Timeshare Terminology

Timeshare Terminology & Terms

Our team at Timeshare Title & Escrow want to keep you in the loop about your timeshare closure and transfer, which starts with understanding some of the more industry specific lingo.

We put our heads together and created a glossary of some common timeshare terms as a reference for title transfer and escrow contracts. Below you can find a list of definitions, or you discuss it with your experienced closing agent.

You have questions, we have answers. Even if you can’t find the answer you’re looking for, Dave or Crystal can help and you can give them a call anytime at 407-751-5550.

BANKING / DEPOSIT

Depositing a week of timeshare into an exchange system or inventory pool

BIENNIAL

Use of a timeshare week every other year

CLOSING COSTS

Expenses incurred in the closing process of a timeshare resale

DECLARATION OF CONDOMINIUM

Established guidelines for resort operations

DEED

A legal document used to transfer real estate rights from one person to another

DEVELOPER

The resort property owner that sells and manages a resort property

END-USER FINANCE

A loan to purchase a timeshare property

ESCROW

An account created to hold and transfer funds between a buyer and seller

ESTOPPEL LETTER

A verification of ownership and fees owed according to the official records from the timeshare management company or resort

EXCHANGE

The option to trade one timeshare week for a different timeshare week.

EXCHANGE COMPANY

The system that allows timeshare owners to trade the accommodations they own for comparable accommodations or travel-related services

FIXED WEEK

A type of timeshare ownership in which usage rights attach to a specific week of the year each year in perpetuity

HOMEOWNERS ASSOCIATION (HOA)

The group of owners that administer the rules and regulations of a resort.  Creation of an HOA is often required by state laws

LISTING AGREEMENT

A contract

MAINTENANCE FEE

A fee that timeshare owners are required to pay, usually on an annual basis, to cover the costs of running the resort, including daily management, upkeep, and improvements

RESCISSION

A legal period of time after a sale when a buyer can cancel the sale. The timeframe can range from anywhere between 3 to 15 days, depending on the applicable state laws. Some states do not provide for a rescission period.

RESALE

Advertising the sale of a timeshare property purchased from a resort, developer or subsequent owner

RIGHT TO USE

A Right to Use timeshare is a type of ownership which allows the buyer to use a timeshare for a period of years, after which the ownership is terminated.

SPECIAL ASSESSMENT

An additional charge on top of a yearly maintenance fee billed by management companies to cover repairs, refurbishments, and updates.

TITLE

Proof of ownership listed in county clerks’ records

TRANSFER

The process of passing over the possession of a timeshare property and deed to a second party