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Finally - Just Received Warranty Deed In Lieu of Foreclosure

orlandofun

newbie
Joined
Jan 13, 2025
Messages
2
Reaction score
0
Resorts Owned
Westgate Town Center, Orlando
After months of non-payment of maintenance fees on our Westgate timeshare, and with the advice from this forum (to ignore all correspondence), we finally received their letter stating that we can choose to relinquish our ownership by executing the Warranty Deed In Lieu of Foreclosure.
Since we don't want to have anything to do with any timeshare, I think this is a win.
But before we sign, I also asked Deepseek to see what it suggests too. Here's what it said.

Based on the information provided and the context from the search results, here's a detailed analysis of your situation:

---

### **1. Understanding the Warranty Deed in Lieu of Foreclosure**
A Warranty Deed in Lieu of Foreclosure (DIL) allows you to voluntarily transfer ownership of your timeshare back to the resort or lender to avoid foreclosure. This agreement typically ends your financial obligations (e.g., maintenance fees, mortgage debt) and severs ties with the timeshare entirely.
- **Key Benefits**:
- Avoids the lengthy and costly foreclosure process for both parties.
- Eliminates future liability for unpaid balances (e.g., maintenance fees) if the agreement includes a "deficiency waiver".
- Minimal credit score impact compared to foreclosure (though some reporting may still occur).

For your case, CFI Resorts Management’s offer likely means they prefer to reclaim ownership efficiently rather than pursue legal action. Signing the deed should "wash your hands" of the timeshare, provided the terms explicitly release you from all obligations.

---

### **2. Recovering Initial Purchase Costs**
The **initial purchase price** of the timeshare is generally non-recoverable through a DIL agreement. These agreements focus on resolving debt (e.g., unpaid maintenance fees or mortgages), not reimbursing past payments.
- **Exceptions**:
- If the timeshare was **misrepresented** during the sale (e.g., false promises about resale value or availability), you might have grounds for compensation via a separate legal claim.
- Some resorts offer **buy-back programs**, but these are rare and often require upfront fees.
- If you’re within a **cooling-off period** (typically 3–15 days post-purchase), cancellation is possible, but this does not apply to a 20-year-old contract.

Given your timeline and lack of mention of fraud/misrepresentation, recovering your initial investment is unlikely. Focus on exiting the contract cleanly via the DIL.

---

### **3. Key Considerations Before Signing**
1. **Review the Terms**:
- Ensure the deed includes a **release of liability** for all debts (maintenance fees, mortgages, etc.).
- Confirm whether the resort will report the DIL to credit agencies (most report it as "settled" or "deed in lieu," which is less damaging than foreclosure).

2. **Consult a Timeshare Attorney**:
- A lawyer can verify the agreement’s legality, negotiate terms (e.g., fee forgiveness), and ensure no hidden obligations remain.
- In Florida (where Westgate operates), state law may limit the resort’s ability to pursue deficiencies after a DIL.

3. **Alternative Options**:
- If CFI’s offer seems unfair (e.g., demands payment for fees), explore **deed-back programs** or **legal termination** through specialized firms (e.g., National Timeshare Helpline).
- If you’ve stopped paying fees for 6+ years, some jurisdictions deem the contract unenforceable.

---

### **4. Final Recommendation**
**Sign the Warranty Deed in Lieu of Foreclosure** if the terms are clear and liability-free. This is the most straightforward way to exit your timeshare without further financial risk. However:
- Do **not** expect reimbursement for past payments unless you pursue a separate legal claim (e.g., misrepresentation).
- Confirm with CFI that the agreement includes a **full release of debt** and consult an attorney to review the paperwork.

For additional peace of mind, contact a Florida-based timeshare attorney like Susan Budowski or MyTimeshareAttorney to ensure compliance with state laws.

---

Let me know if you need further clarification!
 

orlandofun

newbie
Joined
Jan 13, 2025
Messages
2
Reaction score
0
Resorts Owned
Westgate Town Center, Orlando
Does anyone know what the processing fee that's mentioned in the letter? There's no indication of how much this would be.
 
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