May 30, 2014 — I received a few e-mails about last week’s piece and a couple of folks challenged my position and pretty much told me that I was all wet behind the ears. That “You don’t know what you are talking about…”, etc.; and with those and other comments in mind I did some more research on the vacation home market – and man oh man did I ever blow it with my assertions last week in “It’s a Vacation Home Pilgrim”.
So Here’s the Scoop: Upon further research I discovered — based on reports from the National Association of Realtors® (NAR) — that people have actually been getting out of their beds in the morning for decades and thought, as I wrote last week, “Golly Gee Whiz, this would be a gosh darn good day to buy that dang vacation home we’ve always dreamed about.”
I learned that during previous years as many as 1/3 of all homes purchased just in the USA were on the secondary market, and those buyers went looking of their own free will, with no gifts being dangled by sellers, etc. and purchased their second home for mostly — now brace yourself Bubba — “recreational use”. You know, for VACATIONING!
In fact the real story would be how many people are actually out there each year actively looking for a
I could not find any raw data on that because it would seem that collective records are either not kept or available, but surely some common sense will help us understand the actual size and/or potential of the
timeshare vacation home market.
In general real estate sales – as in our industry – there are of course the tire-kickers out looking who may not really want to buy one, or they may want to purchase one but are not be able to afford a
timeshare vacation home.
On the other hand they may be able to afford one but credit is an issue so they can’t get a mortgage; they may not have found the one they liked; they may have had a lousy real estate agent who can’t sell let alone ‘close’ a door; they may have signed on the dotted line but something happened in escrow and the deal ‘kicked’, etc.
It is a real world out there but what I’ve been able to ascertain is simply this: Over the past 2 decades the secondary home market seems to have sold somewhere around 20 million casitas in just the USA and if only 35% of the people that went a-lookin’ actually bought one then that tells me over that period 57,142,857 (MILLION) prospects thought (e.g.) ‘Let’s go look at
timeshares vacation homes today honey!’
And if the net closing percentage of those who ultimately purchased one was not 35% (+ -) but instead a whopping 75% (+ -) still 26,666,666 (Million)
timeshare vacation home-minded folks went a-lookin’ (just in the USA).
Which indicates to me there are huge numbers of folks out there who already have set in their minds the notion that owning a
timeshare vacation home ain’t such a bad idea and, as I’ve endlessly preached, first and foremost that is exactly what we sell — timeshares vacation homes?
Speaking for myself I firmly believe that it is likely 70% + of working adults between the ages of 40 & 60 (+ -) would answer in the affirmative to the following basic question: “If you could own a
So now that we know with 100% certainty that there are huge numbers of people out there with a built in desire who are ALREADY sold on the idea of owning one, how do ya suppose we ought to go about marketing and selling our
timeshares vacation homes that, I might add, come with ‘perks’ that the competition (secondary market) can only covet, lust for and dream about?
That, of course, was a rhetorical question, but if anyone needs some suggestions feel free to touch base with yours truly.
Good Luck Out There!
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Contributing sometimes extravagant, bombastic, emotional, pompous or even pretentious writings about the timeshare industry, Scoop covers an array of industry related subjects each week including inside information, tips, scandals, interviews, forecasts as well as new (good or bad) products and services — and, of course, all the ‘Good’, the ‘Bad’ and the ‘Ugly’.
Stay tuned for what is sure to be a fun ride and check back to Timeshare Scoop du Jour each week for more of the inside scoop.