Made an offer to purchase a week, and sellers want reimbursed for 2025 maintenance fees

[rickandcindy23]

This is through Redweek. I am concerned that the sellers won't pay the fees and I will have to pay or lose usage for 2025.

Is this a valid concern?

If RW's closing company doesn't make sure those fees are paid, which is just an estimated amount until the bills come in November-December, I would have to count on the closing company to make sure we won't be stuck paying the full amount in January.

Seems a little early to require reimbursement of fees, but maybe a slow closing could be the reason for this.

What do you think?

 

[SteveinHNL]

If the issue is safety, you could have the reimbursement deposited to escrow and upon closing and confirmation that the fees have been paid, escrow can release that reimbursement to the seller. Wouldn't the estoppel show you whether the fees for next year have been prepaid though?

 

[rickandcindy23]

If the issue is safety, you could have the reimbursement deposited to escrow and upon closing and confirmation that the fees have been paid, escrow can release that reimbursement to the seller. Wouldn't the estoppel show you whether the fees for next year have been prepaid though?

We have not received anything yet. The offer is in for the sellers to accept or reject. The fees for 2025 surprised me. The closing costs are high, but the price is good enough.

 

[bizaro86]

I'd decline. There's plenty of timeshares available and I wouldn't trust Redweek closing to get that done appropriately. Unless it's a once-in-a-lifetime bargain I'd move on to the next.

 

[SteveinHNL]

I'd decline. There's plenty of timeshares available and I wouldn't trust Redweek closing to get that done appropriately. Unless it's a once-in-a-lifetime bargain I'd move on to the next.

But that wasn't her question

 

[dioxide45]

I would ask the seller to prepay the fees and provide that documentation, then you could reimburse. You might have to pay the small difference if there is an increase.

 

[TUGBrian]

agreed, im pretty sure every timeshare allows owners to prepay dues without penalty.

 

[echino]

Is the seller asking for reimbursement because they had already pre-paid estimated 2025 maintenance fees? If they had, why? Some resorts (like Vistana) required pre-payment of estimated next year fees when borrowing points or depositing a week. If that's similar here, then 2025 usage will not be available to the buyer because it's been used? Then you shouldn't pay 2025 fees if 2025 usage is not available.

 

[bizaro86]

But that wasn't her question

There were 2 questions in the post she made:

"Is that a valid concern?"

To this, I responded that I wouldn't trust Redweek closing to deal with the situation. She was concerned about having to pay the fees herself and I think that is a valid concern.

"What do you think?"

Was the second question, and to that I responded that unless it was a great deal I'd pass.

I think your concern that I was off-topic is misplaced.

 

[WaikikiFirst]

idk Vistana but I'd demand a detailed explanation and even then I doubt I'd trust Redweek to not bungle it

 

[Henry M.]

I think the concerns that the sale won't close before next year and the maintenance fees would have to be paid by the seller. However, the buyer will get to use the property next year so the seller wants to be reimbursed if they end up paying. Seems like escrow could handle something like that.

I think it is a valid concern that payment of the maintenance fees could fall through the cracks somehow. It is something that needs close attention if the transfer extends into next year. Either side of the transaction could end up with a problem.

 

[b2bailey]

I think the concerns that the sale won't close before next year and the maintenance fees would have to be paid by the seller. However, the buyer will get to use the property next year so the seller wants to be reimbursed if they end up paying. Seems like escrow could handle something like that.

I think it is a valid concern that payment of the maintenance fees could fall through the cracks somehow. It is something that needs close attention if the transfer extends into next year. Either side of the transaction could end up with a problem.

In reply to "what do you think?"
Cindy, I'm more than slightly surprised that there is still a timeshare out there that you would like to buy.
(Forgive me.)

 

[bnoble]

Is this a valid concern?

Valid? I suppose. Likely? Probably not. I would probably risk it.

maybe a slow closing could be the reason for this.

That's my guess.

 

[rickandcindy23]

Is the seller asking for reimbursement because they had already pre-paid estimated 2025 maintenance fees? If they had, why? Some resorts (like Vistana) required pre-payment of estimated next year fees when borrowing points or depositing a week. If that's similar here, then 2025 usage will not be available to the buyer because it's been used? Then you shouldn't pay 2025 fees if 2025 usage is not available.

No. They have not paid. I think RW's closings take a while, and that is the real issue here.

 

[bnoble]

I work on the assumption that most people are mostly honest. That sometimes bites me but it works out much more often than not. The times I am bitten are just part of the cost of doing business.

It’s like raw fish, oysters, or very rare beef. It’s more than worth eating, even if once in a blue moon it doesn’t work out! So far I’ve only had food poisoning once. Those are good odds!

 

[rickandcindy23]

I am sure it will be okay. Made the offer and waiting for an answer. I am pretty excited about this one.

We are walking away from Hono Koa after this next year, unless Wyndham takes over Soleil-managed properties on Maui. Wyndham needs Maui.

 

[dioxide45]

Wyndham takes over Soleil-managed properties on Maui. Wyndham needs Maui.

It seems odd that you continuously bash Wyndham but then suggest that you would prefer they take over management of another one of your properties?

 

[geist1223]

Does Hono Koa have a lot of unsold weeks (never sold or repossessed)? Wyndham does not usually take over a Timeshare or timeshare organization unless there are Weeks or Points they get control of for sale. Management is secondary.

 

[daviator]

I am sure it will be okay. Made the offer and waiting for an answer. I am pretty excited about this one.

We are walking away from Hono Koa after this next year, unless Wyndham takes over Soleil-managed properties on Maui. Wyndham needs Maui.

Worldmark is on Maui, are they not part of Wyndham?

 

[bnoble]

Not really, no. The two systems are separate. There is crossover for developer-purchased points/credits, but only after in-system owners have had their chance---and by that time, WM Maui is long gone.

 

[rickandcindy23]

It seems odd that you continuously bash Wyndham but then suggest that you would prefer they take over management of another one of your properties?

Yes, except Wyndham keeps fees under control and they can sell Maui. I believe our high fees are due to the fact that we are paying for bad debt at Hono Koa. Lack of owners means we pay too much for our weeks.

We would get preference into anything Hawaii, we own in Hawaii, and that would allow us to get Hono Koa ahead of everyone, and I could use our points, finally, for something. The money I would save! I will be depositing at least a million at the end of the year to RCI. I dislike RCI.

I have good reason to be angry at Wyndham. Wyndham took our kids off of our account, even though they are on our Shearwater and Bali Hai deeds. That makes me a bit angry. This is specifically aimed at us for being former "mega renters." You have no idea the punishments we have been subjected to over the last three years. It's been devastating, money lost, they wouldn't take back deeds, had to give them away at our expense.

This could be killing two birds.

I don't really expect others to understand.

 

[rickandcindy23]

I don't really like Kihei enough to stay at the WorldMark. The units are fine, but the competition is crazy at 13 months and it's not worthy of the points. Valley Isle is done for now as a timeshare. VI and WorldMark no longer have access, for whatever reason.

 

[rickandcindy23]

I'd decline. There's plenty of timeshares available and I wouldn't trust Redweek closing to get that done appropriately. Unless it's a once-in-a-lifetime bargain I'd move on to the next.

I kind of agree with this but the price is better than any that we have seen.

 

[jules54]

It seems odd that you continuously bash Wyndham but then suggest that you would prefer they take over management of another one of your properties?

I have no idea why this personal opinion was posted. It has nothing to do with the OP questions. If you really wanted to know why it seems easy to figure out. The OP wants an organization she is already heavily invested to take over control of a resort that she already owns. Totally self explanatory

 

[geist1223]

I don't really like Kihei enough to stay at the WorldMark. The units are fine, but the competition is crazy at 13 months and it's not worthy of the points. Valley Isle is done for now as a timeshare. VI and WorldMark no longer have access, for whatever reason.

Lease status was not renewed. Do not know which side said no. But considering VI and WM both out I assume it was the Owner.