Spinnaker Exit Program

[kendeutsch]

My 85 year old widowed mother is trying to unload her 3 bedroom, week 5 Southwind Villa timeshare. I called Spinniker to inquire about a deed buyback and was told that they have an exit program for qualified individuals. To get information, my mother would need to call or write. I prepared an information request letter for her signature and mailed to the address they provided. Today my mother received a phone call from Spinniker. Based on age, she qualifies for the exit program. The Spinniker representative indicated that she needs to send $1500 and they will process a a quick deed form (??) for her completion. She will also eventually get billed for legal fees in the amount of about $120.

I am hesitant to advise her to send a check or provide credit card information based on this limited information. Has anyone heard of, or participated in, such an exit program? Does anyone have any suggestions on protecting the financial payment to ensure we have some legal recourse if all is not what it seems.

 

[theo]

My 85 year old widowed mother is trying to unload her 3 bedroom, week 5 Southwind Villa timeshare. I called Spinniker to inquire about a deed buyback and was told that they have an exit program for qualified individuals. To get information, my mother would need to call or write. I prepared an information request letter for her signature and mailed to the address they provided. Today my mother received a phone call from Spinniker. Based on age, she qualifies for the exit program. The Spinniker representative indicated that she needs to send $1500 and they will process a a quick deed form (??) for her completion. She will also eventually get billed for legal fees in the amount of about $120.

I am hesitant to advise her to send a check or provide credit card information based on this limited information. Has anyone heard of, or participated in, such an exit program? Does anyone have any suggestions on protecting the financial payment to ensure we have some legal recourse if all is not what it seems.

I know nothing about Spinnaker Resorts. That said, I am frankly a bit troubled by "send us $1,500 based solely upon this phone call and we'll take care of everything".

This might very well be a complete legitimate opportunity to part with the ownership via "deedback", lawfully accomplished by a Quit Claim deed.
Frankly, $1,500 is not an unreasonable or outrageous amount of money to do so either --- if it gets the job done to completion and with no other hitches.

Personally, I'd prefer to see something in writing from Spinnaker about the precise details of this "opportunity", in large part just to make sure that there isn't some third party "hand-off" involved (to a PostCard company merely obtaining a PoA to peddle the timeshare, for example --- which could delay, impede and / or fail to guarantee the actual completion of an ownership transfer after having already and irretrievably ponied up $1,500).

My suggestion would be for you to call Spinnaker back on Mom's behalf (or maybe set up a 3 way call) before she sends off any money, in order to obtain a more clear and specific description of this apparent "deedback program" and to specifically inquire if anything will be provided in writing from Spinnaker addressing pertinent details.
You should be able to gain (or perhaps lose) some comfort level after having that conversation. At 85, I'd be concerned that Mom might be a bit too trusting of some nice, pleasant voice on the phone; she might well benefit from your more objective involvement and advocacy. Get details of this alleged "deedback opportunity" in writing.

Just my personal opinion, not intended or offered as legal advice.

 

[HudsHut]

This thread mentions the $1500 was set up by the HOA as "prepaid maintenance fees".
http://www.tugbbs.com/forums/showthread.php?t=144566

I second the advice above - don't rely on the phone call. They must send your Mother this offer in writing.

 

[tschwa2]

I would tend to believe the $1500 is legit because $1500 for an annual deed ($750 for a biennial) is what they charge when transferring a dead to a new owner. When you are transferring to a new owner the fee goes toward future MF's so depending on the MF it usually 1.5-2 years of MF for the new owner.

That being said I would ask Spinnaker to send a copy of the offer which states upon paying the fee and completing the quit claim deed and returning it to Spinnaker within x days the transfer would be complete and the current owner would have not future liabilities.

 

[elaine]

For a very low demand week, $1500 plus minimal legal fees is reasonable, IMHO. Given that the HOA/management company offers this and that there is no middle man, I would have confidence that it is legit (and that the resort is going to approve the transfer--obviously). If your Mom has no need for her week (I assume trading power is very low), I would ask them to send the paperwork in writing and do it. It is good that they offer this for elderly. Taking back a low demand week is essentially a liability for others in the HOA. So, $1500 to offset this seems fair to me. I own a another HHI Spinnaker property. They are a legit operation, IMHO. good luck. Elaine

 

[Heron]

It is legit. I deeded a week back to Spinnaker after no takers on tug. I communicated through email with Spinnaker which made me feel more comfortable than via the phone though.

 

[TUGBrian]

hefty price, but nice to see another major developer offering an official deedback program.

 

[kendeutsch]

Follow-up

As the originator of this thread I wanted o follow-up. My mother submitted the requested $1500 and in a few days she had a quick deed that she had to sign and have notarized. That was sent back with $125 to cover legal processing. Since it had been about 10 weeks and we had not received any reply or acknowledgement, we called to inquire. She was told that she is no longer the owner and her account has been closed. She is very happy that a stress has been eliminated.

 

[LannyPC]

My mother submitted the requested $1500 and in a few days she had a quick deed that she had to sign and have notarized. That was sent back with $125 to cover legal processing....She was told that she is no longer the owner and her account has been closed.

That's good to hear. When I hear and read stories like this, I like to repeat, that is a lot less than what one would pay a charity, PCC, or law firm to supposedly cancel a timeshare.:whoopie:

 

[elaine]

glad it worked out for her. When I deeded a week back to another resort, I asked for a letter stating that I was no longer the owner and had no ongoing legal or financial obligations. You might want to request one for your records. Elaine

 

[ralvarez1721]

I have a Spinnaker property i'd like to get rid of but i'm only 61 do you think I can get it?

 

[TUGBrian]

call and ask, costs nothing to try!

 

[LannyPC]

I have a Spinnaker property i'd like to get rid of but i'm only 61 do you think I can get it?

Age has nothing to do with it. As TUG Brian suggested above, call and try. It's usually suggested that when you call, you contact the resort's Homeowners' Association rather than a front desk clerk. Also, mention in no uncertain terms that you are not going to pay another dime in MFs so it would be best for everyone that the HOA take your timeshare back.

 

[mcsteve]

I have a Spinnaker property i'd like to get rid of but i'm only 61 do you think I can get it?

Have you considered simply giving it away to someone instead of handing it back? There are many TS units disposed of that way through the “Free Timeshare Giveaway and Bargain Deals” section of this forum. Of course, the unit would need to be free of all loans and up to date on MF. Depending on where your unit is located and what week/size, this might be a viable option.

 

[tschwa2]

Have you considered simply giving it away to someone instead of handing it back? There are many TS units disposed of that way through the “Free Timeshare Giveaway and Bargain Deals” section of this forum. Of course, the unit would need to be free of all loans and up to date on MF. Depending on where your unit is located and what week/size, this might be a viable option.

As mentioned Spinnaker requires a $1500 transfer fee for annual weeks and $750 for EOY , that goes toward future MF's, plus a $150 ish fee to the management company plus closing and recording fees and they require the new owner to submit to a credit check. They have some nice resorts in Hilton Head but it isn't as easy as being up to date and giving it away where the new owner (or the current owner) pays a fairly modest fee. The new owner also has to keep in mind that when they no longer want, they will have to jump through the same hoops to get out. Owners are also competing with post card companies selling on ebay where the new owner can still pay $1 and get 1 or more years free usage because the old owner paid thousands to cover those fees already. And that is if you own in a premium season. If you own mid or off season you probably have to pay even more incentive to find a taker.

 

[elaine]

let us know how it turns out. HHI is high demand and is popular in almost all months except maybe Dec-early Feb. I don't know why Spinnaker doesn't take back fully paid weeks. It's not like some NC resorts that have multiple "off" months. I don't know if they're still in active sales of floating weeks. If so, it's free inventory for them.

 

[mcsteve]

As mentioned Spinnaker requires a $1500 transfer fee for annual weeks and $750 for EOY , that goes toward future MF's, plus a $150 ish fee to the management company plus closing and recording fees and they require the new owner to submit to a credit check. They have some nice resorts in Hilton Head but it isn't as easy as being up to date and giving it away where the new owner (or the current owner) pays a fairly modest fee. The new owner also has to keep in mind that when they no longer want, they will have to jump through the same hoops to get out. Owners are also competing with post card companies selling on ebay where the new owner can still pay $1 and get 1 or more years free usage because the old owner paid thousands to cover those fees already. And that is if you own in a premium season. If you own mid or off season you probably have to pay even more incentive to find a taker.

Agreed, it is a bit more complicated than simply signing a sales agreement for a buck. But if Spinnaker is charging $1500 to get out of the deed, perhaps the OP could find someone who desires that week/location that would cover the closing or a bit more more and take it away. I haven’t heard about the credit check issue as that would be unusual when they are not the seller. I purchased 2 Spinnaker properties in the past few years and Spinnaker’s only real involvement was creating my account, they had nothing to do with the actual sale other than issuing the estoppel and asking for their $1500 ( which is 100% applied to the MF bill).

Anyway, I hope the OP finds a way to their desired solution without any significant hoops to jump through.

 

[mcsteve]

let us know how it turns out. HHI is high demand and is popular in almost all months except maybe Dec-early Feb. I don't know why Spinnaker doesn't take back fully paid weeks. It's not like some NC resorts that have multiple "off" months. I don't know if they're still in active sales of floating weeks. If so, it's free inventory for them.

From what I’ve heard around the HHI Spinnaker properties is that they are using the weeks that are deeded back as part of the sales process at their Bluewater resort on the island. They are apparently converting them to RCI points new buyers at Bluewater are sold these as a way to bolster the inventory. I don’t know this 100% but that is what I was told when there last fall. It would make sense though since they are still quite active in promoting the “owners update” tours and bussing everyone over to Bluewater for the pitch.

 

[elaine]

then one would think they'd he happy to get free inventory of fully paid weeks.
we did the update a few years ago--it wasn't bad. they were giving a full credit for prior Spinnaker TS purchase price to upgrade to Bluewater. The salesman saw what we paid (resale) and said, "you got a great deal, you should just keep your week."

 

[tschwa2]

It's been about 4-5 years ago since I gave away a Waterside week so they may have dropped the credit check. I know the person I was giving it away to was a little worried because they didn't have stellar credit and I was told by Spinnaker that they weren't looking for excellent credit, they just didn't want poor credit and they didn't want to see other timeshare defaults. It was a way to make sure they weren't transferring to someone who makes a business out of accepting timeshares and then defaulting on them. They don't accept transfers to LLC's which are primarily associated with Viking ship companies.

 

[lkc1234]

My 85 year old widowed mother is trying to unload her 3 bedroom, week 5 Southwind Villa timeshare. I called Spinniker to inquire about a deed buyback and was told that they have an exit program for qualified individuals. To get information, my mother would need to call or write. I prepared an information request letter for her signature and mailed to the address they provided. Today my mother received a phone call from Spinniker. Based on age, she qualifies for the exit program. The Spinniker representative indicated that she needs to send $1500 and they will process a a quick deed form (??) for her completion. She will also eventually get billed for legal fees in the amount of about $120.

I am hesitant to advise her to send a check or provide credit card information based on this limited information. Has anyone heard of, or participated in, such an exit program? Does anyone have any suggestions on protecting the financial payment to ensure we have some legal recourse if all is not what it seems.

Spinnaker does provide a buyback program and this sounds legitimate. They are an above board organization. I would pay by credit card just in case there is a hitch. I recently purchased a 3BR unit at Bluewater from a friend and I had to send $1500 to Bluewater for future maintenance fees. That now has been posted on their owners website along with my contract.

 

[tschwa2]

Spinnaker does provide a buyback program and this sounds legitimate. They are an above board organization. I would pay by credit card just in case there is a hitch. I recently purchased a 3BR unit at Bluewater from a friend and I had to send $1500 to Bluewater for future maintenance fees. That now has been posted on their owners website along with my contract.

Enjoy. I would love an EOY 3BR at Bluewater but have a few too many that I need to give away first.

 

[Fried_shrimp]

Just my opinion but at age 85, I would have just walked and kept the $1,625.

 

[eschjw]

Spinnaker does provide a buyback program and this sounds legitimate. They are an above board organization. I would pay by credit card just in case there is a hitch. I recently purchased a 3BR unit at Bluewater from a friend and I had to send $1500 to Bluewater for future maintenance fees. That now has been posted on their owners website along with my contract.

I would not call that a buyback program. I helped my neighbor give away his Spinnaker timeshare to a friend of mine a couple of years ago.

This is how it works. $1,500 is required up front to transfer the title to another owner and we used LT Transfers. $1,050 goes toward future maitenance fees and $450 goes to the HOA. With the cost of recording fees, I think the total cost to give it away to my friend was around $1,800.

My idea of a buyback is a program where you can give your week back to the developer. I did that with HICV and my cost was $30 total.

 

[lkc1234]

I would not call that a buyback program. I helped my neighbor give away his Spinnaker timeshare to a friend of mine a couple of years ago.

This is how it works. $1,500 is required up front to transfer the title to another owner and we used LT Transfers. $1,050 goes toward future maitenance fees and $450 goes to the HOA. With the cost of recording fees, I think the total cost to give it away to my friend was around $1,800.

My idea of a buyback is a program where you can give your week back to the developer. I did that with HICV and my cost was $30 total.

The $1500 goes to future maintenance fees. I have bought at Bluewater and the $1500 went directly to my future maintenance fees.