Paying daily resort fee now if staying at HGVC in Vegas via RCI?

[Tamaradarann]

I own at one small resort in the OBX. Some units are ocean front and some are not. The resort goes out of its way to keep the MF's down. Personally I wouldn't mind adding another $20-50 or even a little more per week but I own summer and any fee increase is likely to get more winter owners to bail out which the board feels will cause the balance to tip and the fees to spiral out of control.

Owners know to expect to have to bring or go to the store for basics. The standard provisions include a full roll of toilet paper and whatever was left from the last guest, no facial tissues, one paper towel roll, 3 dishwasher pods and 1 washing machine detergent box, trash bag in each trash can and a single extra trash bag (not per trash can), no coffee filters or other items.

RCI guests expect more and the ratings reflected that. The board decided to charge RCI exchangers from May through September a $20 per week resort fee. This gets RCI exchangers only (not supplied to owners) an upgraded basket of supplies. The cost of the supplies is probably about $8-10. RCI exchangers get these year round (so the summer exchangers pay the cost to supply the October -April baskets.) I think owners can purchase the basket for $15 if they want one. State law prohibits MF's to differ by time of year otherwise I am sure the board and owners would happily pay more (not a whole lot more but $50-$100 annual more to be used toward upgrades).

That being said I think resort fees like HGVC and Massanutten now charge for things that have always been included (and paid through the MF's) are just money grabs from management.

I read your thoughts about paying another $20-50 per week in maintenance or $20 per week resort fee. However, the $25 resort fee we are talking about here is PER DAY not per week. That is $175/week which in my world is real money

 

[PigsDad]

Well I went off the wall exclaiming that my maintenance at South Beach is paying for coffee for everyone, however, when I exchange into the Hokolani I must pay an exorbitant rate for my coffee!

And I would say, as a non-coffee drinker, why are my maintenance fees going to pay for your coffee? There are many points of view, I guess.

Kurt

 

[Tamaradarann]

And I would say, as a non-coffee drinker, why are my maintenance fees going to pay for your coffee? There are many points of view, I guess.

Kurt

I agree, it would be better to just have the standard coffee pot and you buy what you want to drink which is what I have found in all other timeshares that we have been in.

 

[PigsDad]

This is not about HGVC owners. This is about people who trade in (who could be HGVC, or from anywhere else). They don't charge this for HGVC stays. As an HGVC owner (even though at another property) I'm in favor of this.

I disagree; I think this is about HGVC owners. Why? Because one of the benefits of owning that HGVC advertises through its sales force, newsletters, etc. is "point stretching", where, as owners, you can use less points by trading in through RCI back to a HGVC resort. These resort fees have effectively eliminated this benefit.

Kurt

 

[Tamaradarann]

I disagree; I think this is about HGVC owners. Why? Because one of the benefits of owning that HGVC advertises through its sales force, newsletters, etc. is "point stretching", where, as owners, you can use less points by trading in through RCI back to a HGVC resort. These resort fees have effectively eliminated this benefit.

Kurt

Ok if you are talking to sales people you know you can't believe half of what they say. As far as the Newsletters they like to mention that you can use your points for anything but HGVC resorts. Cruises, Airline tickets, Hilton Honors, they even advertised a special dinner with a chef. Also, by you exchanging with RCI the sales people get another opportunity to have someone come to a HGVC resort that perhaps doesn't own there and could be a first time buyer.

 

[tschwa2]

I read your thoughts about paying another $20-50 per week in maintenance or $20 per week resort fee. However, the $25 resort fee we are talking about here is PER DAY not per week. That is $175/week which in my world is real money

oh I agree. I think even $10 per day is too much. Some place like a nice resort in Hawaii, I might consider it due to limited availability but some place like Orlando or Williamsburg drops that resort to the very bottom and would be my punishment for not booking someplace without the fee earlier when it is sometime when I have to travel.

 

[Tamaradarann]

oh I agree. I think even $10 per day is too much. Some place like a nice resort in Hawaii, I might consider it due to limited availability but some place like Orlando or Williamsburg drops that resort to the very bottom and would be my punishment for not booking someplace without the fee earlier when it is sometime when I have to travel.

Wow, are we on the same page. That is exactly what I spoke to the HGVC Vice President about. I said that in Hawaii, since it is such a desirable hard to get location, people will be willing to pay the extra $175/week. However, not in Las Vegas or Orlando. By the way I will be paying a $175/week resort fee in April on an exchange of the points from my 2 BR Weston, Fl resort that is 25 miles from the ocean for 2 weeks in a 1 BR at the Kaanapali Beach Resort on the ocean in Maui. While I resent having to pay the $175/week the exchange is so great that I feel that it is worth it.

 

[brp]

I concur with the sentiment in this post. If a resort you own doesn't charge a resort fee, so therefore, you pay your maintenance for all of the amenities and supplies that the resort provides, and you exchange to another resort where there is a resort fee it kind of makes you feel that you were abused by the trading system.

I feel that if one "trades" within the HGVC system, i.e. using HGVC points at a non-home resort, there should be no fee...and there isn't. Once one goes through RCI, I feel that this is not an HGVC transaction.

Cheers.

 

[Tamaradarann]

I feel that if one "trades" within the HGVC system, i.e. using HGVC points at a non-home resort, there should be no fee...and there isn't. Once one goes through RCI, I feel that this is not an HGVC transaction.

Cheers.

I totally agree that it is NOT an HGVC transaction. I need to qualify my comment about being abused by the trading system in that the resort you own and pay your maintenance to has to be a top resort with comparable amenities. If for instance it is a standard RCI resort in poor condition with little or no amenities you are trading way up and should be glad to pay the $175/week. Even thought my ownership in Weston, Fl is a gold crown resort, my post above about going to Maui is in the same sentiment.

 

[Talent312]

And I would say, as a non-coffee drinker, why are my maintenance fees going to pay for your coffee?

Becuz you graciously donated your share of the coffee to the pot.
So, on behalf of the rest of world which drinks coffee: Thank you.
.

 

[PigsDad]

Becuz you graciously donated your share of the coffee to the pot.
So, on behalf of the rest of world which drinks coffee: Thank you.

Actually, I really have no issue with resorts deciding to provide starter pack, full week, etc. of coffee or other amenities. But I do think it is up to each resort / HOA to decide what to provide; no need to be the same across all properties, IMO.

Kurt

 

[Panina]

I deposit my highly desirable hgvc Marco Island week. There is no added resort fee at my resort for trades. I decide to use my points to trade in RCI or I deposit straight into RCI as I have that option. Where I want to trade into has a high resort fee. There is no argument that can say this is right.

One who says I rather the person that trades in pays it versus adding it to my maintenance fee doesn’t care about fairness. Ultimately it will hurt you too by diminishing your trade value. Many will choose to trade elsewhere. There are some locations that have limited inventory and are highly desirable and these are the ones that will get away with the resort fees such as Disney.

 

[Talent312]

Actually, I really have no issue with resorts deciding to provide starter pack, full week, etc. of coffee or other amenities.

Actually, we grind & bring our own personal blend.
But I do not begrudge those who rely on the house.
.

 

[brp]

I deposit my highly desirable hgvc Marco Island week. There is no added resort fee at my resort for trades. I decide to use my points to trade in RCI or I deposit straight into RCI as I have that option. Where I want to trade into has a high resort fee. There is no argument that can say this is right.

One who says I rather the person that trades in pays it versus adding it to my maintenance fee doesn’t care about fairness. Ultimately it will hurt you too by diminishing your trade value. Many will choose to trade elsewhere. There are some locations that have limited inventory and are highly desirable and these are the ones that will get away with the resort fees such as Disney.

I disagree with your contention that one (i.e. me ) who finds it reasonable that someone who trades in via RCI (versus a within-HGVC trade) should pay the same resort fee as other non-HGVC routes doesn't care about fairness. I do care, and I believe that this is reasonable.

I get your point that the currency you put into the bank did not have associated fees and you shouldn't have to pay the fee to exchange out in a different currency. I do understand it. And I would not think anything wrong if they, in fact, did that. However, I also don't think it's wrong or unfair to charge the fee to all users of the facility who do not reserve via a HGVC transaction (and the RCI trade, despite the original currency being HGVC) is not.

Cheers.

 

[Tamaradarann]

Actually, we grind & bring our own personal blend.
But I do not begrudge those who rely on the house.
.

However, if they provide a Keurig or other POD type of coffee pot, what are you going to do with your personal blend. That was the problem I had at the Hokolani I always bring some extra packs of coffee so if we can't get to the supermarket right away I am good for a day or two. But without a regular coffee pot you are stuck with their coffee system without free PODs.

 

[Tamaradarann]

I deposit my highly desirable hgvc Marco Island week. There is no added resort fee at my resort for trades. I decide to use my points to trade in RCI or I deposit straight into RCI as I have that option. Where I want to trade into has a high resort fee. There is no argument that can say this is right.

One who says I rather the person that trades in pays it versus adding it to my maintenance fee doesn’t care about fairness. Ultimately it will hurt you too by diminishing your trade value. Many will choose to trade elsewhere. There are some locations that have limited inventory and are highly desirable and these are the ones that will get away with the resort fees such as Disney.

Now that some resort fees are up to $25/night at timeshare resorts I feel that the fairness needs to be addressed. I believe RCI needs to address this to keep the exchange system optimum. I have seen resorts fees as high as $40/night at some hotels and perhaps others have seen ones that were even higher. What would prevent resorts from implementing resort fees as high as $100/night. Remember RCI is a timeshare exchange system so that they want members to deposit their weeks or if they are points resorts to use their points at other resorts which are NOT their home resort. That is the way they make their money. One might say at $100/night members would not exchange into that resort. Well most probably those resorts would be very desirable resorts or resort locations like the HGVC resorts and the Kaanapali Beach Resort which I mentioned above. RCI members want to be able to exchange into those resorts and locations, but at $100/night? If the resort fees were so high it would most probably take those prime exchange possibilities off the table. Again one might say well then those resorts would have vacancies. Well in some locations like Hawaii the resorts could rent the vacancies for more than they could get on exchanges. Therefore, the Associations of those resorts would benefit, however, the RCI timeshare exchange system would be the financial loser and we members would be losing the most important value of the timeshare system; to be able to exchange to great resorts that we don't own.

 

[escanoe]

Brutal. I know I live in the past but my recollection is that back in the 70s an RCI exchange cost less than $50, Resort Fees didn't exist and most TimeShare Weeks maintained their value...

George

I am a newbie, and considered this an opportunity to see how fees were growing related to inflation. A $50 fee in 1975 would have the same purchasing power as $235 today. Looks like the invention of new fees is what works against timeshare users.

 

[Tamaradarann]

I am a newbie, and considered this an opportunity to see how fees were growing related to inflation. A $50 fee in 1975 would have the same purchasing power as $235 today. Looks like the invention of new fees is what works against timeshare users.

That is an interesting thought that while the $50 exchange fee in 1975 is equivalent to a $235 exchange fee today so basically it hasn't gone up.

However, the resort fee that has been discussed here is a different story. Since you are a newbie let me briefly explain a little about my thinking about resort fees and the RCI rating system. Others in TUG may think differently and certainly can add comments and thoughts on this subject. The RCI timeshare trading system has a rating system of resorts Gold, Silver, Hospitality and Standard. Gold being the highest. The rating as well as the location, amenities and size of the accommodation are all attributes that set up the values in the exchange system. The resort week you own has a TPU value or a point value depending if you own a weeks resort or a points resort. That TPU or Point value is your trading power when you exchange to another resort and the resort you are trading into has a TPU or Point value which is what you need to pay. Each owner must pay annual maintenance for the timeshares that they own and the amount of that maintenance is usually reflective of the location, amenities, and size of the accommodations. Now some resorts are implementing a resort fee for people who exchange into their resort via RCI some as high as $25/night to help pay for operation of the resort. My feeling is that since RCI is the creator and manager of the exchange system it should be the evaluator of the value of the resorts and not let the resort evaluate what it provides to exchangers and charge them more than their owners for the privilege of staying there. The owners should pay for the operation of their resort just as those that are exchanging in pay for the operation of their resort. If a resort has higher cost since it has more amenities, a higher cost or better location, or is in excellent condition that should be reflected in the RCI rating and the subsequent trading power. That is the basis for the RCI exchange system, the resort fee undermines that and if it is taken to an extreme it could undermine the entire exchange system.

 

[pedro47]

Resorts fees was an item started in the Caribbean. Local governments needed to raise money to help balance their budgets. Now many hotels and timeshare resorts have started this practice in the United States.

They the Caribbean Islands called Resorts fees a daily tax for staying on their Caribbean island. American hotlels and timeshare resorts have changes the words from a daily tax to a daily resort fee.

 

[Tamaradarann]

Resorts fees was an item started in the Caribbean. Local governments needed to raise money to help balance their budgets. Now many hotels and timeshare resorts have started this practice in the United States.

They the Caribbean Islands called Resorts fees a daily tax for staying on their Caribbean island. American hotlels and timeshare resorts have changes the words from a daily tax to a daily resort fee.

Well Hawaiian does this also with the occupancy tax. However, that tax goes to the government as I assume it does in the Caribbean. Just as the real estate tax goes to the government which owners must pay. The resort has no control over those taxes. The Resort Fee goes to the resort. It pays for things that at other resorts are complimentary. Like the coffee incident that I mentioned above, it makes some resorts have different costs that they pass on to the exchangers outside of the RCI trading system which we all have bought into.

 

[GeorgeJ.]

This is not about HGVC owners. This is about people who trade in (who could be HGVC, or from anywhere else). They don't charge this for HGVC stays. As an HGVC owner (even though at another property) I'm in favor of this.

As to "shareholder value," of course this is of prime importance. They have a fiduciary and legal responsibility to this that they should uphold.

Cheers.

I'm not in favor of this as an HGVC owner...I expect that the $25 a day fee goes 100% to HGVC corporate and not to the resort. So we get no benefit from it.

As exchangers catch on to HGVC charging a $25 daily fee, it's likely that a number of them will book non-HGVC resorts for their exchanges. The value of HGVC will dip in RCI as a result.

 

[GeorgeJ.]

That is an interesting thought that while the $50 exchange fee in 1975 is equivalent to a $235 exchange fee today so basically it hasn't gone up.

However, the resort fee that has been discussed here is a different story. Since you are a newbie let me briefly explain a little about my thinking about resort fees and the RCI rating system. Others in TUG may think differently and certainly can add comments and thoughts on this subject. The RCI timeshare trading system has a rating system of resorts Gold, Silver, Hospitality and Standard. Gold being the highest. The rating as well as the location, amenities and size of the accommodation are all attributes that set up the values in the exchange system. The resort week you own has a TPU value or a point value depending if you own a weeks resort or a points resort. That TPU or Point value is your trading power when you exchange to another resort and the resort you are trading into has a TPU or Point value which is what you need to pay. Each owner must pay annual maintenance for the timeshares that they own and the amount of that maintenance is usually reflective of the location, amenities, and size of the accommodations. Now some resorts are implementing a resort fee for people who exchange into their resort via RCI some as high as $25/night to help pay for operation of the resort. My feeling is that since RCI is the creator and manager of the exchange system it should be the evaluator of the value of the resorts and not let the resort evaluate what it provides to exchangers and charge them more than their owners for the privilege of staying there. The owners should pay for the operation of their resort just as those that are exchanging in pay for the operation of their resort. If a resort has higher cost since it has more amenities, a higher cost or better location, or is in excellent condition that should be reflected in the RCI rating and the subsequent trading power. That is the basis for the RCI exchange system, the resort fee undermines that and if it is taken to an extreme it could undermine the entire exchange system.

I really don't think the $25 fee is going towards paying for the operation of the resort. That would be one thing. But my feeling is that it is going 100% to HGVC corporate as additional profit. The only way you can rationalize that is to say that with the resort fee being collected, HGVC is only charging the HOA $1 million a year as their management fee because it is being subsidized by RCI exchangers. And it would be $2 million otherwise.

 

[pedro47]

Are the resort fees been collected going toward the resort to improve the resort onsite amenities?

Since they are been collected from non owners to use the resort onsite amenities?

 

[brp]

I'm not in favor of this as an HGVC owner...I expect that the $25 a day fee goes 100% to HGVC corporate and not to the resort. So we get no benefit from it.

And, also without knowing, I would not believe this to be the case. Or, let me put it another way: I see this as no different from the resort fees charged at a regular Hilton, Marriott or Hyatt hotel, and I expect that these are treated the same. So, if all of those go into the corporate coffers and not the resort, then same here. I just don't think it all does...but similarly have no data.

Cheers.

 

[brp]

And, also without knowing, I would not believe this to be the case. Or, let me put it another way: I see this as no different from the resort fees charged at a regular Hilton, Marriott or Hyatt hotel, and I expect that these are treated the same. So, if all of those go into the corporate coffers and not the resort, then same here. I just don't think it all does...but similarly have no data.

What it really does is allow a place that wants to charge $274 for their room (and maybe that would be a reasonable going rate) to charge $249 and look better in search engines. Where this really was egregious was with the Priceline Name Your Own Price (which may no longer exist, not sure). Here, you'd get your bid for, say, $199 and be locked into the room. Then, of course, when the hotel is revealed, it is the promised $199...plus $25. While I don't like resort fees in general, they are disclosed on transparent bookings, but are (were?) hidden on opaque bookings. That's slimy. Like beyond salesweasel slimy.

Cheers.