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Crazy Quarter-share idea - Thoughts? (by Declan J.):

Hello all,

Long time lurker, first time poster.

I reside in Colorado (THE Mecca of bad timeshare deals) and despite co-owning a Marriott one for 20 yrs now with “family” in Palm Desert (when divided 8 ways, financially it kinda works for the 2.5 weeks we use it annually to all get together)

That said, I had an admittedly very wild thought one night when I couldn’t sleep as I’m in “transition mode” right now having just downsized homes, and trying to decide what is best to do for the next 20 years?

Here we go. Buckle up.

I recently found a QUARTER time share on the market in a pretty desirable area that on the private resale market are basically pennies on the dollar. Nothing new there as we’ve all seen it. But on a quarter share? I’m not gonna reveal the area (sorry) just in case my “crazy idea” isn’t all that crazy after all, as inventory is kinda limited atm...

So- let’s run with a hypothetical number like $15K to purchase. And now, the cringy stuff. HOA/maint. fees = $349/mo. (I’m assuming - can’t imagine that’d cover a full quarter share) - Okay - Here’s where it gets crazy. There are 5 units available right now. All priced the same (roughly). 2 bedtoom 1,200 sq ft mountain units on the golf and at the base of XYZ ski resort.

So let’s do some simple (idiot=me!) math as I’m no expert on timeshares and the sole reason I’m posting all this on here.

$15K x 4 units = $60K and if I took a note on it, we’re talking approx. $350/mo. @ 5% APR... Add in the $349/mo for HOA and then yearly taxes - I’m suddenly living in a 4 star resort slopeside or on the golf course for $700/Mo. (?)

Given the nightly rate is approximately $350/nt or $1500/wk - or - to purchase a “regular” townhome in the area, that would run me between min. $650k to over $5M+ ... understanding that I have no ownership in the end (I’m single and family is now deceased or estranged) I’m thinking where else could I live in a resort year round (with the option obviously to exchange at any time should I grow tired of it and wish to up sticks and swap elsewhere for a few weeks or months somewhere else in the world) -Anyway, if my rough math holds here - is this not a bad idea? Granted I’d have to move 4x times a year - but just within the resort complex, so not really that big of a deal (for me) and actually one unit (the same unit) is up for sale by 2 different owners so would be 3 moves and 6 months in the one. Not bad right?

Taxes are dirt cheap in this town because of the ski resort revenues. So now I’m trying to punch holes in my midnight “plan”. If I bought a townhome I’m looking at a $4500+ monthly mortgage w/PITI vs. $700/mo.. This route - I always have the option to exchange whenever I wish and is a fraction of the price if I were to purchase “my own”. So outside of no equity ever being built - I’m one of those that believes you can’t take it with you when you go - so what’s the point?

What does the peanut gallery think? Is this crazy? Flawed? What else am I missing?

Cheers,

B.B.