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One of the most common reasons owners choose to review their timeshare is usually down to financial reasons. Timeshare seems to be predominately entered into at a stage of life where financial comfort seems to be under control thus leaving spare cash for those little luxuries such as holidays.

According to a survey carried out by the American Resort Development Association (ARDA), the following statistics relating to purchase and ownership were gathered:

 • Baby boomers (born 1946-1964) make up 55.2% of all timeshare owners; individuals born 1925-1945 (the Silent Generation) account for 22.9%.

• 78.1% are either married or have a domestic partner.

• The average age of timeshare owners is 52.6.

• The median income is $72,900 (£60,000 approx.) among owners.

Now whilst this survey covers only the American Market we have no reason to believe that the European market would present wildly different figures. The interesting number is that the average age is 52.6, this echoes the above in as much as personal financial stability is probably in place. 

Retirement

So, at 52 most owners have complete financial security, mortgage paid off, career in full flow, kids off their hands so an “investment” in future holidays seems like a sound idea but with only 13 years till retirement was the choice of buying a long term holiday product a good idea? 

With the best pension scheme in the UK the maximum allowable pension is two thirds final salary, even when adding in the state pension there is still a shortfall. Very few people will ever be in a position to obtain a full pension. So with income going down at retirement and expenditure roughly the same, cuts are often needed. The timeshare purchased 13 years ago is now costing more each year with the increase in annual maintenance and what was once a dream rapidly becomes a liability.

This year and beyond?

2020 will be a very bad year for owners, with almost 50% of the year passed and no real indication when resorts will re-open and when they do what they will look like given social distancing measures etc. The owners of the timeshare are responsible for the maintenance fees regardless of whether they use the property each year or not. The maintenance fees are for life, sometimes even after the owner’s death. Failure to fulfil and pay said fees could result in legal action and the associated problems this may cause.

Whilst we would all hope that 2021 will be better we are all being told to expect the “new normal” quite what that means to the hospitality industry as a whole is as yet unclear. What is fairly obvious is that 2021 maintenance bills will be higher than 2020 and as stated above this will need to be paid regardless of the “new normal”.

Choices

Given personal financial decisions, future life changes and sundry other reasons perhaps owners will now be reviewing their ongoing ownership, this being the case we would like to explore the options available to you:

  • Continue as normal– Expect changes and don’t rely on the resort or management group to be in the least helpful. Continue paying maintenance as normal.
  • Sell your ownership – Not really realistic, especially given current circumstances and uncertainty. Be realistic, your ownership probably has no intrinsic value.
  • Hand back to the resort– It is true that a few resorts will allow hand back, the majority will not. Also only a few resorts or management groups have any form of exit strategy.
  • Give it to a charity – UK charities will not accept timeshare, they view them as liabilities not assets.
  • Exit Companies– There are companies who can take away the stress and relinquish you from your contractual rights both legally and successfully. Be aware, charges will apply.

Due Diligence

Where timeshare is concerned unfortunately there are a plethora of scam companies who purport to be able to assist owners. Most contact will come from an unsolicited cold call. At TCA we go to lengths to protect owners from these scams in the many articles we publish. By way of an example please follow this link:

Above all else, do your own research and satisfy yourself that you will be given the full honest facts before taking any step to cancel your ownership.

Call us

As a consumer driven organisation that have been helping timeshare owners for over 23 years there are not many areas of the industry we are unfamiliar with. We fully appreciate that not everyone is internet savvy and may find it difficult to differentiate the good guys from the bad guys if you fall into this category simply give us a call. We would be delighted to help with any timeshare problems you may have and that call could potentially save you thousands. 

For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk