Not a good time for Timeshare Resales

[bbakernbay]

Just got a notice from one of our FL timeshares that they recently foreclosed on 51 unit weeks. Obviously not a good sign and probably a sign of the times we are in whereby people are having to make some tough choices about their expenditures and likelihood of travelling in the next 48 months.

 

[bnoble]

people are having to make some tough choices about their expenditures

There's also a bit of entitlement thinking. We've seen folks post here along the lines of "If I can't go use it I shouldn't have to pay for it." So, to the extent that the pandemic has curtailed travel--voluntarily or otherwise--that probably increases the bad debt rate.

 

[rickandcindy23]

I wouldn't take the fact that Dave Ramsey endorses Timeshare Exit Team that they offer a legitimate service. They just happen to pay him a lot of money for the endorsement.

I don't think of them as a legitimate service at all. When TBN allowed a commercial for the same exit company, I emailed TBN and didn't see the commercial after that. I told them these companies take money and don't promise anything.

What they do, and I know you agree, is they make timeshares seem like the worst thing you could possibly buy, and so that keeps the cost down.

The first SBP weeks 9-43, 47 I bought, I paid $1,300 for an annual week. I was excited to get it for that price. Now they cannot be given away. I have taken a lot of free weeks. I was hoping they would gain some value so that I could sell them later on for a bit of a profit. That was 12 years ago that I started acquiring weeks. They are now a negative value.

 

[Gypsy65]

Just got a notice from one of our FL timeshares that they recently foreclosed on 51 unit weeks. Obviously not a good sign and probably a sign of the times we are in whereby people are having to make some tough choices about their expenditures and likelihood of travelling in the next 48 months.

Rinse. Wash. Repeat

The first to go are toys and timeshares
Next will be cars and homes

We just had our home looked at by a realtor and the price went up drastically in the past year
I think sell high and buy low this fall or next spring

Many who have been hanging on will eventually have to pay up or move so it only makes sense that Timeshares are going back

I also think there will be some sort of market for the groups to sell those foreclosures to those who have $ but don’t want to fly the World any more

 

[Magus]

I think some of these timeshare properties in difficult financial straights will be repositioned through a sale for multi family or condo conversions. Might be worth checking in with your condo board. I can promise the two things I mentioned are on fire right now, so if your hoa is in bad shape, encourage the board to look into selling to multi family or condo conversions.

 

[bbakernbay]

I think some of these timeshare properties in difficult financial straights will be repositioned through a sale for multi family or condo conversions. Might be worth checking in with your condo board. I can promise the two things I mentioned are on fire right now, so if your hoa is in bad shape, encourage the board to look into selling to multi family or condo conversions.

This is exactly what happened at our timeshare in Kissimmee where we had 4 weeks. Bad management led to high percentage of MF delinquencies which in turn caused MFees to increase dramatically due to bad debt.

The Management then started renting units out to residential tenants, one block (4-6 units) at a time until there was only 4 timeshares left in one block. We stopped paying our MFees and never heard anything more. Our timeshare was at the end of its 40 year sunset. I would really like to know who scooped up this property at auction and now has a cash cow generating lots of rental income.

 

[Sugarcubesea]

Just got a notice from one of our FL timeshares that they recently foreclosed on 51 unit weeks. Obviously not a good sign and probably a sign of the times we are in whereby people are having to make some tough choices about their expenditures and likelihood of travelling in the next 48 months.

Can you share what resort in FL that you own that foreclosed on 51 unit weeks?

 

[bbakernbay]

Club Sevilla 1in Kissimmee. The Notice is for Public Auction/Sale for Non-Judicial Timeshare Foreclosure By Cunningham Asset Recovery Systems.

 

[Kapolei]

Ocean Landings is offering some studio weeks for $299 to owners. I got mine free a few years back from a TUG member. Maint fee about $300 Year.