Your Kid’s Timeshare
For most people when they buy a timeshare they think they are purchasing a vacation option and location for themselves. What they might not know: it is not just them who are purchasing this timeshare, it is their kid’s kid’s timeshare too. What does it mean for your grandchildren to be buying into your timeshare too? It means that most timeshares now come with a “successor” liability clause. Simply put you do not get out of the contract when you die, your kids and subsequently their children may be responsible for paying on your timeshare long after your death.
Many may want their children to inherit their timeshare because they have been paying for it and told it was a valuable “asset” for their children. The problem is that timeshares have remotely no market thus no inherited value. If you have a decent wills or trust attorney handling your estate, they will probably tell your kids to refuse to “take” the timeshare in your will and let it go to your estate instead because it is not worth anything. The problem is this successors liability clause. Even if you have paid off the mortgage for your timeshare your kids may be forced by successorship to pay for the yearly maintenance fees, regardless of if they want to use it or not. They will be responsible for paying your maintenance fees long after your death. While some good attorneys can sue the billion-dollar resort to get them out of it (if they can afford it) and in some states there are laws that if you sue could be asserted to protect against this type of liability, it is easier and ensures certainty, to get out now and not leave your kids worrying about your unsettled debt.
What to Do?
If you have a timeshare and are worried about it passing to your kids, you should think about getting out now. Timeshares are notoriously hard to get out of and it is always best to have a proper lawyer experienced in timeshare law to handle your case. If you want to speak to a timeshare lawyer about your options regarding your timeshare, or if you just want to get out of your timeshare contact us at 360-918-8196 for a free consultation.