# why all the give away timeshares?



## hatrick (Apr 8, 2015)

I am new to timeshare ownership and was just wondering why there seems to be little or no market for resales and people are actually paying to get rid of them?  I am buying a unit at the Eastern Slope Inn in my home state of New Hampshire and I bought it off ebay.  My $1 bid got it and it comes with all closing costs and transfer fees paid plus maintenance fees are paid for 2015 & 2016.  Essentially I have nothing further to pay until 2017 and have two free weeks to boot.  Truthfully, the "to good to be true" thought exists despite visiting the resort, speaking to another owner and joining TUG. Am I missing something?  This resort has a rental program and they take 51% of the rental income but factoring in maintenance fees and the lowest possible weekly rental rate during this week (peak season) I should at least cover my fees once my free usage expires, if I choose not to use it personally.  I suspect a couple of years from now I'll know the answer but the suspense is killing me lol.


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## hatrick (Apr 8, 2015)

hatrick said:


> I am new to timeshare ownership and was just wondering why there seems to be little or no market for resales and people are actually paying to get rid of them?  I am buying a unit at the Eastern Slope Inn in my home state of New Hampshire and I bought it off ebay.  My $1 bid got it and it comes with all closing costs and transfer fees paid plus maintenance fees are paid for 2015 & 2016.  Essentially I have nothing further to pay until 2017 and have two free weeks to boot.  Truthfully, the "to good to be true" thought exists despite visiting the resort, speaking to another owner and joining TUG. Am I missing something?  This resort has a rental program and they take 51% of the rental income but factoring in maintenance fees and the lowest possible weekly rental rate during this week (peak season) I should at least cover my fees once my free usage expires, if I choose not to use it personally.  I suspect a couple of years from now I'll know the answer but the suspense is killing me lol.


 "What good fortune for government men do not think" Adolph Hitler


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## vacationhopeful (Apr 8, 2015)

Prime rental weeks in a drive to area - ski areas in New England ... means generally mostly long weekend rentals. Won't cover your MFs and you won't get any residual usage -- the empty midweek nights.

Now, if this resort has an indoor pool and owners get DAY GUEST passes for free ... might be a better deal. Shawnee Resort in the Poconos, PA has FREE day passes for owners (those who have a deed in their name) ... have to get the pass at the Front Desk daily. Shawnee has a nice indoor pool, indoor gym and many activities plus 2 summer outdoor pools & tennis court.


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## Passepartout (Apr 8, 2015)

Congratulations! and Welcome to TUG. If you can use what you bought, it will provide you and your family many good vacations. Timeshares are worth 0-10% of their retail cost. There is no viable resale market. It's a shame, but the reality. It is unlikely that rental income will cover the annual maintenance fees, but for your own use, mox-nix.

If you choose to exchange for other timeshares elsewhere, you'll want to find out which exchange company your resort is associated with, and they'll help you set up a membership there.

Stick around TUG and learn how to get the most out of what you own. You have much to learn.

Welcome...

Jim


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## hatrick (Apr 8, 2015)

yes it does have indoor pool and does come with free owner usage throughout the year (which I probably will never use).  I did consider the weekend usage only and it probably won't fully cover Maintenance fees but it should at least dent them. thanks for reply


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## hatrick (Apr 8, 2015)

Yes I do have much to learn, like how to correctly post and reply to messages in this forum lol.  I have plenty of questions on floating weeks as I envision a rush to reserve the best weeks and others being stuck with weeks you couldn't give away. The point system is another area I need to educate myself in.  All in good time I guess


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## presley (Apr 8, 2015)

People get old or their lives just change too much to continue with regular travel.  Since nobody will buy the timeshares, they give them away or pay a company to take it from them so they aren't stuck paying the annual fees for something that won't use.


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## TUGBrian (Apr 8, 2015)

Supply and demand!

sellers have always outnumbered buyers in the resale market by a large margin, that combined with a number of other factors has driven prices to levels never previously before seen!

pat yourself on the back that you discovered the resale market before buying...most do not!


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## bogey21 (Apr 8, 2015)

The main reason Weeks are given away is because things have changed in Owner's life and they don't want to pay MFs for Weeks they aren't going to use or trade.

FWIW I have personally been through the disposal cycle.  Early on I was able to sell Weeks I no longer wanted at breakeven or in some cases at a profit.  For example I netted a profit when I divested my 4 Marriott Weeks.  The next stage was a period when I was able to sell my no longer needed Weeks at a loss.  Later I was able to donate Weeks to numerous charaties which would sell them and create a tax deduction for me.

The next stage was Deed Backs to the Resorts.  I was able to Deed Back Weeks at 4 different Resorts.  It took a little persistence but I got it done.  

Today it is almost impossible to sell a Week for any meaningful amount of money let alone a profit; Charaites are no longer interested; and only a few Resorts will accept Deed Backs.   Thus if you want out, the logical next option is to give your Week away.

George


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## AwayWeGo (Apr 8, 2015)

*Hard To Sell'm When They Aren't Worth Much Of Anything.*

We gave away ours because it was simpler to give'm away for nothing than to try to sell'm for next to nothing. 

_Full Disclosure*:*_  Timeshares have never been worth what timeshare companies charge for'm.  Even so, resale timeshares used to have _some_ value.  (That was then & this is now.)  However that may be, back before timehare values tanked, we actually did sell a nice Orlando floating-week 3BR lock-off unit for the same amount that we paid for it, resale -- $3*,*500.  Bought it in 2002 & sold it in 2003.  Economic conditions headed downhill after that.  So it goes. 

-- Alan Cole, McLean (Fairfax County), Virginia, USA.​


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## DeniseM (Apr 8, 2015)

For newbies who may be reading this, the tax deduction for *donating* a timeshare is equal to the fair market value.  The fair market value of a timeshare that you give away for $0 - is $0.  

Many of the pseudo-timeshare charity companies, claim that you can get a high tax deduction for your donation as part of their promotion.  If you get audited, the IRS may see it differently...


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## missyrcrews (Apr 8, 2015)

*Love Eastern Slope Inn!*

I've never tried to rent my weeks through our resorts internal program...always chosen to use or exchange them through RCI.  We also own in NH, and we've visited there all seasons.   Hope you'll enjoy Eastern Slope.  We used a Last Call vacation there several years ago, and loved it!  Very convenient to several ski resorts, and being able to walk around town without worrying about parking is wonderful.  We hope to trade back in there sometime.  Congratulations!  Timesharing is what you make it to be.  We've loved it, and have found that it makes us take those family vacations, since we've already paid for them!


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## vacationhopeful (Apr 8, 2015)

hatrick said:


> yes it does have indoor pool and does come with free owner usage throughout the year (which I probably will never use).  I did consider the weekend usage only and it probably won't fully cover Maintenance fees but it should at least dent them. thanks for reply



Never say NEVER! If you have kids or like going for a drive, your indoor pool usage and light dinner for the family might be far better family time than a trip to "the mall" or endless TV watching.


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## bogey21 (Apr 8, 2015)

DeniseM said:


> For newbies who may be reading this, the tax deduction for *donating* a timeshare is equal to the fair market value.  The fair market value of a timeshare that you give away for $0 - is $0.



Very true.  In my case I deducted the amount that the charity received when they sold my Week.

George


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## WinniWoman (Apr 8, 2015)

hatrick said:


> I am new to timeshare ownership and was just wondering why there seems to be little or no market for resales and people are actually paying to get rid of them?  I am buying a unit at the Eastern Slope Inn in my home state of New Hampshire and I bought it off ebay.  My $1 bid got it and it comes with all closing costs and transfer fees paid plus maintenance fees are paid for 2015 & 2016.  Essentially I have nothing further to pay until 2017 and have two free weeks to boot.  Truthfully, the "to good to be true" thought exists despite visiting the resort, speaking to another owner and joining TUG. Am I missing something?  This resort has a rental program and they take 51% of the rental income but factoring in maintenance fees and the lowest possible weekly rental rate during this week (peak season) I should at least cover my fees once my free usage expires, if I choose not to use it personally.  I suspect a couple of years from now I'll know the answer but the suspense is killing me lol.



I love the Eastern Slope Inn! It was one that I was hoping to get for summer (or South Mountain), but Pollard Brook came up for free  (with free 2015 usage) instead so grabbed it as it fit our summer schedule perfectly and is close to where our son lives (Plymouth). They allow day usage.

BTW- You can use Trading Places, DAE, RTX and Platinum Interchange to exchange for FREE. Free membership as well. Simple week for week exchange. Good to get your feet wet when the time comes. Smaller inventory than the big guys, though.

Congratulations!


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## Cheryl20772 (Apr 8, 2015)

...and those salespeople lied back in the good old days. Many people were sold those retail prices after being told this is an 'investment' and real estate always appreciates. 

Now the buyers are reaching terminus and find they can't give these maintenance fee obligations away, so they have to sweeten the deal by paying closing fees and adding free weeks. 

The resorts are so nice to stay in. Resale is really the best way to get in- even with some resale prices going up a bit. I hoped you have chosen the right resort for your needs.


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## ace2000 (Apr 8, 2015)

hatrick said:


> My $1 bid got it and it comes with all closing costs and transfer fees paid plus maintenance fees are paid for 2015 & 2016.  Essentially I have nothing further to pay until 2017 and have two free weeks to boot.



Well, blow me down with a feather!!!  You mean you got two years of MFs paid with your timeshare purchase???  Some were telling me not too long ago that just never happens.


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## WinniWoman (Apr 8, 2015)

Is it a fixed week, floater or points that you bought? A lock off?


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## hatrick (Apr 8, 2015)

ace2000 said:


> Well, blow me down with a feather!!!  You mean you got two years of MFs paid with your timeshare purchase???  Some were telling me not too long ago that just never happens.



I've been following the market on ebay for a few months now and bid on another unit that I did not get; but this came up and couldn't see much downside. I'm very familiar with North Conway and own property in Berlin (north of North Conway) so I visited the resort to check it out in person. I was concerned with buying something sight unseen so buying close to home was my plan. If this works out I'll probably be in the market for another but have lots to learn before I do as another member correctly noted.  My apprehension is do to this lack of knowledge and wondering "what's the catch", as it does seem a little to good to be true.


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## hatrick (Apr 8, 2015)

mpumilia said:


> Is it a fixed week, floater or points that you bought? A lock off?



It's a studio unit with a murphy bed.  Haven't seen it in person but have seen pics.  Mostly buying for the location and experience. Maintenance fees are low ($327) and I did a search on a discount hotel site and found the unit rents through the hotel for a low of $776 for that week. Its in peak foliage season for that area and the location of the resort is in the center of town. I do expect to be able to rent it through their program but even if I can't the MF won't kill me.  If I can't use it I have family that probably will. It's been a popular destination with my family for many years.


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## hatrick (Apr 8, 2015)

mpumilia said:


> Is it a fixed week, floater or points that you bought? A lock off?



Oh it's a fixed week with I believe RCI exchange but not 100% sure about that.


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## CO skier (Apr 8, 2015)

hatrick said:


> My apprehension is do to this lack of knowledge and wondering "what's the catch", as it does seem a little to good to be true.



Timeshares are easy to acquire; many are difficult to unload.  You will undoubtedly get what you paid $1.00 for.

The catch is that this timeshare, like many, has negative value.  The current owners paid the marketing company probably $1500-$3000 to unload this timeshare for them.  There is so much supply on the market, the marketing company has to bribe potential buyers with 2 years of free usage.  (Others bribe buyers with hundreds of dollars worth of prepaid Visa cards).

What is your plan for someday disposing of this timeshare?  Will you be able to find a buyer for it on your own, or will you have to pay a broker or timeshare disposal company a couple thousand dollars to be rid of it?

If you know you will be using it every year for 15-20 years, maybe it is not a bad deal.

$1500-$3000 would pay for many years of renting a studio somewhere without the hassle and obligation of owning a non-peak, low trading power, high-supply & low-demand timeshare.

Good luck to you if you sign the purchase agreement.


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## hatrick (Apr 8, 2015)

What is your plan for someday disposing of this timeshare? Will you be able to find a buyer for it on your own, or will you have to pay a broker or timeshare disposal company a couple thousand dollars to be rid of it?

no plans to sell it. Maybe in the future if for some reason the MF got to be a burden but don't see that happening. No interest in trading it either. It's a great week to be in North Conway and it's less than 2 hours away. I could even commute to my job in Portsmouth if for some reason I couldn't take the time off.


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## Passepartout (Apr 8, 2015)

Congratulations. You got a week that you will use, enjoy, can drive to. If it's a fixed week, you'll find other owners there at the same time you are. It will truly be like having a vacation home to go to rather than a hotel type accommodations. 

This is absolutely the right reason to buy in the right place.

You done good.

Jim

My guess is that when you tire of it and want to dispose of it, there either is or will be a way to post it for sale to other owners at the resort who want another week- you might even want to add an adjacent week so you can stay for two or more.


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## CO skier (Apr 8, 2015)

hatrick said:


> Am I missing something?



When you ask this, do not be surprised when responders point out what you may be missing.


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## CO skier (Apr 8, 2015)

hatrick said:


> I am buying a unit at the Eastern Slope Inn in my home state of New Hampshire and I bought it off ebay.  My $1 bid got it and it comes with all closing costs and transfer fees paid plus maintenance fees are paid for 2015 & 2016.  Essentially I have nothing further to pay until 2017 and have two free weeks to boot.



Did you notice that a previous bidder with a $300 prepaid Visa card must have backed out of their bid?

http://www.ebay.com/itm/Eastern-Slo...219?pt=LH_DefaultDomain_0&hash=item5670bbb503

And the subsequent auction with a $500 prepaid Visa card did not garner any bids?

http://www.ebay.com/itm/Eastern-Slope-Inn-Timeshare-North-Conway-NH-No-Res-/371281402585?



Just something to think about.


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## hatrick (Apr 9, 2015)

CO skier said:


> When you ask this, do not be surprised when responders point out what you may be missing.



What I'm missing? Based upon the responses:

1. Time shares are not good investments.
2. Don't buy unless you plan on using them personally for years to come.
3. No control over future MF or special assessment fees.
4. Best to buy locally.
5. Plan on paying to dispose of them when the time comes.

Thanks for the advise!


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## WinniWoman (Apr 10, 2015)

hatrick said:


> Oh it's a fixed week with I believe RCI exchange but not 100% sure about that.



Since you intend to use it mostly, I am a big fan of the free timeshare exchange companies as opposed to RCI at the rare times you do want to exchange. Even though they have smaller inventory than RCI, you can do ok with them. For most, you do not have to deposit your week before you find a suitable trade. And their exchange fees are lower than RCI. These are DAE, RTX, Platinum Interchange, Trading Places. SFX- you have to deposit first. They also have good promotions and bonus weeks, etc. You can also do a free exchange here on TUG via the Marketplace.

PS It is good you bought a fixed week and you like going that time of year. Makes things simple and easy to use.


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## hatrick (Apr 10, 2015)

Passepartout said:


> Congratulations. You got a week that you will use, enjoy, can drive to. If it's a fixed week, you'll find other owners there at the same time you are. It will truly be like having a vacation home to go to rather than a hotel type accommodations.
> 
> Thanks for the vote of confidence. I bid on it before joining TUG so I was a bit reluctant/weary but now feel better about my decision. Just signed the papers today. Looking forward to September (but not to fast I'm done with winter for awhile).


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## amluckau (Apr 11, 2015)

*Not my experience...*



Cheryl20772 said:


> ...and those salespeople lied back in the good old days. Many people were sold those retail prices after being told this is an 'investment' and real estate always appreciates.
> 
> Now the buyers are reaching terminus and find they can't give these maintenance fee obligations away, so they have to sweeten the deal by paying closing fees and adding free weeks.
> 
> The resorts are so nice to stay in. Resale is really the best way to get in- even with some resale prices going up a bit. I hoped you have chosen the right resort for your needs.



We've been timeshare owners since '84 and have added to our portfolio and attended countless presentations. NEVER was it laid out as a real estate investment, but rather as a vacation, family and friends investment. And it certainly has been that!


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## Jim Bryan (Apr 11, 2015)

We enjoyed the Eastern Slope Inn. Liked the way it's close to town and restaurants to walk to. Stayed in a one bedroom.


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