When you signed your timeshare contract, it seemed like a great deal. The prospect of being able to take vacations without paying a massive lump sum you had to save up for months seems awesome. Just book your stay and away you go.
Then you try to book your first vacation.
Every single resort you want to visit in the timeshare network is booked up solid for the year, and you can't get in anywhere. Great, now what? How do I cancel my timeshare?
Then you get your first bill, and there are all these hidden charges like "levies" included in your invoice. What's with all of these hidden charges the sales team failed to inform you about?
Suddenly, your timeshare doesn't seem like a good deal; it's more like a financial nightmare. The worst part? You try to get out of the contract, and there's no escape. You're locked in, and there's nothing you can do about it. Canceling the agreement looks like it's going to cost you, so what are the alternatives?
Then you remember how a work colleague "sold" their timeshare, and you start to wonder if you could do the same.
Selling a Timeshare — Is There a Market for It?
The first thing most new timeshare victims—sorry, "owners"—think about is how to mitigate the financial losses that are stacking up month on month. Canceling means you'll lose what you put into the deal, so why not try selling it?
You call your friend at work, and they tell you to visit a secondary marketplace online where you can sell your timeshare. But the kicker is that they also let you know that you're going to get pennies on the dollar if you decide to sell it to some other sucker.
You log onto the site, find dozens of timeshare listings, and start to feel hopeful that you can get yourself out of this mess without it costing you a fortune to do so. Maybe you could even make a small profit out of the resale.
But that's when reality sinks in.
Why Selling a Timeshare Is Difficult
Selling a timeshare isn't as easy as it sounds. If you're expecting to list your timeshare on a site and sit back and wait for the check to clear, you're in for a rude awakening. The reality is that the secondary market for timeshares is practically non-existent. These listings can sit on sites for months—or years—before you get a lead. The reality is that selling a timeshare isn't the same as selling a piece of real estate. While homes and apartments appreciate over time, that's not the case for timeshares.
Most timeshares start depreciating from the moment you sign on the dotted line. People are more informed about the risks of buying a timeshare in the 2020s, and they know it's more or less a scam.
The internet made it easy to compare timeshare prices, and if you look around a few of these retail sites, you might see timeshares listed for under $10. Wait—what? How does that work? Why on earth would anyone want to list a timeshare for so little?
Because, like you, they're tired of paying the ongoing monthly maintenance expenses and levies charged by the timeshare company. It's easier and less costly to list it just for nothing and hand it off to someone else. Out of sight, out of mind, right?
So, if you're going to struggle with selling your timeshare, do you have any other options?
Cancelling a Timeshare: How It Works
If you've given up on the idea of selling your timeshare, there's always the option of canceling the agreement. But, like reselling it, canceling the agreement isn't a walk in the park. Most timeshare agreements give you a rescission period of three to 15 days to cancel after signing the deal.
If you're outside of this window, you'll need to resort to hiring a lawyer to take legal action against the timeshare company, or you can work with a timeshare cancellation company to get you off the hook.
Contracting a Timeshare Cancellation Service
There are companies out there that specialize in canceling timeshare agreements and getting people out of their contractual timeshare commitments. They charge you a fee for their services, and the chances are good that they'll get you out of the contract.
You might have to pay a few thousand dollars for the privilege, but it's better than paying tens of thousands over the coming years for a timeshare you can either never use or don't want anymore.
But you'll need to do extensive due diligence on the service provider before hiring them. Many of these companies are scams, and they'll charge you upfront and then never get back to you, leaving you in the wind with your contractual obligations still intact.
While that might sound like a horror show, don't let it put you off researching these companies. There are plenty of legitimate service providers out there; you just need to find them.
Which Option Is Better? Selling or Cancelling Your Timeshare?
Selling might be the better choice for you if you meet the following criteria.
- The timeshare is located in a high-demand vacation destination.
- The contract permits the transfer of ownership.
- You're willing to sell the timeshare at a deeply discounted rate compared to what you paid for it.
Canceling the contract by using a third-party provider is the best option in the following instances.
- The timeshare has little to no resale value on secondary markets.
- The resort has contractual restrictions on reselling or transferring the timeshare.
- You were misled by the sales team or pressured into signing.
- The ongoing maintenance fees and levies are unaffordable.
Final Thoughts
Getting out of your contractual commitment to the timeshare company is challenging, but it's possible with the right strategy. Selling your timeshare would be the best option because at least you're getting something back for it, even if it's a lowball figure.
But if you're in a place where you can't wait for someone to pick it up, or the thought of getting another steep bill from the timeshare company is more than you can bear, reach out to a cancellation firm and start the process of exiting your contractual commitment.
