Starwood - Maui Studio Villa

[csouther]

So I'm staying at the Sheraton in Maui this week and decided to let Starwood pitch the Vacation Ownership (offered $100 certificate for the 1-2 hour pitch a few blocks away at the villas)

Obviously the rooms are beautiful and the price is high. I thought I would share the package they were offering.

1 bdrm, E O Y with the cost being $22,500 with 10% down requirement and a high interest rate of 13.49% (estimate - I didnt get as far as letting them pull my credit profile). The sales rep said it would be apprx 319 per/mo for 10 years. He also indicated an annual maintenance fee of $950.

He also said that we would get 75k star points in addition to an option to buy points at 75% off, twice (forgot what the number of points was). He said we would be "Gold Members" for life too.

After turning down this no pressure pitch, another agent offered the Explorer Package - 8 day/7night, good for 2 years at a studio villa - Maui. Cost is $350 up front and 12 payments for $199 at 0% financing for a total cost of 2744. If we decided later to purchase a Vacation Ownership later they would credit it towards the purchase price (credit of $2545). This purchase would also include 50k points

I've always heard terrible things about Timeshares, but this sparked my interest so I have been doing a little research and stumbled across this site. I've visited a couple resale sites as well only to find that this package - or significantly better, is close to half the cost of what I was being offered.

Any input? I'm really confused about what limitations are set when you purchase via resale.

 

[DeniseM]

Hi and welcome to TUG! :HI:

Simply put - this is a terrible, terrible deal...

You can buy this timeshare for a fraction of the retail price on the resale market, but you shouldn't! Be aware that you will have to pay $950 EVERY year, even though you only get to use the timeshare every other year. Frankly, the 1 bdm. units are a terrible deal, because the maintenance fee is nearly as much as a 2 bdm.

Because of the economy, you can buy very nice timeshares on the resale market for $1.

Please don't even consider financing a timeshare - because when you walk out the door, you will lose 75% of what you paid for it. If you have to sell it, you would never get enough to pay the loan off.

The Explorer Pkg. is not a good value either - you can rent a studio villa from an owner for about $1,500 - so $2,545 is not a bargain.

My best advice:
-Don't buy from the developer
-Don't finance a timeshare
-Don't buy now - spend 6 mos doing your homework first.
-Don't buy a 1 bdm.
-Don't believe most of what the sales person told you!

 

[simpsontruckdriver]

Or, you could do this: buy at least 364000 RESALE Wyndham points for a "mainland" resort (eBay), pay approximately $0.00505/point MF, which means your yearly MF would be around $1838. That is not counting bid price + closing costs. The point level above is for a Wyndham owner to get a 1-bedroom suite at Outrigger Maui Eldorado.

In other words, it's better to buy RESALE for the "system", then use it to reserve a vacation in Hawaii. Buying Hawaii (even resale) would be very high compared with a US mainland resort.

TS

 

[Rent_Share]

I traded into a Studio at the resort for

4000 WM Points - MF Approximately $ 240
1 Houskeeping Token Approxinateky $ 65
1 II Exchange Fee $ 139
$ 444

Approximate Purchase cost $ 2000 - $ 2400

 

[csouther]

Hi and welcome to TUG! :HI:

Simply put - this is a terrible, terrible deal...

You can buy this timeshare for a fraction of the retail price on the resale market, but you shouldn't! Be aware that you will have to pay $950 EVERY year, even though you only get to use the timeshare every other year. Frankly, the 1 bdm. units are a terrible deal, because the maintenance fee is nearly as much as a 2 bdm.

Because of the economy, you can buy very nice timeshares on the resale market for $1.

Please don't even consider financing a timeshare - because when you walk out the door, you will lose 75% of what you paid for it. If you have to sell it, you would never get enough to pay the loan off.

The Explorer Pkg. is not a good value either - you can rent a studio villa from an owner for about $1,500 - so $2,545 is not a bargain.

My best advice:
-Don't buy from the developer
-Don't finance a timeshare
-Don't buy now - spend 6 mos doing your homework first.
-Don't buy a 1 bdm.
-Don't believe most of what the sales person told you!

Thanks for the advice. What are the disadvantages (if any) of buying a resale?

 

[DeniseM]

Thanks for the advice. What are the disadvantages (if any) of buying a resale?

At the Maui resorts, the only thing you don't get by buying from the developer is the ability to convert to hotel points - which is a poor value anyway.

Here is the Starwood FAQ - there is a detailed comparison at the bottom of the page: http://www.tugbbs.com/forums/showthread.php?t=63224