timeshare

[adamsfence]

any of yall got timeshares me and my wife are looking in to them....i know i wanted one with a deed. just don't know if i want points or traditional. anyone got any suggestions or companies to contact. i emailed diamond resorts this morning they are a points system...

also is there anything i need to stay away from. i have read some horror stories on the internet. but several of my friends have them and love theirs

[fishinpox]

Not sure about timeshares but last year I was looking into buying a condo in Fla . The way the market was and still is , it was a smoking deal . I was gonna use it as a vacation home and rental basically letting the rental $ pay for the unit. The numbers I was told sounded like it was very possible to knock a 30 yr loan out in 10 years if I rolled all revenue into the note , my $ is tied up now but when I sell this house I'll probally buy 1

[weedeater]

we have been on a few of the tours on these time share places and it all looks good but I think I would have to stick with buyin and renting out. Last yr I kinda asked around in Destin at a place we stayed and found out that if you buy in alot of these places they have full time staff to help rent yours out and do maint. on it

[cduhon]

just be sure to check on the fees associated with renting it out. I own one in Destin and you would be amazed at all the fees with renting it out. 25% rental fee, association dues, $100 cleaning fee, furniture fees, lots of hidden fees and it is hard for the owner to use in the prime months (May-September) due to rental being booked up and loss of income if you decide to use it during those months. If the unit were to stay rented year round it would barely break even. We pay a loss every year due to lack of rentals in the winter months. The Destin and gulfcoast market took a huge hit in the last 5 years due to hurricanes. Market values are down over 50% and seems like everywhere you look there are units for sale. If you can find a short sale or foreclosure then it would be a good buy right now. Lots of people jumping away from them and giving them back to the bank for a loss. Guys like myself bought 5 years ago and are stuck with it until the market goes back up. Good luck to you with it.

[Duck Butter]

Originally Posted by adamsfence

any of yall got timeshares me and my wife are looking in to them....i know i wanted one with a deed. just don't know if i want points or traditional. anyone got any suggestions or companies to contact. i emailed diamond resorts this morning they are a points system...

also is there anything i need to stay away from. i have read some horror stories on the internet. but several of my friends have them and love theirs

do NOT buy one in Mexico!!!!!!!!!!!!!!!!!!!!

Not that you would, BUT DO NOT

[youmyboyblue]

Originally Posted by fishinpox

Not sure about timeshares but last year I was looking into buying a condo in Fla . The way the market was and still is , it was a smoking deal . I was gonna use it as a vacation home and rental basically letting the rental $ pay for the unit. The numbers I was told sounded like it was very possible to knock a 30 yr loan out in 10 years if I rolled all revenue into the note , my $ is tied up now but when I sell this house I'll probally buy 1

Careful with the financing of these. Most Florida (vacation) condos do not fall under Fannie mae regulations which will require you to use a banking institution not selling(backed) by Fannie. It requires a much larger down payment (30%) a shorter Amortization (15/20 years) and a higher rate.

Reason being is the % of owner occupied units needed to qualify for fannie mae
is not met. Another reason is many of these are sold in percentage stakes. Bob owns 25%, franks owns 25, Jerry 25% etc..

[simplepeddler]

I just bought in Orange Beach, closing Tuesday.
I think thier is value in that are now. We will be renting on VRBO not through a agency. Fannie Mae financed ours as we had to jump through a few of thier hoops (still are in fact).

You can cash flow a unit if you put at least 20% down and handle it yourself.
We will be able to use it 5-8 times a year and that is plenty for me.

It was a big nut to pull in the nest for me, but luckily, I pulled the money out the market for the down payment literally days before all the humbug.

It's long play, but it can be done.
Not sure you can pay for it in less that 15 unless you choose to use it only once or twice a year.