The threat on foreclosure is also possible with timeshares. Unable to pay the maintenance or other payments on loan used to purchase such property will forfeit the ownership the deeded timeshare. This is according to Arthur Waloch, Vice president of Aspen National Collections, a Grand Junction, Colo., a firm that collects on delinquent accounts. May it be terrible or fine economy status, owners tend to overlook paying their loans even if they know it will forfeit their ownership of the property.
According to Brian Rogers, owner of Timeshare users Groups in Orange Park, Florida, resale market on timeshares is increasing yet these owners do not realize that they don’t actually earn reasonable profit from reselling. The prices are remarkably lower than the new ones bargained by the resorts.
The recent regression has put the resale market and its prices to an extremely low level. Rogers said that during these awful times, a newly built timeshare with an original value of $15,000 can be sold for $500. This is one desperate move for the owner just want to drop off outstanding balances or the responsible with the maintenance and taxes.
However, you need to take heed on these super discounted timeshares. You don’t have to jump into this because even if you had it over a reasonable price, you still have to pay annual fees for the right to use the property for years, unless you resell it. For those lucky enough to truly land on a very economical price, they worked it out by being too patient in searching in the marketplace.
There are best places over the Internet where you can scout newly built or second hand timeshares with reasonable prices. These online listings serve as a page for wide options and good venue for linking buyers and sellers. Yet, there are some fraud desperate timeshare sellers, who promised to resell their share for a fee. This is according to Jim DePriest of theArkansas Attorney General Office. DePriest warns potential buyers from paying upfront fees in purchasing timeshares on resale market.
Most of the timeshares are deeded, therefore the ownership is basically recorded with the country, just like homes. Therefore the deeded title could still contain unpaid taxes and other charges. The legal claim on these properties might hamper the potentiality of it to be resold due to the liabilities it has carried with. According to Rogers, in order to ensure a clean deed, buyers hire title companies to guarantee that the deed is free from outstanding balances. Yet if cleaning these overdue payments are over or even if it equals the title charges, buyers won’t jump into this risk. They can always verify the resort’s status before buying it.
Aside from considering your budget allocation for such vacation spot and to religiously sustain the annual maintenance, you have to make sure or make a point that you will be definitely available to the designated time of vacation that you indicated for your vacation. Everything will be nothing if you can’t make it on the specific period for your timeshare. Anyhow, for you not to regret on the accommodations, try renting the property first for a week before getting into its real deal.