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9 Comments

  1. 1

    Karl

    There is the standard AV form that buyers initial the clause that tells the buyer and they agree that the developer has no rental or resale program. And that if anything that was said during the presentation by the rep is not in writing, that, whatever that is – does not apply.

    However the law is complicated and any first year law student could file a complaint on behalf of one or more owners against a rep and developer claiming they were outright lied to; and prevail.

    And they would have no problem finding a bunch of witnesses to support their allegations.

    Best bet, in most cases, is to drop the selling and renting part from the presentation.

  2. 2

    raylando

    Very insightful and so true, scoop! I have attempted over the last several years to approach the industry leaders with a solution to the viable resale market. I have dont a feasibility study, I have met with certain principals and have a sound business plan prepared. I have found that the ‘developers’ just aren’t interested in considering anything that diverges from the status quo. I left the business and have not had as much enthusiasm for pushing a paradigm shift, however; if there are those who would seriously consider a revolutionary change such as when Christel and Jon Dehaan introduced the exchange concept then they can contact me and I have a NDA….

  3. 3

    Sam

    We are timeshare owners with four weeks in Cabo.

    Just came back and had a wonderful time as always and of course we went to a sales presentation while there.

    What was amazing is that the sales gal, Alice I think, and then her two managers all tried their hardest to convince us that we could earn a tax free income renting out the two weeks they were trying to sell us.

    The amazing part is they knew we are timeshare owners right there in Cabo and when I said we couldn’t rent out any of our weeks they told us it was because we owned a Cascadas and that nobody really wants to stay there.

    To funny and NO SALE!

  4. 4

    Art

    Selling or renting is the same for full ownership homes be they a primary one or a second (vacation) home.

    The owner has to hustle. They have to advertise or turn their home over to someone who will.

    In either case there are no guarantee’s and the owner has to compete with the prevailing market place, inventory, rates and other bells, whistles or perks.

    Some owners are too restrictive; ‘no pets’, ‘no smoking (even outdoors)’ and demand huge deposits.

    Then there is the issue of owners over pricing; especially rentals and many owners only use the free online listing’s services that are swamped with inventory and where there are a bunch of scammers too.

    They (scam sucking scammers) post nice pictures of properties they don’t even own and then want interested parties to use western union or a bank wire to send them the money.

  5. 5

    Mark

    Absent a developer sponsored or reliable 3rd party business with a rental and resale component that produces results I am of the opinion that anyone on the tables these days still pitching R & R (rental/resale) doesn’t really prefer to walk upright and is a knucklehead.

    As an industry the tragedy is we should taken our collective heads out of our A’s decades ago and developed a R & R services program for all owners but instead, as always, the needs of our clients have been mostly ignored.

    Just imagine the cost effectiveness of such a program. More paying guests would be generated for the resorts resulting in even higher occupancy rates. And when these vacationers checked in we could have provided them a Welcome Package that included a little note letting them know that they are staying in one of our ‘Owner or Member Suites’.

    Now imagine those same guests invited to the sales center and we include the R & R program during the presentation.

    KaChing!

    We blow more sales then we make because thinking outside the box in this industry is taboo.

  6. 6

    Cid

    i’m not sure in the USA, Canada or Europe it is as big of a problem as it is in Mexico, Asia and the Caribbean.

    i have a couple buddies working in Thailand and one in Mexico and they all live by the NO HEAT NO EAT creed with an emphasis on investment, resale and rental income.

    They are all making good money, party like animals and when I stayed with my pal in Playa del Carmen, Mexico a couple months ago he put it this way.

    “UPS are liars, lye to me all the time so I just give back to them what they give to me.”

    Must work because he has a VPG of $6,375 and is living really healthy to be sure.

  7. 7

    Larry

    I’m sure a big chunck of all timeshare owners were sold the rent & resell angle.

    With millions of owners it seems like that would be easy pickens for an attorney to get a bunch of them together, maybe a couple thousand disgruntled ones and sue the pants off of a developer.

    Doubt if they’d go after any of us because we don’t have the deep pockets.

  8. 8

    Mary

    As a front to back professional I did away with bringing up renting and reselling long ago.

    Many times I’m asked about either and I simply ask them if that is there intent.

    And if it is I only tell them the option is surely available but it would be the same as renting or selling anything and that there are no guarantees.

    I have found by handling it this was it doesn’t upset the apple cart and I don’t have cancellations come back on me because they my new owners read online or heard from others the truth about renting and selling.

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