Making your home a timeshare can generate cash while reducing financial obligations such as maintenance fees and property taxes. It is a process that differs from renting out your home because timeshare holders are buying an interest in the property. When the timeshare agreement is finalized, buyers acquire rights and responsibilities that differ from those of a renter.
Begin the process by understanding the legal implications. Ensure that your home is attractive to timeshare shoppers and develop a means of luring qualified buyers. Most important, know what you are getting yourself into.
There are several steps you need to take in order to make your home a timeshare, including property research, determining a comfortable price, storing your personal belongings, consulting real estate or legal professionals and promoting your timeshare.
Conduct Thorough Research
Research the process before offering your home as a timeshare. Seek out legal advice and check local laws to assure timeshare conversions are permitted. Check local newspapers and online listings to gauge the real estate market in your area. Determine how many timeshares you plan to offer, the duration of each, and the most suitable time of year for others to occupy your home.
How to Determine Pricing
Set the terms and conditions for the timeshare agreement by using the information you have gathered. Determine a price based on factors such as the market value of the house, amenities and local attractions that draw vacationers. A home close to a ski resort, for example, will have optimal value in the winter months. Establishing a timeshare arrangement can enable you to live in a warmer climate when the temperature dips.
Set Up Storage
Prepare your home to enhance its appeal to potential buyers while protecting any personal belongings you leave on the premises. Buyers expect an impeccably clean, furnished residence that features closets and dresser draws that are completely empty. It is permissible to establish a secure storage area that will remain locked and off limits to others — for example, a backyard shed or an area of the basement.
Contact Legal Professionals
Enlist professional help to inspect the home and draw up the legal paperwork. Retain a licensed real estate agent in your area who specializes in timeshares. With the agent's help, create ads using multiple exterior and interior photos along with a detailed description. Include a list of features such as major appliances, access to shopping and nearby destination spots. Publish the ad online and in publications focused on vacation timeshares.
How to Start Promoting
Make the home available for visits from potential buyers. Perform due diligence on those who make an offer, including background checks. Understand that the buyer will occupy your home temporarily and proceed accordingly. Invest in new appliances that will enhance the appeal of the home. Hire housekeeping and landscaping companies to ensure proper maintenance of the property. Prorate the expense and include it in the cost of the timeshare.
- Invest in new appliances that will enhance the appeal of the home.
- Hire housekeeping and landscaping companies to ensure proper maintenance of the property. Prorate the expense and include it in the cost of the timeshare.