The concept of timeshare estates varies from state to state, so it is difficult to make any general statements about its nature. However, timeshare ownership usually applies to condominium projects (usually located in resort areas) and provides multiple owners of an individual unit the right to occupy it during various and specific time periods of the year. Timeshare ownership involves an undivided interest in a living unit according to the number of weeks purchased. For instance, a person buying a one week timeshare will own an undivided 1/52 interest in the timeshare property.
There are many types of interests created in timeshare projects ranging from actual co-ownership tenancy to “club memberships” or “vacation licenses” where no actual ownership exists. When timeshare estates are held as tenants in common, each owner has the undivided right to use the property for a specific time period during the year. The timeshare purchaser may own what is commonly called an “interval estate” (an estate for years in a specific, described parcel of real estate for a designated recurring period of time), or a “timespan estate” (an undivided interest in fee simple in a designated parcel of real estate with the exclusive right of occupancy in that parcel of real estate for a designated recurring period of time). There may also be a leasehold timeshare estate.
Under co-tenancy, it is possible that the interests of all owners of a particular time-share unit may be sold to enforce one owner’s delinquent state or federal tax liens s with the balance of the proceeds from the sale being distributed pro rata.