be similar to yours. 

List your timeshare at sites like Craiglist, eBay, redweek or Timeshare User Groups Marketplace. 

This option may not compensate the amount you already spent on the property but remember you have to get rid of this timeshare for the purpose of not shelling out another dime for it in the near future. 

Hire a Team

If you are feeling overwhelmed with the details on how to get out of the contract. Maybe hiring a Timeshare exit Company is the option for you. You just have to find a legit company to assist with all your needs. Though numerous warnings have been issued about fraud and scams from exit companies that often guarantee that they can get you out of the timeshare contract, and you paying a hefty upfront price, which the company never end up delivering. ARDA ( American Resort Development Association) set up campaigns to help find legitimate companies to assist in getting out of timeshare contracts. You have to check it out.

Negotiate When They Say “No”

Yes, you can try your luck, ask them about options to exit, and negotiate the way out of your Timeshare.  Some companies may have negotiable terms in the provisions like paying termination fees to get out of it.  Great! Losing money again, But still a practical decision. 

Hire a Lawyer

Hiring a lawyer is the option if you have legal claims against the Timeshare company. There is a fee obviously, but some lawyers offer free consultations and they charge a flat rate that may cost less than continuing payment for maintenance fees and associated costs for your Timeshare properties. But before hiring the attorney, upon consultation determine what are the terms of their service. Will they present you or fight for you? Or just sending out letters from Paralegals on your behalf? And please note that if your contract is still within the cooling-off period you don’t need a lawyer. 

Give It Away 

Partially, this is one of the ingenious ways or one that you should avoid.  You can give it away, obviously a bad financial deal because you won’t receive cash, but this will give you the freedom from paying annual fees, maintenance, and other associated future costs. If by the end of the day you are running out of ideas on how to get out of that Timeshare contract and you are trying to find ingenious ways how. 

Here are the things to avoid on getting out of Timeshare

Renting It Out

First of all, is it legal to rent out your Timeshare? Whether they allow it or not, it is a bad decision. Like sure it is a great idea at first, just wait until the renters leave the property and you discovered damaged furniture or appliances or trashed the place. Expect massive repairs expense shelling out of your pocket. This situation may lead to your access being denied by the resort or property. 

Give It Away

Now, avoid this option. Giving it to charities sounds good, but they will quickly distance themselves once you mention “maintenance costs,” as they don’t want perpetual obligations. Passing it to your loved ones isn’t wise either; you’d only burden them. You understand the difficulty of being tie to an agreement, so why pass that burden on? Friends or colleagues? You’d need excellent marketing skills to persuade someone to take on those pesky property fees.

Stopping Payments 

You may say “I don’t care, I’m not using that property anymore, I don’t want to pay”.  This again is a bad option you are committing. You cannot simply walk away from your payment obligations as it can damage your credit score, You must do it safely and legally. 

Once you stop paying your dues,  the Timeshare company will turn over your information and your unpaid dues to credit collection companies and the harassment will begin. Phone calls, emails, and other means of communication all day and night, Obviously,  If this tactic works you will give up and just say “ Okay, Okay I will pay!”.  So just save yourself from stress and harassment and think of legal ways to get out of the contract. 

In conclusion, there is no easy way to get out of the Timeshare contract. Their value usually depreciates with time. And you really can’t figure or predict if you are still capable to pay for things like a luxurious timeshare getaway after how many years. Getting rid of this timeshare will surely give you the financial freedom you need especially at this time where everything is unpredictable. Maybe after you get out of that contract you have, choose to invest your money for profit, and someday you can buy your own real estate.

To continue educating yourself about the timeshare industry, read more Timeshare Exit Bureau blogs