Using a Timeshare as sales incentive

[Giselherr]

First off, pardon me if this has been discussed before. I used the search feature but couldn't find anything definitive.
The question is: If one owns a particular Timeshare week, can one reserve that week and use the week so reserved as an incentive for, say, a real estate agent who produces a buyer for one's home?
What kind of precautions should one take? Use a standard "rental" contract?


Thanks in advance for any and all advice!

 

[PerryM]

First off, pardon me if this has been discussed before. I used the search feature but couldn't find anything definitive.
The question is: If one owns a particular Timeshare week, can one reserve that week and use the week so reserved as an incentive for, say, a real estate agent who produces a buyer for one's home?
What kind of precautions should one take? Use a standard "rental" contract?


Thanks in advance for any and all advice!

I "gift" many weeks to friends and business associates all the time - since no money is involved I never ask them to sign anything - just put the reservation in their name and present it to them.


This is a great way to thank folks who have helped you in your personal or business life.

 

[johnmfaeth]

One should just be a little cautious about giving the week to someone who has a business relationship only and could then be in a conflict of interest position or a regulatory issue.

For example, if you sell pencils to a large company and become friends with the purchasing agent. A gift of a timeshare week could be construed as bribery if looked at by a third party. If the same buyer worked for a government entity, now it's a crime.

In the case of a broker, if he/she is splitting the commission with the broker who introduced the buyer, that broker could demand 1/2 the timeshare week's value as the commission is split between the two brokers.

I actually had a discussion on this exact topic 4 weeks ago as I am selling my house in NJ and was having a brokers-only open house the week it went on the market. I suggested have a door prize of a timeshare weeks usage. The house shows very well and we wanted to attract every broker possible so they would have it on their minds.

My broker killed the idea because of issues of compensation and NJ Laws about raffles and real estate. Instead we had a wine, cheese, and shrimp buffet. That worked well, 25 brokers/agents came which was a great turnout.

I fully agree with Perry on the contract. All you need is their name on the reservation with the resort. I also produce a letter for the person to carry with them with the reservation number, et al, so they feel comfortable and have no confusion on check in.