Time Share Resorts

[retire@40]

Does anyone have any experience with time shares? Specifically, I'm looking into the Marriott Vacation Club http://www.vacationclub.com/en-us/home.jsp?homePortal=guest

Are these time-shares worth the cost? What are the pros and cons?

 

[sparkee]

GD-ER,

How do you "rent" timeshares? I'm assuming you haven't bought one yourself. Do you find people on-line or in classifieds who can't use their week or points? Or do you approach the hotel/unit yourself?

Richard

 

[Craig]

My sister does not make all that much money at her profession, but ... she has purchased 2 timeshares on the resale market, and has clearly saved a ton. Oddly enough, she tells me I suggested that strategy (have zero recollection : ), and she found there was an active resale market with pricing way below that offered by developers.

Sounds like a reasonable investment for a small amount, recognizing the profit is made on the buy.

Good luck.

 

[Mr._johngalt]

There are a bunch of timeshares on the resort grounds where our condo is located. This is one investment
I never looked into. The concept always seemed
unattractive to me. Maybe if I had studied it more?
I have heard favorable reports from people who took
the plunge. Like everything else, best to do your
homework..............

JG

 

[Brat]

Rarely are these 'investments' in the classic sense.

Hubby and I owned two weeks of a time share purchased from the developer. The location is/was high demand, the weeks just before tourist peak, the facility was constructed as a residential condo (not a motel/hotel conversion). We sold them for what we paid 12 years earlier, but I know of folks who purchased elsewhere who can't give them away.

There are claims that trading is a bargin. It is not cheap as you pay annual dues to the trading company (whether you trade or not), and a fee when you trade.

If we had taken that $ and invested it in a "vacation account", added the ongoing costs of the time share and trading, I think that it would have been a wash.

 

[retire@40]

Reading up on time shares a little further, it appears that the best way to purchase a time share is by buying a resale through the developer. If you buy through a third party, you may not receive all membership privileges.

I would still have to consider the annual fees and real estate taxes that run in the hundreds of dollars just to maintain the property as well as the amortized cost of the initial purchase to see if it would make econimic sense.

 

[Sheryl]

I've stayed at a few, and talked to a few people who think they are a wonderful way to go. You basically have "prepaid" for the next 10 years (or whatever) of vacations.

BUT. The trading and maintenance fees can run you hundreds more, per year.

I think there are too many limitations. Sure, some of the big companies have resorts in most of the big resort vacation areas, but what if you want to go somewhere else? What if you want to choose your own hotel, or stay in one you have heard of, seen, liked...., or can't get a week at the time you want to go....

It's just not for me, I would never do it.

 

[Martha]

What makes me squeamish about time shares is that if it is not working out for you and you can't sell it, you are still stuck for the maintenance fees. Some time shares can be very difficult to sell. I have heard too many stories about people in financial trouble who could not sell their time share but were still stuck for the fees.

When I was a bankruptcy trustee I sold some time shares and abandoned some others. When I abandoned them, they went back to the debtors, who remained liable for the maintenance fees even though they filed bankruptcy.

If you buy one, buy one that is readily saleable on the resale market.

 

[gwix98]

GD-ER,

How do you "rent" timeshares?

try vrbo.com...more time share rentals than you would want too know....

 

[Brat]

RCI may rent also.

 

[yelnad]

I have rented timeshare "points" in the past. Great experience. A good deal for me and the owner made a buck, too.

 

[spike]

I think some are a scam. If you want to go someplace why not just pay the rental fee. No obligation to return, no maintenance or taxes etc. I like to see different places each year, when I want to go, not when I can get in.

I think these outfits suck people in while on vacation and they regret it afterwards.

 

[Brat]

Won't argue with that.

 

[laurence]

Heck, I feel ripped off and I didn't even buy. While we were vacationing in Hawaii, someone asked us if we were willing to go to a 1.5-2 hour timeshare presentation, and they would pay for us to go on the Luau we wanted. 3 hours into it we only got out by me being rather rude, it was quite a scene.

Luau was good though.

Funny thing is, we've done it before for one in north San Diego (free home depot gift certificate, we were new home owners, you do the math).

In both those instances, and when my friend bought one in some God Forsaken place in the desert (Palm Springs?) the person said, "and you'll have no problem trading to different locations because everyone wants to go to (insert wherever they were) for vacation!

 

[nwsteve]

Heed the advice regarding purchasing through the resale market. Savings are significant--even 50%+ if you are patient.
Be sure you understand the annual maintenance fee.  Our unit at Whistler BC has run us the equivalent of $50-60/day equivalent in addition to our original purchase cost. 
A new developer just bought out the original developer and issued a special assessment that will add an additional $60/day equivalent for this year (we supposely get new furnishings etc).
The economics are worth doing some careful math to see how they match up to your vacation spending budget. If you routinely spend 150-200/day for your digs on vacation, then maybe not too bad of deal. If you tend to look for housing not quite as "rich" then there are better choices.
Good hunting.
nwsteve

 

[Mr._johngalt]

I never in my life even casually considered a "time share". The whole
concept seemed funky to me and I would never touch it.

JG

 

[Spanky]

I always say no to time share. It's a great money deal for the sellers.

 

[pjdaddy]

We currently own five timeshare weeks (all resale) and intend to purchase more in lieu of a second home for retirement (retiring in 5 yrs). Looking to spend winters in more favorable locations than central Indiana.

The economics can be quite favorable, but the #1 rule is always buy resale, never buy from the developer. Case in point, we own two weeks in a FL oceanfront resort that is still in active developer sales with 2BR units priced at $23K per week. We purchased our first week there on resale for $4500 and our second for $2300. There are always people looking to sell, so bargains can be had if you're willing to wait. If you purchase where you want to go, you do not have the ongoing costs of exchange-club memberships and their associated trading fees - but you do have the ongoing maintenance fees.

 

[lets-retire]

I thought it wa rather funny when I attened one of the sales pitches at a resort in Orlando. The salesman gave a best price at I think it was 17,000. After finally convincing him that no means no I had to sit through another person, who promptly lowered the price to 8,500. The answer was still no but we got our free Disney tickets.

 

[Mr._johngalt]

I thought it wa rather funny when I attened one of the sales pitches at a resort in Orlando.  The salesman gave a best price at I think it was 17,000.  After finally convincing him that no means no I had to sit through another person, who promptly lowered the price to 8,500.  The answer was still no but we got our free Disney tickets.

Man, that's a tough way to get free tickets. Personally, they couldn't pay me
enough to go back to Disney but I know lots of folks (adults) who just love it.

JG

 

[Cut-Throat]

My opinion on time share resorts is that they are a very small step up from gambling. It's where the stupid money goes. 8)

 

[gratefuled]

We had the same experience as lets-retire.

We went on one of these "free vacation" group tour things in Fort Lauderdale to get some perks in the Bahamas, and we were filtered through more and more aggressive salespeople, each with a price reduction, until we were looking at a price one-quarter of what we'd been originally quoted. My "no" was final and we escaped.

About two days later we ran into one of the couples that had been in our tour group. My wife, who has no guile and no tolerance for guile, asked them how they'd fared.

"Oh, we bought in," chirped the husband.

"What'd you pay, if you don't mind my asking?" my wife replied.

He beamed. "We knocked 'em down a good bit, from twenty grand to fifteen. What about you guys?"

My wife gave him a sad smile. "Well, every time we said no they lowered the price. The last offer they showed us was five thousand. We said no and they let us out."

The guy's mustache worked and I thought he was going to come out of his chair.

Later on, when my wife and I were alone, I bought her a drink. "You know you ruined that guy's vacation, right?"

She shrugged and raised her glass. I clinked it.

Ed

 

[spike]

I went to Margarita Island a few years back at an all-inclusive. Not much happening on that island and the food was terrible. Did manage to have some fun and flew to Angel Falls etc. But anyhow we get back and find out some friends of ours were there and bought a time-share in this hotel on the beach we stayed at. I would never go back, so I ask them how often do you go and they tell me they cannot afford the airfare back. Yikes!

 

[MJ]

Later on, when my wife and I were alone, I bought her a drink. "You know you ruined that guy's vacation, right?"
She shrugged and raised her glass. I clinked it.

That's cruel!

 

[haha]

The guy's mustache worked and I thought he was going to come out of his chair. 
Later on, when my wife and  I were alone, I bought her a drink.  "You know you ruined that guy's vacation, right?"
She shrugged and raised her glass.  I clinked it. Ed

Ed, your girl doesn't flinch. Let's hope she never draws down on you.

Your Buddy,

Ha