Marriott Resale Offer

I have had a Sabal Palms Red week listed for sale with Marriott Resales for two years with little progress. This morning Marriott Vacation Club made us an offer to purchase this week for the trust for $11,300 less a $500 administrative and processing fee. We promptly accepted the offer.

I wondered whether this was a first step in Marriott getting out of the resale business, but they claim it is not. The other reason I can think of is that they want more Sabal Palms units in the trust and cannot get any through ROFR because Sabal, like a few of the other early resorts, has no provision for ROFR.

Congratulations! That sounds like a great deal.

It's very interesting that they have dropped their 40% commission fee and are charging a small flat fee instead.

BarbS said:

.... dropped their 40% commission fee....

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???? ... Does anyone know what was the Marriott "developer" price for this week?

BarbS said:

Congratulations! That sounds like a great deal.

It's very interesting that they have dropped their 40% commission fee and are charging a small flat fee instead.

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They still charge a 40% commission if they find a private buyer. In this case, however, Marriott Vacation Club itself is the buyer so there is no commission, just a fee to cover things like recording and document preparation fees.

However, the ridiculously high "developer" asking price was over $24,000, which after commission would have netted me about $4,000 more than I am getting (but no one would have bought at that price). So in effect they bought it back at something like 75% of what I would theoretically have received from another buyer. All things considered, not a bad deal in my opinion.

I had no expectations of a sale at their asking price in this economic climate. (Up until 3 years ago Sabal Palms Red weeks were selling like hotcakes at developer prices.) However, I did hope that MVCI might make such an offer at some point to people on the wait list (I have been #8 on the list for the better part of a year). All in all, we are lucky it worked out like this.

Just curious what do those weeks typically sell for on Ebay? Similar to what you got?

larryallen said:

Just curious what do those weeks typically sell for on Ebay? Similar to what you got?

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Not even close. I don't pay attention to Ebay, but the asking prices in the listings on Redweek.com are right now between $2,750 and $5,000. That is maybe a third or less of what they were three years ago. Ebay prices are probably lower than that.

larryallen said:

Just curious what do those weeks typically sell for on Ebay? Similar to what you got?

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They have one on ebay at this time with a starting bid of $48. So far there are no other takers. It seems that most of the Marriott Orlando TS resales go for $500 or less on ebay.

It looks like BocaBoy got a very good deal.

BocaBoy said:

Not even close. I don't pay attention to Ebay, but the asking prices in the listings on Redweek.com are right now between $2,750 and $5,000. That is maybe a third or less of what they were three years ago. Ebay prices are probably lower than that.

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You stated that Sabal Palms does not have ROFR so Marriott couldn't pick up cheap Ebay weeks. But could they purchase those weeks listed on Redweek for the asking price or lower if they wanted to?

BocaBoy said:

Not even close. I don't pay attention to Ebay, but the asking prices in the listings on Redweek.com are right now between $2,750 and $5,000. That is maybe a third or less of what they were three years ago. Ebay prices are probably lower than that.

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That's crazy. I wonder why they don't just buy on Ebay or Redweek. Sounds like you did really well! Congrats!

BarbS said:

You stated that Sabal Palms does not have ROFR so Marriott couldn't pick up cheap Ebay weeks. But could they purchase those weeks listed on Redweek for the asking price or lower if they wanted to?

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I don't know why they couldn't, but maybe it is important to them to maintain the fiction that the weeks are more valuable than they really are. Cheap ROFR purchases maintain that fiction because MVCI can claim that such purchases are designed to prop up the market prices (in theory). Making lowball offers to existing Marriott owners could cause them collateral damage, especially when they are selling points at such a high rate and are offering resale weeks through Marriott Resales. Just my speculation.