What You Should Know About Timeshare Repurchase and Checklist

If you've bought a timeshare property some time ago and are now thinking of repurchase, then you're joining a large number of individuals who have the same purpose. There are more people who are actually looking to sell their timeshares than there are people looking to buy. Should you wish to repurchase any time soon or are looking for a resale, know that you're entering a buyer's market. Find out the things you need to learn about timeshare repurchase and use the checklist below as a quick guide:

Prices for repurchase are usually lower.

It's extremely rare for anyone to actually sell a timeshare at a price that is more than or about the same as its original purchase price. For one, most sellers can't generate enough interest to increase demand for their timeshare week. In most cases, all that a seller can do is simply to inform prospective buyers that their week is available and is up for repurchase. At best, the price that could be fetched is around 50 percent the original purchase price.

On the buyer's end, the value of the unit you intend to buy is basically the figure that you and the seller agree upon. Most of the time, the historical data involving sales of a particular unit or within the specific resort is not that reliable.

Successful repurchase depends on how you zero in on their availability.

When offering or looking for a share for repurchase, it's important to look at a variety of sources. There's a good chance that you'll have several options for a particular timeshare type you like, so it can't hurt to try to shop around. A few possible sources of great deals include:

- your timeshare resort company
- repurchase brokers
- online auction sites
- broker auctions
- online and offline classified ads

There are also certain factors that help make the share repurchase faster. Most buyers will want to know whether their purchase will allow them to make long-range plans for vacations and whether or not they can take advantage of the unit's exchange value. A high-value exchange week usually means that a repurchase is that much more desirable. Location, condition and facilities also matter.

Timeshare purchase checklist

To help guide you on what to watch out for during purchase or repurchase, here is a checklist you can use:

- Stability of the company that manages the timeshare properties
- Reputation and experience of the company
- Market popularity of the timeshare property to a certain demographic or market segment
- Bonuses or benefits that may be available to the owners of the timeshare
- Deeded property or lease / right-to-use
- Availability of benefits within the timeshare resort group (is it limited to a particular resort or also offered with affiliated hotels or resorts?)
- Location of the unit (the more desirable the location, the better the deal is usually)
- Size and design of the unit (floor area and layout, number of bedrooms and bathrooms, type of beds, type of kitchen, type of appliances and amenities available, etc.)
- Types of insurance available in case the property is located in an area where disaster is likely
- Fixed or floating week
- Maintenance fees and coverage
- Trading/exchanging privileges, procedures and restrictions
- Up-to-date payments at the time of purchase or repurchase
- Fees charged for transfer of ownership
- Taxes
- Length of time required to complete closure and transfer