What Happens if My Timeshare Resort is Foreclosed On?
Sometimes, timeshare resorts don't have the money to stay in business. If they can't find a buyer or an investor, the resort will ultimately be foreclosed on. Can a timeshare be foreclosed on? The answer is yes.
In this case, it is not unheard of for owners to be asked to sign a deed-back to give up their timeshare ownership for no money in return. It is rare for owners to get any money back in this situation. Timeshare foreclosure can be a devastating thing to all parties involved.
However, the alternative in the timeshare foreclosure process is for the owners to have the opportunity to exchange their timeshare for a membership in a travel club or ownership at another related resort property after the foreclosure. This way, you can still engage in the benefits of ownership and maintain your timeshare travel lifestyle.