Purchasing a parent or family member's timeshare

[silentg]

Hi Tuggers,
I hope this is the right place for this thread. My parents purchased a timeshare week many years ago. My father has passed away and my mother has been talking with estate planners. She has been advised to sell or give her timeshare to family members. I have been thinking about purchasing the week, but I would like to do so and keep Mum's name still on the deed. Last year she used her week and we went with her on vacation. I would like to be able to do this each year, but she has been advised to sell it or give it away. Has anyone else had this situation? If so how did you handle it. Is it better to sell it or keep it in the family? TerryC

 

[Patri]

Can't you just add your name to the deed? She can keep making reservations, and eventually you can take over. If the family will use it, by all means keep it.

 

[vacationhopeful]

Estate planners have a combination of skills and what has LOW value many cost your mom's estate several thousand dollars in legal fees if it is still in her name when she passes. TS are a piece of real estate and she might have to, for example, file an estate return in the state where it is located.

States are trying to get every penny of the "Greatest Generations" wealth as they were the savers and they don't vote no more. At least consider that there is more (and ask) as to WHY the estate planners have this goal.

My sister's MIL & FIL put their multiple timeshares (and a beachfront full ownership condo) into a family trust - I am sure it was part of their estate planning.

 

[richardm]

What has LOW value many cost your mom's estate several thousand dollars in legal fees if it is still in her name when she passes.

Very true! Probate is often a huge issue for many estates. Far too often, the timeshare is ignored in the estate process- or probate is only performed in the state of residence (not the state where the timeshare is located)...

Good planning can make a huge difference. Check with your counsel to discover if a change to the current deed or a trust is advised. The current advice to sell may deal more with her personal situation and a likely decline in future travel rather than any thought to the family or estate.

 

[happybaby]

My mom has 2 TS which are deeded with my dad, mom, sister and my names on the deed.

My dad passed away many years ago and with my mom being older and not travelling she called RCI and removed her name and added my sister and me to the accout.

We both have access to the RCI acct for our vacation plans. Mom pays the mf at the resorts, we pay the exchange fee for our searches. When a match becomes available I reinburse my mom for the MF and at least give her most of it. But if she comes with us (on few occasions) we don't pay her the mf, but we will pay most of her expenses during the trip

Oh..... will RCI consider mom renting the unit to us.

No way in hell is my mom going to pay a MF of 600.00 or so each TS and we go free

 

[Bill4728]

If your mom bought the TS from the developer, she may get a special set of extra benifits because she bought from the developer. If she gives the TS to you, be very sure the resort know she is giving it to her child. That will almost always mean that you will also get the extra benifits she got and you will not be considered a resale owner.

Some benifits of developer vs resale
Marriott & Hyatt- developer bought can trade their TS week for hotel points.
Sheraton/Westin/Starwood - developer bought can trade for hotel points but also have access to the starwood vacation network which lets you do internal trading to other starwood resorts.
Diamond- Access to the "Club". Resale buyers don't have access to internal trading to all the diamond resorts. To have access you must buy atleast something direct from Diamond.

There are other TS systems which have special benifits to direct buyers.

IMHO, Most of the time these benifits are not worth paying the extra money that developers charge to buy direct. But if your mom already paid to get those benifits, don't loose them if you can keep them.

 

[vacationhopeful]

Wyndham/Fairfield system both deeded and points weeks/units have the "Family" transfer of benefits too. Definitely, a BIG plus.

 

[slabeaume]

I'm going through this same procedure with my Dad's estate right now. He had me as co-owner on 2 timeshares that he bought. Turns out one of the timeshares has Right of Survivorship and that was easy to add a name to once he died. The other timeshare is not right of survivoship, but technically his half goes to all his heirs. You may want to find out what kind of timeshare your Mom owns. If it's Right of Survivorship, just add your name to it. If it goes to her estate, that can be complicated. I took care of both accounts without a lawyer, but if a lawyer had to do it, it would have cost a lot to work it all out. The Right of Survivorship timeshare is Orange Lake, the non-right of survivorship is Worldmark.