Beginner's questions in buying a timeshare

[sfcagent86]

Looking at a timeshare in Las Vegas that says Title Deeded, Usage type Floating, weeks 1-52, Affiliated RCI, Interval International, Season Platinum.
- Does this mean I am guaranteed any available week?
- What does Season Platinum mean?
- If I plan to only vacation at this timeshare, do I still have to pay membership to RCI or Interval International?
- For non-holiday times, how far in advance do you have to book?
- If you cancel, is there a cancellation fee?
Thank you

 

[LannyPC]

You do not have to pay a membership fee to any of the exchange companies if you do not plan to use them.

What do you mean by "cancel"?

 

[sfcagent86]

You do not have to pay a membership fee to any of the exchange companies if you do not plan to use them.

What do you mean by "cancel"?

If you make a reservation and then cancel, is there a fee?

 

[jp10558]

Looking at a timeshare in Las Vegas that says Title Deeded, Usage type Floating, weeks 1-52, Affiliated RCI, Interval International, Season Platinum.
- Does this mean I am guaranteed any available week?

Yes, you can reserve any week in the year - with the large caveat as you point out, it must be available when you go to book it. Booking at a year or so out should give you the best chance to get your desired week. You are guaranteed that some week is available if you book before the start of the year you want to travel, but it might well not be a week you want. It's first come, first serve, with a limit on how far out you can book.

- What does Season Platinum mean?

With 1-52 potential week bookable, not much IMHO.

- If I plan to only vacation at this timeshare, do I still have to pay membership to RCI or Interval International?

Nope.

- For non-holiday times, how far in advance do you have to book?

Depends on the system. Usually as soon as possible to be sure. Figure 1 year out as a rule of thumb.

- If you cancel, is there a cancellation fee?

What are you canceling? A booking? It'll depend on the system.

 

[sfcagent86]

Yes, you can reserve any week in the year - with the large caveat as you point out, it must be available when you go to book it. Booking at a year or so out should give you the best chance to get your desired week. You are guaranteed that some week is available if you book before the start of the year you want to travel, but it might well not be a week you want. It's first come, first serve, with a limit on how far out you can book.

With 1-52 potential week bookable, not much IMHO.

Nope.

Depends on the system. Usually as soon as possible to be sure. Figure 1 year out as a rule of thumb.

What are you canceling? A booking? It'll depend on the system.

Thanks, very useful info for a beginner. Also besides the maintenance fee are there any other fees I should ask about? Also who is responsible for repairs inside the timeshare such as appliances , plumbing and electrical repairs?

 

[jp10558]

Thanks, very useful info for a beginner. Also besides the maintenance fee are there any other fees I should ask about?

You could ask if there's a booking fee, though that's usually the bigger systems. Otherwise I can't think of anything. Maybe taxes if in California?

Also who is responsible for repairs inside the timeshare such as appliances , plumbing and electrical repairs?

Technically you / all the owners are. Well managed resorts have reserves to handle this, plus some level of insurance. I.e. it ends up part of the yearly maintenance fee. However, you could also owe a special assessment if something unexpected happens and the reserves can't handle it. There is no set amount for a special assessment, but the worst I've seen levied reported on this forum is about $5,000 - most are a few hundred to a thousand, and are also usually rare if the management is up to snuff.

Day to day you just call maintenance if there's an issue while you're there during your week.

 

[HudsHut]

Welcome @sfcagent86

<<Does this mean I am guaranteed any available week?>>

In a floating system, you are NEVER guaranteed a week. You are competing with every other owner for every week in your season. Since all weeks are deemed "Platinum", you are competing for all weeks, but there will be high-demand weeks that are very difficult to get. (example: Every owner wants New Years Eve in LV.)
You learn the rules for your timehare. If the earliest reservations date is 12 months in advance, then that is exactly when you book the high-demand dates such as New Years or Special Event weeks.
For low demand weeks, you may be able to reserve a few weeks or months in advance. You'll have to learn whether their "reservation calendar" shows the number of units remaining on any given date.

<<What does Season Platinum mean?>>
In some timeshare systems, Platinum means the highest demand weeks (summer at the beach, winter at ski resorts). Those weeks are then sold at a premium to the original buyers.
Las Vegas has "some demand" year round, but New Years Eve is likely the highest demand week.
At this timeshare, "Platinum" is being used as a marketing/sales tool to convince every original buyer that every week is equal
and/or
that you will have excellent trade power no matter which week you reserve to give to the Exchange companies (this is not true - the week you give them will matter).

 

[sfcagent86]

Welcome @sfcagent86

<<Does this mean I am guaranteed any available week?>>

In a floating system, you are NEVER guaranteed a week. You are competing with every other owner for every week in your season. Since all weeks are deemed "Platinum", you are competing for all weeks, but there will be high-demand weeks that are very difficult to get. (example: Every owner wants New Years Eve in LV.)
You learn the rules for your timehare. If the earliest reservations date is 12 months in advance, then that is exactly when you book the high-demand dates such as New Years or Special Event weeks.
For low demand weeks, you may be able to reserve a few weeks or months in advance. You'll have to learn whether their "reservation calendar" shows the number of units remaining on any given date.

<<What does Season Platinum mean?>>
In some timeshare systems, Platinum means the highest demand weeks (summer at the beach, winter at ski resorts). Those weeks are then sold at a premium to the original buyers.
Las Vegas has "some demand" year round, but New Years Eve is likely the highest demand week.
At this timeshare, "Platinum" is being used as a marketing/sales tool to convince every original buyer that every week is equal
and/or
that you will have excellent trade power no matter which week you reserve to give to the Exchange companies (this is not true - the week you give them will matter).

When you buy a timeshare on the resale market , how much will closing costs run and will the buyer pay some of the closing costs?

 

[vacationtime1]

Closing costs vary considerably. A traditional title company will charge several hundred dollars; their closing may include title insurance. LT Transfers does closings for ~$300.

Hawaii closings require that escrowed monies stay under the control of a Hawaii-based company, so costs there are at the high end of the range.

For a low value or free timeshare not located in Hawaii, LT Transfers can do the job.

Who pays? Typically the buyer (who should theoretically get to select the closing agent), but that is negotiable. Sellers will sometimes offer "free" closing when transferring a worthless or nearly worthless timeshare to incentivize the buyer. But there are no rules here.

 

[sfcagent86]

Closing costs vary considerably. A traditional title company will charge several hundred dollars; their closing may include title insurance. LT Transfers does closings for ~$300.

Hawaii closings require that escrowed monies stay under the control of a Hawaii-based company, so costs there are at the high end of the range.

For a low value or free timeshare not located in Hawaii, LT Transfers can do the job.

Who pays? Typically the buyer (who should theoretically get to select the closing agent), but that is negotiable. Sellers will sometimes offer "free" closing when transferring a worthless or nearly worthless timeshare to incentivize the buyer. But there are no rules here.

I spoke with real estate broker who is selling the timeshare and he estimate closing cost of around $2500. I was expecting around $500. This sounds excessive.

 

[vacationtime1]

$2,500 for a timeshare closing is totally absurd.

If you are paying the closing costs, you should get to pick the escrow agent.

Does the broker insist on using this escrow agent? If so, I would go elsewhere (unless the timeshare is unique and you have been waiting for this particular unit for years).

 

[noreenkate]

Also besides the maintenance fee are there any other fees I should ask about?

Some units will charge parking fees- they can be nominal or downright ridiculous.

Research reviews on the resort your looking at you may find it over on the tug market place there is a section on resort reviews

$2,500 for a timeshare closing is totally absurd.

If that’s just the closing that’s nuts. That said some units I have picked up resale have required the MFs upfront. Not sure that’s the case but definitely find out exactly what that $2500 is covering, like line item by line item…

 

[chapjim]

$2,500 for a timeshare closing is totally absurd.

If you are paying the closing costs, you should get to pick the escrow agent.

Does the broker insist on using this escrow agent? If so, I would go elsewhere (unless the timeshare is unique and you have been waiting for this particular unit for years).

The only way $2,500 can make sense for a closing cost is if it includes a resort transfer fee and a year's pre-paid maintenance fee. Neither is technically a "closing cost" but would be part of the total cost of transferring from seller to buyer.

Closing costs are typically deed preparation and recording at the county clerk with some minor related costs like postage, maybe escrow if the selling price is big enough to need escrow.

I would want some detail on the closing cost or I would move on. And, as @vacationtime1 says, if I'm paying, I'm picking.

 

[silentg]

What resort are you buying? It’s resale? Closing cost sound high. Hopefully you aren’t paying more for the timeshare?

 

[sfcagent86]

What resort are you buying? It’s resale? Closing cost sound high. Hopefully you aren’t paying more for the timeshare?

The timeshare is zero cost. I spoke with the broker who handles the sale and he said part of the closing costs was $800 broker fee. Anyway I no longer interested in that sale. I notice in TUGBBS Timeshares Jockey Club for sale there are many mentions of Sapphire resorts point? Are these ads selling Sapphire Resorts membership or a deeded timeshare?

 

[Ski-Dad]

You should stick around awhile and read before you buy. Rent from TUG Marketplace or Redweek first.

Your questions indicate a very thin level of knowledge, which puts you at a disadvantage in any negotiation. No offence intended. Six years ago, I knew less than you.

Read - learn - then buy with knowledge of what you are getting into.