How to Avoid timeshare scamsGuard yourself with knowledge and understanding
6 Red Flags to Watch Out For to Avoid Timeshare Scams
1. Unsolicited Call
Legitimate timeshare brokerages don’t typcally cold call timeshare owners. If you do get an unexpected call, count it as a first red flag and make sure you weigh the caller against all of these red flags listed here.
2. Timeshare ‘Relief’
If you ever see an ad or receive an email or a call from someone claiming to be able to ‘relieve’ you of your timeshare, this is a very sneaky red flag to be awae of. The only way to get rid of your timeshare is to sell it
3. No License
Whether you reach out to someone offering to list timeshares or receive an unsolicited call or email, be sure and ask for three things: their full name, their license number and what state the individual is licensed in. If they say they are not licensed you may hang uo the phone. If they do procide you their info make sure you do your research on them to verify.
4. Up Front Fee
It is illegal for a licensed real estate agent to ask for upfront fees. They won;t call them up front fees. They just will be fees the individual is requesting up front BEFORE selling the timeshare. This is different than a listing fee on places like Timeshare Users Group. This will be a large cost, usually between $1,000-$5,000 and they might call it a closing cost. News Flash – closing costs are collected from the BUYER in most cases and not until the timeshare ownership is already in the escrow process, never up front.
5. High Quote
Timeshares retain anywhere between 0-5% of their original purchase price. If anyone tells you that your timeshare is worth near or at what tyou bought it for, you can bet they are about to ask you for an up front fee and that they certainly are not a licensed timeshare resale broker.
In our twenty years in the industry there has only been one legitimate charity that we knew we could refer our clients to. It wasn;t guaranteed and it always required that they found a buyer first before they would transfer it into their name. The reason for this is because an actual charity will not in their life ever want to take on the burden of a timeshare and risk the fragile monetary balance of the charity by getting stuck with a mainetenance fee.