Closing Costs - Appropriate?

[youknowthenight]

Hi all, hoping for your expertise. I am about to purchase my first timeshare, found through a listing on a brokerage site. Made an offer which was accepted. I've received the contract to sign and included in it is a closing cost fee of $425 and an administrative fee of $250. I'm fine paying the closing costs, but a separate administrative fee seems a bit duplicitous to me. Am I off base?

Also, while I have no reason to question the broker, should I have a separate party representing me? I just want to make sure my best interests are represented through the process. Thanks for the help!

 

[VacationForever]

Timeshare is of low value and unlike the sale of a home, the commission paid does not justify for a buyer's brokerage fee. The seller's broker fees are usually fixed and covered by the seller, in the region of $1K to $2K. Unless you are willing to pay your own realtor, the seller's end won't be paying for your realtor's fees. You can ask if you could have your own closing company and skip their closing fee and adminstrative fee, but I suspect these fees are how the seller's broker make additional money. LTT is highly recommended by TUG here and usually costs under $200 to do the closing.

 

[Panina]

Hi all, hoping for your expertise. I am about to purchase my first timeshare, found through a listing on a brokerage site. Made an offer which was accepted. I've received the contract to sign and included in it is a closing cost fee of $425 and an administrative fee of $250. I'm fine paying the closing costs, but a separate administrative fee seems a bit duplicitous to me. Am I off base?

Also, while I have no reason to question the broker, should I have a separate party representing me? I just want to make sure my best interests are represented through the process. Thanks for the help!

If you tell us which brokerage site you purchased through, tuggers can tell you their experiences and if you should have any concerns.

As far as the fees, they are high but not outrageous. I've been quoted over $2000 on one I was interested in. If the timeshare is the place and week you want and with the fees it's still priced right and you can't get it less anywhere else then consider the fees reasonable.

 

[PClapham]

If you tell us which brokerage site you purchased through, tuggers can tell you their experiences and if you should have any concerns.

As far as the fees, they are high but not outrageous. I've been quoted over $2000 on one I was interested in. If the timeshare is the place and week you want and with the fees it's still priced right and you can't get it less anywhere else then consider the fees reasonable.

What does LTT stand for? I could not find anything on the Internet.
Thanks

Anita

 

[VacationForever]

LT Transfers

4513 Hwy 129 North

Cleveland, GA 30528

Telephone 706-219-2709

Fax No. 706-219-0092

www.legaltimesharetransfers.com

 

[PClapham]

LT Transfers

4513 Hwy 129 North

Cleveland, GA 30528

Telephone 706-219-2709

Fax No. 706-219-0092

www.legaltimesharetransfers.com

Thanks! I think I used them in the past.

Anita

 

[theo]

I've received the contract to sign and included in it is a closing cost fee of $425 and an administrative fee of $250. I'm fine paying the closing costs, but a separate administrative fee seems a bit duplicitous to me. Am I off base?

$425 is plenty for closing costs, although not obscene. Since the broker presumably gets his / her commission from the seller's proceeds, the additional "administrative fee" could perhaps be more appropriately called "non-specific gratuity" (unless it is actually a mandatory, resort-imposed transfer fee, separate and apart from all other closing costs).

 

[youknowthenight]

Absolutely agree. I feel awkward trying to get rid of it because all of my communication has gone through the broker, not the seller.

$425 is plenty for closing costs, although not obscene. Since the broker presumably gets his / her commission from the seller's proceeds, the additional "administrative fee" could perhaps be more appropriately called "non-specific gratuity" (unless it is actually a mandatory, resort-imposed transfer fee, separate and apart from all other closing costs).