newbie needing advice

[ppetrillo18]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

 

[Eric B]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

This question would be better answered as a separate thread in the HGVC Forum. A moderator might be able to move it there - @GT75 or @HitchHiker71?

 

[Pathways]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

No such limitation would ever be written into a deed. Supporting docs in your purchase agreement would be where MF limits would be placed.

I have never heard of limits being placed in HGVC sales docs. I HAVE seen them in Mexican timeshare products.

10% lifetime? Not a chance. 10% per year? I would accept that. Either way, just sales 'puffery"

Also - you would need to define 'life of the contract'. Most HGVC sales are 'forever'. Unless you purchased some sort of limited time product that only has a 2 or 3 year length. If so, there would be no 'deed'

 

[Lodemia]

I guess I get to say it - rescind, research, and buy resale. You have a very short window to let them know that you changed your mind.

You will save thousands….

 

[ppetrillo18]

Thanks all. I'll read what is on the flash drive they provided. I'm sure I will rescind. I have 10 days. What do I need to do? Send a certified letter? Does email work? Thanks for the advice. Pete

 

[Talent312]

READ the rescission clause in your contract and follow it to the letter.
Everyone who signed the contract on your side must sign the letter.

Only use a letter. HGVC will do the right thing, if you do
... even though it's sales peep are weasels.

But know this: There is no such MF condition in your deed.
Deeds refer to other recorded covenants, and _none_ limit MF's.
There's an old adage...
"How do you know a TS salesman is lying?... His lips are moving."
.

 

[Janann]

Send a certified letter? Does email work?

E-mail will not work. You must follow the rescission instructions EXACTLY as presented in your contract.

 

[alwysonvac]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

Anything is possible. Glad you found us in time.
See my MF history in the link below my post.

 

[GT75]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

Approximate Las Palmeras MF increase per year
2022 4.7%
2021 0%
2020 4%
2019 ~4%
2018 I don’t have any data for Las Palmeras earliker than that.

 

[rrsafety]

Approximate Las Palmeras MF increase per year
2022 4.7%
2021 0%
2020 4%
2019 ~4%
2018 I don’t have any data for Las Palmeras earliker than that.

Assuming $1200 in 2018 that is
1200
1248
1298
1298
1359
which amounts to a 13.25% increase in MFs in four years.

 

[ppetrillo18]

Thanks. Great info. Sounds like more than 10% to me. I figured that was misleading. At that rate it would be up over 25% in less than 10 years

 

[Grammarhero]

Yesterday at 3:57 PM
Just bought a Hilton grand vacation at Las palmeras. They promised me the maintenance fee will not go up more than 10% through the entire life of the contract. Currently $1267. They say it is in the deed. Is that correct? I would feel like this fee could continue to increase exponentially over the years. Any insights here

@ppetrillo18 We hope your rescission and deposit refund were successful. To track TUG rescission savings, mind sharing how much you saved with rescission? As half of tuggers initially bought developer/retail TS, there is no shame.

 

[ppetrillo18]

We agreed to $20,900 for a 1 bedroom gold season 3400 points a year at Las Palmeras with 25, 000 bonus points. Maintenance fees around $1275/year. Pretty good deal huh?

 

[Lodemia]

Wow. Good thing you found tug and rescinded. That would be a $1 auction on eBay. There’s one currently on redweek for $1500

 

[ppetrillo18]

Yeah, but there is some decent value for the 25000 bonus points right? That's like 3 or 4 big vacations. They said we had up to 4 years to use (2 + 2 addl) . Or are bonus points a sham?

They also said Hilton buys back all the low resale properties as they have right of first refusal so you typically wouldn't get access to these low priced resales at the price point they are selling. I am very interested in how this all works.

 

[SmithOp]

If you want a cash value of bonus points they can be used to pay annual maintenance fees, 10 cents per point.

Bonus Points have no redemption cash value, but when using Bonus Points toward maintenance fees, 2,500 Bonus Points are equivalent to approximately $250 and are only calculated in U.S. Dollars. When using Bonus Points for exchanges, each Bonus Point is equivalent to approximately one ClubPoint.

Redemption or conversion of Bonus Points may require a fee. Bonus Points may not be used to pay reservation or transaction fees.

Any unused Bonus Points expire two (2) years from the date of issuance (or earlier for select promotions) and cannot be reinstated once expired. If a Member sells or transfers their timeshare interest and their Club membership terminates, unused Bonus Points shall automatically expire.
Bonus Point usage may be subject to additional terms and conditions. Available Bonus Point redemptions, rewards, and terms and conditions may change from time to time.


Sent from my iPad using Tapatalk Pro

 

[PigsDad]

Typical lies or half-truths those sales-slime say:

Yeah, but there is some decent value for the 25000 bonus points right? That's like 3 or 4 big vacations. They said we had up to 4 years to use (2 + 2 addl) . Or are bonus points a sham?

Bonus points are only good for 2 years for booking HGV properties (which is the best value for those points). Yes, they can provide some good value, but they are not as flexible as regular HGV points. First, you cannot change a reservation made with Bonus points, so if your plans change, you're out of luck. Second, you cannot combine Bonus points with regular points for a reservation, so it gets very tricky using the last of your Bonus points.

Also, the "2 + 2 addl" is a half-truth at best. At the end of two years, the bonus points can be deposited into RCI (for a fee) and those points will be good for 2 years there, but they can only be used for RCI reservations which require a hefty (~$250) reservation fee and RCI properties are not near as nice as HGVC properties.

They also said Hilton buys back all the low resale properties as they have right of first refusal so you typically wouldn't get access to these low priced resales at the price point they are selling. I am very interested in how this all works.

Another blatant lie. Yes, HGV does have ROFR on most deeds, but they do not buy back all or even most of the deeds that are available resale. You most certainly can successfully purchase a very inexpensive HGV deed resale, although there is the possibility of HGV grabbing it, and in that case, you just start the search/purchase process again. No big deal.

Kurt

 

[Nowaker]

Hilton buys back all the low resale properties

I guess, $1 I paid for 3 three different HGVC properties wasn't considered "low":

Trump 5250 - $0.191 MFpp - $1
Elara 5000 - $0.182 MFpp - $1
Blvd 3400 - $0.200 MFpp - $1

 

[letsgobobby]

They also said Hilton buys back all the low resale properties as they have right of first refusal so you typically wouldn't get access to these low priced resales at the price point they are selling. I am very interested in how this all works.

ROFR isn’t being exercised much if at all right now.
One year ago I bought 7000 plat EOY for under $1000.
Many deeds go for $1

 

[Lodemia]

Yeah, but there is some decent value for the 25000 bonus points right? That's like 3 or 4 big vacations. They said we had up to 4 years to use (2 + 2 addl) . Or are bonus points a sham?

They also said Hilton buys back all the low resale properties as they have right of first refusal so you typically wouldn't get access to these low priced resales at the price point they are selling. I am very interested in how this all works.

Part 1:
At a dollar a point (my going rate for platinum deeds), you could have 21,000 points yearly for roughly $21,000. That's literally three platinum 7k points deeds. If you are a savvy shopper, you can probably do even better.

Part 2
I had an 8400 point platinum deed in Hawaii given to me in December (literally $0) and Hilton waived the right of first refusal within 4 hours.

 

[Lodemia]

If you're after a lot of yearly points for low maintenance, check out ad #245411 on tug marketplace.

https://tug2.com/timeshare-classifieds/search/results.aspx?ResortName=245411&

25,000 points yearly for $36k. Yearly maintenance $3100.

It's too rich of a buy-in for me, but it's far better than a retail purchase, IMO.

 

[enox5]

Wow. Good thing you found tug and rescinded. That would be a $1 auction on eBay. There’s one currently on redweek for $1500

When you buy a resale, do you need to pay anything to Hilton? I saw that MVC will charge you $3 per point for their timeshares

 

[BingoBangoBongo]

We agreed to $20,900 for a 1 bedroom gold season 3400 points a year at Las Palmeras with 25, 000 bonus points. Maintenance fees around $1275/year. Pretty good deal huh?

Over the past 12 months I have bought 4 deeds, all resale. The first two were very efficient MF deeds, an EOY 12,600 Platinum 1 BR Premier at Kings Land and an Annual 7,000 Platinum 1 BR Grand at Elara. Those combined give me an average of 13,300/pts per year and have an MF/pt around $.125. After that I added a EOY deed for a Platinum1 BR Plus at Valdoro that has a fixed ski week and a Floating Spring/Summer/Fall week that give me 6200 pts each. I'm in the process of adding an EOY deed for a Platinum 1BR at the District that has 7000 points. Overall my purchase price (not incl Closing/Activation Costs) was just over $15,000.

That's more than many here have paid, but I have either really low MF/pt deeds in the first two I bought or higher MF deeds that offer me some additional benefits/locations I want access to. My blended MF for all of these is a bit north of $.15/pt, which I still think is pretty attractive. Some people may not like EOY deeds, but I really like the three I have and only having EOY's on the Valdoro and District keep the MF's down over a two year cycle. I am also planning on (and already have for 2022) renting the ski week out for a decent amount over the MF and if I can do this EOY then my MF/pt drops to $.1325/pt. Depending on that rental, I will either end up with an average of either 20,000 of 23,100 every year, with a pretty decent MF rate.

 

[Nowaker]

When you buy a resale, do you need to pay anything to Hilton? I saw that MVC will charge you $3 per point for their timeshares

Around $1500 in fees - that includes closing ($1000, most goes to HGVC) and post-closing ($617, all goes to HGVC).

This is per unit.

 

[dayooper]

When you buy a resale, do you need to pay anything to Hilton? I saw that MVC will charge you $3 per point for their timeshares

I bought a deed this summer paid $429 transfer fee, a $65 estoppel fee and a $617 enrollment fee. In all, it was around $1100 and another $400 went to the transfer company (LT Transfers) for prepping and creating the deed and escrow. The costs for the Hilton fees did go up by a few dollars this year.