What is your $ level for cash v. MRP?

[GreenTea]

i have one reservation booked with cash, another with points. Waiting to see the exchange rate before canceling one. At what point for you does it tip to points for you?

We likely will take a big points vacation in the next year or two, so I'm not opposed to using cash.

 

[kds4]

For me, I would say when the MF cost of the points required is less than the best MVCI rate (with any available MVC owner discount code applied) or that I can rent it through reputable sources like Redweek.

 

[vacationtime1]

For me, I would say when the MF cost of the points required is less than the best MVCI rate (with any available MVC owner discount code applied) or that I can rent it through reputable sources like Redweek.

OP asks us to compare two Marriott-based methods of purchase: points and cash. If it were me and my vacation was for exactly one week, I would also investigate renting on Redweek (and TUG and MyResortNetwork) as part of my process; it will often be the cheapest alternative.

I know I can rent destination points on VacationPointExchange.com for about $0.55/point. So that would be my exchange rate (after all discounts), unless the points in my account were about to expire.

 

[GreenTea]

i was asking about Marriott Reward points for hotel nights, not DC points. So sorry for the confusion.

 

[vacationtime1]

i was asking about Marriott Reward points for hotel nights, not DC points. So sorry for the confusion.

MR points are worth about $0.0075 - $0.008. Remember that they now convert freely with Starpoints at 3:1.

You should also factor in the fifth night being free if on points.

 

[kds4]

i was asking about Marriott Reward points for hotel nights, not DC points. So sorry for the confusion.

My mistake. Your title said '... cash versus MRP' but my mind went straight to DC points.

 

[rthib]

Most estimates on what points are work have issues. For instance, I use my points for the WN Travel package. 390K points = 120K Rapid Reward points + 7 Nights at Marriott + Companion Pass.
My actual value for that is between .015 and .02.

But for me, I do penny a point as my break even point. So $100 or 10K points, I will pay the $100, since it is really $100 vs 12K points (10K I use + 2K I don't earn) or $100 vs $120. $150 vs 10K is $150 vs $130, so probable go with points unless there is a megabonus going on. $200 vs 10K is easier since it is $200 vs $140.
Penny a points keeps it simple.

 

[Art]

Most estimates on what points are work have issues. For instance, I use my points for the WN Travel package. 390K points = 120K Rapid Reward points + 7 Nights at Marriott + Companion Pass.
My actual value for that is between .015 and .02.

But for me, I do penny a point as my break even point. So $100 or 10K points, I will pay the $100, since it is really $100 vs 12K points (10K I use + 2K I don't earn) or $100 vs $120. $150 vs 10K is $150 vs $130, so probable go with points unless there is a megabonus going on. $200 vs 10K is easier since it is $200 vs $140.
Penny a points keeps it simple.

The other thing that increases the value of Reward Points is that they cover the price of the room and also any taxes imposed on that price. In some cases that can be an additional 15%.

 

[classiclincoln]

How did you get your Marriott Reward Points? If you got them by just using your card or hotel stays, it really doesn't matter since you got the points for free. If you got them by depositing your timeshare week, then divide your maintenance fees by 7 to get the cost per day. Then compare to the room rate. The last time we used our week for Marriott Rewards points, the cost was $175 per night. So, if the room was less than $175, we just paid cash.

 

[Retired2025 aka AlmostRetired]

How did you get your Marriott Reward Points? If you got them by just using your card or hotel stays, it really doesn't matter since you got the points for free.

I think you minimize the value of your reward points by thinking like this. I normally use my employer discount, VIP discount (used for school ref's/umps) or AAA to pay cash for stays. I normally save the MRP for travel packages. I use one cent per point as the minimum before I would turn free MRP's into anything. My last 2 usages of points were for a 390K seven night Cat 8 certificate that came with 150K AA (120 K plus a 25% bonus) and a 290K package for 120K Southwest points (with Companion Pass) and a 5 night cat 8 certificate. I believe I got 1.1 cents per point on the first package. The second package I am up to 1.8 cents and it will continue to grow the more we fly SW.

Included in my calculations is what I would actually spend on a room and not what I saved. Case in point ... In the first travel package we stayed at the Cotton House and the cost per room per night was $450. If I had to pay, the Marriott I would have stayed at was 275 per night. I used 275 in my calculation. The second travel package we are looking at Playa Largo Resort and SPA. It is 750 per night during Christmas week. I can not think of a circumstance where I would pay 750 per night. I used 250 per night in my calculations.

I also can't remember the last time I traded my timeshare for MRP and I it would take extraordinary circumstance for me to trade for MRP in the future.

 

[classiclincoln]

"I also can't remember the last time I traded my timeshare for MRP and I it would take extraordinary circumstance for me to trade for MRP in the future."

I agree with this. Unfortunately, I learned about this after I exchanged my week for points. The only saving grace was that I used them for my son's parent's weekends and graduation from college. The normal rate for the room was like $150, but they bumped it up to $300 for parent's weekend and $600 for graduation.

 

[larryallen]

I always just do a penny a point for comparison so I don't even need a calculator. Pretty simple.

 

[dioxide45]

I have found when converting to travel packages that I can get anywhere from 1.5 to 2.0 cents per point. I would never use point for single night reservations.

 

[Retired2025 aka AlmostRetired]

I have found when converting to travel packages that I can get anywhere from 1.5 to 2.0 cents per point. I would never use point for single night reservations.

I look at two things... what it saved me (the most I would spend if I paid ) and the value I got from it (what it would have cost me for what I booked). Personally, the value is more important to me because it always means I did something I might not normally do if I was paying.

Package 1 the cost saving was 1.1 cents a point but the value was closer to 1.4. I would not have stayed at the Cotton House in Barcelona when I went if I had to pay for the room. It was a great hotel and I can't say enough good things about it but the best deal was still 440 per night.

Package 2 the cost savings is 1.8 cents a point but the value is 2.6 cents if I use the 750 per night. It continues to go up with each SW companion ticket.

 

[SunandFun83]

How did you get your Marriott Reward Points? If you got them by just using your card or hotel stays, it really doesn't matter since you got the points for free. .

Since you got your points "For Free", would you be willing to give me a five night certificate or 200,00 United miles?

All credit card points have a cost , because, purchases have to compare to Capital One or COSTCO card. Both cards give me two cents per dollar spent , and, they pay cash. There is no reason to make purchases on your Marriott card For less. I pay my MF and Marriott vacations and get five points per dollar spent.

 

[Safti]

I also use a penny a point to make my decision regarding usage of cash or points. On a cat 1-5 if the cash price is around $100 a night then I use cash.

 

[pwrshift]

If you buy MR points from Marriott they charge $0.0125 cents per point...so 1,000 points cost $12.50. To me that sets a value for the points. If you multiply the number of MR points you need by that figure, if it comes to more than the room rate, then pay cash and earn some points.

In recent years I've seen it get more difficult to get the value of the MR points. Example: the Algonquin NYC is category 9 takes 270,000 MR points for a 7 night stay which is a 'value' of $3,375. But if you paid cash the same room is $334 a night or $2,338 for 7 nights plus taxes...almost $1,000 less that the purchase value of the MR points.

 

[Retired2025 aka AlmostRetired]

If you buy MR points from Marriott they charge $0.0125 cents per point...so 1,000 points cost $12.50. To me that sets a value for the points. If you multiply the number of MR points you need by that figure, if it comes to more than the room rate, then pay cash and earn some points.

In recent years I've seen it get more difficult to get the value of the MR points. Example: the Algonquin NYC is category 9 takes 270,000 MR points for a 7 night stay which is a 'value' of $3,375. But if you paid cash the same room is $334 a night or $2,338 for 7 nights plus taxes...almost $1,000 less that the purchase value of the MR points.

Starwood/Marriott sets the value much less. Starwood offers a 30% discount on their points at least once a year. I purchased 30,000 Starwood points for 742 in April. This becomes 90,000 MRP for 742 so it costs $2,226 for that same room saving $100.

My point wasn't to set a MR point value. I think my example is a very poor use of points. Travel packages are usually the best use of points. Even in the example above for the NY Hotel, another 120,000 MRP gets you 120K airline miles on Delta, AA (20% more promotion right now) and 132k (10% promotion ) on United. A potentially better deal.

When I purchased my resale Monarch unit in 1995 my MF was 430. I was/am able to trade for 130K MRP every year. I enjoy HHI but I viewed this as my out from the timeshare world to travel outside US not unlike DP is now. I used this a fair amount in the early years and haven't traded for points in the last 17 years. I just hit lifetime gold last year on total night stays yet my life time point total is over 2.4M. They had a 440,000 travel package for 4 tickets anywhere in the world, two 7 night certificates and a free car week rental In 2001 we did London, Paris, Madrid and Malaga. Though the timeshare for point exchange stinks, this not a complaint. Things change and you adjust, but you can still get value from a travel package.