ARDA to implement new guidelines for timeshare resales companies

[TUGBrian]

http://www.timesharesdaily.com/inde...idelines-for-timeshare-resales-companies.html

lets see how this progresses....im skeptical given the current ARDA membership of many organizations that would fall under this sort of scrutiny!

However I applaud any effort made by ARDA to clean up the resale industry and help consumers!

 

[BocaBum99]

Any organization that would apply to get the ARDA stamp of approval is NOT the problem.

And, Resort Developers will do NOTHING to promote the ARDA designation since they don't want consumers to know about the resale market in the first place.

The only way this could be meaningful is if the Resort Developers decide together that the resale market must exist and they need to embrace it. This will require that the resort developers do something to ensure that the resale market for their timeshares is visible and liquid. And, that resale prices and developer prices are 25-35% of each other. If they did this, these guidelines could be meaningful. Until that happens, I'll look forward to more of these reports of intent with no meaningful progress.

 

[BocaBum99]

Of course, it would be very simple for ARDA to create a website that simply describes the various business models for timeshare resales and promoted it. And, they could evaluate the pros and cons of each model along with the potential pitfalls. That would do more than anything to help expose bad business practices of unethical resale companies.

But, the resort developers would never go for it since it would ultimately lead to educated consumers which is the exact opposite of what they want.

ARDA should just create an initiative to make timeshare resales look dangerous and seedy and impossible to do without major complications and risks that consumers should always avoid. If ARDA announced such an initiative, it would get fully funded and gain full support from the resort developers who dictate their agenda.

 

[ecwinch]

Or it is the first step in terms of greater regulation of the resale market, in an attempt to increase reseller costs, and bridge some the gap between resale and developer pricing.

Once they build some value to having that designation, then they can increase the standards the resellers have to adhere to. The press release implies that the impetus for the move - to address questionable activities in the resale market. Next you have the requirement that they be real estate agents or work under the control of a real estate agent/broker.

Jim - in that vein. Is it a requirement for resellers in Florida to be licensed agents? Reading the FL timeshare law, it seems to suggest that.

 

[BocaBum99]

Or it is the first step in terms of greater regulation of the resale market, in an attempt to increase reseller costs, and bridge some the gap between resale and developer pricing.

Once they build some value to having that designation, then they can increase the standards the resellers have to adhere to.

This I agree with. If the resort developers allowed certified resellers to offer their resale inventory with developer only features like Marriott Reward Points, then the program could be successful. If it doesn't have such a provision, it's hot air.

 

[calgarygary]

I am trying to understand this. ARDA is proposing to regulate the resale business because of the issues that exist within the resale business? No issues to regulate with the developers? Let's skip that thought for a moment and consider who the problem resellers are that ARDA hopes to regulate. I am quite sure that fly by night companies, here today gone tomorrow, that lie or mislead consumers to attend their meetings, that may or may not transfer title, or may or may not pay mf will quake in their boots about the authority of ARDA.

 

[TUGBrian]

im just hoping that this "initiative" will lead to a expansion of knowledge about the resale market for the average person...vs just those who find that info on TUG and other such sites.

 

[ecwinch]

Brian - Now that would represent a significant change the developers model. Somewhat like a white flag moment.


And Gary - ARDA already does that. Did'nt you know that

"For enforcement, the resale guidelines will center on accountability with regard to a timeshare resale company’s marketing, advertising, and sales practices. Similar to the current ARDA guidelines, comments and complaints regarding the resales code will be reviewed and acted upon by the Ethics Committee."

 

[NTHC]

ARDA cannot manage the unethical practices of Developers, I find it interesting that they would try to manage the the practices of resalers of timeshare.

I see any interest they have in resales as purely a way to benefit financially and to do away with their competition.


JMHO,
Cindy

 

[ecwinch]

I think that is rule #1 for the self-serving:

Anytime you are not doing a good job, you should ask for more responsibility.

 

[richardm]

Cindy,

I attended that meeting. It was very similar to past resale meetings held at ARDA conferences. I didn't get the impression that even the ARDA reps in attendance took it very seriously.

 

[Seth Nock]

I was there as well. It appears that they want to charge resellers membership fees to ARDA (a few thousand per agent, I believe), as well as an additional fee to be ARDA certified. I cannot see the smaller resellers paying those fees.

 

[bnoble]

ARDA cannot manage the unethical practices of Developers

Why should they? ARDA works on behalf of the developers.