Buying a timeshare involves more than the initial purchase price.
Typically, you are responsible for recurring timeshare annual fees to help pay for the operation and upkeep of the resort. These expenses can continue for as long as you own the timeshare. Not only that, but they may even increase over time.
When figuring out how much timeshare maintenance fees are, the cost can vary based on the resort, brand, property type, location, amenities, and ownership arrangement. Knowing what costs your fees cover can help you determine the true long-term cost of your timeshare, along with your options if the fees become unaffordable.
While expenses differ among resorts, timeshare fees generally contribute to the property’s everyday operations and long-term upkeep.
Common expenses included within the average timeshare maintenance fees are:
- Landscaping
- Amenities
- Repairs and renovations
- Housekeeping.
- Property operations
- Administrative costs
The specific expenses covered by your timeshare fees depend on your resort and contract. Review your annual statement or association budget for a clearer picture of how your payments are allocated.
There is no universal amount that every timeshare owner pays. The average timeshare maintenance fees depend on several factors, including the resort brand, destination, size of the accommodation, ownership structure, and number or quality of amenities.
Basic or smaller timeshare interests may have annual maintenance costs starting in the several-hundred-dollar range. However, brand alone does not determine the amount. Two owners within the same vacation club may pay different amounts based on their property, points package, unit size, or ownership interest.
Your current resort statement and ownership documents provide the most relevant figures for determining what your particular timeshare costs each year. When evaluating your average cost of timeshare maintenance fees, consider the long term rather than just the current bill. Even a relatively manageable annual payment can become a significant expense when multiplied across years or decades of ownership.
One of the main concerns for long-term owners is that today’s maintenance fee may not remain today’s maintenance fee. Fees can increase as a resort’s operating costs, such as labor and utilities, rise, or due to inflation.
You may also encounter special assessments in addition to normal timeshare annual fees for major renovations, unexpected repairs, storm damage, or other expenses that exceed the property’s regular operating budget.
What Happens If I Just Stop Paying My Timeshare Annual Fees for Maintenance?
Simply not making your payments does not terminate a timeshare contract or eliminate the obligation to pay.
Depending on your contract, unpaid maintenance fees can result in:
- Your Credit Can Be Negatively Affected: Delinquent timeshare obligations may be reported to credit bureaus or transferred to a collection agency. This negative impact on your credit history can make it more difficult or expensive to qualify for future financing.
- You May Receive Collection Calls and Notices: Owners with unpaid balances may receive calls, emails, letters, or other communications seeking payment, or be referred to a third-party debt collector. Keep records of any collection communications you receive, as third-party debt collectors are subject to the Fair Debt Collection Practices Act (FDCPA) alongside any other appplicable laws.
- Foreclosure May Be Possible: Depending on the type of ownership and applicable law, prolonged nonpayment could ultimately lead to foreclosure or another process through which the owner loses their interest. Aside from losing access to the timeshare, foreclosure can include possible credit and financial implications.
- You May Face Legal Action: A timeshare contract can create legally enforceable financial obligations, so a resort, association, developer, or other creditor may pursue legal action to recover missing payments.
As a result, if you want to stop payments, make sure you fully understand your contractual obligations. Speaking with an attorney familiar with timeshare contracts or experts like How2CXL can help with your specific situation.
How You Can Leave Your Timeshare Maintenance Fees Behind
When maintenance fees for timeshares continue increasing, you may understandably want to walk away. But stopping payments and hoping the obligation disappears can expose you to unnecessary financial and legal risk.
A more structured approach to ending timeshare fees may include:
- Review your ownership agreement. Determine what your contract says about maintenance fees, default, transfers, surrender, and termination.
- Contact your timeshare company. Ask whether the developer or resort provides a surrender, deed-back, or exit program.
- Consider resale options. Some owners investigate selling or transferring their ownership. However, timeshare resale values vary widely, and some properties may have little resale demand.
- Understand cancellation or exit options. If you believe you were misled during the sales process or have another reason for seeking an exit, explore the legitimate options available for your circumstances.
- Get professional guidance when necessary. An attorney or qualified financial professional can help you understand the implications of default, foreclosure, or other complex circumstances.
The goal should generally be to address the ownership itself rather than simply ignoring the bills associated with it. The initial purchase may be behind you, but the recurring costs of ownership can continue year after year. For some owners, rising maintenance fees are ultimately what turns a once-appealing vacation purchase into an unwanted financial commitment.
Are High Maintenance Fees Making Your Timeshare Too Expensive?
If your average timeshare maintenance fees have continued to increase, you no longer use the property, or the annual cost no longer fits your budget, it may be time to figure out your options for canceling your timeshare contract.
How2CXL can help you better understand the timeshare cancellation process and determine what potential next steps may be available based on your situation.
Explore your timeshare exit options with How2CXL today.
Frequently Asked Questions
There is no single average cost of timeshare maintenance fees that applies to every owner. Costs differ significantly between brands and properties. When estimating your long-term expenses, consider your current annual fee as well as the possibility that it will increase over time.
Generally, yes. Maintenance fees are usually tied to ownership rather than actual use. That means owners can still be responsible for annual fees even if they do not take a vacation or use their timeshare during a particular year.
High fees do not automatically give an owner the right to cancel a timeshare. Review your agreement and obtain professional guidance from How2CXL to determine your options.
Timeshares typically cost $20,000 to $30,000 upfront when bought from a developer. Owners also pay $800 to $1,500+ every year in maintenance fees that usually increase over time.
Beyond maintenance fees, owners may face booking fees, exchange fees (if using an exchange company like RCI or Interval International), cleaning fees, and resort-imposed charges. It’s important to review your contract closely to understand all potential obligations.
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