8 Hidden Timeshare Costs Companies Don’t Want You to Know
There are over 1500 unique timeshare resort properties in the US alone. That makes it a nearly $9 billion industry.
For comparison, the music industry is only worth $7 billion.
The average person will pay around $20 thousand to buy in. But this initial investment is only a drop in the bucket. Very soon after that initial purchase, people learn the hidden timeshare costs that no one told them.
I’m here to share them with you. Whether you’re thinking of buying or having second thoughts, you need to know this.
Let’s explore the timeshare costs they don’t want you to know about.
1. Your Life
Does that sound overly dramatic? You’ll quickly see why. Buying a timeshare is often a lifetime commitment.
Once you’re in, it’s almost impossible to sell it to someone else. You’re competing with all of the new, unsold properties at the same resort and others.
Lose your job? Go through a divorce? Terrible diagnosis? It doesn’t matter. You’re responsible for whatever you agreed to in your contract.
Failure to meet these obligations could result in legal actions taken against you.
Now onto less dramatic, but still impactful hidden timeshare costs.
2. Your Freedom
Want to go to Disneyland this year? How about Venice? Did you always want to visit Dubai?
As they say: Variety is the spice of life.
But not for you. You have a timeshare. You already know where you’ll be going every year for the foreseeable future.
Even if you do have several resorts to choose from, your choices are very limited. The top destinations may require booking years in advance.
And they may not tell you up front that you’ll pay yet another fee to exchange units.
One of the hidden timeshare costs is playing vacation deja vu for the rest of your life.
The resorts know that people hate monotony. They’ll try to sell you upgrades every chance they get.
3. The Not So Hidden Hidden Costs
When you own a timeshare, you’ll probably be told up front that you’re responsible for annual ownership and maintenance fees.
It seems all transparent. You’ve got this. You know exactly what you’re in for.
But do you?
These fees are due whether you use the property or not. If the property goes into decline, they may go up. Depending on your contract, they could go up a lot.
And, they usually don’t cover the big stuff. Does the resort need a new parking lot, roof or lobby? They’ll send you the bill.
4. A Hefty Tax Bill
When you buy your timeshare, you’re savvy enough to ask probing questions.
Is this all I’m responsible for? Are there any hidden timeshare costs I should know about?
They may look you straight in the eye and say that’s it.
Then you get your tax bill. As a property owner, you’ re responsible for the annual property taxes. You can’t write these off.
A timeshare broker doesn’t have much to do with these hidden costs. It might simply slip their mind.
But you could owe a thousand or more in property tax each year in addition to the costs you knew about.
This timeshare is looking like less and less of a bargain all the time.
5. Real Estate Fees
When you buy a timeshare, you’ll pay the same kinds of real estate fees you pay when you buy a house. There’s an assessment fee, an appraisal fee, a transfer fee and so on.
The resort may even find some clever finder’s fees or other fees to tack on there. These fees should be in your final documents. But they are often hidden until you are already excited and well into the buying process.
These hidden timeshare costs can really bite into the value of your timeshare. But there’s more.
6. More Real Estate Fees
Let’s say that you find a buyer for your share down the road. You may be thinking that you’ll get at least most of your money back.
But when you add up real estate agent fees and concessions you have to make to sell the timeshare, you really end up paying these fees or more twice.
And if you do sell it, this doesn’t get you out of any back fees you may have acquired during ownership.
7. Travel Fees
Okay. You already knew that the resort wasn’t going to pay for your plane tickets to the resort every year. But these are hidden timeshare costs that almost always slip the buyer’s mind.
In order to enjoy your timeshare, you’ll need to pay for you and your family to travel there.
If fuel costs go up and you can’t afford to travel, you’re stuck with a terrible choice.
Either don’t use the timeshare that you’re paying thousands for each year. Or go into debt to travel there.
When you consider other options like waiting until fuel prices go down or taking a close to home vacation that year, you’re wasting a ton of money.
You buy into this great resort. You see all kinds of entertainment venues and restaurants going up around it. What a great investment?
Timeshares rarely, if ever, go up in value. In fact, plan to take a mighty loss on it when you sell it.
We’re not even taking all of your annual fees into account. That’s a loss out of the gate.
If you paid 20 thousand for it, expect 10 or less. Yes, really? When you add up all of the hidden timeshare costs you no longer have to pay, you’ll actually be relieved to dump it.
But There’s Good News About Hidden Timeshare Costs
It’s possible to get this burden off your back. You may be ready to dump the timeshare and you don’t care what you lose. But wait!
You may have options.
I can help you better understand what those are. The timeshare may have been misrepresented. Perhaps, they told you it was an investment or that your annual fees were fixed.
Don’t suffer under a timeshare anymore. Learn about your options. Set up a free consultation today.