A timeshare contract is a type of contract that you may have or be considering purchasing. Namely, it’s a vacation rental agreement that allows owners to share condominiums and homes with other people.
It differs from most conventional rentals in that both parties agree to use the property for vacation purposes exclusively with each other as well as making a small payment for every week or month.
The only exception would be if you’re purchasing in bulk which means buying more than one unit at once then it would seem that you’re looking for something more like an apartment rental situation in which case the terms and conditions may vary depending on where your property is located.
The owners or managers will keep it as an investment property instead of renting it out to other people.
A lot of times, timeshare owners buy these vacation homes in hopes that they can one day resell it for an exorbitant price.
But what about the people who want to terminate timeshare? What does it cost to cancel a timeshare contract and how can you legally do so?
As far as cancelling a timeshare contract it’s quite different from cancelling a regular rental property.
Technically, the initial purchase agreement that was signed by either yourself or someone representing you when you purchased the home will make mention whether any portion of the lease is considered to be non-cancellable.
Whereas this is not true with condos and homes which are built on land instead of water thus meaning these can be legally vacated at any time by anyone who has purchased their units without having to incur any fees (for example, if no payments have been made over an extended period of time).
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Why Would You Want to Cancel Your Timeshare Contract?
Whether it’s a timeshare or any other kind of property, you need to know the rules of cancellation before taking the steps to release yourself from those contracts. There are lots of reasons why you would want to cancel your timeshare contract.
Perhaps you have gotten yourself into financial difficulties and can no longer afford your program, space or unit payments and maintenance fees.
Or maybe you have decided that the product is not meeting your requirements and you want to walk away from it altogether. Whatever your reason for cancelling your timeshare contract, there are certain legal steps that you need to take before executing a cancellation document.
How Do You Legally Cancel a Timeshare Contract?
Timeshare contracts can be very tricky to understand. So, for many people, when it comes time to cancel the contract, they feel lost.
This can be especially true if you don’t have any knowledge of how timeshare cancellation works in general — or worse yet if you’re not sure what your rights are.
Unless you’re a lawyer or a certified paralegal, understanding how to cancel your timeshare contract is not an easy task. With all the scams out there and the complicated process of cancelling a timeshare, it is no wonder that so many people get caught up in this.
Many people think they are licensed, but they are not. This is why you need to protect yourself before jumping into any agreement with anyone that says they will help you cancel your timeshare contract.
You may be able to use something called the rescission period to exit your timeshare agreement if you recently purchased a timeshare. Some states enable purchasers to cancel their purchase within a set period of time if they recently purchased a timeshare.
It is important to note the state where you purchased the timeshare offers a rescission period so that you can take advantage of it if ever you decide to cancel.
To terminate your timeshare agreement you can terminate yours by sending a letter via certified mail to the owner saying that you no longer wish to possess the timeshare.
During a rescission period, if you are unable to terminate your ownership agreement you may still be able to exit your timeshare through other means.
Some alternative timeshare cancellations include take-back schemes that allow timeshare owners to return their timeshares to their developers, possibly as a result of the terrible reputation the primary and secondary timeshare markets have gained over the years.
Takeaway: To cancel your timeshare legally, you need to hire an expert.
To cancel your timeshare, the documentation is not going to be easy for a layperson to navigate. You’re most likely going to need an attorney or at least some legal knowledge to make sure that your situation allows you to cancel without cost.
Always make sure you read the fine print, do adequate research, and then contact an expert with any questions. Don’t attempt to tackle it alone; the time and effort could cost you more than the fees charged by cancelling.
