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Tips on Renting Out Timeshare (by Marie M.):

QUOTE frm daddyd "Bottom line is all the people trying to rent for some reason are hurting timeshare trading." ---------------------------------------------------------------------- First of all, how do you know for sure that your unit has top trading value? I hope it's based upon diligent research, and that you did not take the salesperson's word for it. So many of them swear that if you purchase the unit they are trying to sell you, you will be able to go anywhere in the world with just one phone call to I.I. or RCI. It just ain't true.Orlando, for instance, has a glut of units. No matter how nice the resort is, an owner will not receive high trading power for depositing a week from an Orlando resort.

If you own multiple weeks, you should do your own on-line searches and compare the results for each of your weeks. You will soon find out which ones trade best. It may not be the ones you think.

I greatly fault ARDA for not developing a full disclosure statement (like a bank's "truth in lending" statement) and requiring that it be given to, and signed by, all buyers at the point of sale. So many people purchase from a developer with the expectation of being able to exchange into properties that have a much higher trade value than the unit they are buying.Of course they have no way of knowing that until it's too late to rescind the contract.

We own 15 timeshare weeks, bought gradually over the past 11 years. All were purchased at bargain prices through resale companies and directly from owners who placed ads at web sites such as TUG and Redweek.com.

For years we received fabulous exchanges and stayed in great timeshares all over the world. But after Cendant acquired RCI, there was a significant decrease in the quality and quantity of weeks we were offered. This is a widespread problem complained about by numerous owners at timeshare web site forums, in Timesharing Today Magazine, etc...Many weeks deposited with RCI wound up being rented out or auctioned off to the general (non timeshare owner) public. There is a MAJOR CLASS ACTION lawsuit pending against Cendant and RCI for allegedly engaging in these practices.

As a way of overcoming the problem, I began renting out our top quality weeks during years when we wanted to vacation in a different location. Redweek ads have produced the best results. ( I usually place ads simultaneously at other web sites). I have often times used the money received for our week to rent a week I want directly from another owner, again usually through Redweek ads.

By doing this, I eliminate the hassle of waiting for months or even years to see what RCI will offer us. We do not have to pay the ever-increasing exchange fee, nor a rip-off "guest certificate" fee if a situation arises making us have to cancel our vacation plans, and we want to have a friend or relative go in our place.

When people ask my advice (and many do since I am the President of a timeshare owners group run by volunteers--we have hundreds of members) I suggest that they purchase a resale week at a resort that they would enjoy vacationing at every year. It is just not wise IMHO to buy timeshares with the expectation of using them for exchanges, given the current state of the exchange company practises.

We use six of our weeks every year for our own vacations. We rent out the rest of them when we are unable to use them. We used to travel more but are in a temporary "holding pattern" due to the responsibility of caring for a 90 year old parent who no longer wishes to travel. We intend to resume our frequent travels in the future

We did a lot of research before buying each of our weeks. We ascertained that the resort and timeframe purchased would be easy to rent, and it has worked out exceptionally well for us.

Well getting back to the original topic, I believe that the rental of weeks by owners is not a negative thing. It is a good alternative to dealing with the greedy exchange companies who have developed a pattern of charging more and delivering less. Industry professionals report that despite the sale of over a billion dollars worth of new timeshare weeks (and points) in 2005, RCI is losing more members than it has gained. There is good reason for this. And it is perhaps the only reason that m ay motivate RCI to return to their past practises which provided members with desirable exchanges. (That and the class action lawsuit!). We can only hope. But unless and until that happens, I'd rather take my chances doing my version of a good exchange--namely renting my week and using the rental monies to rent a week from another owner.