How To Sell A Timeshare

Step 2: Research Your Timeshare’s Value

Now before we go much further, I want you to have realistic expectations about your timeshare’s worth. No matter what the original salesperson said, you really can’t view a timeshare as an investment because it never appreciates. Yep . . . they actually go down in value worse than new cars do.

Supposing the sale works out, don’t expect to get back all the money you’ve already put into your timeshare. Many owners would be pleased if they could simply return the timeshare to the resort without getting any money for it!

Not to be a Debbie Downer, but just getting out from under those recurring fees is probably the best happily-ever-after you can expect. So just be prepared.

Do you still have a mortgage?

First, is your timeshare paid in full, or are you still making payments? If you’re paying on the loan, find out if it’s somehow secured by the timeshare itself. Timeshares with a mortgage are listed as encumbered and are almost impossible to sell.

Are you caught up on all your payments?

Make sure your maintenance fees, incidental payments, HOA fees and other sneaky costs are already paid. You will need these expenses up-to-date if anyone’s going to look twice at your timeshare.

Are there other timeshares similar to yours on the market?

Now, armed with all the information you’ve gathered from your original contract, scope out other timeshares already on the market. Try to find ones with a similar square footage and the same number of bedrooms and bathrooms.

To start with, you can use sites like eBay, Craigslist and Timeshare Users Group. Also, look for “sold” listings. They’re a more accurate indicator of price than ones that are only listed (which is often the wishful thinking of what an owner wants to get for their timeshare).

Step 3: Try to Sell Your Timeshare

The truth is . . . you shouldn’t sell your timeshare by yourself. You really want to use a professional because the complexities of selling these types of properties require not only specific knowledge about the whole procedure, but also special access to the market. You want someone who eats, breathes, and sleeps this stuff—not a DIYer!

That’s why I recommend using a timeshare listing company. But there are some things you should keep in mind.

Is your listing company trustworthy?

If you go with a timeshare listing company who says they want to try to sell your timeshare, use caution. A lot of scammers have started taking advantage of the desperation so many timeshare owners feel. Put time into researching potential companies by checking with the Better Business Bureau and the American Resort Development Association.

One ploy they use is asking you to join a vacation club so they can sell your timeshare. That’s when things get sketchy. After you’ve been “in the club” for a few months, they disappear and so does your money! On top of this, if you get an unsolicited call, or they say they already have a buyer for your timeshare, be suspicious—be extra suspicious. There are a lot of scummy people out there!

Is the resort open to taking back your timeshare?

If you run into a brick wall trying to sell your timeshare, this route could work for you. Go ahead and talk with your timeshare’s resort. Some resorts have started an internal process for selling used timeshares for their owners or just taking them back without any exchange of money.

Be careful though. Often the resort will take advantage of this desperate time to entice you to sign up for a wonderful “upgrade”—more weeks or points for another resort complex— “just while we try to sell your timeshare!” Boy, those snakes are good! This is a little known “gotcha” for timeshare owners to watch for. Most of the time, an upgrade doesn’t replace the other contract but piles on another contract to the mix which further complicates the selling process.

What's Next?

If you're looking to sell that timeshare, you've probably realized just how scammy they are.

Maybe you wish you'd never fallen for this timeshare scam in the first place. But you can learn how to avoid the next marketing trick. We've got a lesson in Financial Peace University called Wise Spending where you'll see how to outsmart any of these schemes. In fact, go ahead and watch all the lessons to find out the best way to handle your money from now on.

Sell the timeshare. Learn the best money management principles. Win with money. You got this.