Timeshare Resale and Exit Scams: Upfront Fees Are the Tell

Owning a timeshare can be hard to walk away from, and timeshare resale scams take advantage of that. They call, mail or advertise to owners with the message every frustrated owner wants to hear: we have a buyer, or we can get you out. The catch is always an upfront fee, and then nothing happens.

These scams often start with a phone call. For other common calls, see our guide to phone scams.

How do timeshare resale scams work?

A reseller contacts you, or you see an ad online, on the radio or on social media. The FTC lists the kinds of claims these ads make:

• “The market is hot, so we’ll sell your unit fast.” (The FTC calls that a lie.)
• “Your timeshare will sell in months.” (Unlikely.)
• “We have lots of buyers ready.” (Doubtful.)
• “We guarantee big returns on your resale.” (A lie.)

The FTC says the truth is that the timeshare market is crowded, and selling may be hard, if not impossible. Anyone who guarantees a sale or big returns is a scammer.

A common version: the caller says a buyer is ready, but you need to pay a few thousand dollars up front for taxes or closing costs, which they promise to refund later. The FTC says there’s really no buyer, and if you pay, you’ll lose your money. People who paid for help selling mostly got excuses for delays. When they asked for refunds, they didn’t get them, and were sometimes talked into paying more, for example for a lawyer to “complete the sale.”

EXAMPLE — SCAM

Today 3:50 PM●●● ▮

Incoming call (407) 555-0139

Caller: Hi, this is Linda with Premier Resort Resales. Good news — we have a corporate buyer who wants your week at the resort for $24,000, and they’re ready to close this month.

Caller: All you need to do is cover the transfer tax and closing costs of $3,150 by wire this week. That’s fully refunded at closing. The buyer won’t wait long, so I’ll need an answer today.

What are timeshare exit scams?

Exit scams promise to get you out of your timeshare contract. The FTC says scammers may use public records to find owners, even ones who aren’t trying to sell, and claim they can help you get out and maybe even make money. Signs of an exit scam:

• Unsolicited calls or messages offering to help you exit.
• “Guarantees” or “promises” to cancel your contract.
• Demands for large upfront fees before they do anything.
• Instructions to stop paying your mortgage or maintenance fees.

If you pay, the FTC says some do nothing, and others simply contact your timeshare company for you, which you could do yourself for free.

These schemes can be big. In April 2026, the FTC announced that a court ordered the operator of a timeshare exit scheme to pay $140 million and banned him from selling timeshare exit services.

How can you check a resale company?

The FTC recommends:

1. Start with your timeshare company. Contact the developer or resort management company and ask about your options, including any exit program.
2. Check out the reseller. Ask the state attorney general and local consumer protection agencies where the reseller is located whether there are complaints. Search the company’s name plus “complaint” or “scam.”
3. Ask about fees. Prefer a reseller that takes its fee after the sale. If you must pay in advance, get the refund policy in writing.
4. Use licensed agents. Confirm the agents are licensed to sell real estate where your timeshare is located.
5. Get everything in writing, including the services, all fees and when they’re due. If the contract doesn’t match what you were told, don’t sign.
6. Be realistic. Don’t assume you’ll get back what you paid.

What should you do if you paid?

Contact your bank, card company or wire service right away and ask whether the payment can be stopped or reversed. Then report the company to the FTC at ReportFraud.ftc.gov and to your state attorney general (see our state list).

Expect a follow-up pitch. The FTC warns that people who lost money to a timeshare resale scam may be targeted again by “refund” or “recovery” services that charge a fee. Read about recovery scams before you pay anyone else. Our first-hour checklist after a scam covers each payment method.