Right-to-Use (RTU) ownership

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

What happens with the Right-to-Use deeds when they expire? Do they just resell them or do they offer them to you (the owner) at a reduced rate?

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

There is no single rule they go by, some offer a extended RTU, others you just end at. At any rate when it's over it's over, the future is up to you and the resort.

[bigfrank Administrator Find all posts View Profile Close bigfrank]

Some resorts end it, Some resorts will let you extend it and Some Resorts will try to get you to upgrade into there newer and better RTU timeshares. The Sol Melia is one of those.

[riverdees05 Platinum Contributor Find all posts View Profile Close riverdees05]

I have two RTU. They are just contracts and not deeds.

[bezerk Moderator Find all posts View Profile Close bezerk]

I have 4 RTU in Mexico. By the time they expire I'll probably too old to want them anyway. I also own at Mayan and those are renewable in 25 year increments up to 99 years. Can be renewed by family members as well.

[1950bing Senior Member Find all posts View Profile Close 1950bing]

Having a RTU is good and bad.

Good: When the term is over you don't have to struggle with all the mess to try and sell the unit. By that time it would be very old and hard to sell anyway.

Bad : If you try to sell RTU, it would be hard. Most people want deeds.

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

Having a RTU is good and bad.

Bad : If you try to sell RTU, it would be hard. Most people want deeds.

I don't necessarily agree with that. I own 2 RTU and by the time they expire I will be in my 70's and my husband will be in his 80's. I don't care if they expire. I probably wouldn't go there at that age anyway.
I also have 4 deeded properties. If neither my DS or DD want them, then I have to worry about selling them. Or if I still have them when I die, then the estate has to sell them.

I have friends who only buy RTU because they have no children and don't want to be bothered with selling a timeshare.

So I guess it's up to the individual what their preference is when considering a RTU or warranty deed.

[timeos2 Senior Member Find all posts View Profile Close timeos2]

Why rent when you can own?

The other big issue with RTU is control. You are at the mercy of the management as they maintain complete control - you just go along for the ride. As an example DVC can, and most likely will, raise fees right up to the very last year of RTU as they know they get the resort back - for free - the next year. Why not have the RTU renters pay to have it in top shape before it gets re-sold to new long term renters? Plus they can impose any rules, regulations, procedures they want as RTU owners basically have no say. Not a good way to be in timeshare IMO.

You are far better off buying a good deeded resort at resale - often pennies on the retail dollar - using it and then, if you want, sell it off as your investment is low so the sale price can also be low. While you own it you are part of the Association or owners, can vote on fees, rules, etc and aren't subject to the whims of an all powerful developer/management (Wastegate Resorts excepted of course!).

[1950bing Senior Member Find all posts View Profile Close 1950bing]

Many deeded places have NO owner input. You just have to go along for the ride. Paying all the fees the board comes up with is just what you have to do .

[timeos2 Senior Member Find all posts View Profile Close timeos2]

Many deeded places have NO owner input. You just have to go along for the ride. Paying all the fees the board comes up with is just what you have to do .

Not the good ones! (You are correct, there are plenty out there that are run as little kingdoms and should be avoided. Thats called due diligence before purchase).

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

There are some good RTU's as well, not very many tho.

[bezerk Moderator Find all posts View Profile Close bezerk]

I have two deeded and the rest are RTU for a total of 7. I think I like the RTU as they will expire when I am either in 70's or 80's and thus my estate or kids will not have to deal with them forever....if I live that long of course...

I think I see many times in ads and such for timeshare resales left my parents and I do not want nor can I afford, so maybe right to use is not all that bad....for some people.

[jfitz Member Find all posts View Profile Close jfitz]

There are some deeded properties where you are not "stuck forever". Our deeded intervals at the Pelican resort in St. Maarten are one such example. The deeds have a specific provision allowing an owner to give the intervals back without penalty as long as the maintenance fees are not in arrears. This provides the best features of Deeded and RTU. If we wish to sell we are not faced with the ever decreasing value of a RTU as the term limit nears. If for some reason we or our heirs can't sell or give away the intervals a simple written notice to the timeshare association relieves us of all financial and moral responsibility.

[bezerk Moderator Find all posts View Profile Close bezerk]

There are some deeded properties where you are not "stuck forever". Our deeded intervals at the Pelican resort in St. Maarten are one such example. The deeds have a specific provision allowing an owner to give the intervals back without penalty as long as the maintenance fees are not in arrears. This provides the best features of Deeded and RTU. If we wish to sell we are not faced with the ever decreasing value of a RTU as the term limit nears. If for some reason we or our heirs can't sell or give away the intervals a simple written notice to the timeshare association relieves us of all financial and moral responsibility.

Well that sounds like a good deeded timeshare to me........do they have any of those resorts Pelican in Mexico as I like to vacation there....mostly at least for now...