“I just sold my timeshare at a huge loss. Can I claim a capital loss on my timeshare sale for taxes?”
If I had a nickle for every time I heard that question I could buy a Westin St John timeshare!
CNN money online ran two articles about selling your timeshare and the tax implications it brings. According to CNN you cannot claim a capital loss when you sell your timeshare. That seems to be the consensus among all those who give tax advice and is the bottom line. When you sell your timeshare you will most likely sell it for less than what you paid for it. Much less. And you will not be able to deduct that loss from your taxes.
For essentially the same reason you could not claim a capital loss when you sold your Corvette for less than what you paid. It is a personal asset.
For just that reason many timeshare owners are angry at the timeshare developers who sold them on the notion that a timeshare was a good investment. Bad choice of words! A timeshare may be a hedge against future inflated vacation costs but in no way is a timeshare an investment.
The New York Attorney General’s website puts it this way, “Timeshares should be purchased for personal recreational use and not for profit or investment.” (source)
So now that you have come to grips with the fact that you cannot claim a loss for tax reasons do you still decide to sell?
Consider the long term cost of owning the timeshare. Year after year you must pay annual maintenance fees, taxes, and any special assessments that may come along. If you are not using the timeshare you are losing money and compounding the cost of your vacations. It quickly becomes a money pit at that point.
There comes a point when you have to cut your losses and future losses and sell your timeshare. It is inevitable.
With all that being said the best time to sell your timeshare is now. The longer you wait the more you lose. Waiting for markets or the economy to turn in a more favorable direction falls into the category of reading tea leaves. Not very reliable. What is reliable is the annual fees that will not end. The solution is to sell your timeshare. Find a reputable timeshare resale broker to get the job done, pay the commissions, fees, closing costs and get it done.
Your timeshare will not sell itself.
How to find out what your timeshare is worth.
Timeshare-Resale-Broker.com is the leader in the Vacation Resale Brokerage Business and innovators of timeshare resale services for individual consumers and software for resale agents. Since 1979 (over 38 years) we have had original management. All of our Timeshare Agents are Resale Specialists and members of NAR, the National Association of REALTORS®.
We pioneered the first timeshare resale broker website on the Internet in 1995. We advertise on many more.
People wanting to sell and get rid of a timeshare benefit from the professionalism of a licensed timeshare resale broker who stay on top of the ever changing technology as well as industry direction. We work with all buyers for the vacation properties registered in our database. We have a team of REALTORS® and personnel who are forever assisting the buyers, sellers and insure that the time share sale transaction is as smooth and easy as possible. Call today to get rid of the timeshare albatross! Call us at 1-800-247-4392
Experience: We have sold and closed timeshares in over 29 countries, in 47 states in the USA, have closed deals with sellers and buyers from over 89 countries. We have helped thousands of owners get out of an their unwanted unit. We have a program that gets you out of your property without waiting for a buyer too. This stops the fee payment burden right away.
We offer all our expertise to you!
Our offices are at 14500 Hwy 105, Conroe, Texas 77304.