Marriott Grande Vista Annual Platinum Week sold for $4520!

[SpikeMauler]

It's the economy. They don't have enough people to work the sales since they laid so many folks off. Then they don't have enough customers to buy the product. So they don't need an ROFR because they can't sell the product. I don't care what your salesman told you, Marriott is bleeding money (along with other timeshares for sure). It was down 33% from last year at the same time. DVC is still doing ROFRs. Why? Because people are still buying their product. But I'll bet you see a relaxation at SSR and at Vero Beach very quickly where there is so much inventory to sell already.

So, your telling me A SALESMAN MIGHT HAVE LIED TO ME! Feelin' a little faint right now. Deep breaths, deep breaths.

 

[GeNioS]

they have plenty of available cash, why wouldn't they be buying these type of weeks now(said Grande Vista,at a tremendous bargain),and selling them for a potential huge profit when the economy rebounds?

Perhaps they are worried that buying is slowing not only because of the economy, but also because the [Edit:uneducated buyer] isn't pulling up as often. The low flying Mallards aren't coming in as often. And with the prices they are demanding (after all, they don't negotiate), they need Mallards. The less units they have, the less Mallards they need. Just a thought.

 

[Latravel]

Sounds like the uneducated low flying mallards are pretty smart if they are staying away. Maybe they aren't so uneducated?

 

[GeNioS]

Sounds like the uneducated low flying mallards are pretty smart if they are staying away. Maybe they aren't so uneducated?

Or there aren't many left. Working in digital marketing for car dealerships, I can tell you that the days of knocking the customer around are getting fewer and far between.

15 years ago, if a car dealer wanted sticker price for every car on the lot, he could pass up every educated customer. The next guy would pay it. Nowadays, if you passed up every educated consumer and tried to get sticker on every car, you'd be out of business.

So now we cater to them. We have an Internet sales department. We treat Internet customers differently. We give them some credit.

Perhaps Marriott is finding that out. That websites like this one and others are unmasking the myths about high timeshare costs. If every Marriott customer was given one hour to look over this forum before going into the presentation, what would the closing rate be? How many units would you want stuck in inventory if that happened.

So although the economy is bad, I agree with Spike...they should be buying these back...the fact that they're not tells me that even when this economy rebounds, they don't think they'll be able to sell them.

Just a guess of course....

 

[Latravel]

Just curious... My husband and I are considered educated and we bought 2 resorts directly from Marriott even after researching on this board and being members for months. We are not alone since most of our friends, who are also highly educated, bought from Marriott. How does this scenario fit in your theory?

 

[GeNioS]

How does this scenario fit in your theory?

It doesn't. Some things just defy logic.

But I'm happy that you're happy.

 

[GeNioS]

Ok...wait.....certainly you don't think that you're in the majority, right? I mean....there must have been an amazing incentive or something for you to pay retail? Because I was at Horizons last week in Orlando...they asked me for $19,200 for a 2br plat week....that same week is going to sell on ebay today for around $4,000. How many people would pay the $19,000 after reading this?

I would propose that the anyone reading this post and still paying $19k is not an educated consumer or just has so much money that they don't care. And Marriott can't be banking their entire inventory on that theory....(I hope anyway...if so....sell, your Marriott stock now). Can I be wrong?

 

[Latravel]

"Ok...wait.....certainly you don't think that you're in the majority, right?"

I think only about 3% of Marriott owners purchase resale, meaning 97% purchase direct.

I think Marriott is hoping people will find value in the points system and feel it's worth paying more upfront for that benefit. What i'm trying to imply to you in my posts is that direct purchasers are not "uneducated", they just find value in points that allow one to travel around the world and stay in nice, high end hotels. Not everyone wants or can afford or is willing to pay for that luxury. To each his own but that doesn't mean one group or the other is uneducated. Anyways, there's nothing more I can add to this topic!

Congratulations to Saturn28 for a great purchase. I am also considering a resale purchase in NCV if I find a similar deal.

 

[GeNioS]

....meaning 97% purchase direct.

How many of these 97% that purchase direct have read this thread?

In any case, my origiinal comments were only to theorize why Marriott isn't picking up these units so cheaply using ROFR. And, as I wrote above, it's just a guess.

But, perhaps....it's an educated one. :hysterical: (sorry..couldn't help it)

 

[m61376]

I don't think Marriott not exercising ROFR is a reflection on the company feeling it will be unable to sell more units once the economy rebounds. I think it is just a consequence of the credit crunch. It is getting harder and harder to secure credit and companies nationwide are trying to wean down their line of credits.

Of course, for those with secure jobs, it surely is a buyer's market.

 

[LMK]

Bought this year - March 2008

I am not sure. However, I believe Marriott was selling them for between $24,000 and $28,000. Can someone correct me if I am wrong. The fact is Marriott resale prices are dropping as fast as the stock market. What may have been a good deal 2 weeks ago is over priced today.

It may not be long before we see some Marriott Resorts selling for $1 on ebay. I saw a silver week at the Marriott Horizons at Branson sell for $350 on Ebay.

I paid $25K for a Plat week at GV (w/ lock-off) this year. It really was a familial decision, i.e. in-laws and sis-in-law have timeshares as well, and we needed a place to stay (2+2 kids) when we went with them. As astute a negotiator I think I am, this was a straight impulse purchase. It wasn't until three months later than I learned that you could buy a Marriott property on re-sale (without the points). But, I now have >300,000 points in less than a year, and my kids are happy with the possibility of going to DisneyWorld every year

 

[MikeM132]

I would propose that the anyone reading this post and still paying $19k is not an educated consumer or just has so much money that they don't care. And Marriott can't be banking their entire inventory on that theory....(I hope anyway...if so....sell, your Marriott stock now). Can I be wrong?

Well, it could be that people go on vactation, are in a good mood already and get sucked in by a slick sales presentation. Alcohol can aggravate the situation. "Temporary stupidity" is what I plead (3 times).

 

[Big Matt]

I think you are correct.

Also, Marriott is getting out of the lending business (smart move). What interest rate do you think lenders will demand for a timeshare?

Do the math...lenders aren't going to loan anyone money on a 25k purchase when the asset is only worth 5k, unless it is at 20% or more. The times of low rates are long gone.

I don't think Marriott not exercising ROFR is a reflection on the company feeling it will be unable to sell more units once the economy rebounds. I think it is just a consequence of the credit crunch. It is getting harder and harder to secure credit and companies nationwide are trying to wean down their line of credits.

 

[GeNioS]

I think you are correct.

Also, Marriott is getting out of the lending business (smart move). What interest rate do you think lenders will demand for a timeshare?

Do the math...lenders aren't going to loan anyone money on a 25k purchase when the asset is only worth 5k, unless it is at 20% or more. The times of low rates are long gone.

True...banks don't finance for more than things are worth. But if Marriott isn't even willing to finance in-house because they know the asset depreciates by 75% one minute after signing....again...they have problems.

Well, it could be that people go on vactation, are in a good mood already and get sucked in by a slick sales presentation. Alcohol can aggravate the situation. "Temporary stupidity" is what I plead (3 times).

Mike....I agree 100%.....You're on vacation, having a good time. The resort is awesome. Staff is friendly. In sales, we call it "putting you in the ether." It's very important after that test drive that we get the numbers in front of you ASAP. The longer it takes, the more you forget that test drive, the less chance you have of making that sale. You come out of the ether.

Salespeople are highly paid for a reason. They don't make saying no easy. In fact, on a side note, I think it's hilarious that people say,"I had a great salesman...he didn't pressure me." And the odd person will say,"That's why I bought from him." But that's not the norm. Most people will say,"What a nice guy...If I ever buy I'll buy from hiim." But did they buy? Typically, no. All that appreciation in the world doesn't make a paycheck. Salespeople don't work for thanks....they work for commissions.

The salesperson's job doesn't even start until the customer says "No." If all customers said yes, there wouldn't be salespeople.

As long as I'm digressing, let me go on to say that anytime a salesperson is involved, you should be very skeptical. If a product is worth what you're paying, it doesn't need a salesperson. It's easy. Want a new Toyota Camry for $10,000? Think I need a salesperson to sell you that car? But the car is $25,000. And it will depreciate thousands one minute after you drive off the lot. Somewhere between $10,000 and $25,000 is a realistic number of what you feel that car is worth. You'd pay that for the car without a salesperson. The difference between that and $25,000 is why a salesperson exists.

All the marketing money, salespeople, nice sales galleries, expensive models....all that should serve as a MASSIVE warning.

That is an interesting comment there about alcohol. We cannot sell a car to someone who has had a drink...that contract is worthless. Motor vehicle enforcement would tear it up and fine us if we were aware of it.

Just to note...I don't sell Toyota. If anyone in the car biz thinks they know who this is, it isn't...I will deny ever writing this. Thank you.

 

[bogey21]

I am hard put to understand Marriott deserting its owners like this........I guess they are going the way of Fairfield.

Typical Marriott. The rental program, the sales program, the points program all changed for the benefit of Marriott despite their being used as sales tools to suck us in. In addition hugh Special Assessments and Maintenance Fees. Why in the world does anyone think Marriott will do anything except what is in its own best interest? They never have and never make decisions based on their owners' best interest. Get used to it.

George

 

[bogey21]

Just curious... My husband and I are considered educated and we bought 2 resorts directly from Marriott even after researching on this board and being members for months. We are not alone since most of our friends, who are also highly educated, bought from Marriott. How does this scenario fit in your theory?

It doesn't. Could it be you are so well off financially that overspending doesn't matter to you?

George

 

[dmaxdmax]

Why in the world does anyone think Marriott will do anything except what is in its own best interest? They never have and never make decisions based on their owners' best interest. Get used to it.

George

Every publicly held company does what is in its own best interest. Sometimes it works out so it's also in their customers' best interest, sometimes not.

 

[icydog]

Every publicly held company does what is in its own best interest. Sometimes it works out so it's also in their customers' best interest, sometimes not.

I wonder why DVC can do it and Marriott can't?