# [2008 Thread] How to reduce Maintenance fees?



## Rose4 (Jan 15, 2008)

I recently found this site and yes, I also wish I'd found this a lot sooner.  I own 300,000 pts at Edisto Island and 168,000 every other year at Hancock Bentley Brook.  Our maintenance fees have blossomed to almost $2000/yr.  Is this what others at these resorts are paying?  Any suggestions for how to reduce this?  I really don't want to get out of timesharing as we have been to some great places.  My husband is getting closer to retirement and the kids close to being in college.  It won't be long before I won't have to work around school holidays.  I guess we could sell but we'd lose most of what we put in this.  I read somewhere that if you bought more points at Wyndham you can get a situation with no increase in your maintenance fees.  Anyone know about this?      There are some pretty knowledgeable folks in this forum.  I appreciate any input on this.


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## Jya-Ning (Jan 15, 2008)

Rose4 said:


> I read somewhere that if you bought more points at Wyndham you can get a situation with no increase in your maintenance fees.  Anyone know about this?



That is lived in salesman's dream line and (s)he know it will never happen.

On the other hand, these are some possible methods for you to think about, it may help you reduce some of your MF burden

1. FF salesman will tell you that your MF will get increase again by a big number, and by buying from them and doing "exchange" or "equity transfer", you will get a new deed with all the points in the new resorts which will have less MF per point.  For doing that, your purchase price per point will be higher than their normal charge.

It is true because new resorts that has yet to be open does not really need any maintainence.  Thus, it is having less MF.  Once it starts open, it need cleaning and maintain, so you will see your MF go up, and it may or maynot higher than your existing MF per point.  So, you have about 2 to 3 year to enjoy the low MF, if you have 4 M+ point, it may worth the consideration.  If not, the loss of the purchase money along will not make it work.

2. Some people doing renting business.  So they rent out some of their reservations or some of the points to another owner, it help them reduce their MF fee.  However, good landlord is a talent, and you may or may not want to step in.

3. Some people constantly buy and sell timeshare, and sometimes, the TS comes with MF paid, so they get free vacation, most of the time, with the profit it made as business, it help the MF.  However, doing business as buy and sale need certain talent also.

4. Save money that intended for MF.  It is doable.  You know the amount you are paying, you know the ratio it get increased, you can find all kinds of calculator to tell you how much it needs to save to achieve that goal, it is simple, and you got control the money and how it get used.  It is espcially helpful if you buy resell and pay the retail money.  Most people after setting a goal and displine themselves will reach it.

5. although you can sell your TS holding and buy other TS with less MF in mind, since your contract come with VIP, I probably will not suggest you do it.  Otherwise, you will loss your VIP status, you can wait till you think the VIP benefit is no longer adjustifiable to your holding.

6. If you do need more vacation, learn using exchange to extend your use of the points instead of buying more points.

Jya-Ning


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## acesneights (Jan 16, 2008)

There is no way to reduce your MF exept to sell and lose 100% of your investment.

Edisto is an old resort in hurricane country and has very high insurance and updating expenses. Resale is almost nil. You can get Edisto thru RCI for 28K almost year round.

BB is in Taxachusetts, enuf said.

The low resale reflects the high MF.

Try to use RCI 28K exchanges to make the most of your points.

Even with your relatively high MF, a week will cost you 28K or about $140 plus the $164 RCI fee or about $300.

Stan


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## johnmfaeth (Jan 16, 2008)

I must say you are paying for what you are getting and still it's a bargain.

384,000 points a year for $2000 is a steal. With those points, you can get a unit at a 3-4 star wyndham on the beach in St. Thomas which sleeps 4 for 27 nights each year. That unit costs over $200 per night directly from Wyndham for a value of almost $6,000.

Perhaps you need to decrease your holdings if you have less vacation needs.

But inflation is reality. Have you looked at equivalent hotel prices everywhere lately?

PS. I don't mean to sound cold. The MF's are a function of what it actually costs to run a resort. The dramatic increases in the cost of energy, insurance, labor, etc. in recent years have had an impact, just as they have had on your home. In reality, you would not want a resort that didn't increase fees, even if it existed. As other costs increased, they would have to canibalize other parts of the budget and quality would suffer quickly.


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## Rose4 (Jan 17, 2008)

Thank you all for your informative replies.  I'm not sure I have the talent or comfort level to rent.  Using RCI blue weeks would be a way to maximize usage tho I have had trouble getting where I want to go when I want to go.  Once school holiday restrictions end for my family, I think that situation will improve.  I also appreciate the comment about comparing fees to current hotel costs.  So...I think we'll talk to Wyndham about an equity transfer and try to calculate whether we should go forward with that or just keep what we have and make the best use of the points.  Again, thanks for your input.


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## Jya-Ning (Jan 17, 2008)

Rose4 said:


> So...I think we'll talk to Wyndham about an equity transfer.



After you get the MF figure of the new resorts, get the point chart, times the MF with the point chart to see how much it will be for a 2 BD MF then go to eBay, look around resorts in that area, see the one that in at least higher end to get their MF, that is what you may expect to see in 3 years.

If looks O.K., then worry about the calculation.

If not, I have see the new resort MF get increased over 30% for 2 years.

Jya-Ning


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## acesneights (Jan 20, 2008)

Equity transfer NEVER makes economic sense.

You out of pocket outlay will take forever to make back in lower MF, even with a 3% rate of return on the cash outlay.

You already have as low a MF as you can reasonably expect in the FSP system.

Atlantic City is a good example of a 50%+ rise in MF after equity transfers and sales ended.

Renting points is extremely simple and would allow you a profit on your unused points that would far exceed what you would get from selling them.

Stan


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## Rose4 (Jan 21, 2008)

Stan,
You are correct.  I spoke with the Wyndham rep and can only shake my head.  His proposal was for me to transfer all current pts to Ocean Blvd crediting them at full original purchase price, then spend $19000 for 116,000 more pts at Ocean Blvd (have to buy more pts to do transfer).  My MF would be over $40/mo more than what I am currently paying, though he says there would be no assessments like I will be getting at Ocean Ridge.  How can he promise this? He says I could rent points through Wyndham to pay MF. Checked into this but at a disappointing conversion rate of .0021, that is not a good option for me. He also suggested a possibility of transferring to the new Lake Marion site that was bought by Wyndham earlier this month.  After checking this site and the Wyndham yahoo owners site for info, I believe that is not a good option either.  Definitely better to use my points for good vacations that are out there and try renting unused pts thru this site as you and others suggest.  Many thanks for the help and info from replies.


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## lprstn (Feb 19, 2008)

I did an equity tranfer/upgrade to get VIP and to get my Sheraton in the PIC program.  It was a good incentive for me.  However, I will NOT purchase more points from the developer now that I know better.  You are correct, I see no true value in what the salesperson is trying to hash at you. No matter what you own MF will go up.


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## dgalati (Jan 14, 2020)

@SNA this is another thread from years ago about the Wyndham sales tactic of buying more points to rent and cover maintenance fees. It must be pretty successful for sales that it is still being used today.


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## gwberg (Jan 18, 2020)

acesneights said:


> Equity transfer NEVER makes economic sense.
> 
> You out of pocket outlay will take forever to make back in lower MF, even with a 3% rate of return on the cash outlay.
> 
> ...



How do I rent points? 


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## dgalati (Jan 18, 2020)

gwberg said:


> How do I rent points?
> 
> 
> Sent from my iPhone using Tapatalk











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## bnoble (Jan 19, 2020)

This is a very old thread. It is no longer possible, except directly from Wyndham at a steep price point.


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## gwberg (Jan 19, 2020)

Thanks. I thought as much.


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