If you’re trying to sell your timeshare and someone mentions ‘ROFR,’ you wouldn’t be blamed for wondering whether it’s good news or bad news. Right of First Refusal (ROFR) can delay, block, or unexpectedly change your resale transaction.
If you’re selling your timeshare, here’s what ROFR means and how it can affect your sale.
Right of First Refusal (ROFR) is a clause in many timeshare contracts that allows the resort or developer to step in and purchase your timeshare under the same terms as your buyer. If you agree to sell your timeshare to a third-party buyer, the resort may have the legal right to cancel your buyer’s contract and buy it themselves at the same price. It’s worth noting that not all timeshares have ROFR, but many major brands do.
Right of First Refusal gives the developer or resort the option to match any resale offer before the transaction is finalized. In practical terms:
If ROFR is exercised, your original buyer does not receive the timeshare, the developer does instead.
From a seller’s perspective, a ROFR can create uncertainty, but from the resort’s perspective, it helps control how inventory re-enters the market. Developers use ROFR to protect resale pricing in the secondary market, prevent extremely low-priced transfers, maintain brand value and reclaim desirable inventory.
ROFR can affect your sale in several negative ways. It can delay the closing as resorts often take several weeks to review ROFR submissions or worse, it might make the buyer walk away.
On the flip side, if the developer exercises ROFR, the seller still completes the sale at the agreed price, often with reduced risk of buyer financing issues, last-minute negotiations, or contract fallout.
If ROFR is exercised, the resort simply buys the timeshare at the same price your buyer agreed to. For your original buyer, it means they are released from the contract, and for you the seller, it just means you’re selling to a different buyer.
• Ask your resort whether ROFR applies before listing
• Set a realistic resale price
• Prepare for a review period delay
• Use a reputable closing or transfer service
• Avoid unrealistic ‘guaranteed buyer’ promises
Right of First Refusal (ROFR) and developer buyback programs are often confused, but they are very different processes. A developer buyback program, sometimes called a deed-back or voluntary surrender program, involves the developer offering certain owners the opportunity to return their timeshare directly to the resort. Compensation, if any, is often minimal, and in many cases the goal is simply to release the owner from future obligations rather than to provide resale value.
For sellers, the better option depends on the situation. If you have a willing buyer at a fair price, completing a resale, even with ROFR review, may result in greater financial return. If resale demand is weak, a developer buyback or surrender program may offer a more straightforward path out.
Right of First Refusal is a common part of the timeshare resale process. While it can add time and uncertainty, it does not prevent you from selling. The key is understanding how long a review typically takes and how pricing affects the likelihood of it being exercised.
If you need help navigating resale or transfer options, our team can walk you through your situation and explain your available paths clearly and transparently. Simply give us a call.
It is a clause allowing the resort or developer to match a third-party resale offer and purchase the timeshare under the same terms.
Not directly, but very low sale prices are more likely to trigger ROFR.
No. They can either match your agreed price or waive their right — they cannot renegotiate your contract terms.
Check your purchase documents or contact your resort directly.
The transaction may terminate, and you may need to relist the property.
Accordion ContentGenerally, no. If your contract includes ROFR, the resort must be given the opportunity to review and match your resale offer.
No. Many major developers include ROFR, but some independent resorts do not. Check your purchase documents or contact your resort to confirm.
ROFR review periods typically take between two and four weeks, though timelines vary by resort and season. The sale cannot move forward until the developer formally waives or exercises their Right of First Refusal.
ROFR allows the developer to match a resale offer before the transfer is finalized. A title transfer is the legal process of changing ownership after approval. Learn more in our guide on Timeshare Title Transfer: How It Works.
ROFR can delay a sale, but if exercised, the seller still sells at the agreed price, often with less risk of buyer financing issues.
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