Time shares and boats bring many families a great amount of joy during the marriage. However, they sometimes bring back the memory of a divorced or failed relationship and most litigants do not want the timeshare. Upon divorce, time shares are often a great deal of contention in the property settlement because in most locations, they are slow to sell and have on-going dues associated with them. Typically, neither party wants the time share. This blog addresses three (of the other) ways to address time shares if that is the case.
First, sale of timeshares at loss is a possibility. Most of the major timeshare management organizations have the ability to do so, but there is a loss reducing the marital assets to divide. However, with all divorce assets (or liabilities) this should be considered in the overall picture, such as is there a tax benefit or detriment or loss that can be used and how is such divided?
Second, it may seem counter-intuitive, but you can advertise and transfer a timeshare to someone for a zero ($0) value and they take over the dues. Obviously, this would have to be done in accordance with the plan terms that the time share was purchased under.
Third, in some cases, particularly in more desired locals, such as certain parts of Florida, it may be possible to transfer the timeshare back to the resort, although there are almost always fees associated with it.
Divorce is really a new financial start for each party, and instead of one party begrudgingly taking on this negative marital asset (unless of course they intend to keep using it) it should be divided or liquidated in terms with the divorce.
This blog post was written by attorneys at Ciyou & Dixon, P.C. who handled divorces cases in all courts in Indiana. We hope you find this blog post helpful in understanding the divorce process generally. If so, it has met its goal. This blog is not intended to provide specific legal advice or be a solicitation for services. It is an advertisement.