Paradise Lost: Timeshares Being Sold for Pennies
After paying tens of thousands of dollars for timeshares, many timeshare owners are finding that the only way they can get rid of them is to sell them for pennies. For others it's even worse. Stuck in a timeshare trap where they can't even give their timeshare away for free due to the yearly maintenance fees nobody wants to pay.
If people are giving timeshares away for free, why isn't there any interest in them? The answer is because the "free timeshare" comes with a pretty huge asterisk next to it which in reality makes them anything but free. Timeshares come with yearly maintenance fees which need to be paid meaning that the "free timeshare" will cost several hundred dollars a year at a minimum, and could cost thousands. There are also a number of other fees that can come into play each year that timeshare owners are responsible for paying.
Further complicating this is that the maintenance fees have been dramatically rising because so many people are abandoning their timeshares. The maintenance fees are for upkeep of the timeshare and when people stop paying them or default on their timeshare, the maintenance fee must be raised on all the other owners to cover the costs. The result is that at a time when people are having trouble paying these maintenance fees, they continue to rise.
It's a terrible Catch 22 that finds many timeshare owners stuck with timeshares they don't want, but also can't give away. This has enabled timeshare resale scammers to bilk desperate timeshare owners out of millions of dollars and timeshare resale scams have become a top complaint at the Better Business Bureau which warns not to pay upfront fees to get rid of a timeshare.
(Photo Credit: TST)