The Florida Vacation Plan and Timesharing Act is before the state legislature of Florida for some changes. The biggest change on the horizon is a loosening of the cap on annual maintenance fees. “The legislation would remove property taxes and certain types of common-area expenses from a current 125 percent cap on annual increases in assessment fees that consumers pay.” Orlando Sentinel
By doing so, the actual annual fee could increase more substantially.
This has raised the ire and anger with timeshare owners all across the country. Business and economics experts also have voiced an opinion that this could hurt the timeshare industry. “. . . remove one of the best selling points for time-shares, which is that they are ‘affordable.'” (University of South Carolina, hospitality professor)
Of course the timeshare developers are for the changes. This would put more of the expenses of running the resort on the shoulders of the timeshare owners themselves.
Considering the size of the timeshare industry in Florida, this change to the law could have a big impact on the state. It may not be felt immediately but it would still have far reaching effects.
Timeshare owners do not like large maintenance fees. They like maintenance fee increases even less. Yet they are a necessity to keep this kind of operation going. Many timeshare resorts and property owners’ associations have failed due to their inability to collect maintenance fees from all their owners. So the maintenance fees must go on.
I’ll update this post as soon as I learn of any changes to the current laws or the passing of a new law on how maintenance fees are structured.