What Happens to a Timeshare in Divorce on Long Island, NY?

You and your spouse may have made an investment in a timeshare for the promise of benefits like promoting an annual vacation and as an asset you could pass along to your children. However, when you’re going through a divorce, your timeshare becomes just another asset that you have to divide. In an amicable divorce, both parties may be able to agree on how to handle this decision, but if both spouses want it, the decision may be left up to the court to decide. Learn how you can make the most of this situation.

Timeshares Are Unique Assets

A few things make timeshares more unique than the traditional home you plan to split. First, it can be challenging to determine the actual value of the timeshare at the time of the divorce. Multiple factors play a role in this, including the going rate for the timeshare, whether there’s a loan in place to finance it, and the stipulations in the ownership structure.

They can also be difficult to sell, especially if the timeshare’s value is reduced significantly due to the age or terms of the ownership. Once divorce papers are filed, this process becomes a bit more challenging due to the stipulations in ownership deeds within most timeshares (and that’s another thing – the details of each timeshare are very different in how to handle issues like divorce).

Who Gets What in a Timeshare?

Like every other asset, this decision comes down to what the spouses can decide and agree upon or what the court determines is fair. Typically, you have three options to consider with timeshares in your divorce on Long Island, NY:

#1. You sell the timeshare.

Like any other asset, the value from the sale of the timeshare is then applied to the estate to be divided in an equitable manner.

#2: You share the timeshare.

If there is an ability between the spouses to do so, it may be possible to maintain ownership as it is within the timeshare and share it. If this is the goal you have to maintain the value and benefits of the asset, we strongly encourage you to put a formal agreement in place with the details outlined to ensure that everyone remains on the same page. Our team of experienced Long Island, NY, divorce lawyers can help you with that process.

#3: One spouse buys out the other spouse from the timeshare.

This decision can work if just one spouse wants to maintain the timeshare and the other does not. Again, the goal is to estimate the value of the timeshare and then factor that into the divorce proceedings. You would need to pay outright for the spouse’s portion of ownership of the property or make allowances with other assets you own or are dividing.

How Much Is a Timeshare Worth In Divorce?

The big question about a timeshare asset is how much is it worth now. Getting an appraisal and assigning a value to other assets, like your main home or the baseball card collection, is rather straightforward. That is not always the case with timeshares.

There are several things that can happen here:

• You both agree on what you believe the asset is worth. That’s the easy way forward and also the least likely outcome in a hotly contested divorce.
• You have the timeshare value assessed, which can be done in situations where it is considered a high-value and long-lasting timeshare. Some are passed down for generations, while others are maintained for a set period of years.
• Think about the liability of the timeshare, too. That’s especially true when you factor in the cost of maintaining it, such as dues and any loan currently on the property, to finance its purchase.

Our team of experienced Long Island, New York divorce attorneys can offer specific guidance to you about the best route forward in these situations. To do that, we need to see the deed of ownership and any other details about the timeshare. This will help us do the leg work to determine its actual value. There are numerous factors that will complicate this process, including the specific legal requirements in the timeshare (whether it can be sold, how it can be divided in a divorce, and the right of the owners to change ownership structure). With our experience, we can help ensure you know exactly what to expect.

Set Up a Consultation with Our Long Island, NY, Divorce Attorneys for Insight

At Hornberger Verbitsky, P.C., we can help you navigate your questions about all of your assets, including timeshares, which can be very valuable. Our Long Island, NY divorce attorneys have experience helping our clients to make wise decisions about these assets.

As one component of your divorce in Long Island, NY, a timeshare can certainly be a confusing asset to manage. Our attorneys at Hornberger Verbitsky, P.C. can offer guidance to you on what your rights are. Set up a consultation with us now to learn what you can expect from the process. Call 631-923-1910 now or fill in the short form below.