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Question
My husband and I bought a timeshare (2weeks) in 2001.  Mount Amanzi, South Africa.  No loan was taken as we paid cash ($2,800).  The yearly maintenance fees are about 4,000 Rand (roughly $500).  My husbands job has been affected by the economy and we are unable to keep up with the fees.  We have been trying to sell but it appears we need to pay (more than the purchase price in many areas we've checked) to get rid of it.  We have never actually been to South Africa....we've traded our weeks to visit resorts here in the U.S through an RCI voluntary membership (expires 2014).  My question is... Can we just stop paying fees?  Will this be a foreclosure?  If it will be foreclosed on & with it being international (no loan only yearly fees)... Will it affect our credit rating?
Thank you so very much with any help you can give us with this stomach ache.

Answer
Hi Jill,

Unfortunately your assumptions are right. If you stop paying on it, it will affect your credit and it will be a foreclosure if you just let it go. its one  of the traps that people fall into owning a time share. There are places that you can go to sell them but many people will pay to get out of those things, having a timeshare is definitely not an asset.For the amount you would have to pay to get out of it, your better off to take a few years off from traveling and give your trip away if they will just pay the maintenance fee.

now with it being international, i dont know if it will affect your credit. Did you give them your social when you bought it? if so then it would likely be reported to the credit bureau.If not, i not sure what recourse they have. I hope that that helps

Brian

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Brian Pitcher

Expertise

I can answer all questions related to Residential Real Estate. In particular I am an expert in the loss mitigation side. I meet with multiple homeowner on a weekly basis and guide them through the issues of being upside down on their mortgage and what they can do to better it. I can answer questions on Loan Modifications, Short Sale, Foreclosure, Strategic Default, Deed in Lieu. I can also answer questions on the buyer/investor side of things in regards to homeownership or home flipping. I can also answer questions regarding the 1099C or cancellation of debt that homeowners get from a short sale or a foreclosure.

Experience

I run a team of agents called the Pitcher Group, out of Salt Lake City. We specialize in Short Sales and helping sellers get out of tough situations. We have closed over 100 short sales in the past 3 years with our team. I also am an owner of a Short Sale Negotiation company that helps process short sale transactions for Real Estate Agents all across the country. I understand the investment side of Real Estate as I have bought and sold many rental type homes over the years. I also rehabilitate homes and flip them. We usually have 1 to 3 properties going at any given time. Our completion time from bought to sold is usually less then 4 months.

Organizations
I am a member of the national Association of Realtors on the national level and the Salt Lake board of Realtors on the local level. I am a member of the Short Sale Specialist Network as well as multiple short sale mastermind groups locally and nationwide.

Publications
The Short Sale Specialist Network www.savemyutahhome.com The Truth about Short Sales, Loan Modifications and Foreclosures (an ebook that I wrote)

Education/Credentials
Bachelors Degree from the University of Utah in Spanish with an emphasis in Economics. Specialized and on going study of loss mitigation tactics revolved around the banking industry and real estate including FDIC.

Awards and Honors
Bronze Home sales award in 2008 for Keller Williams Gold Home sales award in 2009 For Keller Williams Triple Gold Home sales award in 2010 For Keller Williams Triple Gold home sales award in 2011 For Keller Williams Top Sales agent individual award in 2010 For Keller Williams I have been asked to speak and teach other realtors how to handle short sales for Keller Williams International and also at my local board of Realtors.

Past/Present Clients
I have over 100 successfully closed short sale transactions.

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