Questions about timeshare buying process [Marriott]

[darly2004]

DH and I have been interested in buying a Marriott resale. We made an inquiry about a timeshare yesterday. So, the broker spoke with my husband today. He told her what we were interested in offering for one of her listings, which was about 30% less than the asking price. That is of course our starting point. We are willing to negotiate if price is reasonable. She then told him that Marriott is starting to exercise ROFR again, so that is something that we should think about when making an offer (which some people on here are saying is not true). She also told us that closing costs plus title insurance will be about $800? That seems a little high to me. This is our first time buying a timeshare. We want to make sure that we are not being too trusting. Is the broker the one who would find the title company? How much are closing costs usually? What should I look for when going through the sale contract? Any advice would be greatly appreciated.

 

[GregT]

Darly,

I bought a Starwood earlier this year and closing costs were 395. My offer was 60 percent of their asking price, and I told the broker (and I said it nicely) that I wasn't interested in a counter offer.

Good luck with your searches - and don't sweat ROFR, its very very infrequent.

Best,

Greg

 

[jdunn1]

No ROFR on Marriotts that I am aware of. Can't think of even one posting in two years from a tugger about having a contract taken on ROFR. Those closing costs are high and I think you need to find a different broker. Who is the broker? Tugger are very knowledgable and I am sure if you posted more details about what you are trying to do, people would give you a current "fair" market price and chime in on the broker you have contacted.

Outside of a handful of Ebay, resale weeks aren't selling. With that said, keep in mind that certain weeks owners are in denial about the state of timesahre resales. Similar to the housing market, there are always people who believe what they own is different (better) than everyone else. As a general rule, (and I am not trying to picking on anyone) Carolina summer week owners and ski week owners tend to think their weeks are worth more than they actually are. If you are trying to buy one of those weeks, you might be in for a battle over getting the price reduced much from the current "asking" price.

 

[m61376]

Don't be intimidated by the asking price or the broker implying that you should offer more to avoid ROFR. Worst case scenario- IF- and it's a huge IF today, they exercised ROFR, you can always get another unit, and that may pass ROFR at even a lower price. Check Ebay for the selling prices of comparable units and stick to your price point. A good broker will find it for you, or you may need to do some legwork and contact sellers and make offers. But never be pressured into offering more than comparable units have been selling for. It is not like buying a house- there is the exact same thing being sold by others, so never get caught up in the purchase and have your arm twisted into paying a premium.

 

[sparty]

DH and I have been interested in buying a Marriott resale. We made an inquiry about a timeshare yesterday. So, the broker spoke with my husband today. He told her what we were interested in offering for one of her listings, which was about 30% less than the asking price. That is of course our starting point. We are willing to negotiate if price is reasonable. She then told him that Marriott is starting to exercise ROFR again, so that is something that we should think about when making an offer (which some people on here are saying is not true). She also told us that closing costs plus title insurance will be about $800? That seems a little high to me. This is our first time buying a timeshare. We want to make sure that we are not being too trusting. Is the broker the one who would find the title company? How much are closing costs usually? What should I look for when going through the sale contract? Any advice would be greatly appreciated.

Assume you are not buying resale through Marriott. Maybe you're already aware it's the right time to be looking at re-sale. The reason now is a good time is that maintenance fees (MF) are due and a lot of people are willing to dump for nothing. However the window is small - MF's are usually paid by January so once that is gone by many of the good deals go too.

If it's a Every-Other-Year (EOY) I guess it's possible (but unlikely) the MF could be rolled in. I would make sure it's well understood when your first usage is and what MF's are due.

Many brokers make their money on the closing cost and refuse to sell unless you close with them. It's unfortunate, but in today's timeshare market you may have multiple sellers to chose from. Look at the total cost, cost to purchase and closing costs combined, and then make a decision on the best deal. You may come out ahead if you pay $800 closing costs and get the timeshare for nothing if others are selling with a total cost much greater than $800.

 

[pianodinosaur]

I had no problems purchasing MMVL on ebay in 2010. The critical issue is using a reputable selling agent.

 

[mjm1]

We bought a resale Marriott and Westin and went directly through the owner. I talked with timeshare sales people and their prices were consistently a lot higher. Like Greg T mentioned, I found prices at about 60% less than what the resellers had. Check eBay, TUG, etc. and know what you want. Then be patient to find a good deal. Good hunting.

 

[darly2004]

Thank you everyone for the replies. Just wanted to update on what we've been doing. We did make an offer... it is for the Ko Olina ocean view timeshare for EOY and it was turned down by the seller. The broker is suggesting that we offer at least $7000, not including closing costs. She said she will shop around to see if the closing costs can be lower. She said it is usually higher for Hawaii properties? We want to be reasonable and do not want to be too cheap, but do not want to be taken for a ride either. It's hard to estimate what we feel is reasonable for the property since we are new at this. I feel like sometimes I am being too cheap and we may lose out on something. Would love to hear more experiences. Thank you.

 

[Beefnot]

Platinum or plat plus? Still, you could probably get an annual off eBay for that price, depending on your view requirements.

 

[Beefnot]

Ok just checked eBay, eh, ok maybe not realistic for an annual, but you may be able to score sub-$7k for a biennial depending on view if you're patient. If you gotta have now, maybe $7k is reasonable, dunno

 

[slum808]

Thank you everyone for the replies. Just wanted to update on what we've been doing. We did make an offer... it is for the Ko Olina ocean view timeshare for EOY and it was turned down by the seller. The broker is suggesting that we offer at least $7000, not including closing costs. She said she will shop around to see if the closing costs can be lower. She said it is usually higher for Hawaii properties? We want to be reasonable and do not want to be too cheap, but do not want to be taken for a ride either. It's hard to estimate what we feel is reasonable for the property since we are new at this. I feel like sometimes I am being too cheap and we may lose out on something. Would love to hear more experiences. Thank you.

Sometimes I think this is exactly how I am. I'm not sure what you offered but sometimes getting what you want without a huge headache is worth it. My wife and I really hate negotiating for a new car, its such a pain in the A** that even if I finally get the price I wanted I'm emotionally drained and cant enjoy that first drive home in it. If you really like the property, just remember that it will supply you with years of great memories. I think you could find a EOY for maybe $1000 less, but is it worth the hassel and headache to you.

 

[GregT]

We did make an offer... it is for the Ko Olina ocean view timeshare for EOY and it was turned down by the seller. The broker is suggesting that we offer at least $7000, not including closing costs.

Darly,

I believe the recent sales (ie, eBay sales) for an EOY Ko Olina that is Mountain View was $5,000 - $5,500. So an Ocean View EOY at Ko Olina for $7,000 may be a fair price, as your broker has suggested.

It probably will come down to patience. It is very possible that you will be able to find a seller of an OV EOY at Ko Olina that will sell for $6,000 - $6,500, but I'm not aware of any eBay sales at that price. Other TUGgers will correct me if my memory is rusty.

You may want to go to Redweek.com, and just start making offers at your price (and tell them, politely, that you're not interested in a counter offer). That's what I did with the Westin, and it only took a few No's before I got my Yes.

I would be surprised to see Marriott ROFR your Ko Olina because the Trust is loaded with Ko Olina properties and therefore Marriott doesn't need it for their inventory pool.

Good luck with your hunt!

Best,

Greg