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Selling my timeshare using buyers contract documents
I am in the process of selling my timeshare and the buyer wants to use his broker and paperwork as oposed to me setting up the contract with First American Title Insurance Company, or sme other company I select. He is going to send me a deposit first and hten his broker is going to contact me with the contract. Does this process sound legitimate?
Shane L.
shanel7 wrote:It certainly sounds "odd" to me --- and I have bought and sold a fair number of private resale timeshare weeks over the past 30 years...I am in the process of selling my timeshare and the buyer wants to use his broker and paperwork as oposed to me setting up the contract with First American Title Insurance Company, or some other company I select. He is going to send me a deposit first and then his broker is going to contact me with the contract. Does this process sound legitimate?
There is no need (and no place or role that I can think of) for any "broker" involvement in a private timeshare resale transaction between two people --- particularly on the buyer end. I suppose it can't hurt to wait for and fully examine this alleged "broker contract", but with the limited information which you have provided above, this proposed "procedure" makes very little sense to me, frankly. In particular, I'd be looking out for someone trying to insert themselves into the transaction in order to collect a "commission" (...something which YOU might find yourself responsible for if you hastily sign any documents which you don't thoroughly read and fully understand).
If you want to promptly "smoke out" a potential scammer, you can of course always just openly offer to your buyer that YOU will pay all of the closing costs yourself, using an established, respected and reputable timeshare closing company of YOUR choice. You could even provide several different options (e.g., JRA Services, Timeshare Transfer, Inc., etc.). Doing so will cost you about $300, but the process fully protects BOTH the buyer and the seller. If a buyer balks at FREE closing costs, using a respected and reputable timeshare closing company --- AFTER a selling price has already been negotiated and agreed upon --- then chances are pretty darn good that your "buyer" is not legitimate in the first place...
KC
Last edited by ken1193 on Aug 25, 2011 07:08 AM
shanel7 wrote:Sorry, but I cannot and will not dispense legal advice here. The input and observations I have already provided above is really the full extent to which I can offer feedback on your inquiry.Thank you for the advice. If he does send me a check for a deposit, it doesn't hurt to cash it does it? Who woul you reccomedn I hire to review the contract? A local real estate lawyer? Are there specialists in Timeshare sales?
Suffice it to say that you should seek out competent legal counsel to protect your interests if there is a contract involved which is not of your own construction. Your issue of real concern is (...or most likely will become) contract content and terms, rather than requiring extensive knowledge or expertise regarding timeshares...
Proceed with caution --- and good luck.
KC
Last edited by ken1193 on Aug 25, 2011 06:06 PM
shanel7 wrote:I had assumed as much, since (as already stated previously) there is simply NO need, role or place for ANY "broker" in a private timeshare resale transaction between two people, particularly at the buyer end. The whole proposal just made no sense and had a bad aroma to it right from the start.It turned out to be a scam. He wanted to send me a "deposit" check for $3,900.00 and send a $1,000.00 check to his "broker".
One of the numerous benefits of enlisting (and even paying for yourself, if necessary) an independent closing company of YOUR choice is the fact that the closing company holds all transaction funds in "escrow" until everything is squared away, thereby ensuring that the funds are paid in full and legitimate (no phony checks get by, etc.). It's usually quite easy to smoke out scammers, since they want NO part of having an independent closing company involved. They know that use of the independent entity essentially "closes" (no pun intended) all of the potential scam doors and avenues.
Anyway, good job on using your head and avoiding the scam...
KC
Last edited by ken1193 on Aug 26, 2011 10:24 AM
Thanks for the advice. I'm afraid I've been enticed by a similar situation, so I'm going to suggest we use Redweek's closing service instead of his. He sounds legit because he is a Redweek member himself, but I've been burned before and don't want to land in trouble again. I'll bet he doesn't respond again, but I'll let you all know either way.
Donna B.