Trusts have been known to fail
Those are the two big show stoppers for me as well. Maybe it really doesn't mean all that much in the big scheme of things - and boy, does scheme ever seem to fit the timeshare game - but I want a deed for a week at resort "X" no matter what points system I'm in. I paid little enough and have received enough value back that the non-transferability of my Club Sunterra (non-trust) to a new buyer doesn't bother me. I don't like that it can't transfer, and certainly the buyer, if they want to be in Club Sunterra, may feel the value of my week is diminished if they have to pay $2900 or more (almost 3 times what Club membership cost us) to rejoin. But I simply wouldn't market my week to that buyer but rather one that values the use at a top resort, 100% float time with split week privileges on its own without the need for Club Sunterra. I don't think it's hurting my resale value as much as it is likely to cost Club Sunterra a member through this short sighted policy.
But now we have the "new" Club Sunterra - trust based. Sorry, but I am not going to give up my deed to pay more to buy into a multi-resort trust that makes any future resale possibilities very murky. Plus I'm now just one annual payment missed away from losing my whole purchase. No foreclosure process as there would be with a deed to protect me anymore. You wonder why developers love trust based systems? And there is that loss of voting rights already mentioned as well as the Club overhead on top of the "blended" fees that make it very hard to believe fees can stay low for very long. Every resort I know of has rising budgets so how can the blended rate plus management overhead be lower? Finally there is no guarantee that the trust will be properly operated and survive forever - poor management can do in any system.
Regardless if it's Sunterra, Fairfield, RCI Points or any other points system we have a deed to the underlying property that generates the point value. It may be a small amount of control but it is a comfort that we won't relinquish to any points system.
Am I wrong? To join the club, you have to relinquish your deed, right?
This brings me to another question. How do you get out of the club if timesharing is no longer feasible for you? You can't sell it, because the club's rights don't transfer, and you relinquished your deed. Are you stuck with MF's until the end of time?
Those are the two big show stoppers for me as well. Maybe it really doesn't mean all that much in the big scheme of things - and boy, does scheme ever seem to fit the timeshare game - but I want a deed for a week at resort "X" no matter what points system I'm in. I paid little enough and have received enough value back that the non-transferability of my Club Sunterra (non-trust) to a new buyer doesn't bother me. I don't like that it can't transfer, and certainly the buyer, if they want to be in Club Sunterra, may feel the value of my week is diminished if they have to pay $2900 or more (almost 3 times what Club membership cost us) to rejoin. But I simply wouldn't market my week to that buyer but rather one that values the use at a top resort, 100% float time with split week privileges on its own without the need for Club Sunterra. I don't think it's hurting my resale value as much as it is likely to cost Club Sunterra a member through this short sighted policy.
But now we have the "new" Club Sunterra - trust based. Sorry, but I am not going to give up my deed to pay more to buy into a multi-resort trust that makes any future resale possibilities very murky. Plus I'm now just one annual payment missed away from losing my whole purchase. No foreclosure process as there would be with a deed to protect me anymore. You wonder why developers love trust based systems? And there is that loss of voting rights already mentioned as well as the Club overhead on top of the "blended" fees that make it very hard to believe fees can stay low for very long. Every resort I know of has rising budgets so how can the blended rate plus management overhead be lower? Finally there is no guarantee that the trust will be properly operated and survive forever - poor management can do in any system.
Regardless if it's Sunterra, Fairfield, RCI Points or any other points system we have a deed to the underlying property that generates the point value. It may be a small amount of control but it is a comfort that we won't relinquish to any points system.