Reselling Your Timeshare Globally
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by: DavidWolf
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Anzahl Worte: 472
The international broker specializing in timeshare sales offers timeshare consumers resale assistance that corresponds to the global nature of the business, regardless of the location of the resort, the buyer or the seller. We, illustrate the global nature of timeshare resales, below.
To dramatize the global marketplace for timeshares, interstate and international timeshare exchange programs are the prime mover for new sales. Following is a typical resale scenario: A resident from Canada buys a Florida timeshare property from a resident of California who also owns another timeshare located in Colorado that he purchased from a resident of New Hampshire. This sale scenario does not even address the residences of the other ten or twenty potential buyers that were solicited to effect this one sale.
The above example shows the interstate nature of the industry and the need for brokers operating on a national and international plane.
Very High Marketing Costs
Very costly marketing is a problem that plagues the timeshare marketplace. On average, advertising costs comprise about forty percent of the sales price of a new timeshare. The general public and individual owners of timeshares frown upon these very high advertising costs. This is a prime reason that developers do not want to become involved with timeshare resales. Most people that purchase timeshares are not cognizant of the high marketing costs until they attempt to sell their own timeshare. The developer's 40-50% marketing costs on a $10,000 new timeshare sale often exceed the resale price. In the United States, Florida is a prime timeshare location, to get an idea of prices in an active timeshare market do a web search for "timeshare resales Florida".
The difficulty with reselling a timeshare is compounded further by a sales technique frequently employed by developers. This example will illustrate this sales method, known as "the drop." The salesman states the sales price as $16,000. To increase the urgency for the consumer to buy, a manager is brought in to offer it for $10,000, today only. This common practice increases the buyer's motivation to purchase because it infers that the property is worth much more than the buyer is paying. This gives the perception of an inflated value of the property, this is a large problem in the timeshare industry.
The reality is that the owner's false perception of the high market value of his property coupled with non-recoverable high marketing costs, which results in a lower resale price, has produced an almost untenable position for the timeshare owner wanting or needing to sell. The consequences of this reality are first, the developer does not want to confront the owner with a resale program because the owner has become aware of the original distortion, and second, without developer support or broker pooling of owners' funds through registration fees, the traditional commission only program does not work for the independent, non-subsidized secondary market.
über den Autor
To get assistance with reselling your timeshare property: timeshare resales To find out much more about timeshare sales come see us at: timeshare resales Florida
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