Timeshare Renovation. It's true that timeshares will need renovations. You wouldn't want to own something that isn't kept up to first class standards, right?
You also don't want to get scammed by developers claiming to do renovations, or inflating the price of the renovations to put more money in their pockets!
Review my Buy Right Rules.
There are two ways to avoid being scammed with special assessment fees.
1) In my Buy Right Rules, I explain the first. Before you buy a timeshare, you must find out if owners vote to approve a developers' request for a special assessment fee.
You should also find out the history of special assessment charges for that timeshare so far and what they claimed to be for. DO NOT buy a timeshare with an excessively long list of timeshare renovations and special assessment fees!
The developer may claim that just means they keep "improving" the property. What it really means is improper construction and/or a developer in financial trouble! DO NOT buy a timeshare if the owners do not vote to approve timeshare renovations & special assessment fees!
Remember the movie Money Pit? That's just exactly what you're in for if you don't pay attention to this rule!
I've been hit with two special assessment fees of about $1200 each since 2000 for timeshare renovations with my Polo Towers timeshare. The first one was to "upgrade security" after 9-11. A fear-based special assessment fee, I call it.
At Polo Towers no special assessment fee can be levied without owner approval.
Since there are a lot of other destinations on my list ahead of Las Vegas, and I always use my Polo Towers timeshare to trade, I haven't been there to see firsthand what security timeshare renovations my $1200 paid for.
The second special assessment of approx. $1200 for 2007 to "keep the five-star rating," the developer really had to campaign for, and I think they had a hard time getting the owners to approve it, but finally got it by a thin margin.
Polo Towers does always have the vote audited by an independent firm and sends that information to the owners.
If you do the math, it's a huge chunk of change! Just for an example, let's say you have a 100 unit timeshare.
Each unit represents 52 weeks that can be sold. 52 x 100 is 5200 x $1200 = $6,240,000! Most timeshares hold a week for maintenance, but still -- that's a lot of money!
2) I like my second way to avoid being scammed by timeshare renovations and special assessment fees the best.
Review my Buying a Timeshare and you'll see! One of the reasons I've recommended Worldmark as the best timeshare is that they've never had a special assessment fee since they began almost 20 years ago!
They do renovations as needed on the 60 plus resorts that are included in your vacation ownership package.
How do they do it without charging you a special assessment fee? Review Bonus Time in The Best Bottomline and you'll see! They've figured out an ingenious way to pay for renovations that's a win-win for all!
After all, you bought your timeshare to enjoy.