When building an estate plan, most people focus on their home, savings, and family heirlooms. But there’s one often-overlooked asset that can cause big headaches if left unaddressed: the timeshare.
Whether it’s a vacation spot your family loves or a property you haven’t used in years, a timeshare is still a form of property ownership—and it carries legal and financial implications. At Cline Donaldson PLLC, we help families throughout North Carolina create estate plans that are complete, thorough, and thoughtful. That includes the assets people forget, like the timeshare.
Here’s why your timeshare deserves a place in your estate plan—and what you can do to plan ahead.
Why Timeshares Matter in Estate Planning
Timeshares often don’t feel like “real” property because they’re usually part of a shared ownership or points system. But legally, many timeshares are treated like real estate, and ownership doesn’t automatically disappear when you pass away.
Without proper planning, your timeshare could:
- Get stuck in probate, especially if it’s in another state or country
- Surprise your heirs with ongoing maintenance fees and taxes
- Create unnecessary legal or administrative costs for your estate
Even if the timeshare doesn’t hold much financial value, it can create a real burden for the people you leave behind.
Common Issues with Timeshares in Estates
If you’ve ever tried to cancel or sell a timeshare, you already know it’s not always simple. The same holds true in estate planning. Some of the most common issues we help clients navigate include:
- Annual maintenance fees and special assessments that pass on to heirs
- Difficulty selling or transferring the property, especially in oversaturated markets
- Out-of-state probate requirements if the timeshare is located outside of North Carolina
- Ambiguity in the estate plan when the timeshare isn’t mentioned or clearly assigned
Without clear instructions, your executor could face delays and complications—and your family may inherit something they didn’t expect (or want).
How to Handle a Timeshare in Your Estate Plan
Including your timeshare in your estate plan doesn’t have to be difficult—but it does require a little strategy. Depending on your situation, we may recommend:
- Including the timeshare in your will with clear instructions about who will receive it
- Transferring it into a revocable living trust to avoid probate, especially if it’s located out of state
- Assigning the right to disclaim (refuse) the timeshare, so your heirs aren’t forced to take it if they don’t want it
- Transferring or terminating ownership before death if the timeshare is no longer used or wanted
We’ll also review the timeshare agreement itself, as some contracts include clauses about death, transfer limitations, or resale restrictions.
Planning Tips to Make Things Easier for Your Family
To make sure your timeshare doesn’t become a burden later, here are a few steps you can take now:
- Name a successor who is willing and able to take on the timeshare
- Discuss your plans with your heirs, especially if you’re unsure whether they’ll want to keep it
- Review the ownership documents and contract terms so you understand what rights and obligations will pass on
- Consider your alternatives—some owners choose to sell, donate, or deed-back the timeshare before they pass away
We’re Here to Help You Cover All the Bases
At Cline Donaldson PLLC, our goal is to help North Carolina families create estate plans that are clear, complete, and stress-free for loved ones. We know the small details can create big problems when they’re not addressed, and timeshares are a perfect example.
Whether you use your timeshare every year or haven’t visited in a decade, we’ll help you build a plan that handles it properly—so your family isn’t left with confusion or unexpected costs.
Contact us today to schedule a free consultation and let’s talk about how to include every part of your legacy in your estate plan, no matter how big or small.
About the Author
Scott Donaldson
As one of the founders of Cline Donaldson PLLC, Scott Donaldson leverages his background in law enforcement to provide exceptional representation across core practice areas, including personal injury law and estate planning. Before founding his Wilmington-based firm in 2023, Mr. Donaldson honed his understanding of the law as a Lieutenant in the esteemed New York City Sheriff’s Office.
He subsequently graduated cum laude from Campbell University’s Norman Adrian Wiggins School of Law, earning the Law School Book Award for demonstrating exceptional mastery of complex legal subjects. With an extensive legal background, Mr. Donaldson brings authoritative experience and insight when navigating each client case. He remains dedicated to upholding the highest legal standards and achieving optimal outcomes for all he represents.
