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Author
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Topic: timeshare price
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wchengen
TUG MemberPosts: 1
From:
Registered: May 2005
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posted 05-09-2005 10:58
    
I am currently trying to purchase week 14 timeshare at the Royal Sands in Cancun. The unit is a penthouse with an ocean view L5837. The purchase price is $30k. Is this a fair price?.ThanxIP: Logged |
Bill4728
TUG MemberPosts: 381
From: Sumner, WA Owner: Club Intrawest, Monarch Grand Vacation & Mountainside Lodge
Registered: Apr 2004
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posted 05-09-2005 12:37
On the TUG classifies ads the Royal Sands is being offered at between $17,000 to $34,000. But this is just the asking price. TS offen sell for much less than the asking price. There are two, week #2 being offered, one for $20k and one for $29k. It doesn't seem to me that there could be $9000 difference it the units.IMHO, very few TS are worth $30K but I've heard the Royal Sands is very nice. Good Luck
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Bill IP: Logged |
gmarine
TUG MemberPosts: 1141
From: long island,ny Village at St James Club,Antigua Renaissance Aruba Westgate VV,
Registered: Mar 2002
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posted 05-09-2005 12:47
Royal Sands is very nice. But not for $30,000. Take your time and you will likely find a resale for half that or close to it.IP: Logged |
M&M
TUG MemberPosts: 273
From: Houston, TX OWN: Ridge Tahoe, Tower & Ridge Tahoe, Terrace, Royal Sands Cancun Week#26, Royal Mayan Cancun Week #23
Registered: Mar 2004
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posted 05-09-2005 12:52
The Royal Sands is a very nice resort in a beautiful beach setting. But I wouldn't personally pay 30K for a Penthouse. If your week and unit is flexible you can probably find something in the 15-20 range. It might not be a PH nor a beach front unit, but it would save you lot of $$$.
Now if money isn't a factor and you really want that week and that unit, then go for it.Mike IP: Logged |
cymomtx
TUG MemberPosts: 146
From: Cypress TX
Registered: Jan 2005
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posted 05-09-2005 14:01
You might also look at www.owcancun.com for other comparable listings at the Royals.IP: Logged |
RonaldCol
TUG MemberPosts: 1112
From: Chicago, IL USA; owner at Bluegreen's Christmas Mountain Village; Shell Anaheim and Fairfield's Dolphin's Cove in Anaheim.
Registered: May 2002
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posted 05-09-2005 20:28
I'm still researching the ownership benefits of the Royal resorts group. One of the reasons why this set of resorts maintain their high values is directly attributable to the fact that at the end of their use (these are Right to Use ownerships) the owner is paid out of a trust fund, established by the developers, a resididual value. From what I've gathered this residual value is about the going cost of the currently offered units for sale. The object is really to buy resale below the residual values plus the cost of the money for the duration of ownership.------------------
"Stop me before I buy again!" IP: Logged |
reddiablosv
TUG MemberPosts: 265
From: Riverside, CA. USA
Registered: Oct 2003
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posted 05-09-2005 22:52
quote:
Originally posted by RonaldCol:
I'm still researching the ownership benefits of the Royal resorts group. One of the reasons why this set of resorts maintain their high values is directly attributable to the fact that at the end of their use (these are Right to Use ownerships) the owner is paid out of a trust fund, established by the developers, a resididual value. From what I've gathered this residual value is about the going cost of the currently offered units for sale. The object is really to buy resale below the residual values plus the cost of the money for the duration of ownership.
Ron, is the money to be paid to the owners at the termination of the contract really held in trust? I thought that the money to be paid was contingent upon the sale of the resort and the proceeds optained at sale, LESS EXPENSES. I, for one , will be surprised if the owners receive 50% of there residual values as stated by contract. The oldest of the Royal family of resorts is due for sale very soon. Lets see what happens before we start to tout the importance of the residual value of the resort. IMHO, Ben. IP: Logged |
PA
TUG MemberPosts: 3963
From: San Antonio, TX 78258
Registered: Mar 2002
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posted 05-10-2005 05:08
Not only is the amount of the payoff uncertain, you would have to keep the timeshare about 40 years or so before there will be any payout. What are the odds of that happening? Yes, it will increase the value you get when you sell, but whoever buys will discount it to the present value. For example, $25K in the year 2048 may be worth only $1000 today, depending on the discount factor you use. I personally would use at least a 10% rate, due to the uncertainty of the payout, and the certainty of the maintenance fees.To the original poster; you can rent any week you want for around $1200. That's only $500 per year more than the maintenance fees, and you wouldn't be locked in. You could go to the newer ones they build in the future. And you wouldn't have the risk of assessments. And you wouldn't have to come up with $30K. At a savings of $500 per year, it would take 60 years to payback the $30K. Not a good deal, obviously. Go to www.mexicondo.com and just rent what you want. That way you can skip a year anytime you want, and not have to pay maintenance fees and exchange fees. Bill, there is a big differential in the value of week 2 vs. week 14 at this resort. I don't know what the diff was on original sales, but I wouldn't be surprised if it was 20% or more. That said, I don't think it's worth 50% more than week 2. Course, you can't just go by the week number, you also have to look at the unit. If you're buying it to use, you need to get the unit you want. IP: Logged |
RonaldCol
TUG MemberPosts: 1112
From: Chicago, IL USA; owner at Bluegreen's Christmas Mountain Village; Shell Anaheim and Fairfield's Dolphin's Cove in Anaheim.
Registered: May 2002
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posted 05-10-2005 15:40
quote:
Originally posted by reddiablosv:
Ron, is the money to be paid to the owners at the termination of the contract really held in trust? I thought that the money to be paid was contingent upon the sale of the resort and the proceeds optained at sale, LESS EXPENSES. I, for one , will be surprised if the owners receive 50% of there residual values as stated by contract. The oldest of the Royal family of resorts is due for sale very soon. Lets see what happens before we start to tout the importance of the residual value of the resort. IMHO, Ben.
Thanks for the clarification. As I previously wrote I am at the initial stages of taking a look at the Royals. Your information fills in quite a few empty chapters in my book, so to speak. At first I thought it was some sort of annuity the owners bought that guaranteed some sort of residual value after holding the unit. I'm not an anxious prospective owner of the Royals otherwise I would have detailed information about this "residual value." It's a good idea but may not executed well.
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"Stop me before I buy again!" IP: Logged |
roc
Non MemberPosts: 3
From:
Registered: Apr 2005
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posted 05-12-2005 16:34
I have purchased from the Royal Group family and found them to be professional/courteous to deal with.
If your looking to buy the Royal Sunset is the same calibre as the Royal Sands and you should be able to find a good resale deal. Try bidshares.com and put in Cancun as a destination. You should find at least a penthouse(1560sq/ft) for around $8,000-$9,000 with lifetime use IP: Logged |
snelson
TUG VolunteerPosts: 6662
From: Belly-View, WA. Owner: Embassy Poipu (floating); Winners Circle (Week 52), Raintree Vacation Club; Club Regina
Registered: Dec 2000
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posted 05-12-2005 18:10
quote:
Originally posted by roc:
… If your looking to buy the Royal Sunset is the same calibre as the Royal Sands and you should be able to find a good resale deal. …
That's a crock!! The outfit that owns and operates the Royal Sunset is perhaps the sleaziest, scummiest organization in the timesharing in the world. Many TUGgers wouldn't accept a unit at the Royal Sunset even if you paid them to accept it. ------------------
Steve Nelson IP: Logged |
Judy900
Non MemberPosts: 14
From: Marriott Ocean Pointe
Registered: Jan 2005
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posted 05-12-2005 18:41
I have also heard that the Royal Sunset has lots of issues related to members unable to reserve their weeks due to certain management practice. The Royal Sunset is definitely not similar to the Royal family.IP: Logged |
gmarine
TUG MemberPosts: 1141
From: long island,ny Village at St James Club,Antigua Renaissance Aruba Westgate VV,
Registered: Mar 2002
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posted 05-12-2005 19:39
Royal Sunset is a dump compared to the Royal Resorts. IP: Logged |
JosephP
TUG MemberPosts: 224
From: Princeton Jct., NJ
Registered: Oct 2002
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posted 05-12-2005 21:03
The Royal Sunset timeshare sales organization is the pits. A few years ago they wasted my day with a false come-on. I reported them, in person, to various offices of the Mexican government. I am not alone. It is possibly the most reviled operation in the timeshare world. IP: Logged |
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