Florida Community Association Manager Practice Exam

What is the maximum allowable one-time payment a seller must provide notice of for an out of state timeshare plan?

1. $500

2. $1,000

3. $2,500

4. $3,000

The correct answer is: $1,000

The maximum allowable one-time payment a seller must provide notice of for an out-of-state timeshare plan is established at $1,000. This figure is influenced by various regulations that aim to protect consumers engaging in transactions involving timeshares, especially those based out of state. The rationale for requiring this notice ensures transparency in financial commitments associated with timeshare purchases. Sellers are obligated to notify potential buyers of the maximum fee to help them make informed decisions. By specifying this amount, it establishes a clear benchmark for sellers and buyers, thereby minimizing potential confusion or disputes regarding payment expectations at the time of sale. In this context, the options presented reflect various amounts, but conditions set forth in Florida's timeshare regulations clarify that $1,000 is the threshold that triggers the seller's obligation to provide such notification.