Timeshare resale fail

If you’re thinking of selling a timeshare, the FTC cautions you to question resellers — real estate brokers and agents who specialize in reselling timeshares. They may claim that the market in your area is “hot” and that they’re overwhelmed with buyer requests. Some may even say that they have buyers ready to purchase your timeshare, or promise to sell your timeshare within a specific time. All they need is an upfront fee to get the ball rolling. Well, hold onto your money and read on.

Today, the FTC is charging the operators of a timeshare reselling scheme with bilking at least $15 million from timeshare owners by charging upfront fees of as much as $2,500 — or more — with promises they would rent or sell the properties. As time passed, the defendants would ask owners for more money, claiming the sale was about to take place and even characterizing the additional fees as closing costs. When the promises weren’t kept, consumer requests for refunds were routinely denied or ignored. Not anymore. At the FTC’s request, a federal court has temporarily halted the operation while the FTC seeks to permanently stop the illegal practices and get money back for consumers.   

If you own a timeshare, question any offers to help you resell it. Be skeptical of companies that:

  • claim the market in your area is “hot” and that they’re “overwhelmed” with buyer requests
  • say they have buyers ready to purchase your timeshare — or promise to sell your timeshare within a specific time        
  • guarantee you’ll get big returns on your resale
  • require you to pay fees upfront — even if there’s the promise of a “money-back guarantee”
  • don’t provide a contract — or provide a contract that doesn’t accurately reflect conversations you had                                                   

                                                                                                                                      Timeshare Resale Scams Infographic

For more information, see buying and selling a timeshare, or check out our infographic to see how timeshare resale scams typically work.  

Tagged with: scam, travel
Blog Topics: 
Homes & Mortgages

Comments

I have a timeshare and was called by a company that they would sale my property, but needed 2,500.00 to market the property. they said it would sale within the first 6 months if it didn't they would use their money to market. I haven't been able to speak with the guy that guy. Thank You, Dena

My parents were bilked out of 1000's of dollars from people saying they would sell their timeshares, but they had to pay up front. I kept Telling them no,tell them they get their money when the timeshares are sold, but they were convinced that the money had to be paid up front ZX so they did and they lost over and over, even dealt with a sheriff in Fla who was trying to catch the scammers!! Ha, so...seller beware!!!

Federal Trade Commission (FTC) has failed, and continues to fail, to protect consumers, who currently own timeshare properties, from being able to sell or dispose them in the resale market, or wherever and however. The fact that owners of timeshare property are unable to, even, disposed of such properties, without burdening owners' heirs with inescapable liability, means that the FTC has and is shirking responsibility to protect the helpless consumers (owners of timeshare property) and to resolve this controversial market problem. I would like to see the FTC get directly involved in establishing a precedence of resolving this untenable market injustice.

I sell timeshares from the developer, and warn my owners to run from anyone asking for money up front. Bad news, that.

I don't own a time share. My ex mother n law does. I have heard many more variations of the same. Especially the one is all I had to do was run the title report. They must need help, because they call me. I'm a professional land consultant. The time share is a suite in a motel. They didn't know that. No title records exist for motel rooms. When disavowing ownership fails, I explain I only pay for results, not incentives. Then they resell the potential mooch list to some other sucker looking for another. Time shares in general should be investigated. U can't sell them period. Nor were they intended for resale. Just escalating maintenance fees that u can't sublet cheaper than a much nicer motel. I only had to take the calls. They are paricites that think if u were uninformed enough to buy one, u are susceptible for another good deal

Inherited a deeded timeshare from my father and would love to sell because of maintenance fees. Any advice on how to get rid of it? No one seems to be interested in buying through the management company and other than bankruptcy/foreclosure there doesn't seem to be other options.

I had one that I got scammed on reselling 3 times and then I found an actual realtor ho specialized in timeshares was able to sell it that way with no fees up front just like you sell a house.

We got scammed years ago, $795 upfront to an outfit in Las Vegas........they did nothing, never was able to reach them again. Finally spent about $4000 to just get rid of it. The biggest scam out there is the Timeshare market itself, even before the resale scammers get involved. We owned a business at the time, otherwise I would've just stopped paying the fees and dealt with the collection agents, lawsuits etc.

Time share investments have been a bad investment for years. This is something that should be addressed at the State level to protect consumers. If you purchase a time share with the commitment of paying say $500 a year for a week, this amount should not be allowed to triplicate in the following years and this is what is happening. So after a number of years of paying the $500 and when the fee is now $1500 the time share owner goes into default and the developer takes bake a property for $0.00 to sell again to the next victim. Not only do they take the property back for $0.00 but they will not even try to sell the supposedly now more expensive property to a new client again so the owner will default and the developer can take the property at $0.00. Unless this industry is seriously reevaluated and looked at from a consumer protection stance the SCAM, SCAM, SCAM, will be around for years to come. Shame on the State of Florida for not addressing this family fund depletion scam.

I agree with everything said. We too purchased and tried for a long time to sell through these scam resellers. During another hard sell presentation during our timed vacation, (Westgate Resorts)we complained about the expense of ownership and how hard it was to sell it,but was convinced that if we owned a second time share with them, we would easily be able to rent it yearly to pay for both...duh, we feel for that and now we have 2 headaches. I'm sure there are thousands if not millions of consumers losing lots of money each year, but with Rick Scott's Attorney General Pam Bondi watching over the hen house, don't expect much to ever happen. I would sign onto a class action lawsuit in a minute against either the scammers or the Time Share Barons. Of course now we have to watch out for scam lawyers trying to cash in on consumer frustration over this mess.

Has anyone had any dealings with Certified Travel Consultants located in Las Vegas?

Watch out for Camden Park Escrow in Baltimore MD and Tryon & Trade Group in Charlotte NC - scammers in operation now.

We are wondering if we are being scammed on a scam. Years ago we paid $885 to Prime Resort International to sell a timeshare.
We have received a call from Allotted Case Settlers telling us we get our money returned. It will be a credit on our credit card. When it gets posted, then we are to pay them a 25% finder fee. We have contacted our credit card company customer service.

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