A timeshare is a right to occupy one or more timeshare units (with or without ownership of real property), during 5 or more separate time periods, over at least 5 years. A timeshare unit could be a house, condominium, townhome, cabin, room in a resort, etc.
A timeshare unit may be sold by an individual owner or a developer, and the sale may involve a licensed real estate broker or a licensed resale service provider. Disclosure laws and contract requirements vary depending on whether a licensed broker or firm is used, and whether the seller is a developer or an individual owner. Initially sold as deeded interests, timeshares may now be purchased in various formats including vacation licenses, prepaid hotel reservations, club memberships, limited partnerships, vacation bonds, points, vouchers, splits, dividends or floating use.
Developers are required by law (GS 93A-44) to provide a detailed contract, mandatory disclosures, and a copy of anything you sign. Carefully read before you sign. The contract from the developer must include names and addresses of all parties, purchase price and all charges, and reference to a public offering statement with additional details about the timeshare project. Importantly, the timeshare contract must give the purchaser the right to rescind the agreement with written notice within 5 days of the contract. When considering the cost of a timeshare purchase, in addition to the purchase price, you should also review and consider ongoing fees you will need to plan for as long as you own your timeshare. See the fees below for examples.
Fees you could expect to see at the time of purchase include:
Fees you can expect after your purchase:
Other possible fees or obligations:
To exit a timeshare obligation, contact the developer or your timeshare owner association for options, or consult a licensed broker or private attorney. You may also visit Responsibleexit.com for guidance. Beware of timeshare resale or exit scammers, especially anyone asking for upfront fees! Resale service providers are also required to comply with NC law regarding resale procedures - GS 93A-65, GS 93A-66, and GS 93A-67. Learn more about timeshare scams from ARELLO.