What if timeshare's value is less than my dues?

Ask the Timeshare Crusader / May, 2010

What do you do with a timeshare when its value is less than the annual dues and rental cost can't match the annual dues? What happens when you can't pay the annual dues?

Indeed, this is a difficult position to be in. You aren't to blame for this situation — shame on the resort for increasing the fees so much that the rental income is less. However, you do have a few alternatives.

First, check with the resort and see if they have a rental program. Oftentimes, they have such a program and perhaps have a larger "database" of potential renters. Secondly, I would do some research to find out what comparable accommodations are going for in that region. Perhaps you are mistaken in what you think the rental rate should be.

If you are certain that you are not going to use the timeshare again in the future — whether at the home resort or trading — and you really have no use for it, you can always look into donating it to a worthwhile charity or even a place of worship. Whatever you do, DON'T pay someone to take it just to get out of the annual fees.

This is an unfortunate situation and perhaps a valuable wakeup lesson for all timeshare owners to become more involved in their HOA, ask questions, and speak up to the management company. This should never have happened.

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