I cannot afford to pay for my timeshare mortgage

Hi ,I am in desperate need of suggestions on how can I get out of this burden ,due to onfor seen expenses we just cannot pay the mortgage and maintenance fees, upgraded about 4 months ago but with the increase in our health care insurance and back problems which left me working less hrs there is no way we can continue paying and no one from the resort wants to talk to us about a way that we can work this out,please I need some advice.

fazirm wrote:

...no one from the resort wants to talk to us about a way that we can work this out,please I need some advice.

Are you absolutely sure "no one from the resort wants to talk to [you] about a way that [you] can work this out"? Contact the Homeowners' Association at the resort rather than the front desk of the resort. Those are two different people and departments with different levels of authority. Explain your situation very clearly and let them know very clearly that you cannot afford another penny in mortgage and, hence, another penny in maintenance fees. Explain that it would be in their best interests to take the deed back in lieu of foreclosure as foreclosure would be much more costly and time consuming to them.

Whatever you do, do not go seeking our firms and companies that claim they can magically cancel your mortgage and timeshare. They charge upfront fees in the thousands (which, it appears, you cannot afford) and them make off with your money.

Whenever I called the # the resort which is the Holiday Inn Club, they always put me on to the department that deals with the mortgage and maintenance fees, when I explained to them my situation all the keep saying is that if I don't pay it would default and the foreclose. When I asked to speak to a supervisor they say they are the supervisor and that's what they were told by the management of the orange Lake Resort. They are the ones that took over the Silver leaf resorts. They are not willing to understand my situation or willing to work with me ,I don't want anything from this other than to get out cuz I don't have the money to pay. I know we would lose money because what we have paid so far but I don't care. I explained all that to them and they still says there is nothing they can do and there's is no one else or any # they can provide other than the financial department. Please if you have a contact # for the orange Lake Resort management company please please forward it to me.

Have you tried writing to the HOA? Try explaining your situation.

You also mentioned that the people on the other end are threatening you with foreclosure. Remember, it costs them a lot of time, effort, and expense to foreclose. It would actually be in their best interests (and yours too) to take a deed back in lieu of foreclosure. If you explain that you cannot afford another penny in maintenance fees and mortgage, they just might get the picture that making threats to you would be futile.

I know that Don P mentions often here that he gave some units back by making it perfectly clear that he was going to get rid of these units one way or another and therefore it would be in the resorts' best interest to take the units back amicably rather than going through foreclosure procedure. So you do have a little bit of leverage here telling them that foreclosure will hurt them a lot more than taking a deed back amicably.

If there is a mortgage on this timeshare, it is possible (likely, actually) that the loan is not actually from the resort itself, but from a third party lender. If that is the case, then the resort HOA will not and cannot even consider accepting a "deedback" until and unless that outstanding loan is satisfied, since the ownership title is not really in the hands of the poster, but in the hands of the lender until such time as the outstanding loan is satisfied. Frankly, many (maybe most) resorts won't accept "deedbacks" even when the ownership is fully paid off and all maintenance fees are current. Practices on "deedbacks" vary widely and I do not claim to know this particular facility or its' policies, but it doesn't really matter --- the existence of a unpaid loan / mortgage essentially rules out any "deeback" option. That unpaid loan stands in the way of a "deedback".

It's a difficult situation and I empathize with the poster's plight. Defaulting on this (or any other) loan may very well result in negative credit report consequences, but there is simply no "simple fix" or "easy exit" here. To stop the financial bleeding completely, immediately and permanently, poster might just have to decide to bite the bullet, pay not one penny more, and willingly accept the inevitable consequences of default and foreclosure. Everyone has to eat and support themselves and their family and keep a roof over their heads --- a timeshare is essentially an unnecessary luxury of low priority that can always be done without. I wish the poster good luck and better health.

What ended up happening with your situation?

Foreclosure? Deed in lieu?

moriahl3 wrote:

What ended up happening with your situation? Foreclosure? Deed in lieu?

"Deed in lieu of" was surely not an option for fazirm with a unpaid mortgage / loan.

The post you inquire about is actually over a year old. Accordingly, it seems unlikely that there will be a reply directly from fazirm now, 13 months later.

There is a class action suit against Orange Lake Resorts - trying to get people out of their mortgages and win damages. I'd like to hear what people think of this: https://bit.ly/2Mhh1VO

hanrym wrote:

If you cannot afford to pay your timeshare mortgage, you face foreclosure....Foreclosure is the process where the lender files to take possession of the property and sell it as an auction to recover the money you owened. The judge may issue a deficiency judgment for the remaining balance due after the auction.

You are correct. An owner who does not pay his mortgage or maintenance fees faces foreclosure. Whether or not a judge "may issue a deficiency judgment for the remaining balance due after the auction" is questionable. Many owners who have defaulted and had their units foreclosed have not faced serious consequences. A lot depends on the state or country where the unit is located.

Hence, there is no need for an owner who can't pay his mortgage or maintenance fees to hire a company to get him out of his agreement.

I'm trying to get out mine too! It's very difficult for me to continue/paying every month, specifically I don't have a job. And hardly get by everyday depending only my social security disability. It's killing me time to time. My bills on my ongoing medical treatment so much. I think I was naive when I bought this $9,000.00 for 9 years with 40,000 points. Since March 2019 I've been paying $163.19/ monthly , not included tax and maintenance pay. Which is I wasn't been using at all since covid19! I paid tax $500.00 with maintaiNance pay and plus $150.00 holiday Inn membership every year. I think I was rip off!