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Original Message:
current market for timeshares (by KC):
patrickb41 wrote:=============================================I am wondering what the current market is for timeshares. Given the current credit crisis in the financial markets and a poor real estate market, it seems that supply of timeshares would be increasing while demand is falling. However, it seems that information is hard to find on sales prices and inventory. So, how does one go about pricing a resell timeshare in this market? I read that sellers should expect to sell their timeshares at 1/4 to 1/3 of the developer price....
In my own observations at several different timeshare facilities at which I own fixed weeks, there is very little (if any) correlation between the current credit, real estate and economy factors and the activity or pricing at established (i.e., sold out) timeshare facilities, where prices are not dropping.
A resale figure of "1/3 of the developer price" is almost always extremely optimistic, frankly. I think it's far more often in the 15-25% range. Developer prices generally mean absolutely nothing in the resale market -- buyers just don't care what the original purchaser may have overpaid to a developer.
You can get a pretty good feel for realistic, current, actual market value simply by finding comparable weeks being sold (on eBay, or elsewhere) and seeing the winning bid prices. Again, buyers couldn't care less what original developer prices are or were. All that matters in the resale market is what the week in question is actually worth to an interested buyer TODAY. The resale market finds its own value level pretty easily, it seems.