New Member/New Buyer Question

[zman102]

Hi everyone! I just became a TUG member and also recently made my first timeshare purchase and I wanted to get others thoughts on whether I found a good deal or not. My details are: 189,000 annual points via Wyndham and my home resort is Branson at the Meadows. My cost for the annual points is $1,500 and monthly maintenance and taxes is just under $70. I think I did enough research (although what could be considered enough since there is so much to know/read/study, etc.?), read the posts on this board prior to taking the plunge, and I have friends that have owned timeshares for almost 15 years. They said 'points are points' and that's how I looked at it and decided to take this offer. My closing costs are about $600 bucks in total and it was purchased through International GMAC located in Orlando.

Thus my questions:
Is this a good deal? Are the maintenance fees too high (note: in reading this site the maintenance fees for this location seemed within reason, but I'm always trying to find lower)? Are the closing costs reasonable? Any advice on things to be mindful of for closing? I only put a $500 deposit and am awaiting the full contract and have the right to rescind if anything I hear from all of you great folks (or read in the contract) makes me uncomfortable.

Your responses are sincerely appreciated!

 

[yumdrey]

Cosing cost is too high. With title insurance, $600 is reasonable, but if it doesn't include title insurance, GMAC charged too much. Ask them if you can pick the closing company for this deal. There are couple closing companies Tuggers recommend, and their prices are very reasonable ($200 - $250).

 

[richardm]

Wyndham purchase.....

For that location- the estimate given by IPGMAC should include title insurance (IPGMAC normally always recommends a full closing with title).. Your contract will give you the choice of closing types and give you estimates for both.

If you have a preferred choice of closing agent- please make sure you inform your agent asap- as seller acceptance would also need to be obtained. Normally it is not an issue, unless the closing agent has had complaints in the past from previous clients.

Wyndham is a great program currently for buyers- as the prices are incredible! Your paying about 5% of what the developer charges... Hard to go wrong with that..

 

[zman102]

New Member/Buyer Question - Closing Costs

For that location- the estimate given by IPGMAC should include title insurance (IPGMAC normally always recommends a full closing with title).. Your contract will give you the choice of closing types and give you estimates for both.

If you have a preferred choice of closing agent- please make sure you inform your agent asap- as seller acceptance would also need to be obtained. Normally it is not an issue, unless the closing agent has had complaints in the past from previous clients.

Wyndham is a great program currently for buyers- as the prices are incredible! Your paying about 5% of what the developer charges... Hard to go wrong with that..

Just to clarify, my title costs are abour $350 and it does not include full title insurance. Is this cost reasonable? My overall closing costs are about $600 and include the customary "admin/paperwork fees" of $195 estoppel fee of $25 and transfer fee of $100. Also, I'm thinking of forking over an addtional approx. $200 for full title insurance. Any views on whether to do so or not? I figure for a relatively small amount I have insurance to gurad against any snafus in the titleing process.

Your thougts/input are sincrely appreciated.

 

[richardm]

Just to clarify, my title costs are abour $350 and it does not include full title insurance. Is this cost reasonable? My overall closing costs are about $600 and include the customary "admin/paperwork fees" of $195 estoppel fee of $25 and transfer fee of $100. Also, I'm thinking of forking over an addtional approx. $200 for full title insurance. Any views on whether to do so or not? I figure for a relatively small amount I have insurance to gurad against any snafus in the titleing process.

Your thougts/input are sincrely appreciated.

$350. is a fairly common escrow/closing fee charge for that area. The $195. admin fee is simply a GMAC transaction fee so shouldn't be confused with closing costs.. The estoppels fee is a new requirement for Wyndham pts- but is correct.. Most likely that fee will be paid by the seller at the beginning of the sale and you will reimburse at closing (if the estoppels confirms all the ownership account info).. The $100 transfer fee is also correct and is paid to Wyndham when the transfer request is submitted.

I always recommend title search and title insurance, but I am generally cautious by nature. The policy itself will only be for your purchase price ($1,500) but the search can provide you with peace of mind.

I'd go for it since you've already saved substantially through buying resale- but you're the one that will have to reach in your pocket! You'll have to decide for yourself if the cost is worth the reassurance.

Congrats again!

 

[sernow]

I wouldn't bother with title insurance at this price.

 

[zman102]

I wouldn't bother with title insurance at this price.

That's what my broker from GMAC said - not to bother with title insurance given the great price I have. I am too a little cautious (and also a CPA that has read many legal agreements that makes me that way) and the way I see it is if there are any title issues I will easily spend more than $200 out of the gate to have it resolved by hiring an attorney or other subject matter expert. Thus, I am leaning toward "investing" the additional $200 as opportunity cost for future mitigation of legals costs. I will reconfirm with my broker the potential risk one last time before making this final decision.

Thank you all, this forum is awesome!!!