Timeshare Exchanges
Fancy Vacationing Somewhere Different This Year?
Timeshares may get a lot of bad press for being associated with scams, but in reality the majority of timeshares are genuine (read our blog article ‘Ten Signs it’s a Timeshare Scam’ for advice on how to spot a scam), and make for a fantastic addition to your property portfolio. Timeshares in getaway beach destinations such as Florida, Colorado, and Mexico provide buyers with a relaxing holiday each year without having to worry about the cost of accommodation. A common reason people are put off time shares is the idea of having to vacation in the same place each year, but this needn’t be the case. As a timeshare owner you have the option of arranging a timeshare exchange. Not sure what a timeshare exchange is? Remember the film The Holiday with Cameron Diaz and Kate Winslet? Well, in the film Diaz swaps her luxury LA home with Winslet’s cottage in the English countryside for two weeks over Christmas. This is basically what a timeshare exchange is, except that you will only be exchanging holiday homes; not your actual home.
Finding a Timeshare Exchange
The best thing about a timeshare exchange is that you can arrange one with anyone, anywhere across the world; you are not required to stick to a single country. So if you fancy two weeks in the French Alps, or three on the Spanish coast, there is nothing to stop you from having the holiday of your dreams. The only problem is actually finding a timeshare in your desired destination, and arranging for the swap; this is where it can get slightly tricky. If your timeshare resort is owned by a company which also owns several other resorts across the world, it is possible they may provide an open exchange system. Speak to the resort company to find out where their other resorts are, and whether it is possible for you to participate in a timeshare swap. Another option is to go through an exchange company. These companies facilitate the exchanging of time shares, matching peoples’ requirement to what other timeshare owners have to offer. All you have to do is sign up for the exchange company and indicate potential places and dates for your holiday.
Permanent Swaps
What can you do if you’ve gotten all you can get from your current timeshare but don’t feel like selling just yet? Go in for a permanent timeshare swap. Permanent timeshare swaps can be used if you want to retain a timeshare holiday home but in an alternative destination, and they work in a similar way to a regular timeshare exchange. There are various online platforms available where you can advertise your own timeshare unit, and browse other units you may be interested in. Though it would be possible to arrange an international permanent timeshare swap, it would be easier, and likely more beneficial in the long run, to swap within the country.
Alternative Ways to Use Your Timeshare
Many people are driven to increasing their mortgages to pay debt off; a process called ‘debt consolidation’. The thinking is that as interest rates on mortgages are low, it is the best way to pay off debts quickly without accumulating loads of interest. This thinking is not entirely correct, as there are lots of potential pitfalls to consider. In short, consolidating your debts in this way is only recommended as a last resort. If you are a timeshare owner, you may wish to consider using your timeshare as a way to boost your financial situation. Renting out your timeshare when you are not using it is a potential route to go down. In this scenario you have the flexibility to dictate your cost and terms of rental, but you will need to check you are abiding by the terms of your contract with the resort company. Alternatively you could sell your timeshare to release the funds as a short-term solution to financial difficulty. Take a look at the ‘Sell Your Timeshare’ section on our website for more information on how to successfully sell.
This blog was written by our guest blogger, Evie Pearce.
If you are interested in writing a guest blog, please send an email to : webmaster@timesharebrokersales.com for consideration
About the author
Evie Pearce is a freelance writer and mother of two. After giving up her career in the hospitality and tourism industry to become a mother, she turned to writing about it instead. A keen traveler, she likes to have her dogs take her for a walk most evenings before pretending her husband is a good cook.
Judgment Awards $6.3 Million in Alleged Timeshare Resale Scam
The attorneys at Ballard Spahr have just released word that The Federal Trade Commission and the U.S. District Court for the Middle District of Florida have entered a final judgment and settlement against a number of fraudulent timeshare resale companies who employed illegal telemarketing techniques to bilk individuals out of thousands of dollars.
The defendant contacted sellers via phone with a classic line: they already had buyers lined up and would just need an upfront fee to cover, in this case “earnest money deposits.”
This particular scam charged owners up to $3,150 in advance fees; while assuring clients their sales would be reviewed and approved by the FTC. Needless to say, the timeshares were never sold and the scammers routinely denied demands for refunds. The fraudulent timeshare resellers used PO Boxes to receive their funds (another red flag) and operated under a number of names including:
- National Solutions LLC
- Country Wide Timeshares
- Landmark Timeshares
- Quicksale Propertys
- VIM Timeshares
The defendants were charged with violating the FTC Act and the FTC’s Telemarketing Sales Rule. The judgment permanently bans all defendants from ever working in timeshare again, and imposes a fine of more than $6 million dollars. The huge settlement speaks to the FTC’s renewed dedication to the punishment of fraudulent timeshare resale operations.
While the FTC and regional district courts continue to fight timeshare resale scammers, it’s ever more important for consumers to remain diligent in protecting themselves while selling their timeshare. Timeshare sellers should always work with a licensed real estate broker who specializes in timeshares and doesn’t charge an upfront fee.
And don’t just take their word for it. Scammers will tell you anything to get your money. It’s up to you to do the research. Do they have current real estate licensing? Are they BBB accredited? Do they belong to any broker’s groups? Do they have a real street address?
If you an answer “yes” all those questions, you’re on the right track to finding a broker who can safely sell your timeshare. And remember, the most important lesson we can learn from stories like this is, never, ever pay in advance to sell your timeshare.
SOURCES:
http://www.jdsupra.com/legalnews/63-million-judgment-awarded-in-alleged-41576/
How to Check a Broker’s Licensing
We’re always advising timeshare sellers to check the licensing of a potential timeshare broker before they do business with them.
Checking a broker’s licensing is one of the most reliable ways to ensure the reputability of a given real estate broker; but it’s come to our attention that not many people know how to check a broker’s licensing.
We’ve put together this instructive article to help consumers keep themselves safe while selling a timeshare. Read on for more information about how to verify a timeshare broker’s licensing. As vacation ownership scams continue to increase in number, it’s becoming clear that the resale of timeshares should be handled like any other real estate transaction – with the help of a licensed broker. To keep yourself safe when selling your timeshare, the first step you should take is to verify the credentials of any potential broker or real estate agent. Here’s how:
Check the Association of Real Estate License Law Officials
The first place to start your research is ARELLO® – the Association of Real Estate License Law Officials. One of the reasons consumers find it so difficult to verify licensing is that every state does things a bit differently.
ARELLO is a valuable tool because it helps encourage licensure and education recognition between jurisdictions. When you visit the ARELLO website you’ll have the option to verify licensing by either license number or the name and state in which the broker resides.
If your potential broker holds current licensing, ideally you’ll see recognition from both the National REALTORS® Database, and the state division of real estate. Bookmark both reports, and while there, take down their license number, in the “license information” section of the report.
Verify Credentials With the State
This is where things can get tricky; but if you’ve completed the first step and have a license number to search by, you shouldn’t have any problem. First, you’ll have to find the licensing authority for the particular state in which your potential broker resides.
The easiest way to do this is with a simple Google search for the [state] + “real estate licensing” authority. Because a majority of timeshare brokers live and operate in Florida, we’ll use the Sunshine State as our example.
So, to find the state licensing authority for Florida, your search might look something like this: “Florida real estate licensing”. Some states will have different terms for their real estate licensing authority like “Commission,” “Division,” or “Board.”
Because of its authority as a governmental resource on the web, the regulatory agency you’re looking for should usually show up first. From the state licensing commission, you can search by license number to learn full details like:
- Main Address/ License Location
- License Type
- License Rank
- Status (ie. Active/Not Active)
- Date License Earned
- Date License Expires
Incidentally, if you know your broker is located in Florida, you can search for licensing with the Florida Department of Business and Professional Regulation.
If you’re still unsure, pick up the phone! Call the licensing agency and ask to speak with someone in person who can help you verify the licensing. If everything checks out, you can feel confident that your potential timeshare broker is legally licensed to practice real estate in his or her state, and that any transactions they make on your behalf will be valid.
Check with the LTRBA
Recommended by the TODAY show, the Licensed Timeshare Resale Brokers Association is a group of real estate brokers who deal exclusivley with timeshares and who work hard to advocate on behalf of timeshare consumers. LTRBA members must adhere to strict membership rules that include: No Uprfront Fees, transparent and ethical resale dealings, and full-disclosure to all parties. Timeshare Broker Sales’ managing broker Don Nadeau currently serves as LTRBA membership chairman.
Bonus Points
Still, if you’re looking for brownie points; go the extra mile and check your reseller with the Better Business Bureau to find out if the broker has any complaints filed, and whether they were resolved satisfactorily. Legitimate brokers should be listed with the BBB and, better yet, BBB accredited.
