Timeshares sound like a great investment, especially when sales agents make them sound like they’re an opportunity that’s too good to pass up. Unfortunately, many people get caught up in the catchy timeshare presentations and end up getting stuck in a lifelong timeshare contract. This means that even when the owner is gone, the burden is passed on to their children. With that in mind, this article is going to discuss what timeshare inheritance could mean for your family members.
Even though when you own a timeshare you receive a legal deed to the property, you don’t actually own a particular room in the house. Really all you own is vacationing privileges at a specific location during a predetermined period of time. So not only do you not actually own anything, but you have to continue paying taxes and fees for the use of the property. Additionally, there are always more timeshare costs, like maintenance fees, that will have to be paid as well.
When the owner of a timeshare passes away, their children can be forced to receive the estate and all of the expensive timeshare costs that come with it. Usually, a timeshare contract can’t be broken without the help of a timeshare cancellation lawyer. Because of this, children who inherit a timeshare will be paying for it for the remainder of their lives. Furthermore, it will continue being passed down from through the family. However, you can choose to liquidate, sell, or transfer the timeshare to someone else so the burden does not fall upon your children.
Unfortunately, most successors inherit the timeshare and the expensive timeshare costs even if they have no interest in using it. Because the resort doesn’t care about who is paying the fees, just that they are getting paid, the eternity clause in the contract locks a family into paying for the timeshare for years to come.
When someone inherits a timeshare, there is the very real possibility of bankruptcy. If your children are unable to keep up with paying the timeshare costs, the debt will be sent to a collection agency. Eventually, the timeshare may be foreclosed on if your child stops making payments on the property. This can not only be a long, painful process, but can also ruin your child’s credit for the next several years. If this happens, they may struggle to buy a car or a home.
About 85% of timeshare buyers say they regret their purchase because of the money, fear, intimidation, confusion, and distrust that come with their purchase. Overall, you should highly consider not leaving your children with the burden of a timeshare that they don’t want to use and can’t afford. To do this, you can choose to transfer, sell, or liquidate the timeshare. If you need assistance understanding or getting out of your contract, you can contact a timeshare cancellation lawyer. Timeshares are a serious investment, and you shouldn’t leave your children with the burden of having to pay for it when you’re gone.