Marriott Resale Just bought my Marriotts

[1965]

FYI
I received $3,300 or $2800 after $500 Adm. Cost
from marriott Resale department

Marriott Desert Springslatinmum: 2 bedroom: lock off: annual use
first year use:2013
weeks Reservation system

I think it is fair to say that all Marriott Desert spring: Platinmum: 2 bedroom:lock off: annual use
weeks Reservation system
resales
will be ROFR'd at $3,300 or less

 

[m61376]

I know this doesn't make sense, but Marriott has a history of letting units slip through ROFR at lower prices than they have bought back for, so you can't assume that anything less than the $3300 will be ROFR'd.

 

[thinze3]

That seems a little on the cheap side - not sure though.


Has this unit been listed for sale on Redweek.com?

 

[vacationtime1]

According to the sticky, Desert Springs Villas does not have ROFR (DS-II and Shadow Ridge, however, are subject to ROFR).

 

[dioxide45]

According to the sticky, Desert Springs Villas does not have ROFR (DS-II and Shadow Ridge, however, are subject to ROFR).

You are correct, and likely why Marriott is buying these back from owners. They don't have any other way to get these back on their books. Marriott won't be exercising ROFR at any price at DSVI.

 

[BocaBoy]

You are correct, and likely why Marriott is buying these back from owners. They don't have any other way to get these back on their books. Marriott won't be exercising ROFR at any price at DSVI.

I previously reported that Marriott bought back my Sabal Palms unit a few months ago for $11,300 less $500 in administrative costs. Sabal Palms is another resort which does not have ROFR, so this makes sense.

 

[davidn247]

Not sure if this has already been posted somewhere.
Resale site from Marriott... quite aggressive pricing!

https://www.marriottvacationclub.com/resales/buy-weeks.shtml

 

[camachinist]

Marriott's Desert Springs Villas

2 Bdrm-2Ba
Excellent View

Season Red
Marriott Rewards Points 125,000
List Price
$13,300

Wowza...

That's the only location in California currently available through that site.

 

[dioxide45]

I previously reported that Marriott bought back my Sabal Palms unit a few months ago for $11,300 less $500 in administrative costs. Sabal Palms is another resort which does not have ROFR, so this makes sense.

I think you got out while the getting was still good. I don't think that Marriott would be offering those same prices today based on this recent report.

I find it interesting that Marriott is in acquisition mode. They have lots of inventory and it doesn't seem that they are having trouble getting reservations for people even at sold out resorts.

I wonder why they are acquiring these weeks. My guess is that they don't want to keep filling the Exchange Company with weeks from people who trade their weeks for Marriott Reward Points. They want to be able to monetize those weeks. It seems the next best way is to acquire the inventory. Perhaps their access to II weeks isn't as good as we all think it is?

 

[BarbS]

Not sure if this has already been posted somewhere.
Resale site from Marriott... quite aggressive pricing!

https://www.marriottvacationclub.com/resales/buy-weeks.shtml

Thanks for posting that link. Does anyone know if you purchase one of these weeks from Marriott whether it can be enrolled in the DC with your other DC weeks without paying any additional money? The price is very high for a Barony OF gold week, but it's still much less than we originally paid for our week.

 

[m61376]

Thanks for posting that link. Does anyone know if you purchase one of these weeks from Marriott whether it can be enrolled in the DC with your other DC weeks without paying any additional money? The price is very high for a Barony OF gold week, but it's still much less than we originally paid for our week.

Alone they are not eligible, even if you are already a member of the DC. However, Puck has reported being told that if you purchase one of those Marriott resale weeks and additional DC points they will allow enrollment of the Marriott resale week as well. This seems to be a recent policy change and/or a transient offer; I don't believe anyone has such an offer in writing to know the full details.

 

[m61376]

Not sure if this has already been posted somewhere.
Resale site from Marriott... quite aggressive pricing!

https://www.marriottvacationclub.com/resales/buy-weeks.shtml

It depends upon the resort. I noticed for Aruba and a few others it appears at or close to list.

 

[dioxide45]

It depends upon the resort. I noticed for Aruba and a few others it appears at or close to list.

Aruba is unique since they are still selling weeks there and not points. They won't want their resale department to undercut the sales office in Aruba. This is why you would see Aruba prices closer to retail pricing.

 

[puckmanfl]

good morning...

This is confirmed from my guru (she has never been wrong in 8 years).

If you purchase resale from MVCD resale office AND purchase 2500 DC/Trust points, the weeks are eligible for DC program....

you can bank on it...

 

[thinze3]

good morning...

This is confirmed from my guru (she has never been wrong in 8 years).

If you purchase resale from MVCD resale office AND purchase 2500 DC/Trust points, the weeks are eligible for DC program....

you can bank on it...

Correct. I confirmed this with Jim in resales as well.

Those platinum Mountainside weeks are very tempting. I would buy one if they could enroll in the DC points program without the additional purchase of 2500 points.

 

[Fredm]

I find it interesting that Marriott is in acquisition mode. They have lots of inventory and it doesn't seem that they are having trouble getting reservations for people even at sold out resorts.

I wonder why they are acquiring these weeks.

It may just be that they are running low on Points to sell.

Best I can tell, Marriott has deposited ~115,000,000 points into the Trust. That's ~$1.15 Billion in retail sales.

They have sold ~ $900 million since inception.

 

[CMorris72]

Marriott paid what?

Boca, I think you made out like a bandit on selling Sabal Palms to Marriott. I bought a platinum last year for $100 + closing costs and there is one on ebay right now for $25 with no bids ending in 30 min.

http://www.ebay.com/itm/2BR-Marriotts-Sabal-Palms-TIMESHARE-/150710474666?pt=Timeshares&hash=item23170b57aa

 

[puckmanfl]

good morning...

Thinze...

Of course you would!!! You would get 5000 pts for $25K $5/pt.PLUS a deed in a primo joint. Everyone would use this to circumvent direct point purchases!!!

 

[thinze3]

good morning...

Thinze...

Of course you would!!! You would get 5000 pts for $25K $5/pt.PLUS a deed in a primo joint. Everyone would use this to circumvent direct point purchases!!!

Purchase for $5 / point ?? You forgot the most important part, the cheap ($.23/pt) maintenance fees!

Don't forget, not everyone is a Tugger.

 

[davidn247]

Correct. I confirmed this with Jim in resales as well.

Those platinum Mountainside weeks are very tempting. I would buy one if they could enroll in the DC points program without the additional purchase of 2500 points.

I agree and a lot of us would. Another solution is to buy weeks in resorts that are not yet in the DC.

Even if not in the DC, I realized that you can use DC points to trade in (I am currently on a waiting list for Marbella for summer 2012 using DC points). This means that you could have a lot of trading power owning there (at least with 3BR Gold/Platinum). If one day they join the DC program (formally), bingo!

I have been looking to buy at Marriott Marbella for quite some time now. Resale prices finally seem to be flexing a little bit for European resorts. Why not? Is there something in my logic that I am missing?

 

[vacationtime1]

It may just be that they are running low on Points to sell.

Best I can tell, Marriott has deposited ~115,000,000 points into the Trust. That's ~$1.15 Billion in retail sales.

They have sold ~ $900 million since inception.

I believe Marriott has lots of unsold inventory it can add to the trust whenever it wants; it also has the ability to finish off units (e.g. Ko Olina) and add them to the trust to create additional points inventory to sell.

Do we know how much of the $900 million represents sale of points versus fees for enrollment of legacy weeks?

My own theory is that Marriott is buying units opportunistically, especially when the units are in locations where the trust owns little inventory (such as Desert Springs Villas, Mountainside, Waiohai). Marriott needs trust inventory at these locations to fulfill requests by trust point owners to reserve weeks at those locations.

 

[Fredm]

I believe Marriott has lots of unsold inventory it can add to the trust whenever it wants; it also has the ability to finish off units (e.g. Ko Olina) and add them to the trust to create additional points inventory to sell.

Do we know how much of the $900 million represents sale of points versus fees for enrollment of legacy weeks?

My own theory is that Marriott is buying units opportunistically, especially when the units are in locations where the trust owns little inventory (such as Desert Springs Villas, Mountainside, Waiohai). Marriott needs trust inventory at these locations to fulfill requests by trust point owners to reserve weeks at those locations.

The 900mm is my estimate of new contract sales since June 2010. It is an average of 600mm/yr run rate. It is not exact, but close enough.

As of September 2011 Marriott placed the future contract value of completed North American inventory at ~840mm. So, ~690mm of built inventory remaining, total (a little over a year of new contract sales).

An est. $125mm in completion costs will bring another 900mm in future new contract value, if sold at retail. Or, part or all could be bulk sold as previously stated an intention of doing.

I agree that Marriott will acquire existing weeks opportunistically to fill holes in exchange inventory. But, new contract sales will consume all it's completed inventory within the next year or so.

 

[BocaBoy]

Boca, I think you made out like a bandit on selling Sabal Palms to Marriott. I bought a platinum last year for $100 + closing costs and there is one on ebay right now for $25 with no bids ending in 30 min.

I agree that I was fortunate to sell my Sabal Palms week to Marriott for $11,300 in this market, but when Marriott buys back a week they almost always offer a lot more than eBay prices. When they bought mine back, Sabal Palms red weeks were being listed on redweek.com for $3,000-$5,000 and on eBay for a lot less than that. This was only about six months ago. The other thing to know about Sabal Palms is that much of its market value has historically been due to the fact that you can trade for 110,000 MR points every year if it was a developer purchase, coupled with relatively low maintenance fees. (Ours was a pre-opening developer purchase in 1987).) The attractiveness of the MR points exchange has lessened over the years due to increasing MFs, but it is still huge in terms of Sabal Palms value (much more so than at most other resorts). Therefore, the eBay and redweek.com prices are even lower because of no MR points. Additionally, although I got a good price for 2011, I had an offer from another buyer through Marriott Resales 18 months earlier for $23,900, but the buyer backed out prior to completing the deal. So everything is relative.

 

[Beefnot]

Why doesn't Marriott simply open up an eBay account and have one of their folks bid on the inventory they want? Seems like it would be much cheaper.

 

[dioxide45]

Why doesn't Marriott simply open up an eBay account and have one of their folks bid on the inventory they want? Seems like it would be much cheaper.

Why? They can grab most of those weeks that are sold via ROFR. Through ROFR they control the closing and paperwork. Closing through an Ebay seller is just plain messy.

Buying back units through the resale department is a cleaner process also, they control the closing and paperwork.