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What is Fair Value for Cypress Palms

realthinman

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I am looking to sell my Timeshare at Cypress Palms - 154,000 points annual - I have not used any 2014 points.

I have read about posting here and on redweek, but I am confused about weeks etc. I don't think I have a week, just points.

I am hoping someone can help me better understand what I have and what is a good price (sell in 2 or 3 months) for this.

Thank You!

Tom
 

Bigrob

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Hi, within Wyndham, there are 3 general things that determine the value of a Wyndham property. I've found that they are in this order:

1. Maintenance fees - the MF/K$ is the single most important factor in the value of the underlying timeshare. The most valuable are the ones that run at under $4/K pt. They can run up to a penny a point in resale value. Between $4-4.50 is still very good, and run between $6 and $8 K pt. Between $4.50-$5.00 or so, generally runs about $5/K. Properties over $5/K taper off in value unless the second factor comes into play:

2. Advanced Reservation Priority, or ARP - the second most important factor. Certain properties are impossible to book at peak time unless you own there and can book during the ARP period. Because ARP has a varying degree of appeal to buyers, where low MF's are universally appealing, I find that desirable ARP is a lesser influence. Certain resorts such as La Belle Maison and to a lesser extent, Bonnet Creek, have both desirable ARP and relatively low MF, making them more expensive than either factor alone would indicate. Other locations with desirable ARP keep points deeded there from being worthless due to high MF - locations such as Glacier Canyon, Ocean Walk, Great Smokies Lodge - have periods of extremely high demand.

3. Total number of points - everything else being equal, larger point packages are more valuable than smaller ones for a variety of reasons. For a small points owner, the minimum fees come into play, making the club wyndham fees proportionally higher. For the large account holder, with a limit to the number of contracts in an account, the smaller point packages aren't worth fooling with. Multiples of 77K are better choices because each 77K gets a reservation transaction. 231K may be an ideal size as it is sufficient to get a 2BR in peak season at most resorts except the newest, highest value resorts, get 3 reservations transactions, etc. But it isn't so large that's it too big for a newbie to bite off.

There are other factors - CWA is worth more than an deeded property with the same MF; UDI's are worth more than converted fixed weeks (in almost all cases, but there are some exceptions).

Cypress Palms, unfortunately, is not a big winner on any of these accounts. The maintenance fees are at or above average and Orlando is over-built, so the ARP has no value. Most people wanting to stay in the area opt for Bonnet Creek or Reunion instead. Perhaps a quick way to assess value is to check out completed listings on ebay.
 

vacationhopeful

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Bigrob has done a excellent job on his OVERVIEW on value ... your Orlando area Wyndham points are just average - not special which would drive up the value.

But at 154K, that NUMBER of points gets a first time buyer a 1bdr in 90+% of the resort during PRIME time (at the 10 month booking window). So, it is a GOOD entry level on points - above the minimum base FEES Wyndham has set. In the LOWER resort seasons (off season travel), the new owner would be able to book many 2/2 size unit.

As for the 2014 USE Year's POINTS - the transfer to a buyer if started now, would take 3 months minimum - setting up an RCI account - add on another 4 months for the NEW owner. I recommend you USE the 2014 points, perhaps if your Wyndham RCI account is setup and these are NOT your only Wyndham points. You could even "gift" an exchange to a Family member, if those are YOUR ONLY Wyndham points - but I believe TRAVEL has to be done, before the account is transfer out of your name.

Your MFs are about $1000 for 2014? Might want to figure out your options.
 

ronparise

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Good job Eric. The only things I would change are these.

1) Regarding ARP: You say "I find that desirable ARP is a lesser influence"

I think ARP has equal if not even more influence here. and worse, for a numberss guy like me its unpredictable. MF and the value it brings is quantifiable.The value ARP brings is subjective. It only takes two guys, from the upper midwest, with kids thhe wants to take to the waterpark, to drive the price of a Glacier Canyon contract through the roof.

2) Regarding the total number of points, I agree that the small points contracts should command less per 1000 points, I also think the big contracts do too. There are only a few of us that want those big contracts and very few that are bumping up against the 40 contract limit per account. Also we tend to have our limits. I mean we know what these things are worth to us and we have calculated limits as to what we will spend.

I think there is a "sweet spot" when it comes to value. The 231k and 308k contracts seem to hit it

But none of this has any bearing on the ops question. As you point out Cypress Plams has higer than average mf, and no value for ARP If the op can cover closing costs he will be doing well
 

realthinman

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Ouch - that is what I was afraid of. Thank you for all of the unbiased information.

I guess that leads me to Part 2 of my question:

I have RCI and I have been dumping all of my points in there. My RCI points expire in 5 months - Should I roll my Wyndham Points / Pay to extend my RCI points - I think I have 186,000 RCI currently and I think it will cost 100 dollars to keep the points.

Thank you for the excellent information.

Should I post (to sell / Get rid of) on TugBBS / RedWeek or Ebay? - Also - do I need A Seller Kit or is this just a transfer with Wyndham?
 

Bigrob

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Good job Eric. The only things I would change are these.

1) Regarding ARP: You say "I find that desirable ARP is a lesser influence"

I think ARP has equal if not even more influence here. and worse, for a numberss guy like me its unpredictable. MF and the value it brings is quantifiable.The value ARP brings is subjective. It only takes two guys, from the upper midwest, with kids thhe wants to take to the waterpark, to drive the price of a Glacier Canyon contract through the roof.

2) Regarding the total number of points, I agree that the small points contracts should command less per 1000 points, I also think the big contracts do too. There are only a few of us that want those big contracts and very few that are bumping up against the 40 contract limit per account. Also we tend to have our limits. I mean we know what these things are worth to us and we have calculated limits as to what we will spend.

I think there is a "sweet spot" when it comes to value. The 231k and 308k contracts seem to hit it

But none of this has any bearing on the ops question. As you point out Cypress Plams has higer than average mf, and no value for ARP If the op can cover closing costs he will be doing well

I agree Ron. You stated it better than I did but we were actually in agreement. Low MF's is a universal trait that consistently drives Steamboat Springs, Bali Hai, Panama City Beach, Canterbury etc. contracts toward a penny a point. The ARP is much less predictable because it's value is not universal... so it just depends on if someone that really wants that ARP happens to be in the market at that time. Therefore, I view that ARP does not as consistently drive up the value as does low MF. And for the same reason, a MUCH larger contract starts to fall off in value because it lowers the pool of potential buyers.
 

Bigrob

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Ouch - that is what I was afraid of. Thank you for all of the unbiased information.

I guess that leads me to Part 2 of my question:

I have RCI and I have been dumping all of my points in there. My RCI points expire in 5 months - Should I roll my Wyndham Points / Pay to extend my RCI points - I think I have 186,000 RCI currently and I think it will cost 100 dollars to keep the points.

Thank you for the excellent information.

Should I post (to sell / Get rid of) on TugBBS / RedWeek or Ebay? - Also - do I need A Seller Kit or is this just a transfer with Wyndham?

You could join Redweek and post an ad there, and it would probably move eventually. But you could do that here (in the bargain section) for free. Was Linda's assessment of your MF's correct? $1000/year? Wherever you place your ad, you'll want to include all the details so people will know what you have. A recommended closing company - and one that I have used for several transfers - is LT Transfer. They are relatively inexpensive and I've never had a problem with one of their transfers.
 

realthinman

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Yes, Linda is pretty close - maybe closer to 900 annual. Thank You for the information about LT Transfer. I will look into that.
 
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