Help me understand why Marriott resales sell at higher prices than other resorts

[CatLovers Member Find all posts View Profile Close CatLovers]

So I've been reading up on the Marriott system lately (since I became a member of II) and I'd like to ask a question to which the answer I suspect is obvious. Nevertheless, if y'all would humor me by spelling it out for me, I'd appreciate it.

When I look at Marriott resales, they price out at much higher than other resorts. Why? Here is what I see as advantages of Marriott over other resorts:

• Consistently high quality resorts if they carry the Marriott name
• The 24-day trading preference within II - non-Marriott owners can only access the week if it has gone unclaimed for the first 24 days after it has been deposited (btw, am I understanding this correctly? Or does it mean that the week is simply not available to non-Marriott owners until 24 days before check-in?)

If these are the only two benefits, then IMO, it's not worth the substantial price difference between Marriott and other resales. So what am I missing? I understand that there is an ROFR that kicks in, put in place by Marriott to maintain the value. Is that the only reason behind the price difference? If so, does the ROFR exist at every Marriott resort, or only some of them? Also, is there a place where the ROFR's are unofficially tracked (either here or on another bulletin board)?

Would appreciate your insights.

[camachinist Super Moderator Find all posts View Profile Close camachinist]

IME, Marriott resales have followed the traditional resale/developer ratios, with perhaps a slight premium due to transient supply and demand.

Here's my .02 as a multi-week developer Marriott owner...

The main reason is Marriott's cost more to buy, and someone had to buy developer to enable the resale market. ROFR is a factor, but there are Marriott resorts without it and they still follow the same/similar overall trends as those with ROFR.

Marriott is at the top of the exchange food chain; I wouldn't say on top, but at the top, on the short list. Most Marriott's can get pretty much anything on an exchange, along with having the Marriott preference back into their system.

Marriott's routinely rent at multiples of MF's/taxes. My personal experience is anywhere from 2.5-3.5x yearly ownership costs. Lately, towards the lower end of that range.

Name recognition. For nearly any transaction, whether it be purchase, rental, direct exchange, barter, whatever, Marriott is a name which is nearly universally recognized and trusted.

Regarding tracking ROFR, I recall there being a loosely annecdotal listing somewhere over on TUG, likely referenced in the Marriott FAQ there...

At our resort, NCV, I've read of ROFR at as high as 15K on Platinum and 11K on Gold. Current developer is 33.5K and 29.5K, respectively, AFAIK. Of course, both metrics are fluid, as is Marriott's propensity to exercise ROFR.

Simply put, when traveling, I will pay more to stay (or, more precisely, I will be charged more), within the Marriott system, at a full-service Marriott than a Fairfield Inn, also managed by Marriott. Both have beds; both have a toilet; both have been clean IME. Why does one cost more than the other? Perception of quality and ambience and ammenities and service provided. There's something for everyone. Marriott fills part of that; other timeshare companies and developments fill their niches....

Pat

[Ryne08 Senior Member Find all posts View Profile Close Ryne08]

The name Marriott, plus Marriott builds quality new t/s resorts.

[m61376 Senior Member Find all posts View Profile Close m61376]

In many locales there are timeshares at different price points, just like different hotel units. Marriott timeshares are generally higher quality- larger, more amenities/nicer furnished units and nicer resort properties. They attract people who are looking for more amenities in their travel/timeshare experience and who are willing/can afford to pay for them. Some people feel the added luxury in their vacation experience is worth the $$ and can afford and are willing to pay for it. Others cannot afford and/or don't feel the added expense is worthwhile, and would rather pay less and have nice but maybe not as nice accomodations. It is matter of personal preserence and, as you seem to indicate, the added expense may not be worth it to you.

ROFR doesn't artificially inflate the prices, IMHO. I think it helps support them in so far as it prevents an overanxious seller from selling at below what the market normally is because he is anxious, but market value still dictates the pricing on the resale market. Marriotts get more because enough people want hotel-type luxury but timeshare spaciousness and kitchen facilities, etc.; Marriotts, along with a few others, present a compromise of sorts between staying at a hotel resort and enjoying the advantages that timeshares offer.

[taffy19 Gold Contributor Find all posts View Profile Close taffy19]

I believe that any hotel chain, built at the best locations, are equally as expensive or more when you buy from the developer. One nice feature of the Marriott is that they have many locations to choose from even abroad. Several new ones are coming on the market soon. Not all can advertise that so that may be a reason for keeping up their value too in the resale market.

[Jimbo Senior Member Find all posts View Profile Close Jimbo]

Commitment

I'd like to add to all of these ideas that Marriott has been committed to the TS market since it's entrance in the market in '84. This commitment has been noticed in the on-going development that they have done. With this commitment you are buying into a long-standing company plan that appears to have no end-game (or at least it isn't apparent if one does exist) in site.

Therefore, when you are buying into a Marriott and knowing that they are continuously growing, you have confidence that they are going to be around when you want to will your deeded unit to your kids.

I think many feel that this is worth a little extra.

[rainy~daze21 Junior Member Find all posts View Profile Close rainy~daze21]

Marriot is one of the only timeshares i would like to buy, that or DVC.

[odaddy Gold Contributor Find all posts View Profile Close odaddy]

I like buying timeshares for as little as possible, but I really want a Marriott. That tells me a lot