What would you buy for $195,000?

[Steamboat Bill]

The Exclusive Resorts (luxury residence club/timeshare) is the #1 Destination Club with over 2,000 members. The cheapest ( membership is an "Affiliate" for $195,000, Executive is $295,000 and Elite is $395,000. MF is $9,500; $17,500; and $25,000 respectively.

I spoke with membership about the club and it seems fantastic if you can afford it however, I told them that it would kill me to spend $195k and feel like a second class citizen as compared to the Executive and Elite members. An affiliate gets ZERO priority holiday reservations

Is anyone a member or know a member?

What would you buy for $195,000?

PS This was inspired by the http://tugbbs.com/forums/showthread.php?t=31223 post.

 

[Big Matt]

I would pay off my mortgage.

 

[andrea t]

I'd put it all down as a deposit on a beach house on Fire Island or Montauk.

 

[anne1125]

I'd build my house in Englewood, FL on my lot that I purchased last March.

Anne

 

[mamiecarter]

Some people have more money than sense

Well, first I would have to actually get the money. Then there are lots of places in the US that sum will buy a nice second home. Not fancy but comfortable. No getting around it, some people have more money than sense.

 

[ricoba]

My guess it's easier to sell the Elite package to these kind of folks than it is to sell the Affiliate package. Folks with this kind of $$$ are more interested in the perks & titles than they are in the program itself.

 

[lfuhr]

My husband and I are elite members. However, we were able to purchase this membership for $385,000 due to my husband's skillful negotiating techniques and my ability to remain silent while he did his stuff. I was so proud of him.

LFuhr

 

[caribbeansun]

Perhaps you should consider Bellehavens instead - they have one tier, cost is $200k, mf's are $16k and they don't lease very many of their properties.

 

[bruwery]

If I had $195,000 to spend on a vacation home, I'd probably just get drunk and gamble it all away...

 

[PerryM]

BelleHavens

If someone were to give me $195k (plus enough to pay the taxes) and stipulated that it MUST be spent on something for family vacations I’d immediately buy into BelleHavens for $200k Link: www.bellehavens.com

This is the ONLY $200k fractional investment anywhere (except maybe 1) that appreciates with real estate. Assuming a 10% real estate appreciation for 10 years, (very hot locations) that $200k will be worth $472k of which you get 90% or $425k - $200k investment = $225k selling 10 years from now.

MFs are $16k per year and if you compound them at their 5% then the 10 year MF cost is $201k.

That means I make a $24,000 profit over 10 years and you get 4 weeks of usage a year or 40 vacations to boot.

 

[buceo]

In direct answer to your question, I would buy a bunch of timeshare weeks in a row, same unit or a couple units, prime location (where you like) in prime time in a top rated resort and winter there (or from FL, summer there). Owning a second home while almost certainly a better investment is just that a second home; repairs, landscaping, taxes, improvements, utilities, problems with non occupancy etc.

 

[GregGH]

Hello

This is a thread that Steamboat Bill needs to 'bump' - like he did on the one "what would I buy if I had 25k" ( great thread BTW ) - still think there is some life in this idea.

But - can we take it one step further ...? Why spend 195K in one spot or one club?

I have trouble with the security on some of the 'clubs' - especially after T-H went into Chapt.II .... but I love the idea of a more upscale location ....but I don't travel with 12 others so I don't need a 5000 sq. ft house!

I like the more moderate ( still way above the Marriotts ) locations of HCC - but .... could we not take that money and just RENT similar locations in some locations and buy the weeks when right in others? And as such - we can put our own 'portfolio' together with the $195,000.

Looking at Hawaii - noticed the HCC location in Big Island ...finally tracked the location to .... Waikoloa Colony Villas

Or a site I really have had fun with ( and their travel books on Hawaii are my favourites ) ... Waikoloa Colony Villas ...or we could do HCC one better and rent from their neighbours who get a better review Kolea .

Hope I have the links & typing right ...

If you want the full list for Hawaii ( with links to other islands ) - try this ...but for Oahu and Maui you need to own the book and get the password from the pages

Wizard Publications - the Big Island Revealed

So - we have $195,000 .... rent when we have to ( even at $500 a night you are still on par with the cost of ownership once the new rates for HCC kick in in March ... and buy the deals when owning adds the extra ... like at Avaria for the $50 rounds of golf.


With the new ( new for me anyways ) list of fractionals in helium.com and the properties in theregistrycollection.com - more work to spend that 195,000

Life in the thread? Keep the idea's coming - appreciate all your knowledge

Regards
Greg H

 

[Steamboat Bill]

My original idea with this thread was to compare Exclusive Resorts to other options.

My current thoughts would be:

$30,000 HCC membership
$20,000 DVC membership
$12,000 Marriott Platinum
$12,000 Hyatt 2,000 pts
$12,000 WM account
$109,000 in a 5% CD

Of course that would be 7 weeks of vacation per year....more time that I usually have...but hey, thus is a fantasy thread.

 

[Carmel85]

My original idea with this thread was to compare Exclusive Resorts to other options.

My current thoughts would be:

$30,000 HCC membership
$20,000 DVC membership
$12,000 Marriott Platinum
$12,000 Hyatt 2,000 pts
$12,000 WM account
$109,000 in a 5% CD

Of course that would be 7 weeks of vacation per year....more time that I usually have...but hey, thus is a fantasy thread.

Please tell us all where you can get a Hyatt 2000 points for 12K. Sign me up!!

 

[daventrina]

Cirrus SR-22

 

[GregGH]

Hello Bill

Exclusive is $1700-$1900 / night stay as calculated by Helium. Are we trying to compare apples and oranges? I have read many of the reviews for various company locations below ( Marriotts, Hyatts, Westins etc etc ) - a lot have some issues that keep them at the 3 1/2 star locations they are ( worn out , poor house keeping, pay for daily housekeeping, out of date designs , thin walls, etc ).

I LOVE the idea of the cost per night used by a few of you people - it really hits the nail on the head -- then others don't fixate on MF's that 'are too high' ...if you have lower MF's - you have sloppy housekeeping and worn out and stained interiors! $195,000 should buy you quiet comfort and ease of use - not complex trading nor monster size locations.

We need something better than a Marriott but less than the benefits from an Exclusive ( not the cost of Exclusive, nor the size, nor the capital risk ).

Really looking for anyone who has used The Registry Collection on trades for 'upper scale properties'. How do we find the 'gems' out there that just that 'little' bit better. How can we get weekly use of the 'fractionals'?

Regards

Greg H

My original idea with this thread was to compare Exclusive Resorts to other options.

My current thoughts would be:

$30,000 HCC membership
$20,000 DVC membership
$12,000 Marriott Platinum
$12,000 Hyatt 2,000 pts
$12,000 WM account
$109,000 in a 5% CD

Of course that would be 7 weeks of vacation per year....more time that I usually have...but hey, thus is a fantasy thread.

 

[Steamboat Bill]

Hello Bill

Exclusive is $1700-$1900 / night stay as calculated by Helium. Are we trying to compare apples and oranges? I have read many of the reviews for various company locations below ( Marriotts, Hyatts, Westins etc etc ) - a lot have some issues that keep them at the 3 1/2 star locations they are ( worn out , poor house keeping, pay for daily housekeeping, out of date designs , thin walls, etc ).

I LOVE the idea of the cost per night used by a few of you people - it really hits the nail on the head -- then others don't fixate on MF's that 'are too high' ...if you have lower MF's - you have sloppy housekeeping and worn out and stained interiors! $195,000 should buy you quiet comfort and ease of use - not complex trading nor monster size locations.

We need something better than a Marriott but less than the benefits from an Exclusive ( not the cost of Exclusive, nor the size, nor the capital risk ).

Really looking for anyone who has used The Registry Collection on trades for 'upper scale properties'. How do we find the 'gems' out there that just that 'little' bit better. How can we get weekly use of the 'fractionals'?

Regards

Greg H

You are describing High Country Club....that is why I joined. There are many posts on TUG about HCC....check them out or send me a PM.

 

[shagnut]

I'd buy a new house. I think I'm the poorest person who timeshares. I wouldn't know what to do if I had that kind of money. I think I would save it for retirement. I do envy you guys who can afford 25K and up ts. shaggy

 

[travelguy]

You are describing High Coutry Club!

Hello Bill

Exclusive is $1700-$1900 / night stay as calculated by Helium. Are we trying to compare apples and oranges? I have read many of the reviews for various company locations below ( Marriotts, Hyatts, Westins etc etc ) - a lot have some issues that keep them at the 3 1/2 star locations they are ( worn out , poor house keeping, pay for daily housekeeping, out of date designs , thin walls, etc ).

I LOVE the idea of the cost per night used by a few of you people - it really hits the nail on the head -- then others don't fixate on MF's that 'are too high' ...if you have lower MF's - you have sloppy housekeeping and worn out and stained interiors! $195,000 should buy you quiet comfort and ease of use - not complex trading nor monster size locations.

We need something better than a Marriott but less than the benefits from an Exclusive ( not the cost of Exclusive, nor the size, nor the capital risk ).

Really looking for anyone who has used The Registry Collection on trades for 'upper scale properties'. How do we find the 'gems' out there that just that 'little' bit better. How can we get weekly use of the 'fractionals'?

Regards

Greg H

Greg,

I agree with Steamboat Bill. You are describing High Country Club membership. On another post, I believe that Bill figured the cost-per-night to be around $300. Check out the High Country Club website or talk to Bill for more info. Be aware that the price of membership goes up in 20 days!

 

[geekette]

I'd buy a new house. I think I'm the poorest person who timeshares. I wouldn't know what to do if I had that kind of money. I think I would save it for retirement. I do envy you guys who can afford 25K and up ts. shaggy

Yeah, me too. It is fun to dream, tho.

 

[PerryM]

How's the weather in Albania?

Since my original posts in this thread I would NOT advise anyone to invest in a DC – the risk is too great. The DC industry needs to address the simple fact that the only thing that seems to protect your membership fee is that ebullient voice of the salesrep over the phone.

With timeshares, condo-hotels, condos, and fractionals there are deeds and a bunch of real estate laws that hold the agreement together. This is NOT true with DCs. They make it up as they go.

However, if the amount of money you invest with a DC is something that you would have no problems gambling at Vegas, then that amount of money will not be such a loss if the DC decides to liquidate, sell the deeds, and move to Albania tonight. With $1+ M condos and homes as a minimum, it would not take much for the founders to split $100 M.

 

[charford]

$195K is just about what I spent on my Smugglers Notch fractional. It gives me 16 weeks a year. Four weeks in a row in the winter, four weeks in a row in the summer. The other 8 vary (float) each year. MFs are around 10K/year. I can stay in my unit for 2 nights or several weeks. Any weeks that I don't use I can deposit with RCI -it's also a Registry Collection property. Any nights that I don't use, Smugglers can rent them out for me. Smugglers really operates as a hybrid of a condo-hotel, although they don't use that term, and a timeshare resort. Resales appreciated about 10% since I bought a year ago.

Let's say I stayed there for all 8 fixed weeks this year (56 nights). If I get zero income for the float weeks, my cost is $10K/56 = $179/night. If I stay for one week (closer to the actual), my income is about $8K, so my outlay is 2K and cost per night is $2K/7 = $286/night. This doesn't take into account appreciation or depreciation which is a moving target.

The property I own is more upscale than the Marriotts, IMO and suits us much better than any of the destination clubs or the condo-hotels I've looked into. While in Kauai, I toured one of the properties that the bankrupt destination club owned (the name escapes me) and it wasn't a place that I would want to stay - dark and kind of dingy. I've looked at the other destination clubs and agree that they would be the kind of place to go with 10 close friends. I think condo-hotels would suit empty nesters. Smugglers suits families with kids. That's me!

Cathy

 

[hipslo]

I'd buy 5 platinum weeks at Marriott Mountainside and make consecutive reservations every year for weeks 8-12, and have 45k left over. Annual MF of 4100. Spend the heart of the ski season at the base of Park City Mountain every year in a 2 bedroom, ski in /ski out unit that would go for upwards of 1 million if it were a condo. Without having to pay property taxes, insurance, condo fees, or deal with the headache of renting out all of those excess weeks that I wouldnt use even if I owned it outright.

So far, 3 weeks down, one (almost) under contract, one to go!

 

[PerryM]

Great!

I'd buy 5 platinum weeks at Marriott Mountainside and make consecutive reservations every year for weeks 8-12, and have 45k left over. Annual MF of 4100. Spend the heart of the ski season at the base of Park City Mountain every year in a 2 bedroom, ski in /ski out unit that would go for upwards of 1 million if it were a condo. Without having to pay property taxes, insurance, condo fees, or deal with the headache of renting out all of those excess weeks that I wouldnt use even if I owned it outright.

So far, 3 weeks down, one (almost) under contract, one to go!

I predict that the money invested in MountainSide will outperform the money put into HCC. HCC has a guaranteed 20% loss (80% returned on original investment) In 10 years the MountainSides can be sold for much more than what they were purchased for (resale).

If a week is not needed, it can be rented out for cash, the HCC unit can not.

The MS weeks can be exchanged in II and easily get Maui or any other Marriott at any time and each week can be locked-off into 2 units that will exchange just as well. The HCC can't.

I've been to MS (Used to own 3 weeks there 51& 2 52's) and I actually like Summit Watch better, but both are great 5-star resorts. Sold all 3 after 3+ years of ownership and made a profit on all 3.

DC's:
I would feel much better about DC’s if they bought a Performance Bond and put their money where their mouth is – backup all the claims by the salesreps and written documents. Someone must issue bonds like this – Lloyds or others – it just costs money to get this bond.

A simple bond paying out 100% of the money invested if the DC does not terminate according to their own rules - it's that simple - a 1 paragraph bond. If the DC never terminates, the bond is never even considered.


Let’s see if any of them ever do this – I predict none will since that golden voice over the phone can convince folks to “invest” and they don’t need anything more to convince them.

 

[rickandcindy23]

Please tell us all where you can get a Hyatt 2000 points for 12K. Sign me up!!

Ebay is the place.