New to TUG

[fasha39]

Ok, I'm getting used to "fees". I've paid the fee to join TUG and we are considering more fees if we purchase with SVO. I've really enjoyed reading all the information you have all provided about Starwood Vacation Ownership. We are considering purchasing at a voluntary resort, with floating weeks and enough to get us to Elite 3. I don’t get what’s wrong with voluntary? IS there anything wrong with it? I like the idea of joining a club that allows for access to multiple locations and not being restricted to a specific period of time. We are negotiating with a developer, somewhat worried about overpaying vs. resale but I’m having a hard time finding a reputable one. I’m a SPG Gold member, love the properties and trust the brand. I’ve looked @ the FAQ and the “if I had to do it all over again post and I can’t see any red flags. What am I missing?
Sorry, to ask to ask so many questions but we are getting ready to SIGN so any advise would be most welcome.

Thanks!

 

[SDKath]

Hi there!

I can help with the V vs M resort issue. If you buy directly from Starwood, there is absolutely NO difference for you as far as benefits of ownership are concerned. The only downside to buying a V resort is that when you go to resell the resort in a few years, you are likely to take an even bigger resale price cut than the usual 50%+ loss.

If you buy a V resort on resale, you won't get SOs (or SPs) so you can't use the SVN, only II to trade into other resorts. V resorts on resale are cheaper than M resorts (ie WKV 2BR LO Plat is about $20,000, WMH is about $10,000).

If you want to be 3*, I would recommend buying a resale unit (M or V) that is worth 148,100 SOs. THEN, go to Starwood and purchase from them and ask them to retro your resale unit. That is the best way not to overpay. FYI, 3* is not a particularly good goal as the benefits are minimal. Most people on the board here feel that 5* Platinum is about the only status worth aiming for. Of course, it requires way more money.

Katherine

 

[LisaRex]

There are 2 big issues with voluntary resorts. The first is that if you buy from the developer, you'll pay a huge mark-up. If/when you go to sell, the price you can fetch is significantly discounted vs. mandatory resorts because folks who buy on the resale market are excluded from joining and trading within SVN. "But I never intend to sell!" you might say. If that's the case, then there's no downside (except the mark-up).

The second issue is if you buy on the resale market. You can't trade them within SVN. So while you can generally pick them up for a bargain (much to the chagrin of the original owner), you don't get the benefit of trading within SVN. The upside from buying on the resale market is that these tend to make great traders in II and because you own a Starwood property, you'll be able to see other Starwood properties ahead of the regular II members.

 

[DavidnRobin]

So may things to consider, but under most conditions - save $$$ - buy resale. The benefits of buying from SVO is just not worth it - especially now.

Be glad you found TUG before it is too late - many do not.
{btw TUG is free, but it is $15 well spent to be a member - especially considering that you willing to spend $10K+ more buying from SVO over resale}

Also - the 'if i had to do it over again' pertained to those that also bought resale...

 

[fasha39]

Thanks for the info, agree $15 is not a big deal considering what we are looking at spending! There are many resale opportunities out there and from what others have said we can get "in" even if we purchase at a V resort so long as we follow the process and purchase from the developer after.

Thanks for your help!