brokemommy Posted March 23, 2011 Report Share Posted March 23, 2011 My ex-husband and I had gotten suckered into a timeshare in 2006- actually vacation club points. When we split up Aug 2008, he refused to help me pay for it. I kept the payments up for 3 mos after the split- but with him not helping- I had to let it go. April 2009 they sent a letter stating they were going to foreclose on it. That was the last thing I heard from this company. No court papers- nothing. Then Feb 2010 I received a tax document for "abandonment of property" for 17k. I ordered copies of my credit reports last month and it is reporting as 150 days late and in the notes state foreclosure and not reporting anything past June 2009.Does anyone know how this will affect my chances of getting a mortgage on a primary residence? I would like to start looking within the next 12 months and am concerned that this will be an issue. I did not get my scores, but will do that soon- just wanted to go thru the reports and see what I needed to work on. I will be a 1st home buyer. Link to comment Share on other sites More sharing options...
Prosay Posted March 23, 2011 Report Share Posted March 23, 2011 Timeshare is a BIG JOKE in my opinion. When you buy a timeshare, you only reserve "time" to be set aside each year for your use...YOU SURE AS HECK ARE NOT BUYING PROPERTY ! So how can they state that you have "abandoned the property" All you have done is relinquish reservation of the time slot .Maybe you need to request a copy of the "property deed" showing your ownership of the property" Is there any such thing as a "TIME DEED" !THESE TIMESHARE GUYS HAVE TRIED TO SUCKER MY WIFE AND ME WITH THE TIMESHARE PITCH...YOU KNOW THE DRILL" BUT LOOK..WITH OWNERSHIP" YOU WILL HAVE TWO WEEKS SET ASIDE FOR YOU EACH YEAR" , and it's only going to cost ( EXAMPLE ONLY) $300.00 per month plus the standard maintenance fee" of $75.00 per month... I always counter by saying, "I'll need to have my attorney review the agreement, then I will decide".... has any of these guys ever allowed you to take an agreement home with you...UNSIGNED BY YOU ?I ALSO TELL THEM THAT $375.00 EACH MONTH EQUALS $4500.00 PER YEAR, DIVIDED BY 360 HOURS OF FAMILY USE EACH YEAR , (14 DAYS X 24 HOURS = 360 HOURS.) NOW DIVIDE THE $4500.00 BY 360 = $12.50 PER HOUR for our use each year... 24/7 for 14 days.. AND ALL YOU HAVE DONE IS reserved "TIME" !! I Also tell them that for $12.50 per hour or $4500.00 I can take my family on at least 3 decent vacations each year...and not be hasseled by annual increases in monthly maintenance fees !...."NOW ON THE OTHER HAND, IF YOU WILL GIVE ME A DEED TO PARTIAL OWNERSHIP OF THE PROPERTY...WE MAY BE ABLE TO CONSIDER YOUR "MOST GENEROUS OFFER" Link to comment Share on other sites More sharing options...
jq26 Posted March 24, 2011 Report Share Posted March 24, 2011 (edited) A timeshare is typically deeded. You are buying a property. Think about it like this- property interests in all states can be split a variety of ways. You can split them by location concurrently (ex: condominiums). You can also split them temporally (timeshare). You sign a deed. You deduct real estate taxes & interest paid on your taxes. And the lender is required to foreclose to strip your interest in the property. You need to know if you still own it. In my opinion you are not going to obtain a mortgage for at least four years after the foreclosure occurred or occurs. Who claimed the abandonment 1099 income? Was anyone served a foreclosure notice? Edited March 24, 2011 by jq26 spelling Link to comment Share on other sites More sharing options...
Denita Posted March 24, 2011 Report Share Posted March 24, 2011 I agree with jq26 on this one. The lender, even if you go FHA (which is more forgiving), is going to view the timeshare foreclosure as an extreme negative. There are underwriting criteria for issuing a loan after a foreclosure that is constantly changing in light of our current market. You will need to have perfect credit after the foreclosure to demonstrate that you can handle a mortgage. By perfect credit, the lender will not only look at your score, but will check for lates too. Don't be late with anything. One of the things you can do is have other compensating factors in your loan. For example: an FHA loan only requires a minimum 3.5% down payment. You could save up to put down 10% and that is considered a compensating factor. In general, the underwriter will look for 3 compensating factors to overcome a large negative. Check with a lender in your area to see how your actual financial details are viewed by an underwriter. Link to comment Share on other sites More sharing options...
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