Posted on July 02, 2021
Wyndham Destinations has evolved into its current form through a series of acquisitions and business alignments over the years – leading to its current hybrid programs of weeks and points-based timeshare ownership programs. This can provide a challenge to determine how much a Wyndham timeshare is worth, so it is important for owners to understand today’s terminology and some of the differences in the programs.
The discussion starts with points versus weeks, which is why the industry has adjusted its terminology to assess the worth of the product. For example, a few years ago ARDA, the American Resort Development Association, adjusted its reporting to describe the average price of a timeshare interval rather than just the average price of a timeshare. This was because of the move toward more points-based programs where points packages are purchased rather than traditional timeshare weeks.
The timeshare industry now references interval as the average equivalent value of a week’s worth of timeshare, whether it is a week or the number of points needed to buy for a week’s worth of vacation time.
For Wyndham, officials have estimated the average price of a timeshare interval to be just over $21,000. Keep in mind that this is the average price when buying directly from Wyndham. Resale prices are heavily discounted because of the lack of overhead costs at the resorts, which we’ll discuss in more detail later.
When searching the timeshare resale market, you will see Wyndham timeshares offered as both weeks and points. Some Wyndham timeshare weeks may have been assumed into their program through resort acquisitions when Wyndham took over the ownership of the resort, or it may be through past timeshare sales at sales centers. Their points program, such as Club Wyndham Access, is a points-based program where points are purchased to book at various resorts within the Wyndham timeshare network.
For week owners, there can be significant value in owning a week at a particular resort during popular, high demand travel seasons. For instance, consumers looking to vacation in Hawaii on the scenic island of Kauai may want a week in January at Wyndham Bali Hai Villas if they want to escape from the cold winter. Or avid skiers may want to stay in Park City during a winter ski week at Wyndham Park City.
Points owners tend to promote the value of the flexibility of points, since they can be used to book a vacation at various resorts within the Wyndham network. For consumers looking for that type of flexibility to stay at a different resort each year, that can add worth to the ownership on the resale market. However, keep in mind that week owners can have similar flexibility by using a timeshare exchange provider such as RCI, but it will cost more in terms of membership and exchange costs.
One important aspect to consider is that, like any another product for sale, a product is worth what someone is willing to pay for it. This often means that the product will be worth less than the original sale price, and timeshares overwhelmingly fall into this category.
As mentioned earlier, Wyndham has stated that their average interval price is about $21,000, which would be the price directly from Wyndham at the resort. Because Wyndham has significant costs associated with making the sale, they try to retrieve some of that money through the sale price, such as recovering sales commissions and marketing costs associated with the sale. This can add up to as much as 50-60 percent of the overall sale price at the resort.
Why this is important is because those costs do not exist on the resale market since buyers purchase directly from an existing owner. By removing the marketing overhead from a timeshare, you can start with a more realistic resale asking price.
Several factors play into determining the resale price of a timeshare:
If you own points, and especially if they are deeded to a resort, keep in mind how many points it takes to vacation at your resort. For example, Wyndham Bonnet Creek requires a minimum of 84,000 points to stay in a one-bedroom unit during Value season, so you should be selling Wyndham timeshare points in a package as attractive as possible for a prospective owner.
Some owners look to add points to their existing packages to give them more flexibility, so selling smaller points packages are not entirely out of the question. It is about offering a package to as broad a market as possible.
A major advantage to using a licensed timeshare resale broker is that a broker can legally price a Wyndham timeshare for the resale market. Because brokers are licensed under state real estate law, they can price resale properties and are the only ones allowed to, along with the owners themselves and Wyndham.
A licensed agent working under a broker can provide owners with a market value survey, which will assess the worth of a timeshare resale at no cost to the owner. Because brokers operate on commission, they don’t take upfront fees to sell a timeshare or provide services related to the listing of a timeshare for sale.
The first thing most Wyndham owners ask us, after they ask whether we take upfront fees, is what their points or timeshare is worth. Assessing the worth depends heavily on the details of the ownership, so owners should have their documentation handy when contacting a broker. This can be your original sales document or a copy of your annual dues and/or maintenance fee invoice. If you are unsure of your ownership details, contact Wyndham and ask for documentation of your ownership details.
Once a resale price assessment is conducted, an owner can determine whether they want to place their timeshare onto the resale market. As a Featured Reseller for Wyndham timeshares, we have been vetted by Wyndham as a trusted resale provider so sellers can have peace of mind that we give them the best option to sell.
When a timeshare is placed on the market, our agents promote it online and contact other brokers around the country to search for a buyer. When a prospective buyer is found, the agent enters into negotiations and notifies the seller for approval when a deal is reached. The agent prepares the sale paperwork, obtains the necessary signatures, takes the buyer deposit to be placed into escrow and refers the sale to a closing company to be completed. Once closed, the proceeds for the sale are sent to the seller and commission is paid to the broker.
If you need more information about assessing the worth of your Wyndham timeshare, give us a call at 877-624-6889 or contact us by clicking here. Our agent will be in touch as soon as possible.