Here’s Why Selling a Timeshare Might Be Much Harder Than Selling a Home

This post may contain affiliate links which may compensate us based on your interaction. Please read the disclosures for more information.

It may not have the same appeal. 

It’s easy to see why the idea of buying a timeshare can be so appealing at first. After all, you’re buying access to a vacation home you can use every year. That means you won’t have to worry about not being able to book a hotel and getting shut out.

But in time, you may realize that your timeshare just isn’t working out. Maybe the ongoing maintenance fees you’re forced to pay are annoyingly high. Or maybe your vacation habits have changed, and whereas you used to love the timeshare that gave you easy access to theme parks, now that your children are older, you’d rather travel elsewhere.

A good 85% of timeshare buyers end up regretting their purchases, according to a University of Central Florida study. So if you’re looking to sell your timeshare, you’re in good company. But you might also struggle to find a buyer for a few good reasons.

Lots of competition

The fact that so many timeshare buyers regret owning one means that you might face stiff competition when you go to sell yours. And the more competition there is, the harder a sale becomes.

A challenging number to land on

When you’re buying a home to live in, you can compare its value to those that have recently sold. But landing on the right price for a timeshare can be difficult for you as a buyer — and it can be just as challenging for a seller to determine if they’re getting a reasonable price or not.

There are different factors that go into determining value for a timeshare, like how popular the area is and how many similar properties are available. But all told, you might end up guessing at a sale price. And your buyer might try to talk you down from it, knowing full well that the reason you’re selling is that you obviously want out.

Plus, when you own a timeshare, you’re on the hook for ongoing maintenance fees. That could be a turnoff for buyers — especially if they’re on the higher side.

It’s not a need

Another reason selling a timeshare might prove difficult? A timeshare is a luxury purchase. It’s not a purchase that will fulfill a need, like putting a full-time roof over your head.

Buyers may be willing to stretch their budgets in the course of signing a mortgage loan for a home they’ll live in year-round. But it’s less likely that buyers will be willing to strain themselves financially for a home they can only use a few weeks a year for vacation purposes. As such, when you sell a timeshare, you’ll generally be looking at a more limited pool of buyers, which could make things difficult for you.

Selling a timeshare may not be easy, but ultimately, it can be done. That said, you may want to find yourself a real estate agent with experience in selling timeshares. An agent with the right expertise can help you price your timeshare accordingly and navigate the challenges you might face.

Our picks for the best credit cards

Our experts vetted the most popular offers to land on the select picks that are worthy of a spot in your wallet. These best-in-class cards pack in rich perks, such as big sign-up bonuses, long 0% intro APR offers, and robust rewards. Get started today with our recommended credit cards.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

 Read More