Buyers Remorse

[SCTraveler1979]

I just returned from a vacation during which I purchased two weeks in a 2B/2BR unit during prime season at a beach resort. Our intention when we started looking at timeshare was to simply buy a week at a beach location - same beach location, same resort, same week every year. We originally weren't looking for anything to do with points, or flexibility, or anything like that. Just wanted a place to go to each year that we could use ourselves or let friends/family use. I'll admit it - we got sucked in by the sales pitch and ended up with two fixed, deeded weeks plus 125,000 RCI points, and spent about double what we were planning to spend. We signed papers, paid 30% earnest money, and came home, with the understanding that we will be contacted when it is time to close. Supposedly the price for the deeds for the two weeks was one amount and the price of the RCI points was another amount, but on the contract of sale for timeshare resale, the purchase price is showing the total of the two added together. The paperwork for RCI doesn't reference any dollar amount other than the annual membership fee, so I'm thinking we let ourselves get talked into paying a boatload for RCI, the agent added it to the purchase price of the condo, and then will collect it from the seller on the back end.

After reading a lot of these posts about using RCI points and the hassles involved, I'm having serious buyer's remorse. Does anyone know whether at this point I could just legally walk away, forfeit the earnest money, and consider this a hard lesson learned? Or, if someone can tell me whether RCI can be walked away from at the end of the three year term, that would be good to know as well. Right now I'm not sure whether I'm stuck with an RCI relationship forever, or if I can get away from it at the end of three years and just enjoy my weeks as I see fit at the resort. Thanks for any information.

 

[vacationhopeful]

WHEN did you sign for this purchase and in what state?

Can you rescind this purchase?

 

[Talent312]

Depending on how much time has passed, you may still be within a skimpy period of time when you have a right to rescind the transaction. The right of rescission is mandated by state statute. There's a paragraph buried in your contract where it's spelled out. FIND and READ it. If it applies, follow it's instructions on how to rescind eggsactly, to the letter. Do not try to get creative.

If you are outside that time-frame, then your choices are to (a) breach the contract and let them try to collect or foreclose, (b) ask them to take it back (unlikely), or (c) learn to use + enjoy what you bought.
.

 

[rickandcindy23]

Please don't be vague about where you bought. I don't see any reason to keep the state and the resort name secret.

We can maybe help with more information. RCI Points is a product you can buy for nearly nothing, and you can very possibly book the beach location with RCI Points at 10 months.

You should not think another minute before sending your rescission letter via USPS with return receipt, where the developer has to sign that they received your rescission letter. Don't delay a minute.

 

[theo]

I sure hope that the OP follows up promptly. Whether s/he even yet knows it or not, s/he might very well still be within the rescission (cancellation) period provided by applicable state law; it would be a crying shame to miss that window of opportunity while it's (...maybe) still wide open as an available course of action.

With state rescission periods ranging from as few as 3 days to as many as 10 days depending upon the particular state (Alaska's 15 days is a real anomaly), it's impossible for us to know or to guess the OP's potential rescission status without more specific details regarding actual purchase date and location.

 

[Passepartout]

I wonder.... OP seems to have been savvy enough to search for RCI info here, so perhaps they've entered 'cancellation' in the search window as well. It appears they want a specific deeded week(s). That would be difficult to achieve as resales. Then of course, the salesweasel piled on a bunch of baggage.

We hope s/he comes back soon so if there is any hope of remedying a costly mistake, there might be a chance.

Jim

PS, I hate having to give the advice of 'Well, you bought it, now you're stuck with it. Might as well learn to use it."

 

[TUGBrian]

join the club, are thousands and thousands of folks here with stories just like that, heres to hoping you are still within your rescission period!

http://tug2.net/timeshare_advice/did_i_get_a_good_deal_on_my_new_timeshare.htm

 

[rickandcindy23]

I would guess South Carolina is the state you bought. I don't know much about SC laws, but it's at least five days. Please do your due diligence and rescind. You will be laughing all the way to the bank, instead of the developer and salesperson, who are doing that this second.

Was it Hilton Head or Myrtle Beach?

 

[csxjohn]

If Denise is correct and it is SC you do have 5 days from the time you signed or received the paperwork.

Even if you are a day or two late send the rescission anyhow. I have heard of it working.

Here is a state by state list.

http://www.nolo.com/legal-encyclope...ights-special-protections-50-state-chart.html

 

[dominidude]

I wish TUG was better at reaching prospective timeshare buyers BEFORE they bought from developers.

I've had (so far) such a wonderful time using my timeshares, but only because of this wonderful website and its members who so diligently put out this really valuable information GRATIS.

No buyers remorse here.

 

[am1]

I wish TUG was better at reaching prospective timeshare buyers BEFORE they bought from developers.

I've had (so far) such a wonderful time using my timeshares, but only because of this wonderful website and its members who so diligently put out this really valuable information GRATIS.

No buyers remorse here.

10% donation on money saved would go a long way to help advertising and education.

 

[theo]

Wish upon a star...

I wish TUG was better at reaching prospective timeshare buyers BEFORE they bought from developers. <snip>

There are some smart and helpful people to be found here on TUG, but very few clairvoyants (...that I am aware of, anyhow).

Unfortunately, there is really no way on Earth to "reach" (or for that matter, to even predict or identify) prospective timeshare buyers.
It can only be hoped that people will make the effort to conduct at least a little research and do at least a little homework and somehow find their way here before they just voluntarily jump into the piranha-infested waters of a timeshare developer's sales pen.

 

[TUGBrian]

TUG is in the same place it was before you bought...after you bought. =)

the bigger issue is that so many folks simply dont do research before buying (especially for such a large financial purchase)....folks spend far more time online researching the next tv or car they will buy...vs a timeshare.

we are also working directly against the industry and developer interests and marketing that are far more effective than one single website that pretty much says exactly the opposite of every timeshare sales pitch!

 

[SCTraveler1979]

Papers were signed last Thursday morning. Included in what I signed was something that said something to the effect that timeshare resales do not have a right of rescission. I went to the scstatehouse.gov website and found the applicable law relating to buyers and sellers of timeshares, and one of the exceptions to whom the law applies is: "(a) an owner of a time sharing interest who has acquired the time sharing interest for his own use and occupancy and who later offers it for resale on his own behalf or through a real estate broker". In other words, as I read it and as it was explained at the broker's office, the purchase of a resale timeshare unit from the owner of that timeshare who had purchased it for their own use does not have a five-day cooling off period. If I had been a little more savvy I could have insisted that I wasn't going to sign unless they wrote it into the contract but instead I signed the paper acknowledging that I understood that there was no right of rescission with this transaction, so I guess that's water under the bridge. I called the broker this morning and discussed it and he was very helpful in explaining the RCI point system and that he believed I would be happy with it when I started using it, and I spoke with someone at work who uses a point system with something called "blue-green" that she has been happy with, so maybe I'm just obsessing over nothing. When I was reading over all of the RCI information, what was starting to concern me was that it sounds like I have essentially given RCI my ownership rights and that I have to get their approval to use my unit myself (which I guess I do, for at least the three year membership period), and have to pay them for a "guest certificate" if I want to let someone else either rent my unit or use it gratis (which I think I'm technically supposed to do, although from what I've read today that is something that is rarely enforced).
Bottom line is I think I'm going to have to do what one of the responders said and make the best of it. I may even find out that it isn't as bad as some people have said. I probably shouldn't have used the word "scammed" in my original post, because I was the one who walked into the "timeshare resale" office and they didn't really misrepresent anything. I just may have gone a little overboard.

 

[55plus]

How much money did this cost you? How much money have you paid thus far? Which state were you in when you bought the timeshare/points?

 

[Jason245]

Papers were signed last Thursday morning. Included in what I signed was something that said something to the effect that timeshare resales do not have a right of rescission. I went to the scstatehouse.gov website and found the applicable law relating to buyers and sellers of timeshares, and one of the exceptions to whom the law applies to is: "(a) an owner of a time sharing interest who has acquired the time sharing interest for his own use and occupancy and who later offers it for resale on his own behalf or through a real estate broker". In other words, as I read it and as it was explained at the broker's office, the purchase of a resale timeshare unit from the owner of that timeshare who had purchased it for their own use does not have a five-day cooling off period. If I had been a little more savvy I could have insisted that I wasn't going to sign unless they wrote it into the contract but instead I signed the paper acknowledging that I understood that there was no right of rescission with this transaction, and seen what they said, but that's water under the bridge. I called the broker this morning and discussed it and he was very helpful in explaining the RCI point system and that he believed I would be happy with it when I started using it, and I spoke with someone at work who used a point system with something called "blue-green" that she has been happy with, so maybe I'm just obsessing over nothing. When I was reading over all of the RCI information, what was starting to concern me was that it sounds like I have essentially given RCI my ownership rights and that I have to get their approval to use my unit myself (which I guess I do, for at least the three year membership period), and have to pay them for a "guest certificate" if I want to let someone else either rent my unit or use it gratis (which I think I'm technically supposed to do, although from what I've read today that is something that is rarely enforced).
Bottom line is I think I'm going to have to do what one of the responders said and make the best of it. I may even found out that it isn't as bad as some people have said. I probably shouldn't have used the word "scammed" in my original post, because I was the one who walked into the "timeshare resale" office and they didn't really misrepresent anything. I just may have gone a little overboard.

So it is 6 days after fact. .. options for you are as follows :

("Right thing")
Fulfill your obligation.

("What you can probably get away with")

Depending on dollars amount involved, you can walk away and lose your deposit. .. call it an expensive lesson, but if you have not closed and it is not from developer, don't give more money. .. individuals probably arnt going to want to hire attorneys for more than a threatening letter to try and enforce the contract. . If they sue you and actually try to take you to court, you can try to settle it before hand.. court case can draw out for years and they will have to come up with cash to pay those fees which they might not recover from judgement (especially if it goes to jury)..

Sent from my SAMSUNG-SM-N910A using Tapatalk

 

[theo]

SC Traveler1979:

Currently, AFAIK, the one and only state in which rescission rights apply equally to timeshare resales (as well as to developer-direct sales) is Florida --- and that has been true in FL for only the last very few years after some unexpected legislative revisions there. In short, I believe your "resale" documents and observations regarding rescission rights as you've cited above are entirely correct and, as a consequence, you are now an owner.

It's not the end of the world. You've entered into a new adventure and the challenge for you now is to make the best of it. Some great vacations could be in your future!

P.S. The BlueGreen product to which you've made co-worker reference (post #14 above) is an entirely different animal and one unrelated in any way to RCI Points.
BlueGreen points are a different product of a different "currency" system in a different company with different usage rules and very different "inventory" availability.
Don't get yourself confused and wrapped around the axle, inappropriately trying to apply the mechanics and rules of one system to a completely unrelated system.

As you attempt to learn how to best use your new acquisition, I believe that you'll find this site to be a valuable resource, with lots of information and populated by knowledgeable and experienced people who are entirely willing to help you by answering the questions and issues which you'll almost surely develop and encounter.

 

[TUGBrian]

hopefully you paid nothing for these points (BG points are regularly given away for nothing)...so perhaps you can just explain to your co-worker that you dont want to move forward with the deal if you havent actually completed the transfer of ownership.

there are no deeds involved with BG intervals...I believe its just a flat fee to transfer ownership.

 

[WinniWoman]

I am not understanding. You purchased resale from the developer? Was that the 2 fixed deeded weeks? And also yearly RCI points- was that resale as well? With RCI points you do have to book your unit in advance. But with fixed deeded weeks you do not- you pretty much just show up. Did you buy two separate products or were the deeded weeks converted to points through the sale? Not getting it.

As Theo pointed out, there are numerous points systems- Blue Green, RCI, Wyndham, Worldmark, Innseasons, lots of different ones.

You overpaid for sure, but if you can't rescind just be happy with your 2 fixed deeded weeks which is what you wanted and learn to use the points for other vacations if they are separate. If not, just make sure you plan way ahead to get your fixed weeks/units.

Many of us bought from developers the first time and are happy with our timeshares. But- second time around you can be sure we bought resale or even acquired freebies.

 

[theo]

hopefully you paid nothing for these points (BG points are regularly given away for nothing)...so perhaps you can just explain to your co-worker that you dont want to move forward with the deal if you havent actually completed the transfer of ownership.

there are no deeds involved with BG intervals...I believe its just a flat fee to transfer ownership.

Brian:
If I read correctly, the OP's brief BlueGreen reference (see post #14) was only to something owned and used by a co-worker and not related to the OP's SC purchase.

 

[SCTraveler1979]

Total purchase price will be about $10k with closing costs, and I've paid $3k in earnest money. It isn't as if this is going to send me into bankruptcy, it's just frustrating knowing that I was planning to spend X, ended up spending X times 2 (which to the largest degree was my own fault), and not knowing whether I got duped. According to the broker, if I want to, at the end of the three year RCI contract I can just opt out and not pay the $89 renewal fee and would then own two specific deeded weeks for this particular unit, without any connection to RCI. But his point is why would I do that, because if I at some point wanted to get back in to RCI I would have to come up with 3 grand (or more) again. That's one aspect that I'm struggling to understand. I keep reading posts from people who say RCI points can be purchased for next to nothing, so why did it cost me that much for RCI points? Could I have just bought the deeds without any RCI points and saved $3,000, and then gone onto Ebay and found the same number of points just floating around for $100 or something?

 

[SCTraveler1979]

I am not understanding. You purchased resale from the developer? Was that the 2 fixed deeded weeks? And also yearly RCI points- was that resale as well? With RCI points you do have to book your unit in advance. But with fixed deeded weeks you do not- you pretty much just show up. Did you buy two separate products or were the deeded weeks converted to points through the sale? Not getting it.

As Theo pointed out, there are numerous points systems- Blue Green, RCI, Wyndham, Worldmark, Innseasons, lots of different ones.

You overpaid for sure, but if you can't rescind just be happy with your 2 fixed deeded weeks which is what you wanted and learn to use the points for other vacations if they are separate. If not, just make sure you plan way ahead to get your fixed weeks/units.

Many of us bought from developers the first time and are happy with our timeshares. But- second time around you can be sure we bought resale or even acquired freebies.

Mpumilia - no, did not purchase from a developer. This was a resale brokered by an agent at an office that handles timeshare resales but also advertises as being an agent (or something) for RCI, II, etc.

 

[tschwa2]

It also seems that you bought 2 weeks. That means twice as much MF on an annual basis and that isn't something you can opt out of.

125,000 rci points maybe better than 2 weeks as weeks. It depends. You do have some learning to do in order to make the most of it.

 

[theo]

Total purchase price will be about $10k with closing costs, and I've paid $3k in earnest money. It isn't as if this is going to send me into bankruptcy, it's just frustrating knowing that I was planning to spend X, ended up spending X times 2 (which to the largest degree was my own fault), and not knowing whether I got duped. According to the broker, if I want to, at the end of the three year RCI contract I can just opt out and not pay the $89 renewal fee and would then own two specific deeded weeks for this particular unit, without any connection to RCI. But his point is why would I do that, because if I at some point wanted to get back in to RCI I would have to come up with 3 grand (or more) again. That's one aspect that I'm struggling to understand. I keep reading posts from people who say RCI points can be purchased for next to nothing, so why did it cost me that much for RCI points? Could I have just bought the deeds without any RCI points and saved $3,000, and then gone onto Ebay and found the same number of points just floating around for $100 or something?

The info from the broker seems correct. RCI Points are "attached" to a underlying deeded week; they don't exist independently as "free floating" objects. You can use the underlying deeded week (if you reserve it long enough in advance) or you can use the assigned RCI Points elsewhere instead (where / when space is available to reserve, of course) in any given year. You obviously can't "double dip" and use both the RCI Points and the underlying week itself in the same year --- it's one or the other.

The statement that "RCI Points can be purchased for next to nothing" is neither entirely accurate nor particularly complete. Even if initially acquired at low cost, there are always annual (and eternal) maintenance fees attached to each and every individual week --- with or wthoout the points --- and that is where the real (and ongoing) cost resides. You'll see references to "x cents per point" as determinant of value in the eye of the beholder. The unspoken mathematical reference in that ratio is to the annual maintenance fee cost which is associated with that particular week's points allocation. Make sense?

Yes, you overpaid --- by plenty ---but people get bitten much worse by hungry developers for $20k -- $45k+ for less "product" than what you've just acquired resale.

P.S. Someone may well have previously paid $2,800 to $3,500 per week to "convert" those underlying deeded weeks to RCI Points. It's a good thing that you don't / won't have to do so and the broker was correct to suggest that you leave those weeks in points. The weeks alone would have been of less value (and less usage flexibility) than with the points pre-attached --- and the annual maintenance fees would be / will be exactly the same with or without those RCI Points.

 

[TUGBrian]

yikes, 10k for rci points...you could walk away from the 3k now and still come out 7k ahead unless its some special resort...but for just plain RCI points? definitely not a good deal.