Our timeshare in the Orlando - Kissimmee Florida Area now has 3 years left on its 40 year life.
Unfortunately the financial situation of the timeshare has deteriorated with the maintenance fees jumping significantly due to 50% of the owners not paying their Maintenance Fees.
The new management group is proposing to convert about 40% of the Units into long term residential rental units in order to create some additional income.
The Manager advises that in 3 years, when the 40 year term expires, then every owner will become a “Tenant-in Common” and the timeshare could continue on.
Financially, I don’t know whether we can survive 3 years as the big MF increase will likely accelerate the Owners abandoning ship.
I own 4 weeks and we use all 4 weeks there every year.
The Manager has indicated that existing Owners can relinquish ownership now or in the future by paying a $350 transfer fee.
The timeshare can’t possibly get sufficient Proxies to even hold an AGM, let alone make a decision to sell the entire complex, at least until the 40 years have expired.
Question 1, if we hang on until the end of 40 years and it is agreed to sell off the entire complex, then who gets to share in the proceeds. At the present time there is no bank loans or liens.
I estimate each unit would have a $100,000 vale as a rental property, therefore in theory the maximum payout to each owner would be $2,000 per week owned.
By year 40 there could only be 25% of the Owners in good standing, does that mean they get to share in the total proceeds based upon their proportion of weeks owned in good standing.
Hopefully, fellow Tuggers will chime in with their experiences or opinions. Apparently there are many Florida timeshares approaching Sunset.
Unfortunately the financial situation of the timeshare has deteriorated with the maintenance fees jumping significantly due to 50% of the owners not paying their Maintenance Fees.
The new management group is proposing to convert about 40% of the Units into long term residential rental units in order to create some additional income.
The Manager advises that in 3 years, when the 40 year term expires, then every owner will become a “Tenant-in Common” and the timeshare could continue on.
Financially, I don’t know whether we can survive 3 years as the big MF increase will likely accelerate the Owners abandoning ship.
I own 4 weeks and we use all 4 weeks there every year.
The Manager has indicated that existing Owners can relinquish ownership now or in the future by paying a $350 transfer fee.
The timeshare can’t possibly get sufficient Proxies to even hold an AGM, let alone make a decision to sell the entire complex, at least until the 40 years have expired.
Question 1, if we hang on until the end of 40 years and it is agreed to sell off the entire complex, then who gets to share in the proceeds. At the present time there is no bank loans or liens.
I estimate each unit would have a $100,000 vale as a rental property, therefore in theory the maximum payout to each owner would be $2,000 per week owned.
By year 40 there could only be 25% of the Owners in good standing, does that mean they get to share in the total proceeds based upon their proportion of weeks owned in good standing.
Hopefully, fellow Tuggers will chime in with their experiences or opinions. Apparently there are many Florida timeshares approaching Sunset.
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