HGVC Resale Prices

[GT75]

Have HGVC resale prices returned to pre-pandemic prices? I have been looking for those great prices that some of our TUG members got early this year. But so far, I have been striking out. I know that MFs will be due soon so I am hoping that will help with pricing. Of course, I am looking for a low price deed with great MFs (looking only for the points). I don't want to return my pricing back to $1/point, but am wondering if that is the case. To me, the problem seems to be that everyone seems to already know which HGVC club units have the best MFs/point ratio.

 

[Panina]

Curious, what point value are you looking for and at what price? Is there a specific location or just points/mf ratio?

 

[GT75]

what point value are you looking for and at what price?

Good question. I am looking for at least 8400 pts (I feel the smaller # points lose their value for me because of all of the additional closing cost) with great mf/point ratio. I was hoping for a buy-in price around $0.6/point and MFs < $0.13/pt.

 

[dayooper]

@GT75 I think it was such a buyers market at the beginning of the year that many who would have sold now did so then. I still check the resale Facebook page and every post has a long line of people saying they will buy without even knowing the price, and not just the good deeds.

Recently, the cheapest I have seen go in the past couple of weeks was a 2 bedroom platinum Flamingo for just under $5000 with the sellers paying the closing costs. Judi Kozlowski said back in the end of June that the market was drying up a bit. I imagine there will be some deals out there, but you will have to look for them and pounce when you see them.

 

[DazedandConfused]

Good question. I am looking for at least 8400 pts (I feel the smaller # points lose their value for me because of all of the additional closing cost) with great mf/point ratio. I was hoping for a buy-in price around $0.6/point and MFs < $0.13/pt.

You can buy at $.6pp or < and have higher dues --- or --- you can have MF < $0.13, but may have to pay > $0.6pp, BUT I am not sure you can do both.....

MF <$0.13/pp usually have purchase price around $1pp or more
Purchase price <$.6 usually have MF around $.2 or more

 

[Great3]

The 7000 points platinum deeds will much much easier to get as there plenty of the 7000 points deeds that exists. The 8400 and 9600 points are harder to get for a good price, as they aren't as abundant as the standard 7000 points in existent, so the price value holds better for these higher point deeds. Obviously, it really depends on how patience you are, deals can be had, but they don't come often

Great3

 

[dayooper]

The 7000 points platinum deeds will much much easier to get as there plenty of the 7000 points deeds that exists. The 8400 and 9600 points are harder to get for a good price, as they aren't as abundant as the standard 7000 points in existent, so the price value holds better for these higher point deeds. Obviously, it really depends on how patience you are, deals can be had, but they don't come often

Great3

They were pretty often in the first half of the year. People were looking to dump their deeds and were selling at rock bottom.

 

[ocdb8r]

I think (as usual) we are just coming out of one of the worst times of the year to purchase. Most people paid their maintenance fees and if they didn't (or couldn't) sell their deed earlier in the year, they bit the bullet and used, rented or let go to waste their week this year. As maintenance fee invoices start to come out, everyone will again be considering if they want to pay that fee or try to get rid of their week before it is due. This is typically the best time to buy. How GOOD a time it will be I think is still to be determined; we've just come off a very strange year where some travel was allowed. Some may be happy to keep their weeks now that they were able to get away and some will decide all the hassle just isn't worth it and be ready to dump their weeks. I don't think it will be as good as last year (as far as "value" is concerned).

 

[The Colorado Kid]

Are you watching eBay? I see this recent sale:
HILTON GRAND VACATIONS AT PARC SOLEIL, 8400 ANNUAL, HGVC POINTS, TIMESHARE SALE
ORLANDO, FL!! - PLATINUM SEASON - 2022 USAGE!!

• $4,750.00
• 1 bid
• Pickup only: Free
• Aug-20 11:32

 

[dayooper]

Are you watching eBay? I see this recent sale:
HILTON GRAND VACATIONS AT PARC SOLEIL, 8400 ANNUAL, HGVC POINTS, TIMESHARE SALE
ORLANDO, FL!! - PLATINUM SEASON - 2022 USAGE!!

• $4,750.00
• 1 bid
• Pickup only: Free
• Aug-20 11:32

Eh, not good point to MF ratio.

If that's a 2 bedroom, it has over an $0.18 per point ratio. If it's a 3 bedroom, it has a $0.22 per point ratio. Those are both pretty high.

As a reference, Craigendarroch 3 bedrooms have MF's of $1067 giving them a point per MF ratio of $0.127 per point. That's roughly a $500 - $800 savings every year for the same amount of points. Even if you were to spend $7000 on a Craigenarroch 3 bedroom, you would make up that difference in at most 6 years.

 

[Eric B]

Eh, not good point to MF ratio.

If that's a 2 bedroom, it has over an $0.18 per point ratio. If it's a 3 bedroom, it has a $0.22 per point ratio. Those are both pretty high.

As a reference, Craigendarroch 3 bedrooms have MF's of $1067 giving them a point per MF ratio of $0.127 per point. That's roughly a $500 - $800 savings every year for the same amount of points. Even if you were to spend $7000 on a Craigenarroch 3 bedroom, you would make up that difference in at most 6 years.

Aren't Craigendarroch MFs GBP based? That would present some currency risk - How was the point per MF there when the pound was stronger?

 

[ocdb8r]

Aren't Craigendarroch MFs GBP based? That would present some currency risk - How was the point per MF there when the pound was stronger?

Yes, you do take on the currency risk...and in fact at today's exchange rate 2021 fees for a 3-bed (8400 point contract) would be $1095. Still pretty decent, but I looked at this route and really had to think about both the currency risk and I think these units are do a fairly comprehensive refurb. I was just too afraid of a special assessment in GBP and currency fluctuations would kill the value. Might be worth it for someone less risk averse.

 

[dayooper]

Aren't Craigendarroch MFs GBP based? That would present some currency risk - How was the point per MF there when the pound was stronger?

It will fluctuate, but there is a 33% difference in MF's between the cheapest Parc Solei and Craigendarroch. It will never go up that much. That $7000 is roughly what you would spend on a resale unit from the Craigendarroch sales office. Owners who are selling will sell for less.

 

[dayooper]

As an add on, Strand Capitol might be relaxing on their buy backs. I saw an Ocean Enclave 1 bedroom premium EOY listed as passed at rofr.net. First SC resort that I have seen passed in quite some time. That's a decent deed at a pretty good MF rate. It wasn't overly expensive either.

 

[Eric B]

It will fluctuate, but there is a 33% difference in MF's between the cheapest Parc Solei and Craigendarroch. It will never go up that much. That $7000 is roughly what you would spend on a resale unit from the Craigendarroch sales office. Owners who are selling will sell for less.

YMMV. When I lived in Europe about 20 years ago, the GBP was about 40% higher as compared to the dollar than it is now. I'd probably benchmark against Boulevard instead. It will be interesting to see what happens in the next ten years or so now that Brexit has happened.

 

[GT75]

Yes, you do take on the currency risk...and in fact at today's exchange rate 2021 fees for a 3-bed (8400 point contract) would be $1095. Still pretty decent, but I looked at this route and really had to think about both the currency risk and I think these units are do a fairly comprehensive refurb. I was just too afraid of a special assessment in GBP and currency fluctuations would kill the value. Might be worth it for someone less risk averse.

You are correct in your evaluation. The other positive point in purchasing in Scotland is the fees (£195+£277 vs. $429+$79+$617+$575) are much less to purchase/enroll the unit into HGVC. I already have one Scotland unit in my portfolio and I didn't really want to have too many because of the very reasons which you stated. I am going to check on the current pricing and just run the numbers.

 

[rickandcindy23]

Eh, not good point to MF ratio.

If that's a 2 bedroom, it has over an $0.18 per point ratio. If it's a 3 bedroom, it has a $0.22 per point ratio. Those are both pretty high.

As a reference, Craigendarroch 3 bedrooms have MF's of $1067 giving them a point per MF ratio of $0.127 per point. That's roughly a $500 - $800 savings every year for the same amount of points. Even if you were to spend $7000 on a Craigenarroch 3 bedroom, you would make up that difference in at most 6 years.

That is an excellent analysis.

 

[BingoBangoBongo]

As an add on, Strand Capitol might be relaxing on their buy backs. I saw an Ocean Enclave 1 bedroom premium EOY listed as passed at rofr.net. First SC resort that I have seen passed in quite some time. That's a decent deed at a pretty good MF rate. It wasn't overly expensive either.

I noticed that yesterday and I’m really surprised as it seems like it would be a good deed for the developer to resell. Maybe the EOY aspect comes into play. I now have two EOY deeds and they work well.

 

[dayooper]

YMMV. When I lived in Europe about 20 years ago, the GBP was about 40% higher as compared to the dollar than it is now. I'd probably benchmark against Boulevard instead. It will be interesting to see what happens in the next ten years or so now that Brexit has happened.

It was compared to the Parc Soleil listing that was posted up thread. The Boulevard would be great, but I‘m not sure you can get into one of those for $7000. Maybe, but it would be pushing it. The cheapest 7000 point deed on Redweek right now is $6250 and I’m not even sure if it’s active right now. There are a couple of brokers that will list at prices to get you to call and then see if they have someone that will sell. Not sure if that broker is one of them. Buying from an owner (not HGVC Craigendarroch sales office), you can get into 8400 points for less than the Parc Soleil deed.

I think the best place to look for low prices is actually on the Facebook resale groups. It’s the Wild West, though. When I bought mine from there, I did my research. I looked up the seller on Facebook, checked out his history and even searched out the deed on the county records data base.

 

[GT75]

There are a couple of brokers that will list at prices to get you to call ...

That has been my experience also. It really is frustrating because I feel like it is similar to "bait and switch". There is one broker that doesn't remove their inventory until 30-days after it has sold.

 

[dayooper]

That has been my experience also. It really is frustrating because I feel like it is similar to "bait and switch". There is one broker that doesn't remove their inventory until 30-days after it has sold.

That‘s exactly what it is. I had one that was pushing a lousy Elara studio deed. Originally, we were thinking a 7000 point EOY to complement what we own. We inquired on a 7000 point 1 bedroom grand EOY and were prepared to make an offer. They just ignored and talked about what they have. The broker wanted us to purchase an annual 3500 Elara studio plus equaling the 7000 points EOY. The problem was the MF’s would be much higher. When they found out I only paid $4500 in 2018 for my Flamingo deed, the broker really didn’t have anything to say, That was the last conversation I had with that broker.

 

[Nocdavis]

You can buy at $.6pp or < and have higher dues --- or --- you can have MF < $0.13, but may have to pay > $0.6pp, BUT I am not sure you can do both.....

MF <$0.13/pp usually have purchase price around $1pp or more
Purchase price <$.6 usually have MF around $.2 or more

This. I picked up 16,800 points for ~$.4 point but MF are $.2. I have about 10 years before it flips to the wrong decision.

 

[DazedandConfused]

This. I picked up 16,800 points for ~$.4 point but MF are $.2. I have about 10 years before it flips to the wrong decision.

10 years is a long time, where did you buy and what room size/season?