Splitting a Timeshare in a Central Florida Divorce: What You Need to Know

Timeshares seem simple when you buy them: a week or two at a favorite resort, shared with someone you plan to spend the rest of your life with. When that marriage ends, however, the timeshare often becomes one of the more frustrating assets to untangle. It is not as liquid as a bank account, not as straightforward as a car, and it usually comes attached to ongoing maintenance fees that neither spouse wants to keep paying alone.

Is a Timeshare Considered Marital Property?

Under Florida law, most property acquired during a marriage is treated as marital property, and timeshares are no exception. Florida’s equitable distribution statute, Florida Statutes Section 61.075, requires courts to identify marital and non-marital assets, then divide the marital ones fairly, though not necessarily equally. Even if only one spouse’s name appears on the timeshare deed, it may still be considered marital if it was purchased during the marriage or if marital funds were used to pay for it or maintain it over the years.

This means a timeshare bought years before children came along, family vacations were planned around it, or maintenance fees were paid out of a joint account, is likely fair game for division during divorce proceedings.

Common Ways Couples Handle a Shared Timeshare

There is no single “correct” way to divide a timeshare, and the right approach often depends on how much either spouse actually wants to keep using it. Some of the more common paths include:

• Selling the timeshare outright and splitting the proceeds (or the loss, since resale values on timeshares are often disappointing)
• Transferring the interest to one spouse in exchange for that spouse giving up a different asset of similar value
• Continuing to co-own the property and alternating usage years, though this option tends to work only when both parties are on reasonably good terms

Whichever option a couple chooses, it is important to remember that timeshare contracts often come with their own transfer restrictions, resale limitations, and continuing maintenance obligations. A spouse who ends up walking away from a timeshare in the divorce may still find themselves on the hook for fees if the transfer paperwork with the resort or management company is not handled correctly.

What if Neither Spouse Wants It?

It happens more often than people expect. Timeshares can be surprisingly difficult to sell, and resale markets are notoriously weak. If neither spouse wants to keep the property, a judge may need to decide how ongoing fees and any outstanding balance will be split, even while the couple continues trying to offload the property. This is one more reason it helps to address the timeshare early in settlement discussions rather than leaving it as an afterthought.

Maintenance Fees Do Not Disappear After Divorce

One detail that often surprises people is that timeshare maintenance fees keep coming whether the divorce is finalized or not. If a settlement agreement does not clearly spell out who is responsible for these fees going forward, both spouses could remain contractually liable to the resort, regardless of what a Florida court orders about the underlying property. Getting the paperwork right with the resort itself, not just the divorce decree, is an important final step.

Can Central Florida Property Division Attorneys Help?

A timeshare might seem like a minor detail compared to a house or a retirement account, but it can create real headaches if it is not handled properly during a divorce. Between resale challenges, ongoing fees, and Florida’s equitable distribution rules, it helps to have someone looking out for your interests. We work with clients throughout Central Florida to sort through these property division questions, including situations involving vacation properties and timeshares. If you have questions about how your assets, including any timeshare, might be divided, contact our Orlando property distribution attorneys at the office of Steve Marsee, P.A. today.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/Sections/0061.075.html