If you are considering purchasing a timeshare in Nebraska (or have already done so), you should take the time to learn about the various protections that state law provides for timeshare purchasers, such as the right to get a copy of the public offering statement and a right to cancel a timeshare contract. But you still need to be careful when purchasing a timeshare, and you should be aware that if you don't make your timeshare mortgage or assessments payments, you may lose your timeshare through foreclosure.
Keep reading to find out some of the most noteworthy features of Nebraska law that pertain to timeshares.
A public offering statement contains general information concerning the timeshare developer and the timeshare plan. If you buy a timeshare in Nebraska, the timeshare developer must provide you with the public offering statement at the time of purchase (Neb. Rev. Stat. § 76-1713).
The public offering statement must include, among other things, a general description of the timeshare units, any fees due from the purchaser at closing, a description of any financing offered by or available through the developer, and information on how the purchaser can cancel the contract (Neb. Rev. Stat. § 76-1713).
Under Nebraska law, you can cancel a timeshare purchase contract within three business days after receiving the public offering statement (Neb. Rev. Stat. § 76-1716(1)).
You can cancel your timeshare purchase by:
If you choose to cancel the contract, the developer must refund all payments (without penalty) within 30 days after receiving your notice of cancellation (Neb. Rev. Stat. § 76-1716(1)).
One of the common features of timesharing is the ability to exchange your timeshare week (or other designated period of time) for someone else's.
In Nebraska, if the timeshare purchaser is permitted or required to be part of an exchange program, the public offering statement must make certain additional disclosures, including the identity of the person operating the exchange program (and whether or not that person is an affiliate of the developer), the cost of participating in the exchange program, and the geographical location of each timeshare project in the exchange program (Neb. Rev. Stat. § 76-1714).
When you purchase a timeshare in Nebraska, the timeshare developer must put any money you pay in connection with the purchase into an escrow account (Neb. Rev. Stat. § 76-1715(1)).
The funds must be released:
In many cases, timeshare purchasers take out a loan to finance the purchase of a timeshare. If the deadline to cancel the contract has passed and you don't make your timeshare mortgage payments, you could lose your Nebraska timeshare through foreclosure. (Learn more in Nolo's article Timeshare Foreclosures.)
In addition to monthly mortgage payments, timeshare owners are generally responsible for maintenance fees, special assessments, utilities, and taxes, collectively referred to as "assessments." You will also likely face foreclosure if you fall behind in the timeshare assessments. (For more information on timeshare assessment foreclosures, see Nolo's article Can Timeshares Be Foreclosed for Nonpayment of Fees and Assessments?)
To find the laws governing timeshare transactions in Nebraska, go to the Nebraska Legislature's webpage at http://nebraskalegislature.gov and click on "Bills and Laws," then "Law Search," and "Nebraska Revised Statutes." The relevant statutes are located in Chapter 76 (Real Property).