On Maui but offered Cancun

boompole · Aug 18, 2010

We are on Maui and went to a presentation yesterday. they told us that to buy on Maui or Kauai would cost $36,900 for EOY and MF are $2495/year.
When they brought the manager in he said "Because you are on an Explorer package I have One Cancun Lagunamar for $33,900 EY and MF are $1250/ year". are they doing this because they can't sell any Hawaii I was told taht i could use Cancun for Hawaii. I have 6 days left to recind and back out of the deal
Thanks for any help!

DeniseM · Aug 18, 2010

Hi and welcome to TUG!

You should absolutely rescind! You can buy for less than 50% on the resale market! Don't do it!

Rescinding FAQ

badpelican · Aug 18, 2010

rescind

I even knew about the resale market but still fell for all of the sales agents tactics to get us to buy @ princeville a year ago. Thanks to TUG and having a clearer head back on the mainland I did rescind.

If you really want Hawaii you are correct on the maint. fees but can pick up a resale for around $25 k for oceanfront, maybe 5-12 for lesser views. (annual use @ WKORV) Noodle around here for just a little while and you'll know the answer is to rescind, no hesitation.

DavidnRobin · Aug 18, 2010

Rescind - the loss is more like 70-80% (and dropping). Once Cancun is sold out - watch the MFs rocket!

Congrats on finding TUG before it was too late.

melrobin · Aug 18, 2010

Why do you think that the MF would soar once WLR is sold out?

Ken555 · Aug 18, 2010

It's time to do The Big R. And then enjoy every future vacation knowing you paid $$$ less to get the same week by buying resale.

Ken555 · Aug 18, 2010

melrobin said:
Why do you think that the MF would soar once WLR is sold out?

Historically, it seems the MFs always increase once the developer stops active sales at a resort. There are many reasons for this, take a look around TUG and you'll see lots of threads about this topic.

DeniseM · Aug 18, 2010

melrobin said:
Why do you think that the MF would soar once WLR is sold out?

For one thing, the developer subsidies with stop. For another, once the resort is sold out, they no longer need to impress potential buyers by keeping the maintenance fees low.

jarta · Aug 18, 2010

Ken, ... It's not that the developer stops selling. It's that the aging of the resort after 3-4 years causes higher maintenance expenses. It's like a car that needs little maintenance in the beginning but after some years and some miles needs that maintenance. ... eom

DavidnRobin · Aug 18, 2010

melrobin said:
Why do you think that the MF would soar once WLR is sold out?

It is not just one singular thing that causes MFs too soar - all factors need to be considered - historically... (for the ones I have owned)
WSJ was around for 7-8 years before MFs soared
WKORV-S was around for 4-5 years before MFs soared
WKV has been around for about 7 years - and MFs have been relatively stable
WPORV so far has gotten out of the gate with 10%/year MF increases

What will happen to WLR MFs in the future? Time will tell - let's revisit this in 4-5 years, but I would not bet against them being >50% higher...

"Those who cannot remember the past are condemned to repeat it."
George Santayana

YYJMSP · Aug 18, 2010

DavidnRobin said:
What will happen to WLR MFs in the future? Time will tell - let's revisit this in 4-5 years, but I would not bet against them being >50% higher...

If they only increase a "modest" 10% each year, then they will definitely have gone up 50% from today's levels after 4-5 years...

DavidnRobin · Aug 18, 2010

YYJMSP said:
If they only increase a "modest" 10% each year, then they will definitely have gone up 50% from today's levels after 4-5 years...

ummm... exactly - a 10% increase with the inflation and basic investment rate of what... 2%? 10% per year is anything but modest (assume that was meant sarcastically...). I consider 10%/year soaring - YMMV...

boompole · Aug 19, 2010

Thank You everyone for your indepth insight. Seems most everyone is saying "RECIND"

In your debt, Stan

Sea Six · Aug 19, 2010

boompole said:
We are on Maui and went to a presentation yesterday. they told us that to buy on Maui or Kauai would cost $36,900 for EOY and MF are $2495/year.
When they brought the manager in he said "Because you are on an Explorer package I have One Cancun Lagunamar for $33,900 EY and MF are $1250/ year". are they doing this because they can't sell any Hawaii I was told taht i could use Cancun for Hawaii. I have 6 days left to recind and back out of the deal
Thanks for any help!

Am I reading this right? They offered you Maui or Kauai Every Other Year for $36,900, or a Cancun Every Year for $33,900?? When I went on the Owner's Update at Lagunamar, they offered me a week (81,000 Star Options), Every Year, for $21,900, including 81,000 bonus Star Options (for calendar year 2011) and 130,000 Star Points. I am wondering why such a huge difference between your offer and mine?? The value of the points makes the difference even greater.

DavidnRobin · Aug 19, 2010

DavidnRobin said:
It is not just one singular thing that causes MFs too soar - all factors need to be considered - historically... (for the ones I have owned)
WSJ was around for 7-8 years before MFs soared
WKORV-S was around for 4-5 years before MFs soared
WKV has been around for about 7 years - and MFs have been relatively stable
WPORV so far has gotten out of the gate with 10%/year MF increases

What will happen to WLR MFs in the future? Time will tell - let's revisit this in 4-5 years, but I would not bet against them being >50% higher...

"Those who cannot remember the past are condemned to repeat it."
George Santayana

to add on this...

Take a look at the corresponding increase Hotel rates and other comparable TS MFs in HI during this period of WKORV soaring - they did not even come close to the MF increase of WKORV (hmmm... i wonder why this is...?)

DanCali · Aug 19, 2010

DavidnRobin said:
WKV has been around for about 7 years - and MFs have been relatively stable

"stable" with Starwood has been an oxymoron or, as put by David, a very relative term.

WKV has not been immune to whatever Starwood has been doing. 5 years ago MFs were around $800 (see second post by wingkng in this old thread). Today, 5 years later, they are 50% higher...

While 50% over 5 years is better than 100% (the WKORV/HRA/WSJ case), it's still a one way path to a very bad ending unless things truly stabilize or improve on the MF front..

glypnirsgirl · Aug 19, 2010

And why in the world are MFs outpacing inflation by 3 to 5% annually? It would be one thing if inflation was the factor, but it is not. It is simple mismanagement or management greed, I am not sure which.

elaine

Ken555 · Aug 19, 2010

glypnirsgirl said:
And why in the world are MFs outpacing inflation by 3 to 5% annually? It would be one thing if inflation was the factor, but it is not. It is simple mismanagement or management greed, I am not sure which.

elaine

Or, the original MFs in the early years were simply less since there was less to do. But what do I know? The main problem we have when it comes to this topic is a lack of facts.

Regardless, I also don't like the direction WKV is heading, but comparing it to WKORV or certain other resorts, I'm pleased that it's still providing the best bang for the MF buck.

Ken555 · Aug 19, 2010

Sea Six said:
Am I reading this right? They offered you Maui or Kauai Every Other Year for $36,900, or a Cancun Every Year for $33,900?? When I went on the Owner's Update at Lagunamar, they offered me a week (81,000 Star Options), Every Year, for $21,900, including 81,000 bonus Star Options (for calendar year 2011) and 130,000 Star Points. I am wondering why such a huge difference between your offer and mine?? The value of the points makes the difference even greater.

Was that a 1-bed you were quoted? Perhaps the distinction is the price between 1 and 2-bed units.

djdavid79 · Aug 19, 2010

Ken555 said:
Was that a 1-bed you were quoted? Perhaps the distinction is the price between 1 and 2-bed units.

I think it is the difference between 2 bed Platinum Plus and Gold Plus. We were offered 2 Bed EOY Plat Plus for $18,900, with the option to make it EY for an extra $14,000. So that works out to the about the same EY price for Plat. Plus.

Sea Six · Aug 19, 2010

Ken555 said:
Was that a 1-bed you were quoted? Perhaps the distinction is the price between 1 and 2-bed units.

Mine was a 2BR lock-off

Sea Six · Aug 19, 2010

djdavid79 said:
I think it is the difference between 2 bed Platinum Plus and Gold Plus. We were offered 2 Bed EOY Plat Plus for $18,900, with the option to make it EY for an extra $14,000. So that works out to the about the same EY price for Plat. Plus.

That must be the difference. My offer was for 81,000 SO, the OP was probably for 148,100 SO. Those SOs are worth big bucks, I guess.

boompole · Aug 20, 2010

Sea Six said:
Am I reading this right? They offered you Maui or Kauai Every Other Year for $36,900, or a Cancun Every Year for $33,900?? When I went on the Owner's Update at Lagunamar, they offered me a week (81,000 Star Options), Every Year, for $21,900, including 81,000 bonus Star Options (for calendar year 2011) and 130,000 Star Points. I am wondering why such a huge difference between your offer and mine?? The value of the points makes the difference even greater.

Yes were were offered 148,000 star options for EY at Lagunamar with 30,000 Starpoints and option to buy 80,000 star point at $1550.

wingkng · Aug 20, 2010

Rescind!

Take it from someone who bought into the whole Timeshare thing a few years ago. Developer prices are not based on reality, especially with this economy. Even if you buy resale, be sure that you factor in the MF. It has skyrocketed in recent years, and it was one of the reasons I am getting out of the whole SVN thing.

BTW, it was weird to see me being quoted from a previous post. I am surprised how much WKV has gone up in five years.

DanCali · Aug 20, 2010

wingkng said:
BTW, it was weird to see me being quoted from a previous post. I am surprised how much WKV has gone up in five years.

$50-$100 a year doesn't seem much but when you start at $800 five years ago, it's not hard to add 50%+ to that amount using those increments...

How many other expenses/bills do you have that went up 50% during that time?? :ponder:

On Maui but offered Cancun

boompole

DeniseM

badpelican

DavidnRobin

melrobin

Ken555

TUG Review Crew: Veteran

Ken555

TUG Review Crew: Veteran

DeniseM

jarta

DavidnRobin

YYJMSP

DavidnRobin

boompole

Sea Six

DavidnRobin

DanCali

glypnirsgirl

Tug Review Crew: Rookie

Ken555

TUG Review Crew: Veteran

Ken555

TUG Review Crew: Veteran

djdavid79

Sea Six

Sea Six

boompole

wingkng

DanCali