Helen

My parents just returned from a trip to Orlando where they spent 4 days at a new Marriott timeshare property. After being adamant before they left that they would not purchase a timeshare, they came home and announced that they had decided to buy. As I have only ever heard horror stories about timeshares, does anyone know of Marriott's reputation in this field? It's costing them $16,000 to get two weeks a year and an additional $675 per year in maintenance fees. They say that they can "trade" to a different property by paying an additional $79 dollars, but it just seems like a lot of money for only two weeks a year. Are they getting ripped off? Is Marriott's reputation better than the rest? Thanks for any input.

AM

My parents did the same thing. Have never heard them complain. They have often switched from their Disney one to various places - Sedona, Singer Island, Aruba.

xxx

Are they getting ripped off? Yes.
Put that money in a decent investment, draw the interest each year and add the $675 plus $79 and they could go anywhere without the restrictions.
Those sales people are very persuasive. I always laugh when people insist they won't buy -- they're just going for the free ride. They are the first suckers to bite.
But hey, if it's their money and they're happy, why worry?

Rick

We have a Marriott timeshare and I think it has been a pretty good deal. We just returned from a week in Hawai where the stay cost nothing compared to $400/night.

xxx

Wow, Rick, yours really is a good deal. How did you get a timeshare for "nothing"? Most people have to put up money originally to "buy" their weeks and also have to pay an annual fee? You didn't do any of that?

Junior

First of all, I hate timeshares. Secondly, Rick said it costs him nothing to stay there. He must have forgotten about the down payment, the maintanence fees, the annual cost, the depreciation, etc he had to get there in the first place!

Nobody pays rack rates and with different search sites available, one can always get a deal even in Hawaii, at nicer hotels. When the salesman has the audacity to tell me that this is a great investment, that's when I knew he was full of hot air.

leslie

A few other questions that your parents need to ask: how long is the contract for the timeshare (some are for 20 years), what will be the cost when remodeling is done - furniture needs to be replaced etc. - that charge is passed onto the owners and your parents are going to own 1/26 of the unit deed -- they aren't going to know the other owners, can the unit be sold and if yes, what is the resale value? Also, can your parents rent their weeks out, and what is the going rate, and how much is the management fee/commission if they go through the management company to rent it?

Let's say for example that the term on the time share is 20 years, that means that the annual cost is $800 per year, plus the maintenance fee (which will go up annually) - thats $1475, and there is always a cleaning fee thrown in on top of that for each week.

Tell your parents to keep their money in the bank. Hopefully the excitement of thinknig about buying a timeshare will wear off within the next few weeks.

beachbum

Marriott timeshares don't have a term; owners are deeded in the property. So leslie's analysis is flawed because it doesn't consider the value in the end when your parents want to sell (and who knows what that would be).

Using xxx's analysis, if the timeshare property holds its value, your parents probably got a good deal. $16,000 @ 10% = $1,600 + $675 + $79 = $2,354 annually for accommodations, or $168+ per night equivalent they'd have if they invested the money (earning 10%). And I think most Marriotts run higher than $168/night.

kychris

There was a posting yesterday about Fairfield Timeshares and will go for this as well.

RIPOFF!!!!!!!!!!!

Delray

And, where can you get 10% today???

Collette

Helen, I assume the parents already bought the timeshare as they usually don't want you to leave and "think about it". In any case, my parents have several weeks of timeshares with RCI.. they bought years ago for only about $2-4 K for the weeks and it is ours for "perpetuaity", eg. forever, assuming the terrorists or North Korea don't destroy us. I know they have often traded to Marriot places and like them. I don't think it is so bad... if the contract is for ever, you inherit the property and I think it kind of prompts you to try visiting different parts of the county. so, maybe not such a bad idea ...

beachbum

Exactly, Delray, making the timeshare more attractive. The big variable is the change in the value of the property; if it drops a bunch, the deal is less attractive.

My wife and I sat through a Marriott timeshare on Kauai deal last May. With today's market and geopolitical factors, I think you can make some good arguments for a timeshare. We didn't buy because we don't want to be locked into that type of vacation every year. But it might be a great idea for your parents, Helen. And I expect you'll benefit from it too.

SaraLou

I went to a RCI schpeel a couple of weeks ago. They are now selling vacation "point" that you spend per year at anywhere they are affiliated with. You don't get tied into a certain week or 2 weeks of the year. I didn't buy but yes they are very persuasive. I can name the techniques they use as persuasion and even I was very persuaded. I almost laughed out loud though at the strong-arm persuasion the salesman at the table next to me was using to close an older couple. The lady said, "We just don't make decision like that. We have to go home and think it over." The salesman kept saying that he just couldn't imagine what they would need to think over on such a great deal as this. Yeah, right...what's to think over? Everyone drops $10,000-20,000 without thinking it over, don't they?

Ann41

Although I too think they're a ripoff, I've read that the best way to buy a timeshare is through places like ebay. So many people are looking to unload their timeshares that you can get them for about 10% of what you'd pay to a company like Marriott directly.