Websites for Resale price and actual Sales office price had very Different Prices?

[djanash]

Happy Holidys!!! Im staying at the Windjammer in St Lucia and go on redweek.com and other sites to look at prices for some 1BRs here. I went in to see the sales office and asked him about internet resales and why the web sites and direct prices are way off from each other- he told me he had the first right of refusal.
Basically If your price is lower than his "market value" and I am one step away from closing, then he can just say no and end up charging me a higher $$ after closing a deal with the seller.

In other words say the share is 30K and you want 25K for it, he'll refuse the sale to me from you directly, then give you 26K to get rid of you and charge me 30K for it - what the heck?! He says that he tracks the market and posts and the sites are all a scam..and that if he can make a buck here and there buy flipping for the company then why not...he also mentions certain rights are not transferable to me if I buy a resale?
this seemed shadier that any realtor ive ever dealt with? Ive never done anything like this before and would hate to be scammed by the developer. I want to make sure i can get the best price possible..

Thanks in advance!

DJ

 

[Toughbeat]

consider the source...of course!

What?????? A Timeshare salesman at the resort attempting to prevent you from buying a TS at a substantially lower price than he sells it for directly????? All just so that he can make the sale himself for an overwhelming profit margin? hmmmm What next, someone's gonna claim used car salesman aren't always on the "up n up" ???? lol

Pardon the sarcasm, but since this ios your first post, please PLEASE invest some time here reading the TUG boards and you'll quickly learn that you should buy a TS 'RESALE' and NOT directly from the resort as their prices are grossly inflated and the resale market offers HUGE discounts for the same thing. I looked on Ebay and found this Windjammer for sale for far less than you were offered at the resort.

You've done yourself and your wallet a great service by researching here first! Hopefully, you haven't bought nor signed anything purchase agreement there and if you did, RESCIND immediately!

You can always find TS on the resale market on bidshares.com, redweek.com ebay, craigslist, and here on the TUG marketplace. When you're ready to do that, be sure and check here and read up on how to protect yourself even when buying resale.

I'm sure other, more experienced TUGgers will chime in and give you great advice. The common denominator will certainly be not to trust this fast-talking salesman and buy resale for far less.

One other thing: as far as Right of first refusal, he's just trying to scare you into thinking they would block the sale. The way the economy is right now, more and more TS resales are passing the ROFR process. BTW, I'm very certain that many owners there at Windjammer would quickly jump at the chance to unload their TS for 24K back to the resort.

Bottom line: You WILL be able to own there if you wish to by purchasing resale, but you can't expect the salesman to tell you, "Sure go ahead and buy resale because our prices are way overinflated especially in today's economic crisis."

 

[djanash]

A couple of things I forgot to mention, this was for a 52 slot, and the time share has no other 1BR available for that slot. I feel like I might have the cards stacked against me because its a highly desirable location (St Lucia) and its a 52'er? This guys seems to think that there are tons of people waiting for an opp to grab one like this and it wont last long. Also he seemed fair and friendly not like a "used car saleman" type

Im a dentist - I would know if I saw one of those - LOL

before I leave the island Im going to go to a few realtors in the area and make some calls but I do think he's can and will ROFR me. I just dont want overpay obv.

I went into a best buy and looked at the tv,s then price compared them on amazon.com on a PC WHILE INSIDE the best buy and payed far less right in front of the salesman - so why should I pay "retail" for a TS?!

 

[dioxide45]

A couple of things I forgot to mention, this was for a 52 slot, and the time share has no other 1BR available for that slot. I feel like I might have the cards stacked against me because its a highly desirable location (St Lucia) and its a 52'er? This guys seems to think that there are tons of people waiting for an opp to grab one like this and it wont last long. Also he seemed fair and friendly not like a "used car saleman" type

Im a dentist - I would know if I saw one of those - LOL

before I leave the island Im going to go to a few realtors in the area and make some calls but I do think he's can and will ROFR me. I just dont want overpay obv.

I went into a best buy and looked at the tv,s then price compared them on amazon.com on a PC WHILE INSIDE the best buy and payed far less right in front of the salesman - so why should I pay "retail" for a TS?!

ROFR doesn't really work like explained. With ROFR when a resale deal is made between two buyers, the seller must submit the contract to the developer for ROFR, if the developer wants to exercise ROFR they must buy the unit from the seller for the same price that was agreed upon by the seller and buyer. If they think they can turn around and resell that week quickly they will exercise it, if not they will let it pass and the seller can sell it to the original buyer.

In the economy today, many developers are short on cash, they are having enough trouble selling weeks they have and can't afford to take on more by buying them back through ROFR. Don't buy in to the lies and half truths. These salespeople are slick and can pull the wool over the eyes of those who don't do their research.

 

[djanash]

if anything, it seems as though these websites are posting deals that are too good to be true? Can that be the case? also what about ebay? I just bid on one and have o clue what to do if i win

 

[sernow]

Don't buy anything now. Instead, turn off the computer, unplug the phone, and enjoy your vacation.

When you get back you can do the research and the math. Figure out what the break-even is.

Keep in mind that this is RTU and I think there are leases with differing expiration dates. This can cause a big difference in price.

 

[Talent312]

For God-sake, please, DO NOT buy retail from "your friend" the salesman. GM makes a brand of cars called Saturn who's sales-folk are so just gosh-darn friendly that before you know it, you want to name your next child after one, donate to their favorite charity, and salivate at the opportunity to buy a car from them. But if you say no, you quickly discover that they are no longer your friend.

As for the ROFR... let's sale that you get a good deal from a private party, and its so good that they do ROFR-you? You've lost nothing. The sale is cancelled, your money is returned and you are free to keep looking. However, the chances are that if the price is in the neighborhood of 1/2 to 2/3 of the retail price, they'll let it go thru, and you'll have a great deal.

But before you get carried away with this, please think for a moment: Is this a place I am likely to (or really want to) come back to year after year for the next 25 years or so? Wouldn't it make far more sense to buy closer to home, so the commute is a little easier... just in case I can't always afford to go St. Lucia? Please do not think of this as a money-maker down the road. That's a fools errand.

 

[djanash]

The salesman tells me that all the sales, in essence, go through him and he doesn't do anything over seas so I have to be in town. Company policy...Windjammer Landing does have a pretty high rating and week 52 is hard to come by here. Very frustrating! the more write back to my original post the less interested I am in buying the darn thing! Only because I have no idea if this guy is telling the truth now. He does seem to have the upper hand on me!? Are all the REALLY leases 53 years? Will he excerscise ROFR? AARGH!!!!
I def. see myself going here for the 20 or so years, and its nice to have a desirable week in a desirable resort. But some of the stuff out there is for 1/2 the price?!! So frustrating! I cant wait till monday to call some of these realtors/brokers and see what the deal is with the posting online

 

[Dave M]

There is a saying around here that goes something like, "If a timeshare salesperson's mouth is open, he/she is lying." Although not always true, it's often true. There is no reason to pay the inflated cost of buying from thye developer. There are many, many lower cost options available.

For now, you should follow the advice previously given to you here: Don't buy, don't worry about it, enjoy your vacation. Then check in here when you get home!

Also, if after going home and doing all of your research, you still want to buy from Mr. Friendly Salesman, you can call him and tell him you're ready to buy. One big lie: "Once you leave the resort, this deal will no longer be available to you."

 

[djanash]

Im going to ask him to show me in writing where it says that he can only sell it to me while Im there and that no overseas transactions are possible...I also think that what I will do is set my alerts on redweek and see what comes up fpr next year.im only 31!! no rush...but if this guy lies to me again and offers me something lower after I leave then Im going to go ape on him and call his CEO

 

[Toughbeat]

You said earlier that the salesman "seemed fair and friendly." Well of course he did. That's his job. He knows the friendlier he is, the more likely it is that he can separate you from your hard earned money.

The danger here is that you're looking at this week 52 through rose colored glasses and may be falling into the "I want it NOW!" trap setting yourself up. If you're patient enough to research this when u get back from your vacation, you can save yourself tons of money. I'd hate for you to later subject yourself to thinking "I coulda bought it for less?" syndrome.

..and this thing about it ONLY being available right here, right now..well, come on, I've heard the heck out of that one! What a weak attempt at trying to pressure sell you.

You're right about wanting to see everything they claim in writing. But don;t fool yourself into thinking that just because you're a dentist, you're immune to these high pressure, fast and smooth talking sales ploys. There are many TS owners from all walks of life who have fallen prey to these sales tactics.

Good luck on your decision.

PS: just my opinion but it seems as though you're stressing yourself out over this when u really should be enjoying a great vacation...there will always be time to buy later and in the meantime, u can always rent a week from an owner until u purchase.

 

[teepeeca]

Rofr ???

I don't know anything about this timeshare, BUT, are you "certain" that there "IS" a ROFR ??? I know the salesman told you that here was one, and the sale "had" to go through him, and he could exercise the ROFR, BUT, you might want to do some more checking (with other brokers on the island, AND, with knowledgable here on TUG), to make sure there is a ROFR.

Did the salesman show you in the recorded documents where there IS a ROFR? Also, you said that there is a 53 year RTU lease. When did the 53 year start? Might want to check that also.

Tony

 

[Talent312]

Im going to ask him to show me in writing where it says that he can only sell it to me while Im there and that no overseas transactions are possible...

He may pull out a shotgun and shoot you where you stand. "Here's your writing."

...but if this guy lies to me again and offers me something lower after I leave then Im going to go ape on him and call his CEO

His CEO will laugh at you. Look, guy, its his job to make you think you have to buy now, that the minute you walk out the door, the deal is gone... and he'll say the same thing to someone else next week, offering the same deal.

 

[Dave M]

...its his job to make you think you have to buy now, that the minute you walk out the door, the deal is gone... and he'll say the same thing to someone else next week, offering the same deal.

And he learned how to do it from his CEO!

 

[djanash]

yeah your right I'm just going to enjoy my vacation and see what happens

 

[Jbart74]

Good move. Whew! That was close.

 

[djanash]

Its a turn-off...the whole process sucks, im not even interested an more?!

Say I did find one, how likely is it the will the resort will let me see the place before I pay the resaler. Or is this too much to ask?

 

[DaveNV]

Its a turn-off...the whole process sucks, im not even interested an more?!

Say I did find one, how likely is it the will the resort will let me see the place before I pay the resaler. Or is this too much to ask?

After you get home, do some research on your own schedule, without pressure from anyone. You'll find plenty of resale deals out there that will be much lower than what the developer prices will be. And nobody will be hammering you to buy from them this minute, "or else."

If you happen to find a deal on eBay that appeals to you, if all the facts and figures line up right, go ahead and bid on it. If you win it, and escrow ensues, there is a strong chance you'll get exactly what you want for a fraction of the price. I've done it that way four times, and the most expensive purchase price I've paid is $615. So yes, eBay DOES work, if you know what you're getting into.

Take your time, and be smart. You'll end up with exactly what you want, for pennies on the dollar. Keep in mind - for every "deal" that gets away from you, there are a dozen more right behind it. There is no shortage of timeshares for sale.

Good luck,
Dave

 

[Jbart74]

Its a turn-off...the whole process sucks, im not even interested an more?!

Say I did find one, how likely is it the will the resort will let me see the place before I pay the resaler. Or is this too much to ask?

I'm sure they'd be glad to let you 'tour' the property and they'd probably give you a few hundred dollars just for your trouble. Of course, you'd have to listen to another salesman trying to sell you the same TS that you are getting ready to buy for WAY LESS $$$ on the resale market.

A better bet would be to come here and ask every conceivable question you can think of about the property and you will likely get quick, honest, and excellent answers from many people who have actually stayed there.

 

[djanash]

Well, there is actually only one in St Lucia that I like, WJL, and week 52 is tough to come buy here. Its the only one I can take... I have a feeling it'll be a while OH well

 

[lobsterlover]

god i love WJ

I could talk about WJ all day long. Noticed you were talking about re-sales. Just bought one for $2500. in 08. They were not too impressed with that but didn't refuse it. I think the're about to see a lot more of that with the economy. It also came with a wack of extra rci points which they tried to have taken away...unsuccessfully!! I'd really like to get week 52!
We're on our way to The Residences at The Crane, Barbados in March with all those extra points. Looks posh!!
I can't imagine WJ is selling too many timeshares these days!!
Does anyone know if WJ is your home resort, is it hard to reserve week 52 through RCI if thats not your week??

 

[Babs from UK]

WJ resale

Wow, you did really well to purchase at $2500. We bought off the developer twice (ahem - hangs head in shame). That said we always have a good time in St Lucia.

I was at the resort in January and there was definitely one sale made when I was there to friends of owners who came for the first time and purchased "new".

Another friend of mine has been trying to sell his villa, 207, in August which is a newer 1 bedroom with plunge pool. It is similar to ours and very nice. However, not a bite. I don't know what he wants for it but he is probably pricing it too high. He is now auctioning the weeks for charity but hanging on to the place for now. He did ask WJL to sell it for him but they don't seem to have tried very hard. They take a percentage to sell a timeshare for you and it is quite high. Whilst they are still selling new though they don't have much incentive to sell as resale I suppose.

The Caribbean Hoteliers Association were on site whilst I was there and I had a very interesting chat with a senior RCI guy who wanted to know why owners like me had got out of RCI. We had a friendly but frank conversation and intend to stay in touch.

 

[jhm40cu]

If they think they can turn around and resell that week quickly they will exercise it

When they resell the 'ROFR'ed properties, do they sell them at the developer price or at discounted price?

 

[lobsterlover]

Hello. Why have you got out of RCI? I was jumping at joining RCI because my bargain week I purchased got me a larger villa for more time when we actually wanted to go through RCI- not the week we bought. Anyhow, still looking for another bargain week at Winjammer Landing.
Don't feel bad about paying full pop, we almost did that a couple years ago. Main thing is you're enjoying it!!

 

[Babs from UK]

Hello. Why have you got out of RCI? I was jumping at joining RCI because my bargain week I purchased got me a larger villa for more time when we actually wanted to go through RCI- not the week we bought. Anyhow, still looking for another bargain week at Winjammer Landing.
Don't feel bad about paying full pop, we almost did that a couple years ago. Main thing is you're enjoying it!!

Hi, I got out of RCI because their admin was driving me crazy and I found Windjammer was more helpful when swapping internally! I don't feel too bad about paying full prices as we have had both timeshares long enough that we have broken even some time ago. Mind you, I would have been happier if we could have picked up the timeshare at a quarter of the price but there we are.......... I didn't know about TUG then. And yes, we still have a wonderful time when we go there.

Re the resale prices. Certainly I have seen some very high resale prices through the timeshare operation there, but they are making a commision when reselling on someone's behalf so they have to make their money somewhere! I have also seen private sales between owners and first-time renters that have been much more reasonable. It is quite fun watching the negotiations take place! I suppose that, when the developer is still selling new that there is not much incentive for them to push resales. They have a whole side of a hill to build on yet so this situation will continue for some time.