The age-old truth about timeshares is that the supply far exceeds the demand; in other words, there are many more sellers than buyers. Although the market is very competitive, this does not necessarily mean that you cannot sell your timeshare. However, you will need to do your research and educate yourself on the dangers of selling a timeshare.
One of the most common options is to list your timeshare with a resale timeshare listing service or agent. This is attractive because someone else will handle advertising, customer inquiries, and the transfer of ownership. In general, there are two fee structures for this approach; commission-based billing and in advance or in advance.
Commission-based companies will market and sell your timeshare for you, then collect a commission at the close of your sale based on a percentage of the sales price. Companies that charge an upfront fee will collect an upfront fee, typically in the amount of several hundred to several thousand dollars, and then market your timeshare for sale. Note that the latter method does not offer any incentive to the reselling or listing company to market your timeshare once they have collected their fee. In fact, on July 8, 2009, WCTV.tv reported on its online site at http://www.wctv.tv/home/headlines/50243487.html that the Leon County Circuit Court in Florida had ruled “That the charging of advance listing fees is prohibited from Florida residents, regardless of property location, and Florida timeshare owners.”
Whether using the services of a reselling agent, a listing site, or selling on your own, it’s important to know the market value of your timeshare. This can be difficult to determine since the timeshare market is decentralized. Unlike home values, where you can use neighborhood comparisons of recent sales or use a site like Zillow.com, it’s not as easy to figure out how much similar timeshares have sold for. Browse listing sites to get an idea of what owners are asking for their timeshares; Please note that the asking price may not represent market value as many owners need to repay their loan balance regardless of the value of the timeshare. You can also follow similar properties on eBay to see what the final offer price is to get an idea of how much people are willing to pay.
There are many companies that offer to provide you with a quote for free. Don’t rely on just one source when researching the value of your timeshare. Many companies use free estimates as a way to drive traffic to their website and then, in turn, market their sales pitch to you.
You may be required to pay a fee for an independent appraisal. Unfortunately, this is a tactic commonly used by unscrupulous reselling companies to generate revenue. Appraisals are rarely required or used. Remember that the market is decentralized, so it is difficult to get a specific valuation.
Beware of guarantees to sell your timeshare, such as a guaranteed minimum price or sale within thirty days.
Selling your timeshare is not impossible; Price will have the biggest impact on your success. Do your research, know your options, and avoid pitfalls.