First time SVN resale purchase

[longboarder39]

I'm seriously considering purchasing my first timeshare. I've done a lot of research and I feel like the starwood system is the best fit. I want to purchase a minimum of 67,100 options to get to any resort at anytime. I know in some cases that would be a studio, but size is not that important at this time (just my wife and I).

It seems like there are some good deals out there with the current economics and I've decided between Vistana (Key or Bella) or Keriland. The downside with Vistana is that I would probably never go there and I'm also concerned with possible future assessments and resale value. I'm not too concerned with trying to use the options at other resorts because we are very flexible with when we can travel. The obvious up side is that the cost to options ratio seems to be by far the best.

With Kierland, we would probably try to go there at least in some regard every 3-4 years (drive over from SoCal). The other plus is that it seems like the resale market and potential appreciation would be better. The downside here is the higher up front costs.

I'm not sure on the trade value or rental value differences between the two and I know that would have a large bearing on which type of unit I purchase.

Any thoughts or advice would be greatly appreciated...

Also, I have done my homework on the actual properties...but can anyone point me in the right direction with regard educating myself on how to best purchase a SVN Mandatory resale (logistically speaking)? Example: MUST Do's or NEVER Do's

Many Thanks and happy and safe travels!!

 

[vacationtime1]

First, don't buy any timeshare for appreciation potential. Look at it as a lifestyle expenditure, prepaid vacations, etc., but not an investment. By buying resale, you will minimize your loss when you sell (although those currently selling probably don't think of their losses as minimal); you should not buy with the expectation of earning a profit.

Next, consider buying something with 81,000 StarOptions. You seem to have done some due diligence on this point, but you should consider the superior kitchen in the real one bedroom vs. a studio and the broader choice of resorts and times you will have with more SO's.

The true cost of a timeshare is not measured by the purchase price alone; it is also highly dependent on the annual maintenance fees. That is where your consideration of Kierland is well-based. If you can find a "large side" one bedroom platinum week (weeks 1-21 & 50-52), you get 81,000 SO's and relatively low maintenance fees of about $650 per year + SVN fees, against a cost of under $10,000 in this weak market. Over time, this will cost less than Vistana.

Trading power with I.I. is problematic because Starwood has the right to deposit any week it wants on your behalf; this is part of the SVN contract (there are numerous threads on this subject). But the reason to buy an SVN mandatory property is to use it or to trade with SVN via StarOptions, not to rent it or do an I.I exchange.

FWIW, you can rent a prime Kierland week large side one bedroom for $1,500 - $2,000. I have no direct experience with Vistana.

 

[longboarder39]

Great Info !! Thanks Robert

 

[pointsjunkie]

owning at kierland is a much better choice IMO. the MF's are lower than orlando.
if you are only the 2 of you and are staying that way owning a ts with 67100 is not terrible, 81000 is better. the resort is beautiful and you will love it.

 

[DeniseM]

See this file in Owner Resources that compares the Maintenance Fees and Staroptions of all the mandatory resorts. When you look at the MF to SO ratio, WKV is clearly a better value.

Also, since you are very flexible, instead of buying at a mandatory resort, you should strongly consider buying at a low-cost voluntary resort, like SDO or SBP, for less than $1,000 and using the week to exchange into Starwood resorts using II, for a fraction of the cost. All Starwood resorts have a 3-day priority for other Starwood deposits in II, so owners have been able to use very inexpensive voluntary weeks to exchange into just about all the resorts, with the exception of WSJ, which is nearly impossible through II or SVN. If you decide to go with this, buy at least a 1 bdm. for better II exchanges. With online exchanges through II, 1 bdm. owners can even reserve 2 bdm. Starwood units sometimes.

If I were you, that's the way I would go. You can accomplish the same thing for about 90% less upfront and also for significantly lower maintenance fees. See the article in Owner Resources about Starwood and II for more info. And use the search function to search for "exchanging with II." If you join TUG you can also access the TUG Sightings board where you can actually see what exchanges Starwood owners are getting through II with inexpensive voluntary weeks.

 

[longboarder39]

Thanks to everyone…I did actually pay the dues to be a member. But there’s a little mix up, I had signed up a few years back as well and my membership expired…then I just resigned up yesterday and I created a new account instead of checking the renewal box, it cost me an extra $5 and some headaches. Anyway…now I have 2 user names with the same email address and it’s causing problems on the BBS. Someone is trying to work it out for me.

This is great site and I hope all the newbies (like me) are very appreciative to have you all as a resource.

Denise, I really like the sound of your suggestion…I just don’t fully understand the dynamics so I’ll try look more into that option as well. Couple of questions…

1) Do you think it will be hard to work through all the nuances as a newbie and really use the trading to it’s full potential?
2) Do you think the trading will become a lot harder down the road when people start traveling more with a better economy?
3) We would definitely like to get to Princeville and/or Poipu (If it opens) in the future, do you think that will be doable in Jan-Feb through II if we’re flexible?

Thanks again,
Scott

 

[DeniseM]

1) Do you think it will be hard to work through all the nuances as a newbie and really use the trading to it’s full potential?

Not really - you deposit with II, put in your on-going requests with a variety of dates and resorts, and check II online as often as possible - along with the TUG Sightings Board. That's about it!

2) Do you think the trading will become a lot harder down the road when people start traveling more with a better economy?

Yeah, in 10-20 years when the economy recovers! I think it will always be a viable option and never better than now! Remember - everyone doesn't belong to TUG - 95% of Starwood owners probably have no idea they have a 3-day priority in II. It's really pretty simple, Starwood owners can make an exchange for other Starwood resorts 3 days before non-Starwood owners.

3) We would definitely like to get to Princeville and/or Poipu (If it opens) in the future, do you think that will be doable in Jan-Feb through II if we’re flexible?

Oh yeah - people see II deposits for Princeville all the time and several Tuggers have made II exchanges. As soon as you get your membership straightened out, check out the Sightings board.

 

[longboarder39]

One last thought...

One of the reasons I like the SVN system is because I could see us using the options in some years (maybe as much as every other year) to take a few 2 or 3 day trips to Mission Hills or Kierland. Is there another way to do that through a get-a-way or something?

And/or...are those short trip type of useages for StarOptions even practical or cost effective?

 

[DeniseM]

One last thought...

One of the reasons I like the SVN system is because I could see us using the options in some years (maybe as much as every other year) to take a few 2 or 3 day trips to Mission Hills or Kierland. Is there another way to do that through a get-a-way or something?

And/or...are those short trip type of useages for StarOptions even practical or cost effective?

The short trips are tough, because you can't make the reservation until 90 days out, so that eliminates most of the popular seasons, because by 90 days out, the owners and 1 wk. exchangers will have snapped everything up. Starwood is not really the best system for short trips. Now if you want to go to WKV or WMH in August, no problem!

 

[LisaRex]

Denise's advice is sound. If you can be flexible and travel during shoulder seasons, buying a voluntary resort and trading into the top notch Starwood resorts via II is the savviest way to do it. You'll end up paying less than you would in MFs if you owned at those top notch resorts,* and far less than if you booked outright with Starwood. (They are asking $300-700 for most of the villas.) It's currently the best bargain out there, though you do have to check II and/or Tug frequently because you only have a 3 day priority window before they get released to the full II membership.

I think WMH and SDO are fairly strong traders, and both are very nice resorts if you wanted to actually use them.

If you needed to travel during prime vacation travel time (e.g. summer/spring break), then I'd say buying a mandatory resort at WKV is your best value. But for retirees who can travel anytime, I'd snatch up the cheapest 1 bdrm resale at SDO or WMH I could and immediately deposit it into II. I think you'll be pleasantly surprised at how strongly it trades. And if you can swing a 2 bdrm, you might be able to get 2 great vacations for the price of 1, by depositing the studio separately from the 1 bdrm.

BTW, once you join II, all members have access to getaways, which offer some of the best bargains with all timeshare companies. They are great ways to check out other locations.

As far as staying for just a few days, I'd sign up for the Starwood American Express, if you haven't already, to start earning StarPoints on your everyday spending. Pay your MFs with them and you'll earn 2x the points. Visit Flyertalk.com for the best sign-up deal out there; I think you can get 20,000 StarPoints just for signing up. Start charging everyday things such as your cell phone bill and cable bill and before you know it, you'll have accumulated enough StarPoints to get 3 or 4 nights free at WMH or WKV, both of which have limited participation in the SPG program.

Good luck and happy bargain hunting!!

*My MFs for Westin Kaanapali 2 bdrm in Maui is just shy of $2,000. Ouch.

 

[DavidnRobin]

It is also just the two of us - if you are looking for the benefits of a SVN mandatory resort - (and live in SoCal) - I would go for WKV (platinum season) and consider 81K SOs (1Bd Premium). WKV MFs have gone up a much lower rate than other SVO resorts (3.4% this year). For SVN exchanging - we think the having 81K SOs are offer better value and are worth the extra cost.

If price is an issue - then buy a Voluntary for ALOT less and use II to exchange.

We own mostly Mandatory (except an EOY at WPORV that was a 'reasonable' Developer purchase at the time) and own two 1Bd Plat/Prem at WKV (resale).

If you have patience in buying these - you can find some prety good prices (less than what we paid) but they are few and far between in coming on the resale market at these prices. Folks here keep saying that more on coming on the resale market and prices are dropping, but in tracking WKV and other Westin mandatory - they may be dropping in price somewhat - but I am not seeing more show-up (esp the 1Bd Plat/Prem WKV) on eBay and such.

For the most part - these are investments in vacation - unless you plan to make this a business (and are savvy) - these are not good financial investments.

 

[longboarder39]

A one bedroom at WKV was definitely my initial game plan, but I hearing it would be fairly difficult to score a long weekend (Fri-Sun) in Jan-March at Kierland of Mission Hills using the options for nightly redemption and that was one of the main factors I liked the option system.

By the way I have my Tug membership issue fixed now, but my user name is a little different. Thanks to those who helped with the problem.

Scott

 

[DavidnRobin]

A one bedroom at WKV was definitely my initial game plan, but I hearing it would be fairly difficult to score a long weekend (Fri-Sun) in Jan-March at Kierland of Mission Hills using the options for nightly redemption and that was one of the main factors I liked the option system.

By the way I have my Tug membership issue fixed now, but my user name is a little different. Thanks to those who helped with the problem.

Scott

'Kierland of Mission Hills'???

WKV is in Scottsdale, AZ
I actually do not think that securing a weekend is going to be too tough - except perhaps during Baseball's Spring Training.

81K SOs just has much more value - for renting, SVN exchanging, and if you ever sell.

 

[longboarder39]

Ooops...I meant to say Kierland OR Mission Hills.

If it's difficult to do nightly stays with starOptions (not just at WKV) but at most resorts (Mission Hills, Mex ,etc), I thinkg our best fit might be a Non-mandatory EOY 2BR, that way we can deposit both weeks and have a 1BR every year if we choose. The big thing we liked with the options was the chance to do long weekends at multiple resorts that are either short flts or driving distance from LA.

If we do buy Mandatory it would be a WKV with 81K, I agree it's the best fit for us! Thanks for the confirmation!

Scott

 

[James1975NY]

OP...

I would think that you would have pretty good usage for stays less than 7 nights at WKV, WMH etc.

Or course, there will be times that availability is limited such as holiday times etc. I personally would not be too concerned with that unless you know the weekends you want are holidays or special events like spring training etc.

If you are flexibile, I am comfortable telling you that you would have a lot of opportunities.

 

[Ken555]

If you go with a 2BED unit for II trading, I suggest considering the resorts that have 2, 1 bed units like WKR or WMH. II doesn't distinguish between the larger or smaller (much, if at all) and permits great trades with both. On the other hand, a studio shows up differently. I've had great trades with my WMH 2-bed as separate 1-bed units.

 

[longboarder39]

Thanks Ken...I think I'm going to try to find a 2br Plat VOL unit (SDO or WMH) to use as a trader. It will get my feet wet in TS'ing and then maybe I'll try and retro it later.