For the owners who are trying to get out of their timeshare by selling it, one of the most frustrating aspects of it is how to determine its fair market value. Generally, a timeshare depreciates its value anywhere from 30% to 60% off the developer’s price. However, most owners don’t have a good estimate beyond this range. Finding out the market value of a timeshare is important when you decide to sell it. You can’t charge too low that you won’t recover any amount that you paid for it or you can’t charge too high that it will push away potential buyers.
If you’re selling your timeshare, here are some ways to get a realistic appraisal of the resale value. You can figure out what your timeshare is worth by placing a bunch of for-sale ads and then ask the potential buyers to make an offer. You can also hire a licensed broker to evaluate your timeshare. Browsing some ads for condo or units that are similar to your own will also help.
Other factors of timeshare depreciation are also important to take into consideration. Deduct these accordingly from the developer’s price. You can expect at least 20% depreciation after you purchase your timeshare. Another 10%-20% if the resale market is saturated with units like yours. A 10%-20% deduction will be for the off-season week and another 10% if timeshare owners in your resort have little say in how the property is managed.
While some owners just plainly get rid of their timeshares and others even hire a timeshare transfer company such as the Transfer Smart, selling it is still the most popular option. To successfully sell a timeshare, identifying the right price is very important. Those tips above might help you if you’re one of those who try to sell a timeshare.