Protecting Renter during resale?

[cory30]

I currently own a Marriott HH week that I have rented my 2012 reservation to a private party. For a variety of reasons, I have had to list this week for sale and have found an interested buyer who understands that usage would not begin until 2013.

My concern prior to agreeing to and completing the transaction, is ensuring that my renter is protected and they receive the week that they have contracted and paid for. I have placed their name on the reservation and informed Marriott that the renter will be using the week but know that I won't have any control over the reservation once the transfer of ownership goes through.

Does anyone have any experience with this or suggestions on how to make sure my renter is taken care of? If I can't ensure this, as much as I hate it, I will probably just not sell right now.

Thanks.

 

[theo]

Too easy?

I currently own a Marriott HH week that I have rented my 2012 reservation to a private party. For a variety of reasons, I have had to list this week for sale and have found an interested buyer who understands that usage would not begin until 2013.

My concern prior to agreeing to and completing the transaction, is ensuring that my renter is protected and they receive the week that they have contracted and paid for. I have placed their name on the reservation and informed Marriott that the renter will be using the week but know that I won't have any control over the reservation once the transfer of ownership goes through.

Does anyone have any experience with this or suggestions on how to make sure my renter is taken care of? If I can't ensure this, as much as I hate it, I will probably just not sell right now.

Thanks.

Maybe I'm missing something here, but it seems to me that an obvious and simple solution would be to formalize the terms of the sale agreement now, but delay the actual closing date until a date after the rental completion, thereby preserving the sale and protecting the renter...

 

[rrlongwell]

Maybe I'm missing something here, but it seems to me that an obvious and simple solution would be to formalize the terms of the sale agreement now, but delay the actual closing date until a date after the rental completion, thereby preserving the sale and protecting the renter...

Good idea.

 

[cory30]

Thanks for the reply and recommendation. I will outline the information in the purchase agreement. The problem with holding closing is that the rental isn't until mid August and buyer (rightfully so) doesn't want to drag things out that long. I am just looking for ways to fully protect my renter while still being able to go through with the sale.

 

[rjp123]

Maybe I'm missing something here, but it seems to me that an obvious and simple solution would be to formalize the terms of the sale agreement now, but delay the actual closing date until a date after the rental completion, thereby preserving the sale and protecting the renter...

If I was buying I wouldn't agree to this, however I would agree to a clause in the sale contract saying that 2012 use was the sellers and that I had no right or interest in 2012 usage.

 

[IngridN]

When I purchased my Marriott resale in summer of 2010 (it closed mid July 2010), the season ended Dec 2010, however, I did not have access to the week until the 2011 season. I assume that usage is specified in the sales contract and Marriott will recognize accordingly.

Ingrid

 

[cory30]

Thanks for the additional feedback. I went ahead and called Marriott to ask about this. The rep informed me that if the contract was designed to show first usage as 2013, they would set the new owners account up so that they did not have access to 2012 use year. If that is in fact the case, there should be no problem as long as I have the sales contract drafted appropriately. Thanks again for advice.

 

[am1]

How does the renter feel about this?

 

[Talent312]

How does the renter feel about this?

It does not matter how the renter feels, as long as the rental is honored.
If the sales agreement says the buyer's use does not begin until 2013, the rental will be fine.

But I would use a clause which expressly states that the seller may use the unit in 2012
for any allowed purpose, including rental if so desired.

 

[am1]

It does not matter how the renter feels, as long as the rental is honored.
If the sales agreement says the buyer's use does not begin until 2013, the rental will be fine.

But I would use a clause which expressly states that the seller may use the unit in 2012
for any allowed purpose, including rental if so desired.

Was there a cancellation policy?

Which owner does the room damage stop with?

 

[aarones]

Good idea.well done.

 

[ronparise]

Im on the other side of a similar transaction. I bought a week with the understanding that the seller would make a reservation for me during the transfer period...He did and and I rented it

The week is now officially mine and I checked, the reservation is still in place with my guests name attached, which is what I want...but I could cancel it if I wanted to.

This is Wyndham and not Marriott so Im sure things operate differently, but Wyndham doesnt see our contract...only the deed..They dont care who gets this years usages.

I think you would be wise to take the advice already offered. or modify it slightly...do the new deed and have it recorded, so your buyer is the new owner, but dont send your newly recorded deed to Marriott until after the reservation in question