Timeshare Property Tax Lawsuit Favors Resorts in Maui County

Timeshare Property Tax Lawsuit Favors Resorts in Maui County

Over the past few weeks, we’ve been shedding some light on timeshare assessments and how they come into fruition. For the most part, these annual fees catch fractional owners off guard and the resort does little to prepare them for the bill. But assessments aren’t always induced because of expansion efforts, reparation or the greed of property management. While many buyers end up fearing what the resort will charge them for, local governments can be the culprit for unexpected fees.

Maui Government Sued After Assessing Resorts 10 Years Later.

Last year in Hawaii, the County of Maui [legally] went after a handful of timeshare projects in Kaanapali after the associations initially sued them for a timeshare property classification they rolled out back in 2004. The initial $10 million assessment was premised on market data for 2006-2008 for multiple Hawaiian resorts. In a nutshell, the County realized they didn’t assess each timeshare interval that was managed by certain properties in the region and decided to request payments in full.

Although the timeshare associations were able to cover the costs by charging owners, they weren’t very happy about it. Ironically, they now know how their own timeshare owners feel when the unexpected occurs. Nonetheless, Maui County apparently believed that since the property taxes were omitted, they should be able to request them whenever they felt the need to. But since county officials acknowledged that the taxes were paid in full on the assessed properties, there wasn’t much basis behind their prerogative.

Although Maui County left money on the table by assessing the resorts improperly, timeshare companies weren’t going to let it be their problem. Since the taxes were taken care of, they wanted to toss out the counterclaim altogether. “There’s a process for assessing tax and you didn’t follow it,” they said. Timeshare companies felt as though they had a right to sue the County. It seems like Maui officials simply wanted them to pay for their mistake. Looking at this from the outside in, it seems pretty chaotic doesn’t it?

The timeshare industry goes through scenarios like this all the time because of the amount of money involved with the purchase. Most buyers never expect to be on the hook for thousands of dollars in annual assessments – but they are. The perpetuity of the agreement basically guarantees the resort income whenever they want it. Luckily for them they’re able to leverage users for unexpected expenses of their own. Buyers aren’t so lucky.

What Really Resulted From the Tax Assessments in Hawaii?

After a multitude of court filing fees and hypothetical assumptions, the judge of the case finally ruled in favor of the timeshare companies. He agreed that the way Maui went about it was wrong and they shouldn’t be able to penalize someone else for their mistake – let alone a high number of innocent fractional owners. Since the tax obligations for the Maui properties came a decade later, he labeled them “unlawful” and, in the end, voided all of the supplemental assessments.

Moreover, the court mentioned that constitutional rights were violated because the Hawaiian County was attempting to sue timeshare companies simply as a method of retaliation. Because they were called out for their mistake, they wanted to financially punish specific resorts for their pursuit of restitution.

While retaliation may have seemed like a good idea at the time, civil laws forced the Maui Government to repay timeshare companies for attorney fees and compensate them for the damages they incurred along the way. They idea to collect assessment fees also forced them to refund $30 million in overpaid taxes.

Here’s what the judge had to say about the whole ordeal. “If the County can retroactively assess already-assessed real property to change the valuation and impose additional taxes, even many years later as it argues it can here, property owners can never have confidence that they have satisfied their tax obligation for any previous years. Potential buyers can never have confidence that a purchased property will not later be burdened by a hefty ‘amended assessment’ for some year long before their purchase.”

Up to this point, all has worked out in the fractional owner’s favor as they weren’t exactly liable for the unexpected fees. However, future assessments are pretty much guaranteed to be on the horizon. Random expenses like these are eventually passed down to the owners who are perpetually obligated to pay their share on the vacation property. The lack of clarity amongst these mandatory costs is disappointing to say the least. If you’re looking for a way to get out of a timeshare agreement, feel free to read another blog to learn more.

Websites With Phony Timeshare Exit Reviews Sell Consumer Data For Profit

Websites With Phony Timeshare Exit Reviews Sell Consumer Data For Profit

The sly tactics of the timeshare industry have been on center stage for quite some time now. From the initial sale all the way to desperate attempts to cancel the purchase, consumers are put through the ringer. These days, it’s pretty difficult to determine what is an actual solution and what’s simply a gimmick for profit. Even most timeshare exit reviews are questionable at best. Since this has had a disadvantageous effect on fractional owners, we felt obligated to help people understand what’s really going on behind the scenes of timeshare travel.

As of late, our company has been contacted on numerous occasions by marketers claiming to possess hot leads for timeshare cancellation. While we’re all for helping unhappy buyers escape the perpetuity of their agreements, we’re not exactly in the market for 3rd party solicitations. 

Besides, we’re not even close to being interested in persuading people to get out of timeshare contracts. We prefer to speak to vacation owners that reach out to us directly because of our reputation and satisfaction ratings – not because we’re commissioning stand alone websites for potential clients. But believe it or not, many relief agencies are. Because they don’t have a credible reputation, manipulating consumer perception is their prerogative.

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Who’s Behind the Misleading Timeshare Exit Reviews?

A few weeks ago, we discussed some of the ways major hospitality chains are attempting to discredit the cancellation industry as a whole. While we didn’t (and still don’t) agree with their approach to control the narrative, we do acknowledge that a majority of exit operations have bad intentions. Even though warnings of misconduct are justifiable, not all communication is true. The same can be said for timeshare exit reviews.

Similar to the devious mentality of resorts, exit companies are also vying for the attention of disgruntled timeshare buyers. It’s quite the dog eat dog world that we live in right now. Thousands of con artists are savagely waiting for a slice of the timeshare pie and they don’t care how they get it. It gives services like ours a bad wrap. But before we can detail the way some timeshare exit companies go about persuading unhappy owners, we first have to understand who’s behind these inbound efforts.

Experienced Marketers Are Leveraging Leads for Profit.

The internet era is in full swing in 2019. Anyone and everyone can create a website if they want to. At the same time, it doesn’t necessarily mean they know how to. Either way, there are plenty of entrepreneurial people out there that know how to rank online better than most corporations. It’s why freelancers and contractors are more successful now than ever before. Businesses no longer have to hire, train and pay employees to build an online presence for them. All they need is an experienced web developer that understands SEO to perform their vision for them.

While this has been advantageous for self employed marketers, some are beginning to realize they can make a lot more money leveraging the traffic they’re able to generate on their own. Instead of being compensated for task management, they want to be commissioned for hot leads. A majority of marketers don’t care about following an ethical code as long as they’re getting paid and their skillset gives them a level of authority in most industries. Since most exit companies aren’t able to persuade on their own, this becomes extremely valuable to them.

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This is where phony websites that claim to be credible come into play. Over the past few years, a handful of domains have been built by SEO teams that have ties to relief agencies. Whether it be for resale or cancellation, they know how to rank for certain keywords and get in front of potential customers. They use terminology that seems credible and claim to know who’s the best at canceling timeshares. But in reality, they’re only interested in your information. 

Once you contact them to learn more, they sell your personal data to the highest bidder or the company they have ties to. While you might think you’re getting in touch with someone that can help you get rid of your timeshare, you’re really just entering another sales cycle that adds to the regretful burden of the purchase. You may think we’re simply trying to discredit our competition too, but what happens when you pay to play but remain stuck in perpetuity?

Debunking the Information on Phony Timeshare Sites.

In order to prove to you that the timeshare exit reviews on stand-alone websites are simply a con, we decided to highlight a few web addresses that claim to know the timeshare cancellation realm better than you. Aside from their depiction of VOC being absurd, they also make a number of assertions that are downright ignorant. Fractional owners don’t deserve to be misled down a road that threatens their financial well-being.

First and foremost, you have to understand that design or presentation can be misleading. Like most scams in the timeshare arena, they’re built to seem legitimate. No matter what answer you’re looking for, you can’t assume everything on page one of Google (search results) is valid. If you’re looking for advice online, you have to ask yourself what makes the source credible. 

When it comes to websites with phony timeshare exit reviews, you have to understand their intent. When their main goal is to get your information, then don’t you think you should look into the legitimacy of their communication? For the most part, no timeshare owner is the same. There is no possible way they can make the same recommendation for every visitor.

Question the Legitimacy if You’re Unsure.

If it seems like they’re trying to push you towards one solution when they know nothing about your situation, don’t do it. The ploy should be pretty obvious if you’re unable to get specific questions answered about the timeshare exit company they’re recommending. Often times, they’ll simply tell you the company knows how to get rid of timeshares and leave it at that. 

Once you’ve become privy to their bias, do yourself a favor and inspect the timeshare exit reviews themselves. Cross-referencing the content on their site will prove to you that much of it is plagiarized or made up.

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Website Content isn’t Always Authoritative or Accurate.

For the most part, the companies promoting timeshare exit reviews piece together what they read online. MyTimeshareExitReviews.com basically copied and pasted statements from our website and vaguely assessed our services without much accuracy. While they didn’t actually make any damaging statements, it’s obvious they have no idea what they’re talking about. The (said) owner recently emailed us offering us leads in exchange for commission. He built the site with the sole intention to steal some of the market share for profit.

TimeshareExitCompanies.com is another website with suspect timeshare exit reviews. On multiple occasions, we reached out to them for more information without prevail. No matter who (from our company) spoke to them, they always recommended the same cancellation provider. After challenging the inaccurate statements made about our company and exiting in general, they ceased correspondence.

Further Research on these “Timeshare Exit Reviews.”

If you take the time to actually research these websites, you’ll be able to clearly see the illegitimacy of the information published. Doing so will also help you understand how they’re attempting to persuade unhappy owners in order to amass and sell their private information. 

For example, one of these sites claim they were founded in 2016. However, the credentials on the domain registrar clearly state it was created just last year. If you cross reference the details of the timeshare exit reviews themselves, you’ll see the “years in business” for the exit options are inaccurate as well. Even if they stripped this information from somewhere, they should have confirmed their sources were authoritative before publishing it as “factual” insight.

Many faulty exit companies will portray they have been in business longer than they actually have to simply create false credibility. One simply needs to search the entity on the Secretary of State or Corporation Commission websites (for the state where the company claims to do business in) to confirm accuracy. It should be a huge red flag if you’re unable to locate businesses in the state they claim to operate in. 

What we found especially troubling is that each platform makes statements regarding escrow amounts with no upfront fees. Just know that there will always be an upfront fee which is normally paid to an unknown “escrow” company (that may or may not be in bed with the same exit company or scam). Do not let the power of the word “escrow” create a sense of immediate comfort in handing over thousands of dollars. 

The fact of the matter is, there is no “timeshare exit escrow” company that is currently regulated. So why would websites like these encourage timeshare owners to use a company that offers “escrow” when it’s not advantageous?

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The Disservice of Phony Timeshare Websites.

We went ahead and requested the business name of the escrow company for the timeshare exit company these websites are “referring” consumers to (or selling timeshare owner’s data to). We also asked how they base these recommendations. They informed us that they do not have this information. When you think about it, they’re confidently speaking highly of “credible” options but they don’t even know the name of these “safe” solutions. That should most definitely raise an eyebrow or two. 

This is why it’s so important that you understand cancellation before getting involved in it. Many buyers view exit solutions negatively because they’re misinformed. Just because a website has “timeshare exit reviews,” it doesn’t mean they’re a reliable source. Even if there was an “escrow” company involved, these websites should be able to explain how they know when the recommended exit company has successfully completed their job. Otherwise, they can’t guarantee your hard earned money will be well spent. 

Ask yourself a few questions before buying in. Do they consider a foreclosure (that leaves buyers contending with damaged credit) a successful timeshare cancellation? What rules and regulations are they required to follow? Have you verified this information? Reading and believing may seem logical, but it can be inevitably detrimental. These platforms that present themselves as unbiased “review” websites don’t actually help the thousands of owners in need of relief. They’re simply misleading them further with forged content.

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Knowing what some of these claims actually entail can save you an awful lot of heartache. Nearly everything can be debunked on makeshift timeshare sites. One of the timeshare exit reviews we read actually concluded with a 4/5 star rating; even though the CEO was a former VP for an operation that was federally busted for fraud. Another listed relief program that was rated well has both a BBB and consumer report warning. Aside from a sense of liberation, taking the time to look for yourself can save you a lot of time and money.

Be Careful What You Believe in Online.

Listen, there are plenty of people sitting at home in front of their computers looking for easy ways to make money. As regulations continue to evolve online, you need to look into what you’re reading before believing. Doing your own research empowers you to make confident decisions that actually help you escape vacation ownership.

If you’re looking for legitimate timeshare exit reviews, visit the BBB, consumer reports, the FTC, ripoff report and other consumer protection agencies for help. Turning to an opinionated website that was built off a whim is a bad idea. If you’d like to learn more about our ability to cancel timeshare contracts, we’d love to have a non-haggle conversation with you. You can always schedule a free consultation with one of our experts or proceed with a qualification form below.

Are Owners Required to Pay Annual Timeshare Fees for Special Assessments?

Are Owners Required to Pay Annual Timeshare Fees for Special Assessments?

Over the past few weeks, we’ve been discussing the financial impact of timeshare ownership. Thousands of buyers struggle to completely understand the purchase and the amount of value it brings them. To consumers, the fluctuation of costs is frustrating because they expect a specific experience that was sold at a distinct price. While it is the buyer’s responsibility to know what the loan and contract terms entail before signing, you can’t fault them for being deceived

Nonetheless, the unexpected typically forces many to go over budget or into hardship. But a higher monthly obligation (due to interest, tax or travel expenses) isn’t the only thing that’s concerning. Annual timeshare fees for maintenance and special assessments can really add to the constrained burden of fractional ownership. Receiving unforeseen charges that weren’t even included in the contract can be maddening. Especially when these invoices arrive in owner’s mailboxes during the holiday season.

Fees for Special Assessments Aren’t Always in Writing.

For most timeshare owners, annual fees are most certainly included in their contracts. The salesmen at the presentation just do a great job of avoiding the pertinent details of the perpetual agreement while overhyping the possibilities of the travel purchase. But not all timeshares include this type of language in their agreements. The problem is, they’re still charging for annual timeshare fees based on “industry standards” and conformity by a majority of owners. 

At first glance, the emergence of improved travel seemingly threatens the outlook of timesharing. Today, the general population is well aware of their timeshare sales tactics more than ever before. But resorts continue to find ways to manipulate potential buyers and hold them liable for certain obligations by threatening penalties. Knowing that potential buyers can confirm that annual timeshare fees are not included in the contract and still be charged for them is concerning to say the least.

Vague Reasoning for Annual Timeshare Fees.

Back in 2015, Eric Jordan of the Conde Nast Traveler published a story that detailed how timeshare companies justify their demands on owners. After growing tired of non-contractual, annual timeshare fees for special assessments, Tim (previous owner) and his wife reached out to the website for advice. So Eric reviewed their situation and attempted to reach out to Marriott for answers. He quickly realized the only thing that was justifiable was the buyer’s sense of hopelessness

What astounded him the most was the amount of effort required just to garner clarity. When he finally spoke to the director of operations at Seaport Development, N.V., the justification set him back even more. Mr. Trivedi stated, “Over 99 percent of our timeshare members have paid their share of the special assessment.” We’re not exactly sure what this has to do with the simple fact the annual timeshare fees weren’t included in Tim’s contract. Neither did Eric.

Either way, Trivedi went on to say that they have the right to limit the usage of those who don’t adhere to payment requirements and that all buyers are held to the same standard. When Eric pressed the same concerns, Trivedi simply reiterated his stance. “Special assessments for extraordinary renovations are a standard industry practice and upwards of 99 percent of our members have paid in full.” So, if owners decide to jump off a bridge, everyone else should be required to do the same? The argument seems a little dry if you ask us.

The resort’s leader even suggested that Tim and his wife were being disingenuous because they’ve paid for annual timeshare fees for special assessments in the past. Eric went on to combat the resort’s ambiguous responses by insisting the contract needed to include these details in order to be upheld. In the long run, Tim and his wife’s refusal to pay for the assessments cost them their ownership rights.

How to Avoid Unexpected Timeshare Expenses.

While it’s nearly impossible to avoid this type of misconduct, there are ways to avoid the unexpected when signing up for a timeshare. But this requires extensive knowledge of the purchase itself. If you’re attending a timeshare presentation for the first time, it’s imperative that you know what you could be getting yourself into. Studying the details of timeshare contracts helps you know what to look for and understand what needs to be in writing. 

If Tim and his wife would have noticed that annual timeshare fees for special assessment costs weren’t included in the agreement, they could have taken the proper steps to ensure they weren’t charged. It’s not out of the ordinary to require certain details in writing before signing anything. If all else fails, at least you can walk away confidently. The last thing you should want is a perpetual burden that can set you back financially.

Should You Sue Timeshare, Join a Class Action Lawsuit or Hire Attorney Backed Solutions?

Should You Sue Timeshare, Join a Class Action Lawsuit or Hire Attorney Backed Solutions?

Have you ever bought something because you thought it would drastically improve your quality of life? Have you ever looked back on the decision with regret? Whether a new swimming pool wasn’t a hit or you never use the upgraded mud tires on your 4×4, remorse rarely sets in unless you were persuaded to make the purchase. Especially when the price tag is high. Any product that doesn’t pan out the way it was presented never elicits contentment. It’s why fractional owners immediately want to sue timeshare companies when they don’t get what they paid for. 

Nobody cheerfully pays for something that they can’t use in the way they envisioned. A majority of owners never even planned on making a purchase of this magnitude. They were sold on an “affordable” vacation package that conveniently allowed them to travel with family or loved ones every year. When they find out that the actual costs are nearly double, they quickly become angered by a sense of mistrust and deception.

Harness Emotions and Be Smart With Next Actions.

While the desire to sue timeshare companies notably justifiable reaction, we want disgruntled timeshare owners to be smart about their decisions moving forward. Resorts know exactly what they’re doing. They’re normally two steps ahead of you and acting out of emotion will only make matters worse. If you’re ready to take action against the timeshare because you know they’ve lied to you, then you’re going to have to be able to prove it. If you’re not careful, a lack of evidence coupled with an emotional attack can end in the resort suing you.

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The last thing you’ll want to do is open yourself up for further financial burdens. Although complaints by unhappy timeshare buyers are being heard now more than ever before, it doesn’t mean that voicing your disappointment will bring you favor. For more than half a century, timeshare companies have been combatting consumer claims. Unless obvious misconduct has occurred, their ability to squash fraudulency claims is second to none.

We’d be remiss if we didn’t disclose that canceling vacation ownership is tough. No matter which route you take, the resort isn’t going to make it easy on you. If you’ve experienced multiple layers of deceit (3rd party resale or phony exit programs), then it can be difficult to have confidence in your decision. So in order to encourage you to keep fighting for relief, we thought we’d explain the pros and cons of different legal actions. Hopefully you’re able to get a better idea for what it takes to sue timeshare companies successfully.

1. Class Action Lawsuits Against Timeshares

First and foremost, you must understand that you cannot just file a class action lawsuit and be done with it. Multiple parties with similar experiences need to collectively organize their case against the timeshare. Moreover, there are certain specifics to the process that need to be followed before any type of prosecution will consider your claim. Once several plaintiffs have been validated and certified, other possible claimants are notified with the choice to join the class action lawsuit or opt out altogether. 

You have a far greater chance of winning when a large number of victims join the litigation efforts. But just like an attempt to sue timeshare companies on your own, the proof needs to be in the pudding. The good news is, when multiple parties have the same complaint, there’s a pretty high chance that someone has some pretty damning evidence. Vague accusations by angry consumers don’t carry much weight. This is why plaintiffs normally work with an attorney to collaborate on and organize the case before filing anything.

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Numbers Don’t Always Help Class Action Litigations.

When you use an attorney that specializes in class action lawsuits vs timeshare companies, they tend to provide good feedback before any prosecution begins. Good legal teams won’t require payment until cases are won and most won’t even offer representation if victory isn’t likely. Just know that hiring a lawyer is risky either way. If you don’t win, you’ll be on the hook for payment. While a large class action lawsuit increases your chances, the corresponding legal fees can be outrageously high.

Should You Sue Timeshare via Class Action?

Indictments that are presented effectively rarely ever go to trial. Most timeshare companies prefer to quietly settle proven disputes outside of court in order to avoid negative publicity or any type of admission of guilt. Either way, the decision to sue timeshare companies by means of class action litigation can be favorable when organized properly. The main benefit of a collaborative prosecution is that victims can be relieved of their timeshare contract while receiving monetary compensation for the inconvenience.

The Negatives Can Be Quite Troubling.

At the same time, there are some drawbacks to this legal approach. First of all, class action lawsuits can take a long time to resolve and many underestimate the overall investment. The countless hours required for researching laws to formulate a claim can be grueling. Not to mention the time it takes to allocate and secure an attorney. 

If the contract itself isn’t reviewed, then arbitration clauses can hold up litigation efforts. Even cases that make it to court can be unpredictable. Timeshare legal teams will try to exhaust your capital or force you to give up by doing their best to drag out the litigation. In the end, it’s your word against a signed contract. If the timeshare has surveillance of buyers signing the perpetual agreement, then those filing the lawsuit could be in for a big surprise.

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2. The Reality of Personal Litigation.

The most difficult element of class action is that everyone’s experience is different. What may be perceived as valuable to you may not be seen the same way to another fractional owner. Moreover, it’s difficult to prove similar misconduct if the promises made by the resort varied. Since these “guarantees” are rarely written down during the closing period, it can be tough for those suing the timeshare to prove the intent behind the sales presentation

Even though the whole town might have their pitchforks ready for battle, it might be in your best interest to pursue litigation individually. While researching next steps, you might realize you were uniquely defrauded and that the experience was personal to you. Although fractional owners rarely sue timeshare companies, make it to litigation and win, there is a chance you can come out on top. But it’s going to cost you.

When you sue timeshare companies on your own, the main disadvantage tends to surround capital. In most cases, disgruntled owners are already strapped for cash. Hiring a lawyer to represent your case requires a lot of front end costs. You could find yourself in the hole for thousands of dollars before litigation even begins.

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Like we’ve mentioned in previous articles, most attorneys have no empathy when billing retainers. Whether you have a chance to win or not, they’re going to get paid for their time. While it may be hard to gauge your chances of winning, a well-documented presentation coupled with a proven timeshare attorney will increase your chances. But it still does not guarantee a winning verdict. At the end of the day, a failed personal litigation can be devastating to a single plaintiff.

3. Relief Via Attorney Backed Services.

Taking legal action against the timeshare company may seem like the right thing to do, but it’s a hit or miss strategy. Even the best attorneys in the world struggle to help fractional owners find restitution. Unless they specialize in litigating timeshare contract sales, it’s always an uphill battle. Hospitality conglomerates are well prepared to fight bland accusations and buyer’s remorse. 

In most cases, the only way to walk away from timeshare ownership is to work with a company – equipped with a legal team – that’s already litigated prominent resorts and won. While many timeshare exit services are misleading in themselves, companies like ours have a track record of client satisfaction. We’re not interested in maybe getting you out of your timeshare. We take the time to qualify all applicants in order to cancel fractional ownership for good.

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Although the cost of cancellation varies (depending on your loan and the amount paid off), it’s a mere fraction of what personal or class action litigation adds up to be. Instead of putting together a case and covering endless retainers, you could let go of the burden for a one time fee. You’re able to cease communication with the resort and rest easy while your agreement is processed and terminated. You don’t have to worry about conditional fees or being harassed and stressed by your timeshare. You simply let us do what we do best.

For those of you that think you need to sue timeshare companies in order to repay them for what they put you through, we understand. But you don’t have to put yourself through even more turmoil just for a shot at closure. Wasting a lot of time and money – only to still own the timeshare – can be disheartening to say the least. Sometimes we have to look at things rationally in order to pick and choose our battles. When it comes to timeshare travel, optimism can be misleading.

If you’d like to learn more about our exit services, feel free to schedule a free consultation or proceed with the qualification form below.

Massanutten Property Owners Might Have to Pay Special Assessments.

Massanutten Property Owners Might Have to Pay Special Assessments.

Ever since the 1960’s, the timeshare industry has been humming along. The development of new properties and the intriguing sale of vague opportunity has kept the business booming for a while now. But the growth of ideal travel arrangements has resulted in more consumers losing interest in and become less gullible for fractional ownership. Moreover, resorts themselves have begun to look into other booking sources to fill their rooms throughout the year.

Why Would Resorts Move on From Timesharing?

If you’re unaware of the actualities of timeshare travel, you have to understand why owners want to get out of timeshare contracts in the first place. Aside from the cost being more than anticipated, many are unable to book during ideal times of year. Resorts intentionally limit the availability because they make far more from retail customers during peak seasons. Although timeshare salesmen tell buyers they can book during certain dates, it’s rarely true.

When owners are tired of paying for something that doesn’t benefit them, the resort suffers as well. Unhappy buyers that cancel their agreements not only hurt vacancy, but the reputation of the resort as well. Although the complaints of timeshare owners tend to create more headlines, resort owners are beginning to grow tired of bait and switch sales tactics too. The problem is, their decision to withdraw timeshare units has its drawbacks as well.

Cutting Ties With Timesharing Impacts VA Community.

Earlier this year, the Massanutten Property Owners Association (MPOA) was notified by the Great Eastern Resort Management team that some weekly intervals would be terminated from their offering by the end of 2019. Since the MPOA expects to incur revenue loss from the removal of the Shenandoah Villas and Summit Eagle Trace Timeshare Owners Associations, current property owners are worried.

When it comes to operating a timeshare destination, a constant flow of new sales is required to keep the enterprise afloat. Instead of investing in the experience to retain customers, they like to invest in sales strategies that trap them. They then count on their annual payments to cover general costs and these extravagant sales campaigns. Sometimes, costs are parlayed to the community when the unexpected occurs.

If a timeshare company loses a large base of expected revenue streams (fractional owners), the amount of money they set aside to charge for “special assessments” is normally spread out amongst remaining owners. So, you can imagine why property owners surrounding the Kettle area ski resort are hoping for the best. They don’t know what to expect because annual assessment fees aren’t always exactly clear to begin with.

Regardless, the MPOA was expecting Great Eastern to cover $337K for this year’s annual special assessments and another $80K for the local police department and road maintenance. One property owner has already spoke up on everyone’s behalf by simply stating, “We don’t want to pay more money.” It’s easy to presume they’d sing a different tune if there was any sense of community at the resort. But that’s just not the norm. Many timeshare owners struggle to afford the purchase and the local community tends to be negatively impacted as a result.

The property owner went on to say, “There are many families here who are able [to pay but] there are many working families here who live check-to-check and can’t afford a huge increase.”  Either way, it’s not exactly fair to punish those who’ve paid their dues because of a failed business opportunity. Especially when timeshares are failing because of a poor overall experience and the liabilities that come with the purchase.

Finding Resolve in Massanutten, Virginia.

Over the past few months, the board of directors in the Rockingham County, Virginia town have been trying to find a viable solution. They even invited property owners to meetings to discuss the special assessments and share their opinions. Another property owner went on record saying, “We need to do what’s best for this community and we need to look at every option before making any decisions.”

While suggestions have ranged from charging more for events and attractions to eliminating the police department altogether, the board of directors is in no hurry to make a decision. Since the initial meetings took place, they’ve formulated a task force consisting of volunteers and legal teams to discuss all options. While finances were discussed on August 13th, they’ve yet to come to a definitive solution.

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