When to sell

[luckydude]

I have a Marriott week that I really don't need and I would like to sell it. I have only used it once since I bought it in 2006 and rented it out the other two years including the 2009 week which Marriott rented for me. The only reason I bought it was to use the 13 month rule. I have two same season weeks at the same resort. Fortunately I have gotten 2-3 times my maintenance fee when I rented it out but it just bothers me to have money tied up in a week that i really don't need for travel. It helps me get the week that I want to travel and I get more than the MF's each year, does this justify holding on to it and tying up the money I paid for it or do you think it makes better financial sense to unload it?

The other question that I have is when is it wise to put it up for sale? The 2009 week has been rented out and won't be available to the buyer, however if someone bought it now they would be able to book their 2010 week 12 months in advance starting in Jan. 09. This is important for them to be able to do to secure the week they want.

What advice could you give me?

Tony

 

[James1975NY]

You can IM me with responses if you like...

Do you still have a loan or paid off? If you do not owe anything and it is renting for 2-3 times the maintenance fees, I would hold on to it. Why not?

Where do you own?

 

[KathyPet]

Need more information before any advice can be given. Did you buy directly from Marriott or resale? Which resort did you purchase at and which season do you own? Is the resort "sold out" or is Marriott still actively selling there? If you bought it direct from Marriott the chances of you recouping your investment is slim to none since it would not have increased much in price in two years and you did pay a premium to purchase from Marriott so that you could trade it for points which you cannot pass along to your purchaser if you sell it yourself and not through Marriott resales. . If you bought resale and got a good deal on it you might be able to unload it for what you paid for it.

 

[luckydude]

The resort is the Surf Club (Platinum Season) which I bought directly from Marriott. I did not finance the purchase, I paid cash which is why I don't like tying this money up. Although right now I am getting a better return on it than with my stocks.(LOL)
I called Marriott resales and they said the Surf Club is 84% sold right now.

 

[JimIg23]

You are only going to get about 50% of your money back, thats a big loss if you don't need the money in hand right now. Why take the loss when you are getting 2-3x MFs on rental? If it was me, I would wait and rent, get your money back then see if you want to start using it or sell it. The negative side is you never know if 5-10 years form now you will be able to sell it for 50-60% of the retail price.

 

[MOXJO7282]

If you are doing what I know many do with there Aruba Surf plat weeks why would you want to sell? I know someone who gets over $4K for his week. That's a better return then you are going to see anywhere else, anytime soon. I know in my case if I sold I'd probably come close to breaking even, as I bought in 2002 for $20.9K, but until I see rental return start to erode, I'm holding on because the return is so nice. I expected 2009 to be a tough rental year, but I'm finding out just the opposite. I just rented my 2009 Maui weeks and I'm very pleased. Don't know what I would've have gotten for my Aruba Surf, because I'm actually using for the first time in 2009.

Regards.
Joe

 

[Smooth Air]

TS prices are dropping like stones so now is not a good time to sell. Keep it, use the "13 month advantage" and rent it. I am going through a similar thing w/ my 2 Platinum weeks @ Ocean Pointe. I had thought of selling but now I am actually thinking of picking up another couple of weeks b/c it is a Buyer's market right now.

Smooth Air

 

[KathyPet]

Since you purchased it directly from Marriott and the resort is not sold out Marriott will not take it to sell from you since they only do resales at sold out resorts. therefore you will never see anything close to what you paid for it in the near future and actually not even then. When marriott does start accepting resales they will list for the current going price which will be the price they were selling them for when the resort sold out but then they take a 40% commission so while your price probably increased from when you purchased it it would not have increased enough to cover the commission. if you sell it privately you can set the price but I believe that they normally go for around 50% of what Marriott is currently asking for them. So you will not recoup your investment. You should just keep renting it out and be grateful that you get enough to cover your MF's