TUG Newbie_Selling Timeshare

[ChicagoRobert]

Hello all. I'm brand new to TUG but feel its about the safest place I've found to get some straight forward opinions, thoughts and advice. I am in the market now to sell (give away) my timeshare in Sedona (Los Abrigados Resort and Spa-Diamond Resorts) and be done with the fees that far outweigh my usage (blah, blah, old news). I've read countless reviews of some of the Timeshare sales companies out there and the risks, pitfalls and costs associated with them. My question is: Has anyone dealt with any of the companies and approached it with them by handling the closing yourself? Chicago Title Timeshare (chicagotitletimeshare.com) seems to offer a solution that allows you the seller to control the closing and handle managing the escrow, etc. so that you the seller have an active roll in the process (and seeing it actually taking place). My thinking was if, as in my case, I have a willingness to "give my ownership away" rather than paying an outside company upfront money to "hopefully" take care of everything on the up and up for me, I could do that part myself (pay those costs myself; title transfer, quit claim deed, resort transfer fees, etc.), that the resale companies are saying that is what you are paying for, and simply name the timeshare resale company as the new owner. Obviously only if they agree to that. They get the timeshare at no cost (I pay all closing and transfer costs), and I eliminate the risk of wondering whether the process happens legitimately. Am I missing a basic premise of their business? Has anyone tried this approach? I'm just looking for the safest way (besides my listing here), to let go of my timeshare without losing any more than what I am willing to pay. Any thoughts and advice would be GREATLY appreciated.

 

[DeniseM]

The problem with this idea is that your timeshare has no resale value, so a resale company has no motivation to take it off your hands - free or not, because they will have a hard time selling it. That is why these companies all charge a large fee (thousands) to "take it off your hands." The large fee is not the transfer cost - it is the price you pay to give away a timeshare with no resale value.

Here is my suggestion: http://tugbbs.com/forums/showthread.php?t=132509

 

[Cheryl20772]

I'm just looking for the safest way (besides my listing here), to let go of my timeshare without losing any more than what I am willing to pay. Any thoughts and advice would be GREATLY appreciated.

I think you need to do a lot more reading in the forums here. There are many reports in there about people who have successfully given away their timeshares and done the closing themselves. There is also a section of company names that have been reviewed by our forum members. Look at this section for example http://www.tugbbs.com/forums/forumdisplay.php?f=56

Here is another thread that discusses the Chicago Title closing company specifically http://www.tugbbs.com/forums/showthread.php?t=75906

You will really only need a closing company if you don't feel confident doing it yourself and, if there is not much money involved, then there is not really much need for escrow or a title insurance. If you have a more expensive transaction, then these will need to be considered.

You completely lost me when you went off talking about Timeshare Resale companies. My reaction is to tell you to stay away from them as most are scams.

 

[ChicagoRobert]

Thank you

As I said, I am new here and a little overwhelmed with the legit/not legit and what all the honest options are. I'm learning and its nice people like yourselves that take the time to respond that make this effort worth it. Hopefully my education will come.

Sorry if I lost you in my ramblings.

 

[theo]

A thought...

As I said, I am new here and a little overwhelmed with the legit/not legit and what all the honest options are. I'm learning and its nice people like yourselves that take the time to respond that make this effort worth it.

I am not advertising for them, merely pointing out that if you decide to give away your timeshare for free (...you may, in fact, ultimately have no other choice in this weak market), there is an outfit located in Cleveland, Georgia (see http://www.legaltimesharetransfers.com) which will handle all of the deed prep and recording details for you for $125. They do not handle any escrow of funds (...there are no funds to escrow anyhow if you end up giving it it away). Also, if the resort imposes its' own internal transfer fee (some do, some don't), then that transfer fee, whatever it may be, will be an additional cost (...no matter who handles the ownership transfer).

Just a thought. I've used these folks myself and found them to be competent and communicative.
Yes, you can always just prepare and record a new deed yourself, but "time is money too"...

 

[ChicagoRobert]

Passed on a mess???...

Thank you. I appreciate the help.

On another note....

One of my greatest fears (although I'm completely uneducated on it, on my part), is the thought of unwittingly passing along a timeshare burden to my children. I've read some brief posts to that topic, but mostly just as others fears.

I spoke very briefly this morning with an attorney who said he felt my fears were unwarranted. That you cant force a party to accept something (upon your death) that they were not a participant in agreeing to or signing for in the first place. Otherwise everyone could deed off anything they want to another.

Has anyone anything to offer to that or are there some posts to those legal issues here?

 

[theo]

Thank you. I appreciate the help.

On another note....

One of my greatest fears (although I'm completely uneducated on it, on my part), is the thought of unwittingly passing along a timeshare burden to my children. I've read some brief posts to that topic, but mostly just as others fears.

I spoke very briefly this morning with an attorney who said he felt my fears were unwarranted. That you cant force a party to accept something (upon your death) that they were not a participant in agreeing to or signing for in the first place. Otherwise everyone could deed off anything they want to another.

Has anyone anything to offer to that or are there some posts to those legal issues here?

The attorney is correct. Your heirs cannot be forced to "inherit" your timeshare(s). That said, timeshare maintenance fees are annual and forever, so if you already don't use it and already don't want want it, rid yourself of it now and avoid that issue...

 

[Joe M.]

Robert, you should check with your resort to see if they have anyone who will handle the paperwork for deed transfer, recording, etc.

I owned a California resort which I gave away free here on TUG. My resort had an employee who handled everything for a flat fee of $350 which included all the fees to the resort and recording agencies. This was well worth the money as it saved me from having to send documents back and forth to California.

 

[theo]

To each his / her own, but...

My resort had an employee who handled everything for a flat fee of $350 which included all the fees to the resort and recording agencies.

This amount is actually more money than the amount charged by several well known, competent and independent timeshare closing companies (JRA Services, for just one example, is $275, including escrow of funds, if required). The $350 figure cited is also $225 more than the fees charged by the entity cited in post #5 above (with no escrow available).

Personally, cost considerations aside, I would not be particularly comfortable having resort employees handle (or be involved at all in) any deed prep and / or recording process and details. I guess I just much prefer to have uninvolved, independent people handle such matters, thereby keeping any potential "foxes" out of and away from the administrative details of the "henhouse". YMMV.

In any event, Robert's first step is to find a willing recipient for his unwanted timeshare, before closing and transfer details even become relevant. If he opts to offer it in the "Bargain Deals" section here on TUG (at no cost to him), hopefully he can find a "taker" there. In the meantime, he'd be well advised to contact the resort to find out if there is a "resort tranfer fee" charged by the facility to process an ownership change. Maybe not, but if so someone will have to pay that fee to the resort in order for the the ownership transfer to be acknowledged and concluded --- no matter who handles the actual deed details....

 

[Joe M.]

The transfer fees and recording fees were included in the price. The cost to use the employee was a bit over $250. I feel that is a reasonable amount to close.

I also used an in house employee to handle the transfer of an Australian resort last year. They set up a turnkey process to handle their transfers including finding a buyer (or in my case a donee as I just gave it away). I have no problem with using someone who is familiar with the details needed to transfer ownership for their own particular resort. In both cases the transfer was handled very quickly, and as you say, time is money.

 

[theo]

The transfer fees and recording fees were included in the price. The cost to use the employee was a bit over $250. I feel that is a reasonable amount to close.

I also used an in house employee to handle the transfer of an Australian resort last year. They set up a turnkey process to handle their transfers including finding a buyer (or in my case a donee as I just gave it away). I have no problem with using someone who is familiar with the details needed to transfer ownership for their own particular resort. In both cases the transfer was handled very quickly, and as you say, time is money.

As stated previously "to each his / her own". Personally, I just prefer to have uninvolved, independent professionals (not resort employees of unknown agenda or competence) handle any and all deed matters and details which I don't choose to handle on my own.

The "unknown" in Robert's situation is the resort "tranfer fee", which might be zero or it might be several hundred dollars --- I don't know the facility at all. Resort "transfer fees" are, in my opinion, gratuitous and basically constitute legalized extortion. After all, the only thing the resort has to do after receipt of a copy of a new recorded deed is change the name and address of the recipient of future maintenance fee bills --- an exercise which takes them all of about 30 seconds....

 

[ChicagoRobert]

Resort transfer fees

Thank you to you both for your thoughts. I'm getting my education just through the threads. I have listed the timeshare in Bargain Deals here as well as a marketplace ad. The resort does charge a $295 transfer fee which I am also agreeing to pay along with any and all closing costs. I too would have to agree with Theo on the gut feeling of wanting to deal with someone independent of the resort. Just personal preference.

Loving the education.

 

[Joe M.]

I have listed the timeshare in Bargain Deals here as well as a marketplace ad.

I understand your concerns about wanting an independent party to close, but your resort can still assist you with finding buyers. I was just at a resort in Fort Myers and mid week all the guests received a flyer listing all the units for resale. If your resort could provide this additional exposure while guests are enjoying a vacation at that same resort you are selling (or gifting) the week will get additional exposure.

FWIW, I have sold or gifted eight timeshare weeks now and only used an independent closing agency once. In five of those cases the resort found the buyer for me.