Just bought and trying to resell/ get out

[Verga]

Well past the cancel/ rescind date. What is the best way for me to get out? should we use the reseller they recommend, or what is the best.

 

[TheTimeTraveler]

The first thing is to be sure your loan (if you have one) is 100% paid off. You have zero marketability if you owe money on it. No one will buy it.

Best of luck and welcome to TUG.











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[dioxide45]

Since you posted this in the Club Wyndham forum, it seems this is what you bought. Realize that what you own is probably worth $0, or close to it, on the resale market. If you still have a loan, there is no way out until that is paid off. If it is paid off consider the price you paid to buy the timeshare lost money.

One thing for certain, don't fall for timeshare exit schemes or people that promise to get you out of the timeshare or say they can sell it for thousands of dollars. That simply won't happen. There are many listing sites out there that show timeshares for sale for thousands if not tens of thousands of dollars. They never sell when people can go to Ebay and get it for $0 instead.

 

[WorldT]

Well past the cancel/ rescind date. What is the best way for me to get out? should we use the reseller they recommend, or what is the best.

Any reseller will only collect your money without delivering. You have a loan balance. That effectively kills any prospects of selling the unit.

Your options are either
1. Continue paying and learn how to use it.
2. Stop paying and default as long as you understand the impact.

 

[RX8]

The answer to your question as to the best way to get out is going to be harsh. You really only have two options. One has been mentioned already which is to pay it off and then give it away. The other option is to default and let it go to foreclosure.

As previously mentioned by others, any company promising you that they can get you out is going to be a scam. They will also want many thousands of dollars upfront. Don’t be fooled by the good ratings which may very well be fake reviews. It is common that these scammers will take your upfront fee, tell you to stop paying and when your timeshare is foreclosed they will say “See, we got you out!”

And finally, don’t pay a timeshare marketing company hundreds or thousands of dollars upfront because they tell you your timeshare is worth more than you paid for it. That is also a scam.

Sorry that there isn’t a better solution.

 

[Floridaman76]

As others have said, if you still have a loan, which I am guessing you do, the only way out is through default, foreclosure and the inevitable hit to your credit that's coming.

It's just like a car or home loan in that regard.

 

[Verga]

We do have a loan, but can pay it off, would that make it more sellable?

 

[geist1223]

Even if you pay off the loan it will only sell for pennies to the dollar.

 

[rickandcindy23]

I gave away a bunch of contracts for $0, included closing costs and transfer fees.

 

[Floridaman76]

We do have a loan, but can pay it off, would that make it more sellable?

Sellable meaning "you can get rid of it". Because if there's a loan on it, no one will take it off of your hands, period.

Depending on what you own, you may get something, even if it is pennies on the dollar.

If you have Club Wyndham Access, it has virtually zero value.

How many points do you have, and if it's deeded, where do you own? That will give us an idea of what we can tell you as far as if it has any value or not.

 

[Verga]

I gave away a bunch of contracts for $0, included closing costs and transfer fees.

So what kind of hit will I take on my credit score if we just default and let them foreclose?

 

[Verga]

Sellable meaning "you can get rid of it". Because if there's a loan on it, no one will take it off of your hands, period.

Depending on what you own, you may get something, even if it is pennies on the dollar.

If you have Club Wyndham Access, it has virtually zero value.

How many points do you have, and if it's deeded, where do you own? That will give us an idea of what we can tell you as far as if it has any value or not.

I have 126K points and it is Club Wyndham plus / club Wyndham prefer West

 

[Fido Chuckwagon]

We do have a loan, but can pay it off, would that make it more sellable?

We do have a loan, but can pay it off, would that make it more sellable?

If you pay it off Wyndham has an exit program where you can give the contract back to them, or you can give it away. Wyndham contracts are worth less than closing costs on the resale market. You’re not going to be able to recoup your loss. Your options are:

1. Default on the loan, let them foreclose, take the credit hit;
2. Pay the loan off and give it away / return to Wyndham;
3. Learn to use what you have purchased.

The contracts are worth $0 on the resale market, but they still have utility. Many of us purchased Wyndham resale contracts because we love vacationing there. There are some great resorts, and even accounting for maintenance fees, the cost of using points to stay can be quite good. You just have to consider the money you spent already as a sunk cost.

 

[Floridaman76]

I have 126K points and it is Club Wyndham plus / club Wyndham prefer West

I don't know much about that program but the resorts look to be the former Shell resorts, and as such, maintenance fees are probably high.

I don't mean to be the bearer of bad news, but that has close to zero resale value. This package seems to be a sort of "Mini Club Wyndham Access", but you can use it at fewer resorts.

Can't answer the question about hit to credit. I would imagine whatever hit you take will affect your credit for 7 or so years, like a "30 days late", bankruptcy, reposession, default or foreclosure would

 

[WorldT]

Here is a rough compilation. Voluntary self report from tuggers

[ 2022 ] Timeshare Default Credit Report/Collection Tracking

Some of you know I have been tracking this. Out of four (4) more TS defaults reported on TUG Facebook, one (1) got his credit affected. I have tabbed the following stats(updated 5/2022): TS defaults w credit drops: 47 out of 107 TS defaults w collections: 12 out of 107 TS defaults w...

tugbbs.com

 

[DouginSC]

Just curious.....why is there no resale value for timeshares, unless it's DVC of course, but why isn't there any resale value for an already purchased timeshare??

 

[CYRUS2400]

Just curious.....why is there no resale value for timeshares, unless it's DVC of course, but why isn't there any resale value for an already purchased timeshare??

Supply and Demand, pure and simple.

Developers have been selling TimeShare interests for YEARS. The travel needs of existing owners (retail and resale) and family members of owners change over time. Interest of potential buyers have changed over time. As owners unload old contracts, the supply starts growing and growing and growing, much faster than the demand grows.

 

[boxer156]

Just curious.....why is there no resale value for timeshares, unless it's DVC of course, but why isn't there any resale value for an already purchased timeshare??

Even Disney resales have taken a pretty hefty dip in pricing since COVID has been over. Was thinking about selling my OKW--bought in 2021 for $127/PT, and resale was telling me it will be in the mid/high $90 range at best. And that is even with an extended contract date.

 

[bnoble]

And Disney is not the only thing that has some resale value. There are a few other specific cases--name-brand ski weeks, some ocean front resorts, etc.

The key insight is that timeshare is a product that is sold, not bought. Very few people wake up one morning with the intention to buy a timeshare, but lots of people who own them are happy with them. But, it's the first group who form the potential resale buyer pool.

 

[ShawnH]

Even Disney resales have taken a pretty hefty dip in pricing since COVID has been over. Was thinking about selling my OKW--bought in 2021 for $127/PT, and resale was telling me it will be in the mid/high $90 range at best. And that is even with an extended contract date.

I have been watching the DVC resales and you are correct that the resale values have dipped, however DVC resales have fluctuated quite a bit over the last several years. And depending on how much use you got out of the program and length owned the resale value is a pretty decent compensation in my opinion. But resale values probably will continue to dip as contracts expiration dates inch closer. I also read somewhere where someone just bought DVC developer points during a special that were comparable to resale last year. But its nice to know that once your done going to disney there is some real value left in your ownership when you do sell.

 

[rickandcindy23]

I have been watching the DVC resales and you are correct that the resale values have dipped, however DVC resales have fluctuated quite a bit over the last several years. And depending on how much use you got out of the program and length owned the resale value is a pretty decent compensation in my opinion. But resale values probably will continue to dip as contracts expiration dates inch closer. I also read somewhere where someone just bought DVC developer points during a special that were comparable to resale last year. But its nice to know that once your done going to disney there is some real value left in your ownership when you do sell.

We bought 1,000 points for a net cost of $95 per point, OKW, expires 2057. Developer, not resale.

 

[gravityrules]

Didn't DVC recently devalue resale by not allowing access to newer properties?

 

[bnoble]

Yes, but mostly that has impacted the newer properties' resale value, because those are locked to their home resort, while the older properties still all have access to each other.

 

[WManning]

So what kind of hit will I take on my credit score if we just default and let them foreclose?

@Grammarhero

 

[Fido Chuckwagon]

Didn't DVC recently devalue resale by not allowing access to newer properties?

Yes, they decided that emulating Westgate was the way to go. It’s a bold strategy, let’s see how it works out for them.