Cancelling Your Timeshare With A Mortgage Balance
There are a number of reasons timeshare owners are interested in cancelling their timeshares, and there are a few different ways to get out of timeshare ownership. How you exit your contract might depend on where you purchased it from, how long you have owned it, and which state or country the timeshare is in. If you still owe a mortgage on your timeshare, it can make exiting your timeshare more complicated. It is not impossible, though. Here are a few of your options.
Cancelling Your Timeshare if You Have a High Mortgage Balance
In some instances, you might be legally entitled to cancel your mortgage balance. If you are lucky, there is a slim chance you could get your down payment back as well.The most common way to determine if you are entitled to your mortgage balance is to consider whether or not your timeshare salesperson did anything unlawful. Some timeshares do use deceptive tactics to convince people to make a purchase.
Some examples would be:
They promised a gift to you that would only be given upon purchase.
They raised your maintenance fees despite promising they would never go up.
They took you on a tour that lasted over 3 hours after promising it would last 90 minutes.
They invited you to a dinner party that later turned into a sales pitch session.
They failed to tell you about your state’s rescission laws.
They promised low, or no-interest financing but ended up reneging on that promise and charging high interest after all.
They told you that you would receive a tax benefit after purchase.
They failed to inform you about any transfer fees associated with exchanging timeshares.
They told you that your timeshare would increase in value over time.
They promised they would buy back the timeshare at any time, but then later refused to buy back your timeshare.
Any of the above offenses might be cause for you to be able to cancel your mortgage without paying the balance.
If You Stop Paying Your Mortgage
We never advise timeshare owners to stop paying their mortgage. Much like the mortgage on your own home, or any other type of debt, there are repercussions if you simply stop paying the bill. This could result in foreclosure or other events that would negatively impact your credit.
For free advice on how to safely, legally cancel your mortgage, contact us