Mega renters. What is the advantage of renting all those points?

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

What do they do with them after they rent Fairshare Plus points?

Are they listing units for rent on various sites, or are they living in timeshare full time, or what?

[Jya-Ning Silver Contributor Find all posts View Profile Close Jya-Ning]

The benefit of rent is There is no risk of worrying get rid of them.

Depends on your return model, if it took say 8 years to recover your initial purchase cost, you will best just rent since add one SA, and all your calc is ruined. If it only take 3 years or less to recover, then it worth to own. If it is more than 3 years, it really depends on where you set the level.

For personal use, it usually more relax and have higher recover year like 10 years, since now you may have chance to loss the whole reservation (say loss family member in 14 days before trip), and depends on what their new improved waive rule, you may use 9 or 8 year to recover model.

Personal use, the other side of comparison is the hotel cost you will pay. rent use the other side is the Avg Rent you will received which will be less than the hotel cost you will pay.

A few renter live in resort most of the time and use rent income to support their live style.

Jya-Ning

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

You would expect a mega-renter to be using this strictly for a rental business (advertising on eBay, Redweek, TimeshareVacationRentals, etc).

There may be a couple mega-renters that stretch their rented FF points and use their VIP Gold/Platinum status to travel 4 -6 months out of the year in FF or other TS resorts. Mega-renters can also do this by depositing the equivalent of a 28K FF Blue studio into RCI and exchanging into any available week within the 45 day window for about $304 total per week (assuming MFs at about $5 per K plus the $164 RCI exchange fee).

Those in retirment have the travel flexibility to do this. One person stays at OLCC for up to 12 weeks at a time each year (from early Jan - March). They bought an OLCC week and wait for RCI bulk banks of OLCC inventory every winter.

I hope this strategy is available when I'm ready to retire.

[Jya-Ning Silver Contributor Find all posts View Profile Close Jya-Ning]

I hope this strategy is available when I'm ready to retire.

If not, you probably can buy a few condotels and retire there when people realize they have no business idea when they just rush to buy condotel in a real estate fancy.

Jya-Ning

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

Thanks for your answers. I would just buy more points rather than paying $6.50 per thousand. They are pretty cheap right now. I don't get it. There is a huge disparity between resale and retail.

So I saw on TUG that some people are being told that sometime soon, buying points resale will only be good at the resort you buy. I think that would be a way of shutting down resales. I am amazed that the company would care, as the maintenance fees are ongoing and keep them all employed. Why the nasty comments at sales meetings? Only a small percentage of people know the truth, so why treat us like that?

Taking away benefits from VIP Platinum really seems like a bad move. I was VERY impressed at unlimited housekeeping and guest certificates. It would take me no time to say "forget it" now. The benefit of lesser points within 60 days is good, also bigger unit upgrades, are great, but the whole package is so much more impressive. If they are trying to get people to upgrade to platinum, why take away benefits? CRAZY MORONS!

[Jya-Ning Silver Contributor Find all posts View Profile Close Jya-Ning]

Taking away benefits from VIP Platinum really seems like a bad move. I was VERY impressed at unlimited housekeeping and guest certificates. It would take me no time to say "forget it" now. The benefit of lesser points within 60 days is good, also bigger unit upgrades, are great, but the whole package is so much more impressive. If they are trying to get people to upgrade to platinum, why take away benefits? CRAZY MORONS!

Housekeep is still unlimited. Don't know where you get the impression it is changed.

As to GC. the group that get hurt is the Glod VIP, or big family that mix pleasure with renting. Most part time people I heard are doing 50 to 80 rental, so if they have a little over 3 M (60 free GC), or a little over 5 M (90 free GC), they will not feel any difference.

Assume you are doing renting, if your MF is $4.25, $6.5 rent fee will require max purchase cost (assume 3 year return) (6.5-4.25) * 3 = 6.75, 5 year is 12.25. So, $6.5 renting is still O.K. If you use by self, it usually is 10 year, and $22.5. Now, if FF still renting at $5 and willing to provide unlimited supply, there is no reason to buy at all. You need to have someone to give you the points for free to own.

Remember, when you go to sale pitch, you are talking to sales. A lot of them have no idea how the product works. Best sale does not mean they know the product best. I believe I read one FF people say if you buy resell, you will never be able to do trade in FF. That is what they was told. When ask to describe that in detail, it turn out, you can never do a equity trade, where you give up your points associate with an old resort to become an owner of newer resort. And to some sales when they get trainning, become owner of a newer resort is a privilege. The whole product is cost 25% but need 50% of sale's effort, so they are trying their worse to sell it.

Jya-Ning

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

. . .

So I saw on TUG that some people are being told that sometime soon, buying points resale will only be good at the resort you buy. I think that would be a way of shutting down resales. I am amazed that the company would care, as the maintenance fees are ongoing and keep them all employed. Why the nasty comments at sales meetings? Only a small percentage of people know the truth, so why treat us like that?

. . .

Cindy,

This is just a bad lie told by sales people. FF/Wyn will never be able to do this because the FSP points are held in a trust that gives access to all resorts to its beneficiaries (the FSP owners).

Think about it. If a person bought from FF/Wyn directly as soon as the rescission period ended, the value of their purchase just went to almost zero if the points could not be sold and used somewhere else.

Many people ascribe FF/Wyn with a lot of malice but I don't. I believe they have a lot of people working hard for their FF/Wyn owners so they can have great resorts to go to to have great vacations. Not all of their decisions are unanimously accepted. Do I wish there was more independent voices on the VOA Trust board? Yes. Do I see evil around every corner in every action that FF/Wyn takes? No.

Please come here and ask questions. Don't accept things that salemen say to anyone.

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

That's good to hear from an owner, Mike.

I have actually been somewhat disappointed we rescinded our purchase at PAHIO because we had an opportunity there to convert our weeks with an EOY purchase. It was going to be a good deal. There is such a lot of negative stuff about timeshare purchases from the developer both on TUG and here, well it is just enough to make a person nuts. Even if you are offered a great deal, the negatives come into your mind and color your opinion of your purchase. That happened to me, for sure. I kept thinking, "Me? knowing what I know about resale prices? Why would I do that? Why did I sign those papers?" And the comments on TUG didn't help at all.

Rick was disappointed that the salesman did still lie. Rick warned him upfront not to lie, but the guy didn't listen. He didn't need to lie because we would have felt better if he hadn't.

I was glad to see Jya-Ning say that you can still get unlimited housekeeping with Platinum. Great!

You never know, we could go to Kauai next summer and come back as Platinum owners, of course the price is supposed to more than double, according to the salesman.

[dolly1504 Member Find all posts View Profile Close dolly1504]

To Shopgirl
You are the only one who can make the decision of what is right for you. I was well aware of resale and had made two resale purchases of Fairfield points. My husband and I were offered a package we could live with to get to platinum and decided to do this. I wrote the check and have not regretted it for one minute. We really enjoy and benefit from Vip. I have no problem with the changes that have been made. Most seem to make the program fairer for all owners.