Will my grandkids be obligated to complete my timeshare agreement?

[Humu]

Ten years ago, my in-laws gave my wife and I their timeshare in St. Maarten. Seemed like a deal at the time -- hey, free is good! But we're far too busy with our young children to actually use our week. The maintenance fees rise over 10% a year , and when I did my online research on selling or renting the timeshare, well . . .

I've come to accept that, unless we are truly fortunate, my wife and I will own this timeshare until we die (I'm now hoping we'll actually use it in a few years, so we can realize some value from it). My question is this -- can the timeshare management group come after my kids after we're gone to continue paying the maintenance fees, even though their names don't appear on the deed? And, since that deed is in effect until the end of the century, will that obligation extend to their children?

I'd appeciate anyone's insight on this issue. Like I said, I've come to accept the situation my wife and I are in and trying to make the best of it -- I just don't want to pass this burden on to our children.

 

[DeniseM]

No - children are not responsible for ANY of their parent's bills. Nor, are they are not obligated to accept any property that you might leave them, or that might come to them through probate.

But right now, you should consider exchanging your St. Maartan timeshare for a drive-to timeshare that you can take the children to now.

 

[swift]

You might want to contact an attorney to ask what the legalities are. My husband was the executor of his brothers estate. Part of the estate was a boat. We had to liquidate the boat before we could close the estate. This was not easy!! The boat was an older 40 foot Tollycraft that ran on gas. The gas price wars were just beginning and on there way up to $5.00 per gallon. Nobody was looking to buy a boat especially an older boat. We finely found a buyer and was able to close the estate.



Inventory of Estate Property

a. Locate the estate's property You must attempt to locate and take possession of all the decedent's property to be administered in the estate.

b. Determine the value of the property This can be done yourself or you can consult a professional to assist you.

c. File an inventory and appraisal You must file with the court an inventory and appraisal of all the assets in the estate.

d. File a change of ownership At the time you file the inventory and appraisal, you must also file a change of ownership statement with the county recorded or assessor in each county where the decedent owned real property at the time of death.

 

[timeos2]

Not even death eliminates the fees

Ten years ago, my in-laws gave my wife and I their timeshare in St. Maarten. Seemed like a deal at the time -- hey, free is good! But we're far too busy with our young children to actually use our week. The maintenance fees rise over 10% a year , and when I did my online research on selling or renting the timeshare, well . . .

I've come to accept that, unless we are truly fortunate, my wife and I will own this timeshare until we die (I'm now hoping we'll actually use it in a few years, so we can realize some value from it). My question is this -- can the timeshare management group come after my kids after we're gone to continue paying the maintenance fees, even though their names don't appear on the deed? And, since that deed is in effect until the end of the century, will that obligation extend to their children?

I'd appeciate anyone's insight on this issue. Like I said, I've come to accept the situation my wife and I are in and trying to make the best of it -- I just don't want to pass this burden on to our children.

No, they cannot come after the kids BUT, and too many seem to ignore this, the estate IS responsible for the ongoing fees (debt) until it is legally transferred to another owner. Your estate cannot be closed out until that transfer is complete. It can be to a family member who accepts it, a sale, a return to the resort (if they accept it) but SOMEONE has to take it over or it remains an outstanding liability.

So best to make arrangements to have someone ready to accept it, sell it or give it away but don't assume it will suddenly disappear upon your death. Doesn't happen.

 

[swift]

Looks like we were thinking a like there John.

 

[Humu]

No, they cannot come after the kids BUT, and too many seem to ignore this, the estate IS responsible for the ongoing fees (debt) until it is legally transferred to another owner. Your estate cannot be closed out until that transfer is complete. It can be to a family member who accepts it, a sale, a return to the resort (if they accept it) but SOMEONE has to take it over or it remains an outstanding liability.

So best to make arrangements to have someone ready to accept it, sell it or give it away but don't assume it will suddenly disappear upon your death. Doesn't happen.

So while they can't come after the kids, the management group can effectively prevent them from receiving our estate unless they accept ownership of the timeshare and pay the annual maintenance fees, which will be in the thousands by then.

Wow.

With all respect to the many people who enjoy their timeshares, this is easily the most callous industry I've ever been associated with.

 

[Humu]

No - children are not responsible for ANY of their parent's bills. Nor, are they are not obligated to accept any property that you might leave them, or that might come to them through probate.

But right now, you should consider exchanging your St. Maartan timeshare for a drive-to timeshare that you can take the children to now.

That's good advice, but with all things regarding this industry, exchanging is easier said than done.

 

[DeniseM]

That's good advice, but with all things regarding this industry, exchanging is easier said than done.

I mean exchanging through an exchange company - if you deposit a popular week early enough, you should be able to get something that you can drive-to.

 

[bogey21]

This is why I have given away anything of value I own.* All that is left in my estate is debt which I alone am responsible for and the timeshare weeks I don't want any one to have. Basically no assets, all liabilities. Let them fight over it

George

 

[timeos2]

So while they can't come after the kids, the management group can effectively prevent them from receiving our estate unless they accept ownership of the timeshare and pay the annual maintenance fees, which will be in the thousands by then.

Wow.

With all respect to the many people who enjoy their timeshares, this is easily the most callous industry I've ever been associated with.

When you buy real estate - even a 1/52 slice - and commit to the rules of a condo/timeshare/HOA i is up to the buyer to properly turn it over when they are done with it. The fact that a timeshare isn't as easy as a home would be to dispose of doesn't make them any different. Right now there are homes no one will take on either. So its not just timeshares.

 

[roadtriper]

That's good advice, but with all things regarding this industry, exchanging is easier said than done.

First... Welcome to TUG!
"This Industry" as you refer to it. Thrives on Ignorance!
So far, you have paid 10 years MF and not used your timeshare, and seemed resolved to just keep paying with your main concern being that your children don't assume the burden when you die! ??? that's one aproach, but probably not the right aproach

You have found the website where the answers are! Join TUG, search the archives, ask lot's of questions, and learn how to best use, rent, exchange or sell the timeshare. you can't get the 10 years back, but you sure can maximize the next 10! look on the bright side... there are folks who Paid $30,000 for a timeshare and paid 10 years of maint fees and never used their timeshare! it's Sad, but true. YOU are $30K ahead of those folks.

I would love to spend a week on St. Maarten sometime! already have a Caribbean trip planned for 09. but I would be a potential renter someday in the future! You control the future of your timeshare, not the "Industry"
RT

 

[ace2000]

This is a great question and I'd like to get a final word on this one ... Based on what I've read on TUG, I also believe that the estate is accountable for the unit. But, what if the unit just will not sell? I guess that's where the 'post card companies' may enter the picture and provide a valuable service in this regard.

But, there has to be some other process... right??? I mean, what happens to the estates that have a non-popular blue week at a run down resort? What do the PCC companies do with these units that they can't even give away on eBay for $1 (sometimes they even throw in a bonus of 1 year of use and no closing costs and still can't get a bite)??? What happens to an estate that knows nothing about a PCC???

Surely, somebody on TUG has actually been through the process and can share their experience...

 

[rickandcindy23]

This is a great question and I'd like to get a final word on this one ... Based on what I've read on TUG, I also believe that the estate is accountable for the unit. But, what if the unit just will not sell? I guess that's where the 'post card companies' may enter the picture and provide a valuable service in this regard.

But, there has to be some other process... right??? I mean, what happens to the estates that have a non-popular blue week at a run down resort? What do the PCC companies do with these units that they can't even give away on eBay for $1 (sometimes they even throw in a bonus of 1 year of use and no closing costs and still can't get a bite)??? What happens to an estate that knows nothing about a PCC???

Surely, somebody on TUG has actually been through the process and can share their experience...

The PCC's don't take the ones that won't sell for $1. They have a long list of units they won't take.

 

[rickandcindy23]

So while they can't come after the kids, the management group can effectively prevent them from receiving our estate unless they accept ownership of the timeshare and pay the annual maintenance fees, which will be in the thousands by then.

Wow.

With all respect to the many people who enjoy their timeshares, this is easily the most callous industry I've ever been associated with.

Older timeshares are owned by the people, and run by management companies that we, as owners, hire. Most older timeshares are not run by big corporations. I have no idea what your situation is, because you haven't said what timeshare you own, but I wouldn't call your fellow owners (and the management company) calloused because they need you to uphold your part of the bargain.

 

[EvelynK72]

Ten years ago, my in-laws gave my wife and I their timeshare in St. Maarten. Seemed like a deal at the time -- hey, free is good! But we're far too busy with our young children to actually use our week. The maintenance fees rise over 10% a year , and when I did my online research on selling or renting the timeshare, well . . .

I've come to accept that, unless we are truly fortunate, my wife and I will own this timeshare until we die (I'm now hoping we'll actually use it in a few years, so we can realize some value from it). My question is this -- can the timeshare management group come after my kids after we're gone to continue paying the maintenance fees, even though their names don't appear on the deed? And, since that deed is in effect until the end of the century, will that obligation extend to their children?

I'd appeciate anyone's insight on this issue. Like I said, I've come to accept the situation my wife and I are in and trying to make the best of it -- I just don't want to pass this burden on to our children.

Humu,
Am I missing something here? You received a timeshare for free, but haven't used it much over the years. What has prevented you from selling your timeshare (even at a low price) or giving it away for free (on this site, for example)? You would have saved on those ever-increasing maintenance fees over the past years!

While selling or giving your timeshare away is one option, the other alternative is to read the advice on this site and learn how to rent your timeshare or exchange your resort for something you and your family might enjoy.

Good luck!

 

[AwayWeGo]

The Next Generation Is Already On Our Timeshare Deeds.

That's right, our timeshares are deeded to The Chief Of Staff & me & our son & daughter-in-law -- all 4 of us, JTWROS.

When The Chief Of Staff & I assume room temperature, our timeshare ownerships will just keep chugging along.

Of course, I'm hoping to keep on breathing air another 20-25 years or so & to keep on taking timeshare vacations with The Chief Of Staff until we give out physically or mentally.

Meanwhile, our extended family gets to use our timeshares too -- not just ours but other people's too via RCI.

Is this a great country or what ?

-- Alan A. Cole, McLean (Fairfax County), Virginia, USA.​

 

[Talent312]

No, they cannot come after the kids BUT, and too many seem to ignore this, the estate IS responsible for the ongoing fees (debt) until it is legally transferred to another owner. Your estate cannot be closed out until that transfer is complete. It can be to a family member who accepts it, a sale, a return to the resort (if they accept it) but SOMEONE has to take it over or it remains an outstanding liability.

Some folks manage their estates so that the are no probatable assets upon their death. The establish joint ownerships with right of survivorship, make lifetime gifts (reserving life-estates), and set up revocable trusts. Thus the heirs can recieve shares not subject to such liabilities.

If the TS were to be the only asset of the probate estate, there is nothing for the HOA to claim against, and its only remedy is to foreclose the unit. But as another poster pointed out, this is a fairly rotten way of treating your fellow TS owners.

Perhaps the best bet would be to auction it on e-bay for whatever the market would bear. The OP could even offer to cover closing costs.

 

[RMitchell]

So timeshare is just an eternal trap and not worth it. I agree.....

 

[swift]

You can write into your will that you wish to donate your TS to an organization that might except it. http://www.tug2.net/advice/TS_abandon.htm

 

[JudyS]

So while they can't come after the kids, the management group can effectively prevent them from receiving our estate unless they accept ownership of the timeshare and pay the annual maintenance fees, which will be in the thousands by then.

Wow.

With all respect to the many people who enjoy their timeshares, this is easily the most callous industry I've ever been associated with.

There are a lot of problems with how timeshares are marketed, and the situation is even worse outside the US. Many people end up with something that doesn't meet their needs, and don't know how to get out of it.

However, most of us here on TUG are extremely happy with our timeshares. I own 20 and am tempted to buy more, even though my current financial situation is quite precarious. And no, I'm not crazy or reckless -- it's just that I've generally done well with exchanging and with renting out my timeshares, and there are some fabulous deals out there right now.

You haven't told us what resort, unit size, and time period you own. That makes a big difference. There are some very nice timeshares on St. Martin. It's hard to sell a timeshare right now, due to the ongoing financial crisis, but that doesn't mean that your timeshare will never have value. Also, with regards to trading, there are some independent companies that are very easy to work with. I especially like Trading Places International, although their inventory is mostly concentrated in the western part of the US and Hawaii. If those locations won't work well for you, tell us where you want to go, and we may be able to suggest a different trading company for you.

 

[Humu]

Humu,
Am I missing something here? You received a timeshare for free, but haven't used it much over the years. What has prevented you from selling your timeshare (even at a low price) or giving it away for free (on this site, for example)? You would have saved on those ever-increasing maintenance fees over the past years!

While selling or giving your timeshare away is one option, the other alternative is to read the advice on this site and learn how to rent your timeshare or exchange your resort for something you and your family might enjoy.

Good luck!

I have posted the timeshare for sale on this and a few other online locations over the past few years, and haven't received a response. I've also contacted charities about donating the timeshare, and been told they're not accepting any timeshares, not matter the location or week. Haven't exactly given up on selling or renting the week, but the glut of $1 timeshares on the market doesn't inspire confidence. I do believe in trying to make the best of the situation, though, and that's what I'm looking to do.

 

[Humu]

First... Welcome to TUG!
"This Industry" as you refer to it. Thrives on Ignorance!
So far, you have paid 10 years MF and not used your timeshare, and seemed resolved to just keep paying with your main concern being that your children don't assume the burden when you die! ??? that's one aproach, but probably not the right aproach

You have found the website where the answers are! Join TUG, search the archives, ask lot's of questions, and learn how to best use, rent, exchange or sell the timeshare. you can't get the 10 years back, but you sure can maximize the next 10! look on the bright side... there are folks who Paid $30,000 for a timeshare and paid 10 years of maint fees and never used their timeshare! it's Sad, but true. YOU are $30K ahead of those folks.

I would love to spend a week on St. Maarten sometime! already have a Caribbean trip planned for 09. but I would be a potential renter someday in the future! You control the future of your timeshare, not the "Industry"
RT

When I read stories about people who are out $30K or more, yes, I do feel very fortunate. I've reviewed the advice on TUG for a few years now, and will make more use of it in the future as I look to make the most out of this situation.

 

[Humu]

Older timeshares are owned by the people, and run by management companies that we, as owners, hire. Most older timeshares are not run by big corporations. I have no idea what your situation is, because you haven't said what timeshare you own, but I wouldn't call your fellow owners (and the management company) calloused because they need you to uphold your part of the bargain.

My use of the term "calloused" seems to have struck a nerve with several people, so I feel obligated to say that the comment was prompted by the scores of stories I've read about deceptive sales practices in this industry. In my situation, the case can be made that I should have asked more questions when my in-laws offered the timeshare (I trusted people who have been very honest and generous with my wife and I in the past -- if trusting them is my worst sin, I guess I'm doing OK). But for the people who are invited to seemingly innocuous presentations, then subjected to high-pressure sales pitches spiced with the occassional egregious lie (it's an investment that appreciates in value, resale market's never been stronger) and conned into five-fgure purchases with annual maintenance fees running into the thousands -- yeah, I find the treatment of those people calloused, indeed.

 

[DeniseM]

I understand about not being able to sell it, but why aren't you at least exchanging it for a drive-to location?

 

[Humu]

I understand about not being able to sell it, but why aren't you at least exchanging it for a drive-to location?

I've looked into exchanges, but found that to make it work you need to be flexible either with travel dates or location. Unfortunately my wife and I don't have all that much flexibility.