A Guide to Your Statement | Frequently Asked Questions

What costs are covered by my maintenance fees and who approves the amount?
Maintenance fees are approved by your association’s Board of Directors and include the operating fee, reserve fee, real estate taxes and consumption tax. In addition, your statement might also include Club Dues and Club Fees. For more details, please refer to the description inside this brochure.

Why might maintenance fees change every year?
Your Board of Directors and on-site employees work hard to maintain and enhance the service and quality at each resort. Although every effort is made to reduce costs, certain costs increase over time. For example, a hurricane or other such event might cause the cost of property insurance to increase. Additional factors contributing to a change in maintenance fees may include increased cost of amenities and activities; expense-driven inflationary trends such as real estate taxes; insurance premiums and utility costs outside the control of your association; and cost-of-living wage increases for on-site employees.

When are maintenance fees due?
Annual maintenance fees are due on Jan. 1 of each year. New Owners also pay maintenance fees when selecting occupancy rights for their year of purchase. These fees cover the calendar year and are billed shortly after purchase. Prompt payments ensure ongoing upkeep and support to your Home Resort. Late fees, interest charges and other fees are assessed on unpaid balances as outlined in your association’s governing documents or as approved by your board, as applicable.

Why aren’t maintenance fees and taxes pro-rated for new Owners?
New Owners receive a full allotment of ClubPoints when selecting occupancy rights for their year of purchase and are responsible for paying the full year’s maintenance fees.

Why do I pay maintenance fees in January when I don’t occupy my unit until later in the year?
The due date for payment is established as part of your association’s governing documents or by your Board of Directors. Your Home Resort’s budget is based on all Owners paying the maintenance fee by the due date. Paying on time ensures the sufficient flow of funds for the daily operation of your resort.

Do I still need to pay the maintenance fees if I don’t occupy my unit this year?
Yes; as an Owner, you are responsible for paying the annual maintenance fees and taxes for your Home Resort regardless of whether you occupy your unit.

How do I receive information about my Home Resort’s budget?
Details about your association’s budget are included in the letter from your Home Resort’s General Manager, which accompanies the annual billing statement.

How does the Board assess for repairs and replacements?
When planning for the long-term financial health of your association, the board uses a formal capital reserve study to determine the capital reserve requirements of the property. This study is prepared and updated by a third-party vendor and approved annually by the association’s Board of Directors.

When making these calculations, a number of items are taken into consideration, including the need to replace, repair and/or refurbish common elements and unit interiors such as roofs, pools, lobbies, furniture, appliances and carpets. These components are assigned life cycles based on how long they are expected to last before needing replacement. The study examines the cash flow required to replace each component based on its respective life cycle and how much will be spent in the coming year.

Your board uses this annual assessment tool to prepare for replacements or repairs over a 30-year period, thus helping to maintain your resort to a firstclass standard and in keeping with HGV’s brand guidelines.

How are real estate taxes determined?
A property assessor for the city in which the property is located assesses the property based on the valuation standards of fixed assets established by the government. The tax amount will increase if the valuation standards of fixed assets increase.

It is important to be informed and cautious when receiving unsolicited calls from a third party claiming to be able to sell, rent or advertise your timeshare. HGV does not share your information with any third parties. In addition, we would never solicit to rent your timeshare or hire a third party to sell or rent your timeshare on our behalf. For more information on this topic, visit my.hgv.com/fraud-alert.