Trying to sell a [Timeshare in Mexico], need advice! :)

[CollegeKid]

Hi everyone, this has been a great site to get useful information. Posts are informative and funny, and I've enjoyed reading them.

However, I've also been doing this lately: . My family and I don't use our timeshare as much as we'd like to, and so we've decided to sell it so I can get some start-up funding for my new production company. I'm trying to find the right price for this thing, and any suggestions would be just grand! Here are the details:

Master Suite at [a timeshare in Mexico]
24yrs left, RED, floating, one week annually
2 weeks in the bank + a week this year with maintenance already paid
Gold Crown status
$550 annual maintenance fees

Initially, I thought we could get around $10,000 for it, which wasn't too bad considering we paid $14,000. But after doing a few days worth of research, I'm thinking even $4,000 is too high. It's just incredible that $100/night for a master suite wouldn't sell, especially when the resort charges around $450/night for the same thing. So, taking into account the current timeshare market, is $4,000 too much for this offer? And if so, what would be fair price? Thank you!

[The name of your resort has been removed to comply with our no-advertising policy. - DeniseM Moderator]

 

[DeniseM]

Hi and welcome to TUG!

I hate to tell you this, but you may be unable to even give it away. Because of the economy, many people cannot afford to travel, or pay their maintenance fees, and the resale market is swamped with resales that people are dumping for $1. Because of the swine flu scare, and fears about crimes in Mexico, the Mexican TS market has been hit especially hard. If you check out TS sales on ebay you will see pages and pages of listings for Mexico timeshares that are being sold for little or nothing.

Your best bet is to figure out how to use it yourself and at least get some nice vacations out of it. That would be my advice.

If you have to sell it right now, you should be prepared to take a 100% loss. We are advising people who just want to dump their timeshare to list it for $1 and offer to pay the transfer cost. A basic deed transfer costs about $100 + whatever the resort charges.

 

[CollegeKid]

Hi Denise, thank you for the warm welcome and the kind, honest response. And sorry about putting the name of the resort in my post, forgot about that rule lol. I was afraid I was going to hear something like that. Although I wouldn't trust to buy a timeshare off of eBay, I guess others are.

You've suggested using the timeshare as much as we can, and I agree that would be the best option for the purpose of owning a timeshare. But like so many others I've heard about, taking the loss and having some cash to buy camera and audio equipment is the more important factor for us. Have you heard about any option to not pay the maintenance fees, lose the weeks, and sit on the deed for a few years until the market is resale-friendly (if it ever will be)?

 

[DeniseM]

But like so many others I've heard about, taking the loss and having some cash to buy camera and audio equipment is the more important factor for us. Have you heard about any option to not pay the maintenance fees, lose the weeks, and sit on the deed for a few years until the market is resale-friendly (if it ever will be)?

Unfortunately, I don't think you will get any cash out of selling this right now.

If you don't pay the maintenance fee they will turn you over to collections and damage your credit. You have a contractual obligation to pay the MF as long as you own the timeshare. The resort needs that money for day to day operations, so they are not going to let you slide.

 

[CollegeKid]

Yeah I didn't think that would work. Is it your belief that the market in Mexico will ever gain some resale strength?

 

[DeniseM]

Not until the economy recovers...

 

[mempho_to_diego]

collegekid, i think you and I are in the same boat. see my thread in the Mexico forum here: http://www.tugbbs.com/forums/showthread.php?t=102666

i believe we might be @ the same resort ... anyways, i do believe the economy will recover and if you have 24 years left, then definitely hang on to it ... do you have to pay for MF fees every year (i forgot what the actual month is when all the MF's are due) ... but i have an addendum in my contract (clause 4 if the same resort as mine) that states i only have to pay my MF when I use my week ... so i could really just not go at all one year or exchange it one year and not spend any money on the MF ...

again, i think the economy will pick back up and mexico will become a relevant place to travel again ... so definitely keep it. you can even send a different family to one of the resorts if you can't go ... just tell them to pay your MF and other costs (might cost something to have them get a certificate saying they will use that specific week at the resort) ...

 

[CollegeKid]

Hi mempho, I read your thread and it seems like you're in for some great memories if you use the place. We aren't at the same resort, so I'm not sure what the situation is as far as MFs are concerned. The contract just states that the "buyer" (my parents) must pay "the seller" (a certain well-known resort in Baja, MX) maintenance fees prior to any use of the property. I don't see any clause that stipulates mandatory payment, just the ambiguous "prior to use" statement. If it's the case that we don't have to pay, or that we don't find a buyer relatively soon, then we'll probably hold onto it. Here's hoping the economy improves in the next month!!

 

[CollegeKid]

Looks like my sarcasm might be finally starting to pay off: http://news.yahoo.com/s/ap/us_economy. For some reason, I pictured a giant cog, greasy and slightly rusted, slowly grinding to a halt before trying to change direction.

 

[Rent_Share]

I would be reasonably sure the optional part of the MF is the All inclusive part of the fee (food and Beverage) YMMV