In the U.S.A. it is impossible to sell timeshares without having a minimum 80% equity by the owners/directors/trustees -that means there can only be 20% loans due on the property,and normally that is done on vacant land which has yet to be developed or for bringing the resort up to a five star standard.
With all the timeshare sales that have happened on this island and with the exception of Capt. Morgans all have failed miserably. I think that the questions are fair and valid,and should be answered completely especially if it is going to be sold differently to the U.S.A. where purchasers
are totally protected by state and federal law.
The problems here come down to there being no law and no protection for a client who purchases as they will always be the second lien holder for example if I borrow from one bank on a land/building project no other bank will take a second lein-however if I get a non-banking institution i.e. potential purchaser to lend/give money the same rules do not apply.The secondary creditors will unfortunately be in the mire and up a creek without a paddle if the resort fails and goes into receivership(as many have done but not in the U.S. or the U.K.).
However on the positive side if there is a full disclosure of assets and liabilities of the principles,as there should be as the purchaser is entering a legally binding contract with them and should have all facts and figures to hand-just like buying shares in any company everything must be available for the prospective investor.If this is made public(at least to the potential investors) I believe that Costa Maya/Yucatan Resorts/Avalon/Casa Caribe could well be a very successful resort.