Buying a timeshare on ebay. $1.00 auctions - Any tricks?

[davevt98]

I am considering buying one of these cheap timeshares on ebay. I was thinking about purchasing one on hawaii but I am a little nervous consider they are only selling for $1.00. Is this some kind of trick or are they really worth nothing.

If they are really worth nothing, can I use it or trade it or will I be stuck with a perpetual liability for nothing.

Any help would be appreciated. Thanks.

 

[applegirl]

Welcome to TUG!

It really depends on the resort! You need to check out the resort carefully. Some of these will be of some value to someone, but many probably are worthless. Due diligence will pay off here.

Janna

 

[DeniseM]

Because of the economy a lot of people are trying to sell their timeshares. There are a lot of Hawaii timeshares on the market because 1) Hawaii Maintenance fees are high, and 2) people can't afford the airfare. Because of the high maintenance fees, Hawaii timeshares are not cost-effective exchangers. If you do your homework - you can buy something on the mainland for a lower maintenance fee, that's just as good as an exchanger. I wouldn't buy a Hawaii timeshare unless I wanted to visit Hawaii every year. If you want to visit every other year, then buy an EOY timeshare. If you don't want to go EOY, then buy a mainland timshare with good trading power, and exchange in.

TUG has comprehensive reviews of just about all the Hawaii Timeshares, but you have to be a member to access the review page. Click here to join. There are several options to pay your $15, but if you use Paypal, a human being actually has to process your payment, so choose another payment option if you want faster access. After you join, you will get a member's only code that you have to add to your profile to activate your membership.

 

[davevt98]

What mainland timeshares would you consider to have the highest trading power? Also, what exactly is meant by trading power? I am a new Hyatt owner and when I search interval, I only get mediocre results. Is that because there is no availability or my unit has lower "trading value" than others?

Thanks for the responses.

 

[DeniseM]

Dave - II rates deposits as to their demand and quality (but it's a secret) and that rating is a resorts trading power. A good way to learn about trading power is to read the Sightings board below the Lounge where people post what they can "see" on II with their timeshares. That forum requires TUG membership as well. For lots more info. about II, see the II FAQ at the top of the Exchanging Forum.

 

[optimist]

hyatt trading power

I am a new Hyatt owner and when I search interval, I only get mediocre results. Is that because there is no availability or my unit has lower "trading value" than others?

Thanks for the responses.

What you say about Hyatt worries me because I just bought a Hyatt thinking they have very good trading power (Ownership has not changed hands yet so I am not able to access any exchange info). I was under the impression that all exchanges are made via the Hyatt office and not directly with II. Is that not so?

 

[Bill4728]

What mainland timeshares would you consider to have the highest trading power? Also, what exactly is meant by trading power? I am a new Hyatt owner and when I search interval, I only get mediocre results. Is that because there is no availability or my unit has lower "trading value" than others?

Thanks for the responses.

Hyatt TS have one of the highest trading powers but even with high trading power there are reasons you may not see great things.

1. Marriott (& Westin) has a time period which their deposits can be seen only by other Marriott (& westin) owners. This means that the Marriott in Maui is much harder to get by a non marriott owner, even if they have great trading power, than a by a marriott owner.

2. Most really good weeks are not available online for instant exchanges. Exchangers will have an ongoing search with II, when a great exchange becomes available it will match with an on-going search. Therefore the week will never be seen as available to anyone else.

 

[Bill4728]

I am considering buying one of these cheap timeshares on ebay. I was thinking about purchasing one on hawaii but I am a little nervous consider they are only selling for $1.00. Is this some kind of trick or are they really worth nothing.

If they are really worth nothing, can I use it or trade it or will I be stuck with a perpetual liability for nothing.

Any help would be appreciated. Thanks.

The price of any TS which is under $200 is all basically the same price. (WHAT??) Let me explain.

My BIL just bought 2 TS on Ebay one he paid $1 and the other he paid $199. It turned out that after closing costs he paid more money for the $1 TS than the $200 TS ( both were the same point based TS) Also, the TS he paid $199, he got more than twice as many points for then the TS he paid $1. ( even though in the end the $1 cost him more out of pocket money)

So many of the people who sell TS for less than $200, make their money not from the price of the TS but from getting part of the closing costs. Some Ebay sellers also get a significant amount $$ from the current TS owner. The owner will pay the ebay seller to get rid of their TS because the owner isn't aware or able to sell it themselfs on Ebay (or other online TS resale websites)

See the many posts about postcard companies to see more about this.

 

[falmouth3]

I am considering buying one of these cheap timeshares on ebay. I was thinking about purchasing one on hawaii but I am a little nervous consider they are only selling for $1.00. Is this some kind of trick or are they really worth nothing.

Since you are a member, may I suggest that you look at the timeshare reviews? I spend a lot of time there when I'm considering an exchange or a purchase. You can see what other Tuggers have to say about the place. Read the reviews, rather than just looking at the numbers. Once I read a review where the reviewer gave the resort a "1", the lowest grade because someone had hit his car in the parking lot and he didn't like the resort's response. Keep in mind what would be important to you. If you don't plan to use the pool, then a small pool wouldn't matter to you, but if you've got a few kids and their idea of a great vacation is to enjoy the pool, then it would be important.

Good luck! Ask as many questions as you like. People here have lot of opinions and we're not shy about sharing them.

Sue

 

[JudyS]

I am considering buying one of these cheap timeshares on ebay. I was thinking about purchasing one on hawaii but I am a little nervous consider they are only selling for $1.00. Is this some kind of trick or are they really worth nothing.

If they are really worth nothing, can I use it or trade it or will I be stuck with a perpetual liability for nothing.

Any help would be appreciated. Thanks.

Welcome to TUG, and you have gotten some good responses on this thread! I second everything that Janna (Applegirl) says.

There are a few timeshares out there, mostly "brand name" ones such as Marriott, Disney, Hyatt, etc., that have high buy-in costs. Most other timeshares can be purchased fairly inexpensively on the resale market. Only a very few non-name brand timeshares would go for $2000 or more on eBay, and most would go for much less.

When you buy one of these inexpensive timeshares, the real cost in the ongoing annual fees, not the purchase price. What makes one of these low purchase price timeshares "a good deal" is if it provides good value (for exchanging, renting, or staying yourself) relative to its annual fees. There are some good traders out there with fees in the under $400 range, but you have to be very knowledgeable to find them. Fees in the $500-$600 range are more typical. Many of the "$1" timeshares on eBay have fees of $600 or more, and will not trade well. Those could easily become a liability rather than an asset, yes.

There are a number of factors involved in annual fees. Some regions of the country have much lower fees than others; most timeshares charge the same fees regardless of season, so off-season weeks are far poorer values than peak season weeks; unit size and lock-off capability are also major factors in determining how much value you receive; quality of resort management and maintenance are also important. I have an essay I've written up on annual fees, and on finding timeshares that give good value relative to their fees. If you (or anyone else) wants a copy, just email me.

 

[AwayWeGo]

Buy Timeshares Resale. Save Thousands.

When you buy one of these inexpensive timeshares, the real cost in the ongoing annual fees, not the purchase price.

Same goes when you buy a high-end timeshare for big bux.

The difference is that when you shell out truly big bux for something as trivial as a timeshare -- say $25,000 - $50,000 just for the deed -- it's all too easy to tell yourself: Well shux, what's another $995 or so in fees after laying out all that money up front ?

In any case, it's those ongoing fees year after year -- plus the occasional unpredictable special assessment cropping up now & then -- that add up to the major serious timeshare money, mox nix whether the timeshare in question is high-end, moderate, el cheapo, or even el freebo.

Fortunately, people who buy timeshares resale for pennies on the full-freight dollar can pay years & years of maintenance fees & still stay way ahead in the game.

One more fact (that the timeshare companies for sure don't want you to know) will help keep the advantage of resale timeshares in focus. That important fact is that there is no such thing as a new timeshare. By the time anybody after the 1st Grand Opening occupant gets there & checks in, all timeshares are used-used-used. That's why it makes zero sense to pay full freight for a used timeshare when the same thing or the equivalent or something better can be purchased for pennies on the full-freight dollar.

-- Alan Cole, McLean (Fairfax County), Virginia, USA.​

 

[Garnet]

2 HI TS with low mfs...

Alii Kai (on Kauai in Princeville area) trades in RCI, is gold crown (although well managed and I really like it-not super lux like many). Anyway, the mf for 2009 is $849 incl. taxes, resevs, the whole thing. All units are 2 bed, 2 bath. For HI, that mf is a bargain. I have never had a problem booking any week I wanted. Might try searching for one of those.

Also, I thing Paniolo Greens on the Big Island is similar. I haven't stayed there.

 

[Garnet]

Forgot-For Alii Kai I would purchase for a combo of staying there/trading if you could find a good price on it. Terrific trading power that I don't think will change.

If just buying to stay, maybe try Lawai on South Kauai. They sold eoys and is right accross the street from great snorkeling and walking to nice beaches. I have not idea what resales are currently. I'm guessing pretty low along with the rest of HI.

 

[bogey21]

One dollar is great. Only after you consider Annual MFs, closing costs, and transportation to the resort will you know if it is really a bargain.

George

 

[stugy]

We go to Puerto Vallarta for 4 to 6 weeks every year. We own a week at Sheraton Buganvilias in a 2 bedroom ocean view. We also own at Lindo Mar but did not get our reservation in time this year (floating week). Well, I watched this auction at the Sheraton Buganvilias go for 2 different times in an Imperial Suite (the top floor on the older ocean front bldg. (penthouse). No bids. When it went the third time, no closing fees, seller paid the resort transfer fee and I bought it for $1 plus 2009 maintenance fee (which I had to pay anyway as the new owner.) So that is a $1 well spent. It expires in 2013, but that is perfect considering that we are getting older. I won't have to pay trade fees which are creeping up there to spend my 4 to 6 weeks in PV over the winter. And I probably won't have to pay to get rid of it. It's a week 11 and is a beautiful unit on the top floor with a huge balcony ...... Paradise at the right price. It's a buyer's market right now.
Pat