What happens to your timeshare when you die?

In Georgia, a deeded timeshare is legally considered real estate; it passes to your heirs, along with the obligation to keep paying annual maintenance fees, whether they want it or not. This article walks through what happens to a timeshare at death in Georgia, what your options are, and how to decide whether to pass it down at all.

In my nearly two decades as an estate planning attorney, I’ve seen this pattern come up a lot: Mom and Dad love their timeshare, with decades of good memories tied to it, and they assume their kids will want to take it on after they pass away. But the kids often don’t want it (or the fees that come with it).

That’s why the first step I recommend for anyone creating an estate plan that includes a timeshare is to decide whether you’ll pass that asset to your kids or not.

Sometimes, the answer is yes, but more often, it isn’t. We’ll discuss both options, including the pros and cons of each, so you can make an informed decision about your timeshare.

Which type of timeshare do you own?

There are two types of timeshare, and they each have different implications for your estate plan:

• Deeded timeshare: This is a deeded interest in real property, meaning it’s an ownership stake. Most people have a deeded timeshare, and it’s the one you need to account for in your estate plan.

• Right-to-use timeshare: This is a contract, not ownership, which means you have the right to use the property for a set period under the terms of an agreement, but you don’t own a piece of it. In a right-to-use timeshare, what happens at your death is determined by the contract itself.

The type of timeshare you have will inform your decisions, so dig out your paperwork and confirm which one you have before you do anything else. If you’re not sure, the deed (or lack thereof) will tell you, and the resort or your attorney can confirm it.

What happens to a deeded timeshare when you die?

Because a deeded timeshare is legal real estate, Georgia treats it like any other piece of property you own. Where it goes after your death depends on how the deed is titled:

• Titled in your name alone: The timeshare goes through probate, just as a house would, and passes to your beneficiaries under your will or Georgia’s intestate succession law.

• Titled with right of survivorship or through a “lady bird” deed: In this case, it passes automatically to the surviving co-owner or named beneficiary, outside of probate.

• Owned by a trust: It passes to your beneficiaries according to the trust’s terms, outside of probate.

Do heirs inherit the maintenance fees?

Yes, if your heirs inherit a deeded timeshare, they also inherit any maintenance fees attached to that property. The timeshare company will keep billing throughout probate, and if no one has made a plan for those fees, they can become a liability someone has to cover before the estate closes.

A common scenario looks like this:

Two adult siblings inherit a shared timeshare. One wants to keep visiting, but the other lives far away and hasn’t used it in years. Now they jointly owe the annual maintenance fees, but they don’t agree on whether to keep it. There’s no easy resolution, and conflict can result from the disagreement about what to do next.

What happens to a right-to-use timeshare when you die?

Most right-to-use agreements run for a fixed term. The contract will typically spell out what happens if you die before that term expires; often, the remaining rights and obligations pass to your legal heirs or beneficiaries, defined by your will, trust, or Georgia’s intestate laws. 

Some of these agreements contain clauses obligating continued payment, but not all. Because the terms vary from one agreement to another, the contract itself is the only way to know for sure. Have your attorney read it before you make any assumptions about what happens after your death.

How to talk to your kids about inheriting a timeshare

Before you make any legal decisions, ask your heirs whether they want it in the first place. This one conversation can prevent more headaches than any legal provision.

Here are some questions to ask:

• Do you want to inherit the timeshare?
• Would you use it at least once a year?
• Can you comfortably cover the annual maintenance fees?
• If siblings are sharing: How will that arrangement work?

If your heirs want the timeshare or agree on an arrangement, that’s a solid starting point for your estate plan. If they don’t want it, it’s a good idea to make arrangements accordingly now, so your family isn’t left to sort it out after you’re gone.

How to pass down a timeshare

A will

Wills let you direct where your timeshare goes. For a deeded timeshare, be aware that the property, fees, and transfer all pass through probate. 

A trust

A revocable living trust can hold the timeshare and pass it to your beneficiaries without probate. You can write specific instructions for how the timeshare transfers, who can use it, and how the maintenance fees get paid. You can even direct that the fees come from your estate rather than from your beneficiary’s pocket, so the gift stays a gift and doesn’t become a financial burden.

How to handle out-of-state timeshares

If your deeded timeshare is in another state, that state’s real estate laws come into play. This can force your family to open a second probate case (called ancillary probate) in that state, simply to transfer that property. That’s a second set of court fees, a second layer of paperwork, and potentially out-of-state legal counsel. A trust that owns the property will avoid probate in both states at once, so if you’re considering transferring your timeshare into a trust, that can be a compelling reason to do it.

Getting rid of your timeshare if your kids don’t want it

The paths out of a timeshare can be legally and financially complex. The best course of action is specific to your resort and your contract, so the following suggestions are general. I always recommend consulting a qualified attorney before you act.

In general, your options include: 

1. Sell: The timeshare resale market is notoriously difficult, and many timeshares resell for a tiny fraction of their purchase price, so enter this option with realistic expectations.
2. Surrender: Some resorts run voluntary “deed-back” or surrender programs. This is very resort-specific, so you’ll need to ask yours if this is an option.
3. Donate: A few charities accept timeshare donations, but this is charity-specific (and most don’t allow it). Confirm with your chosen charity.
4. Disclaim: An heir can legally refuse a timeshare inheritance, but only before accepting it and before the estate closes. Once they’ve taken ownership, that window is gone.

A word of caution on “timeshare exit” companies: 

The complexity of navigating a timeshare exit has spawned an industry of exit and “cancellation” companies. Many of these companies are predatory, charging large upfront fees without delivering results. The Federal Trade Commission and multiple state attorneys general have warned consumers about timeshare exit scams. If you’re considering an exit, be skeptical of anyone who demands a large upfront fee, and talk to a licensed attorney before signing anything.

What to do next if you own a timeshare

1. Confirm what you own. Find out if your timeshare is deeded interest or right-to-use, and make sure you can find the paperwork.
2. Have the conversation with your children or heirs, and let their wishes help dictate your plan.
3. If someone wants it: Decide between a will and a trust, and explicitly account for the maintenance fees.
4. If no one wants it: Explore surrender, sale, or donation while you’re alive, get the resort’s process in writing, and document your wishes.
5. Write it down. Note in your estate plan that the timeshare exists, where the ownership documents are kept, and what your wishes are.

The bottom line

A timeshare doesn’t have to become a financial burden or a source of family friction, but avoiding those outcomes starts with having a conversation with your heirs while you’re still here.

Ready to make a plan for a complicated asset like a timeshare? Schedule a strategy session to talk through your options with our estate planning team. 

Frequently asked questions

Can your children inherit your timeshare? 

Yes. If you hold a deeded interest, it’s treated as real estate and passes like any other real estate through your will, trust, or your state’s intestate laws. 

My parents left me a timeshare I don’t want. What do I do now? 

You generally have a few options: sell it, surrender it back to the resort, donate it, or disclaim the inheritance. Note that you can’t disclaim the timeshare after you’ve taken ownership, so this is time-sensitive. Your options will be resort- and contract-specific, so it’s best to work directly with the resort and consult a qualified attorney.

Who pays the maintenance fees on an inherited timeshare? 

That depends on how the timeshare passes. If it goes directly to an individual (or several), those people become responsible for the fees. If it’s held in a trust, the trust document will ideally spell out how the fees are paid.