Why the complaining about MF and Exiting?

[gpj555]

DVC is one of a kind time share!

 

[paxsarah]

The part that's new to me is the idea that DVC owners would just let their ownerships default instead of selling it, since they could actually get real money on resale.

 

[dioxide45]

The part that's new to me is the idea that DVC owners would just let their ownerships default instead of selling it, since they could actually get real money on resale.

They still lose quite a bit of value the day you buy it. So if you want out soon after purchasing and still owe on a loan, you may have to default.

 

[CO skier]

Facebook is wild, lol.........saw one guy try telling people he could 'take multiple vacations anywhere in the world' for the cost of his MF fees, lol. Guessing most MF fees are around $2k, and I can't go to Wildwood Beach for a weekend on that, lol.

The guy on facebook is correct. A Club Wyndham owner with 300,000 CWA points, just as an example, could use the points for 3-4 weeks in Club Wyndham Value Seasons 1 bedrooms, then spend the other 48 weeks of the year "most anywhere in the world" using RCI Extra Vacations for about $2,000/month accommodations cost.

There are about 500 units available at the moment in just Europe, Africa and Brazil (not all of them are $500 or less per week). It just takes a lot of flexibility on travel dates.

 

[CO skier]

 

[Floridaman76]

I get the impression that either DVC is extremely lenient or forgiving to their deadbeat owners who default on their ownership or the OP doesn't know what that process really looks like.

Who knows, maybe the optics of "Disney" going around foreclosing on people has more negative impact than a financial one, so they can make the decision to absorb it. Disney is also selling the "Disney experience", which to me, looks a lot like a cult, but who am I to judge.

Also to be clear, all the other timeshare systems (except, apparently DVC) do the same things as Wyndham when people stop paying their bills. There's no free ride.

Believe it or not, some other timeshare systems don't even have processes in place like Wyndham's Ovations/Certified Exit that allows people to give back their timeshares. Sometimes that process is extremely cumbersome and costly. Just ask Westgate owners. Or there is a right of first refusal, like Bluegreen, Diamond and HVC. Let alone non-affiliated timeshares not in a "system" who have a vested interest (survival) of keeping existing owners paying their MF to stay solvent.

Wyndham is not perfect, don't get me wrong. They do some things quite badly (like their IT Department), but they are also pretty fair and a good value to an educated owner.

 

[Fido Chuckwagon]

I don't disagree.........just more or less asking what happens if you just 'stop' paying the MF's.

They will foreclose eventually. There’s a possibility that there could be a credit impact but that possibility is pretty remote if all you owed was maintenance fees (as opposed to a loan).

 

[Fido Chuckwagon]

Can you just stop paying your mortgage, insurance, taxes? We both know the answer to that.

The answer is yes, you can. The result of that is foreclosure, either by the bank that owns the note, or the county to whom the taxes are owed, the same as a timeshare.

 

[Fido Chuckwagon]

Yes you completely misunderstood lol. I was just comparing it to Disney (which I've now learned is different) in the fact when people default, disney just comes in and scoops it back up

You’re actually not correct about DVC here either. That is also deeded real estate (well maybe not CFW), and DVC has to foreclose on that as well. In fact, you can purchase DVC contracts at foreclosure auction.

 

[Fido Chuckwagon]

The part that's new to me is the idea that DVC owners would just let their ownerships default instead of selling it, since they could actually get real money on resale.

There’s some level of ingorance I’m sure, but there are also plenty of DVC direct purchasers who are “underwater” on their contracts given the delta between DVC direct and DVC resale pricing.

 

[boxer156]

The guy on facebook is correct. A Club Wyndham owner with 300,000 CWA points, just as an example, could use the points for 3-4 weeks in Club Wyndham Value Seasons 1 bedrooms, then spend the other 48 weeks of the year "most anywhere in the world" using RCI Extra Vacations for about $2,000/month accommodations cost.

There are about 500 units available at the moment in just Europe, Africa and Brazil (not all of them are $500 or less per week). It just takes a lot of flexibility on travel dates.

View attachment 102005

Thats not what he meant.....he was complaining about his high MF fees---saying INSTEAD of paying them, he could 'take multiple vacations anywhere in teh world' for what he is paying in MF's. That simply is not true.

 

[boxer156]

You’re actually not correct about DVC here either. That is also deeded real estate (well maybe not CFW), and DVC has to foreclose on that as well. In fact, you can purchase DVC contracts at foreclosure auction.

If you have a loan, yes. But I've known several that were paid off--and they defaulted on the MF's, and Disney just took it back. No hit to credit.

 

[boxer156]

I get the impression that either DVC is extremely lenient or forgiving to their deadbeat owners who default on their ownership or the OP doesn't know what that process really looks like.

I used to buy defaulted contracts from Fidelity years ago, so I have a pretty good idea what it looks like. Loans are different--but from Fidelity told me years ago, is if they are paid off and default on MF's, they get certified letters stating to bring hte account current. If they fail to do so, Disney takes the property back--by some wording in the contract you sign with them.

 

[boxer156]

You’re actually not correct about DVC here either. That is also deeded real estate (well maybe not CFW), and DVC has to foreclose on that as well. In fact, you can purchase DVC contracts at foreclosure auction.

thats been YEARS ago.....Fidelity used to handle a lot of them. Disney now gets them back, and resells them. WHY would they let them go to an auction--when they can sell them back at near the going rate, and people will line-up to buy them?!?!

 

[Fido Chuckwagon]

thats been YEARS ago.....Fidelity used to handle a lot of them. Disney now gets them back, and resells them. WHY would they let them go to an auction--when they can sell them back at near the going rate, and people will line-up to buy them?!?!

DVC is deeded real estate. It has to be foreclosed upon. There are absolutely DVC foreclosure auctions, there’s even a thread on disboards where someone recently went through the process for bidding on one.

It’s literally not an option for Disney just to “get them back,” Disney can’t just wave a magic wand and make a property that is deeded to someone else theirs. The most common outcome is that Disney buys back the property at the auction (which is probably what you are thinking of).

Now Disney can absolutely offer someone the option for a deed in lieu of foreclosure, or similar option, and they probably frequently do, since DVC contracts have value, but other than he “having value” part, that’s no different than any other timeshare.

 

[TolmiePeak]

But people don't necessarily know that. There is the threat, and possibility, of a credit hit. People put too much importance on their credit scores.

Agreed. I never understood people getting worked up over their credit score. Do they seem to think they are a better person if their score is higher?

 

[Fido Chuckwagon]

DVC is deeded real estate. It has to be foreclosed upon. There are absolutely DVC foreclosure auctions, there’s even a thread on disboards where someone recently went through the process for bidding on one.

It’s literally not an option for Disney just to “get them back,” Disney can’t just wave a magic wand and make a property that is deeded to someone else theirs. The most common outcome is that Disney buys back the property at the auction (which is probably what you are thinking of).

Now Disney can absolutely offer someone the option for a deed in lieu of foreclosure, or similar option, and they probably frequently do, since DVC contracts have value, but other than the “having value” part, that’s no different than any other timeshare.

Here’s an example on disboards: https://www.disboards.com/threads/b...tings-going-to-auction-in-march-2019.3732551/

 

[CO skier]

Thats not what he meant.....he was complaining about his high MF fees---saying INSTEAD of paying them, he could 'take multiple vacations anywhere in teh world' for what he is paying in MF's. That simply is not true.

The dollar amounts in post #30 are per week (unless otherwise indicated) and illustrate exactly how true it is that someone can "take multiple vacations anywhere in the world" instead of the cost of one week's maintenance fees at a high-priced timeshare.

 

[TolmiePeak]

TUGgers are...frugal…to put it charitably. Facebook is essentially a similar group of people holding the discussion an outrage machine.

Agreed. I have no problem describing myself as a vulture picking over the garbage heap for diamonds in the rough.

 

[boxer156]

Here’s an example on disboards: https://www.disboards.com/threads/b...tings-going-to-auction-in-march-2019.3732551/

You realize this thread is over 5yrs old? I agree they USED to auction them--- cuz i bought a few like that--- but that changed after covid. Wish they still did tbh...

 

[Floridaman76]

Meanwhile, back on the farm... Do you want to know anything more about Wyndham? You have been presented with a lot of information in several different posts. And seem to be making arguments with people trying to help.

 

[boxer156]

Meanwhile, back on the farm... Do you want to know anything more about Wyndham? You have been presented with a lot of information in several different posts. And seem to be making arguments with people trying to help.

I ABSOLUTELY appreciate the help....but somehow this thread started to insinuate i was looking for a way to dump my contact (when im closed) eventually....which is NOT the case at all. I was simply asking why the several threads and discussions on exit, and 'why's that would be needed. I now understand.....just covering ALL my bases before I get into this

 

[Fido Chuckwagon]

I ABSOLUTELY appreciate the help....but somehow this thread started to insinuate i was looking for a way to dump my contact (when im closed) eventually....which is NOT the case at all. I was simply asking why the several threads and discussions on exit, and 'why's that would be needed. I now understand.....just covering ALL my bases before I get into this

I think it’s important to have an exit strategy with any timeshare and good that you are thinking about that. Wyndham’s Certified Exit is a good exit strategy but is not a guarantee. So long as you are willing to run the risk of possibly having to walk, let Wyndham foreclose, and risk (slight risk) a credit hit, you’re going in with your eyes open.

Bonnet Creek is popular enough that I think it can probably be given away for a good many more years to come in any event.

 

[Sandi Bo]

I think a main 'gripe' on the exit plan (if you use Certified Exit or sell) is you continue to pay maintenance fees until the process (or give back to Wyndham or transfer to another owner) takes a long time - we're hearing 3-6 months or so. And if you are transferring to another owner, if it's the second half of the use year, the points are not transferring. So a considerable amount of points that you paid for that you (or a new owner) are unable to use. And with Certified Exit your account may be locked or any booked reservations cancelled. Pretty much anything I've mentioned is variable, you hear different experiences, but something to consider. Makes walking away appealing, although I'm not sure it's in my being to do so (while long ago I said my credit score doesn't much matter anymore - I do take pride in it (that old school mentality) and I think it gets us better insurance rates (they say it does).

 

[boxer156]

I think a main 'gripe' on the exit plan (if you use Certified Exit or sell) is you continue to pay maintenance fees until the process (or give back to Wyndham or transfer to another owner) takes a long time - we're hearing 3-6 months or so. And if you are transferring to another owner, if it's the second half of the use year, the points are not transferring. So a considerable amount of points that you paid for that you (or a new owner) are unable to use. And with Certified Exit your account may be locked or any booked reservations cancelled. Pretty much anything I've mentioned is variable, you hear different experiences, but something to consider. Makes walking away appealing, although I'm not sure it's in my being to do so while long ago I said my credit score doesn't much matter anymore - I do take pride in it (that old school mentality) and I think it gets us better insurance rates (they say it does).

Yes, I've heard about the 'point stealing' (for lack of better term), so that's why I'm pushing this resale contract I have an offer on so hard.....I do think it helps that the contract is an April Use Year--so hopefully we close/transfer by March(ish) of 2025. 300k points is ALOT to give away if this drags past June, and they steal them!!

As for credit--I had bad credit as a kid--and I'll fight tooth-and-nail to not let that happen ever again. Its nice to know if you *must* apply for something, there is zero worry you will get approved. The key is not applying so you don't get tempted with credit, lol.