Upgrading Your Timeshare by Exchange

One of the advantages of membership with an exchange company (such as RCI or II), is the ability to trade for a location that is better than the week you own. 

For example, a timeshare located on a beach would cost more to buy than a timeshare in Orlando. However, you can exchange your week in Orlando for a villa on a beach.  I am calling this an upgrade.  I have also heard of people trading for upgraded villas (for example, a studio for a 2 bedroom). 

I think that one of the reasons Marriott has introduced their points (Marriott Destinations) program is to stop this from happening.  Owners of the more expensive properties probably don't like hearing about people being able to easily exchange their less expensive week to stay at their more expensive timeshare property.  With the points systems, this can't happen, because the points needed to get a beach property would be more than an owner of an Orlando property would have (unless they buy more point, and pay Marriott Vacation Club more money to vacation).

As of now, it is still pretty easy to use an exchange company like Interval International to trade weeks and obtain confirmations at awesome locations.  As long as you do a few things right (like deposit a high demand week from your home resort)...see my post on Timeshare Trading Tips.

Don't be discouraged if you have been told at a Marriott Destinations sales presentation that you can't get highly desired properties through Interval International.  It is possible, and has not changed, in my opinion.  With the exception of Marriott Crystal Shores (see my post about this), I have had a lot of success using exchanges through Interval International.

 

The Cons of Timeshare Ownership

This will be brief. I have identified the 3 largest disadvantages to timeshare ownership:

1. Timeshare properties do not increase in value like traditional real estate.
2. There is a risk your annual maintenance fees will increase significantly over time.
3. If your resort is not part of a club, you may get locked into vacationing at same resort every year. However, if you join an independent exchange company (such as Interval International or RCI) you can solve this problem (but with an added expense).

If you are considering buying a timeshare, ask lots of questions and be prepared for surprises at the "closing".  It is never too late to back out. Even after the closing papers are signed, there is a time period you can cancel (rescind) your timeshare contract. Timeshare rescission laws vary from state to state. So if you are having second thoughts, or you have done research after the signing that has made you change your mind, you do have options.

Marriott Vacation Club Destinations Points - demystified

I have read many blog posts and comments and have noticed there are many Marriott timeshare owners dissatisfied with the new Destinations program.

Many feel that Marriott has taken away privileges they had, like access to new properties, and have made them feel that they need to get more points (and a higher tier) just to enjoy the same benefits that they always had available. For example, if you don't convert your deeded week into Destination points and buy additional trust points, and Marriott builds a new property, since they are only selling points now, and not deeded weeks, you would not have access to this new property. This gives a feeling of being forced to buy into the Destinations program.

 

Two Pools of Inventory
In the Marriott Destinations program, there are 2 pools of  inventory (trust and exchange). Exchange inventory is deeded weeks and trust inventory is weeks that Marriott owns.  Marriott no longer sells deeded weeks, and they are trying to get deeded weeks owners to change to points and trust points. The price to do this seems to vary, and the buyer should definitely beware.  If it sounds too good to be true, it probably is, as the saying goes. 

 

The Marriott owners with deeded weeks, can "elect" for Club Points in any given year. These points can be used to reserve Marriott Vacation Club stays for any number of days that they choose. These "enrolled" Club points can only access the available inventory of resorts and dates that are made available from owners turning their deeded weeks into Club Points. This is also known as the Exchange Inventory.  So, what happens with new properties that Marriott builds? All of this inventory will be in the Trust inventory and not in the Exchange Inventory.

 

At a sales presentation, they will try hard to get you to not only convert your deeded week into Club Points, but they will try to get you to buy more points (Trust Points). With these points you can access the Trust Inventory (unsold weeks, resale weeks and re-acquired weeks). This is the inventory that Marriott owns, not the owners. It will cost a lot more to own this inventory, and if you don't want to pay for this, they will try very very hard to dissuade you.

 

It is not what they are telling you, it is what they are not telling you

• The total amount of available vacation weeks is now split many different ways: Exchange Inventory, Trust Inventory, Interval International Inventory, Redweek inventory...

• Your annual fees will increase if you convert, and this is often not mentioned until you are signing the papers. For more fees, will you get more advantages? Probably not.  The biggest difference with the points program is the ability to stay less than 7 days, and if this greatly appeals to you, then  maybe you should look into converting.

• If you elect to use your week as points, and change your mind, and want to stay at your home resort, you can't. You won't have enough points.  The amount of points you are given, in exchange for your week, will not be enough.

Marriott can change the program again and again
Many timeshare owners bought their week or weeks under the assumption that the system in place would allow them to enjoy a certain type of vacation and have the flexibility to stay at new and exciting places (through exchange companies like Interval International). With the radical change to the points system, Marriott is potentially changing the inventory available to those that don't convert their weeks.  And for those that do convert and buy into the Destinations program, who is to say or promise them that the points needed for certain resorts won't change, or that the fees won't radically increase over the years?  This is a huge concern for many, because many don't trust Marriott anymore.

After putting a lot of research and thought into this situation, I believe staying within the Interval International exchange program is best.  Interval International is still better than Marriott Destinations.

What is Redweek?

Redweek is a website, and they proclaim they are the largest online marketplace for renting, buying and selling timeshares. They also have 2 million registered users.

This is yet another place that timeshare inventory can be found. You can view availability and resorts for free. Otherwise, membership is required (currently $14.99 per month). But there is no commission when a transaction takes place.

If you are unable to use your week at your home resort, and you have not deposited it with RCI or II, you can try to sell it on Redweek.  With Interval International, you could use the "Request First" method, and if you don't get confirmed where you want to go, you still have your week.

If you have been confirmed for a week through RCI or II (Interval International), you CANNOT sell this week on Redweek. If you read the terms for both of these, it states you cannot do this (I checked).

If you are looking to BUY, it is pretty easy to research resorts and contact owners with questions.  If you are looking to SELL your week, it is a good idea to research your resort and find out what the "going price" is so you can price your week to sell. 

For a list of Frequently Asked Questions, you can go to the Redweek page.

Marriott Vacation Club Destinations Review

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My husband and I attended a Marriott Vacation Club Destinations sales presentation in 2013 while on vacation at Marriott’s Barony Beach Club on Hilton Head Island (obtained through and Interval International exchange). We were shocked to discover the significant changes Marriott had made to timeshare ownership and the creation of a new exchange system. We are deeded week owners (of a Marriott Vacation Club timeshare property in Orlando), and we learned about the Marriott Vacation Club points system Marriott rolled out in 2010.    
 

The MVC Destinations program is pretty complicated.  There are deadlines to be concerned about that have a big impact.  Basically, you have to decide by September 30^th what you want to do with your week for the next year.  Once you decide to either use as points, or stay at your home resort, or use Interval International, you are locked into that choice.  Personally, it is difficult to assess that early, without knowing availability, school vacations (calendars for the following year aren’t available usually), airfare options etc.

 

We were VERY close to buying into this new program, and at the closing found out a few BIG things they hadn’t told us yet (for example: the annual membership fee/dues to use the Destination points program).

 

I have listed some Pros and Cons:

Pros

•Potentially eliminate Interval International annual dues and exchange fees (if you decide not to use II)

 

•Potentially more successful trading to Marriott properties (this is not quantifiable and will decrease as inventory goes down, if more people buy into the Destinations program)

•You can book less than 7 nights to stay at a Marriott timeshare resort.

Cons

•Your ownership week may be worth less than 1 week at another property when booking with points. It may require 2+ weeks of your ownership to book 1 week at a different property.

•No advantage to enrolling if you plan to stay at your home property

•As more and more owners join the Destinations Club program, inventory will become harder to obtain.

 

•The cost of converting to points (and possibly trust points)

 

In Summary

The biggest “Con” would be the amount of money you have to pay, just to trade “internally”.  You can only trade your week for points to use at other Marriott Vacation Club resorts.  There are so many more resorts and locations available through Interval International. 
 

The biggest "Pro", in my opinion, would be that you can stay fewer than 7 days.  But this is not a very big “Pro”, because many resorts are far enough away, you would want to stay a week, and not less (not economically or logistically sensible to stay a few days, when either spending a lot of time or money on transportation to the resort).  A way around this would be to stay at hotels and not timeshare resorts for shorter stays (you can use Marriott Rewards points to stay for free).

Maybe Interval International is not so bad after all!

 

 

Increasing your Odds

When you make an exchange request, there can be a lot of waiting. Waiting for a confirmation so you can take the next step in planning your vacation can be frustrating. 

By being willing to accept smaller accommodations than the villa you requested, you increase your chances of getting what you want. 

For example, if you own a 2-Bedroom villa, you can request a 1-Bedroom villa, which may have better inventory and odds of getting into.

When our family recently vacationed in Boston, we stayed a week at the Marriott Custom House, using this strategy. While there, I overheard a staff person talk about how difficult it is to stay at the Custom House using Interval International. They were talking about the advantages of going to the Marriott Vacation Club Destinations program. I disagree with this.  I had no problem getting into Custom House during their peak season (summer) using Interval International.  I think some of the sales tactics are misleading and statements are made to persuade Marriott owners to switch from Interval International to the Destinations program. In theory, the more Marriott owners buy into the Destinations program, the less inventory there will be deposited at Interval International.  This should be a large concern for those that rely on this method of trading/exchanging.  But I digress...

By requesting a smaller accommodation size, this will also allow you to get into a property that doesn't offer anything larger than a 1-Bedroom or a Studio.  Of course if your travel party it too large, this would not be smart to do.  But some 1-Bedroom villas can accommodate more people, especially children, and should be considered.

Do some research as well, by calling the resort and asking if they have roll away beds available. And there are websites that show floor plans, for example, Marriott Vacation Club resorts show floor plans (with square footage).

Deposit First vs. Request First

Once you deposit your week with Interval International, it is gone.  So if you choose Deposit First, you cannot stay at your home resort that year. Unless you choose Request First.  If you choose this option, Request First, you can still stay at your home resort if you don't receive the exchange confirmation you are looking for. 

That being said, when using Request First, the requested exchange must be prior to or the same as the dates of the week you are relinquishing (your home week). Because of this, you have a narrower window of time in which to take your vacation.  The Deposit First method offers the largest window for exchange.

While staying at Marriott Custom House this past summer, I went to an owner's only "seminar".  In my opinion, it was a Marriott Vacation Club Destinations sales presentation with "tips" throughout. The presenter recommends "Request First", suggesting that you will have more "trading power". However, when I called Interval International, they said this is not the case.  But you do retain the ability to stay at your home resort if you are unable to get confirmed in a place (or a date) that is acceptable to you.

In summary, Deposit First offers the most flexibility, and Request First offers the most security.

Note: If you choose Request First, and your exchange request is not confirmed, and you do not wish to stay at your home resort, you must DEPOSIT your week at least 60 days prior to the check-in date  to avoid a late-deposit restriction.

Deposit First:

Request First:

 

I realize this post is specific to Interval International members.  That will not always be the case on this blog.

More Interval International Tips

Two Years to Complete an Exchange

Once you deposit your week with Interval International, you then have 2 years from the end of the week you deposited, to complete an exchange.  For example, if you deposit week "December 19-26 of 2014", you must complete a stay (on an exchange from THAT week) by December 26, 2016.

Extending this Two Year Exchange Period

If you make an exchange request, and do not receive confirmation in two years, you can pay more to extend beyond the Two Year period.  There are 6 month and 12 month options, and you call Interval International to do so.  HOWEVER, there is a big CAVEAT here.  Your extension will only be for available inventory only.  What that means, is you must request a resort that is available in inventory. You no longer can have a request in their computer, searching all the time for your requested resort to be deposited. Essentially, the high demand, very requested, or high season weeks won't be available to you. Before the extension period, you can still place a vacation request, even if an instant confirmation is unavailable.

 

Benefits of Exchanging Online vs. Over the Phone

Lower fees from Interval International.  However, once you get your exchange request in online, you can call and change dates. For example, online will look at an exchange starting on a Thursday, Friday, Saturday or Sunday.  You can call and tell the Interval International person on the phone, if you only can start your week on a Saturday, for example.  They have more control.

However, if you restrict the check-in day you will accept, you will limit the number of deposits that match your request.

Have your Confirmation EMAILED

If Interval International has to mail you your packet, once they make a match and have a confirmation for you, you will not get the 24-hour grace period. This applies to "Deposit First Confirmations".  "Request First Confirmations" are final. More on this, next week.

Deposit First exchange confirmations have a 24-hour grace period where you can cancel the confirmation with no penalty.

Cancellations outside the initial 24 hours following confirmations are in accordance with II’s Exchange Cancellation Policy.

Dates and helpful tools...

If your goal is to trade or exchange your week at your home resort, you should research what the highest demand week is at your home resort. 

If you are a member of Interval International, you can do this by accessing their website, pulling up your resort, and clicking on the "Travel Demand Index" link.

Once you decide which week is the highest demand, make a plan to reserve this week exactly one year in advance.  This is the earliest (in most cases) that you can make a reservation (1 year). Set a reminder, put it on your calendar in bold, but make sure YOU DO NOT MISS THIS DATE.

If you are a Marriott Vacation Club owner, a tool you can use to help compute this date is on their website, and is called the Inventory Release Calendar. It will let you select the date you want to check in, and it will tell you the first day you can reserve. You can also call them and ask.

The next post will be more about dates to be concerned about within Interval International, once you deposit your week.

Here are a few more helpful websites

Travel Math contains several different types of "calculators" for travel purposes, and is quite powerful. Another is Cost to Drive and they have a mobile application as well.

My Crystal Shores Failed Exchange Request

For 2 years I tried to trade my Orlando week for a week at Crystal Shores on Marco Island Florida.  I made the mistake of only requesting one property (Crystal Shores).

I never received a confirmation, and ended up having to eventually stay at the Marriott Beach Resort on Marco Island instead.  Now this wasn't necessarily a bad thing, because the Marriott Resort was beautiful and we were very happy with our stay.  However, we really wanted to use our week and stay at a timeshare property, and could not. 

I think part of this was because I only requested one property.  However, I have heard many things about why Crystal Shores is so hard to exchange into. These are the two biggest reasons, I believe:

1. Some of the people who own at Crystal Shores only want to stay at their home resort, and thus do not a need to belong to Interval International. Therefore, their weeks don't often get added to Interval International inventory.

2. The introduction of the Destinations points program through Marriott Vacation Club has taken away much of the Crystal Shores inventory.  Basically people in the Destinations program are not depositing their Crystal Shores week with Interval International, but instead using their week for points in the Destinations program.

So, in summary, it is not a good idea to try to exchange your week for just one resort.  Being flexible and open minded will help your success rate. 

Backup Plans

Another strategy if you really want to go someplace in particular, and nowhere else, is to have a backup plan.  For example... reserve a hotel near the timeshare resort you have requested.  If you get a confirmation on the timeshare resort, cancel the hotel reservation.  Even better, use rewards points for the hotel.  I have done this two Spring Breaks (Easter Breaks) in a row. This is high season, mind you.

I have a Marriott credit card, and have points that I have been able to use as part of my back up plan.  The first year I was unsuccessful getting into Crystal Shores, I used points to stay on the beach for a whole week.  The second year I used points to stay at the Marriott Resort on Marco Island for 5 nights.  I still had my week that I had deposited with Interval International to use at a different time.

The back up plan of using points and reserving (or even not using points) works because there is no penalty to cancel.  Please be careful here and read the cancellation policy before you reserve. Some resorts/hotels require a deposit up front, and there are rules on when you must cancel to receive a refund on their deposit. There are also certain times of the year that a hotel will require an up front deposit (for example: Christmas week).

If you are thinking of buying a timeshare...

There are many different ways to buy a timeshare. I remember that day when my husband and I decided to buy our timeshare.  This post if for those of you who do not currently own, but are considering buying a timeshare.  I want to share some things to consider...

1. The Maintenance Fee

This can change every year. More than likely it will increase.  Our maintenance fee when we purchased our timeshare in Orlando was $675. It is now $1197. Nearly an 80% increase.

2. Staying at Home Resort vs. Trading

If you really want to stay at your home resort every year, you do not have to pay for membership in an exchange company like RCI or II.  However, if you plan to repeatedly trade your week, you should realize your success with this will vary from year to year.  There is a lot of uncertainty when you make a trade request, and if you are accustomed to making plans well in advance of your travel dates, this might not work. 

That being said, if we get confirmed on a trade with only a few months notice, we tend to use our Capital One miles for flights, because usually flights cost more, the closer to the date of travel you buy them.

3. Housekeeping

This will be different than when you stay at a hotel.  There will not be housekeeping service everyday.  There may be an option to have daily housekeeping service, but for a fee. This was a surprise to us, as we were not told at the time of purchase.

4. Changes

The timeshare company can change the way they do business, and affect your ability to trade and exchange weeks. Recently Marriott Vacation Club stopped selling deeded weeks, and has gone to a points system (called Destinations Ownership Program). This is a radically different way of doing things, and will change the inventory available to those who do not convert or buy into the Destinations program.  We had no idea the company we bought our timeshare property from could make such a change.  We have decided to continue as a deeded weeks owner, but have concerns of how this will change our ability to successfully exchange through Interval International.

In summary...

If someone were to ask me if we are happy we became timeshare owners, or if we regret it, I would probably say we are split 50/50.  There are advantages and disadvantages.  Once we became accustomed to reserving, depositing, and exchanging our week, we have been pretty happy with our vacations.

Timeshare Trading Tips

I have traded my week every year through Interval International. I own in Orlando, and have traded for a better (in my opinion) property every time.  When I say better, I mean that the properties have a greater demand than the one I own.

 

For example, I own in Orlando, and have traded for beach properties and other highly desirable locations (Custom House in Boston, during peak summer season, for example).

Tips for trading:

1. Reserve the highest demand week at your home resort.  Research which week sells out and it the most popular week at your resort. This is the week you want to reserve.

2. As soon as you reserve, deposit your week (for example, if you are a member of Interval International, deposit your week as soon as you reserve it). 

3. Research and request as many properties that you would be comfortable staying at.  I made the mistake once of only requesting one resort and one week.  I will explain in a future post (this week) what happened with this strategy.

4. As soon as you are confirmed at a resort, research airfare/travel options. If affordable, then do nothing (and keep your week). But if you decide you do not want the resort/week you have been given, you have 24 hours to give it back, and your original request remains intact.

I recommend that you frequently check your mail at the email address you have provided to the trading organization (ex. Interval International).  You don’t want to miss a confirmation. 

Research

I recommend researching properties online, reading reviews, for example on a website such as Tripadvisor. Be careful though, because this can become very time consuming. Look for trends. A random negative review shouldn’t be a concern.  You can also ask questions of reviewers, if you don’t find the information you are looking for. And you can see actual photographs of the properties, taken by travelers and not professional photographers, which can sometimes be very informative.

“Trading Power”

I have heard this phrase from different people in reference to your ability to trade your week successfully.  Trading Power can be increased by depositing your week earlier, as well as depositing a more desirable week (for example, Christmas week in Orlando). People who own ocean front in Hawaii are going to have very good “Trading Power”. If you do not own somewhere like Hawaii, do everything you can to increase your “Trading Power” (deposit early, and reserve that highest demand week at your home resort).