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Artikelhaus » Articles-english » Finance » Timeshare Resale In A Global Market

Timeshare Resale In A Global Market

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by: DavidWolf
Total Besuche: 54
Anzahl Worte: 488

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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 further illustrate the widespread geographical reach of timeshares, multi-state and international exchange programs are considered to be the number one motivating factor in new sales purchases. We will show you a typical resale scenario: A resident of Germany buys a Florida timeshare from a New York owner who owns a separate timeshare in Hawaii that he bought from a California resident. 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.

This illustrates the international and interstate nature of timeshare sales and the need for brokers who do business in the global realm.

High Resale Marketing Costs

High marketing cost is one of the underlying problems associated with both timeshare resales and new sales. On average, advertising costs comprise about forty percent of the sales price of a new timeshare. Individual timeshare owners and the general public have a negative perception of these inordinately high marketing costs. This is a prime reason that developers do not want to become involved with timeshare resales. Timeshare buyers are not aware that the marketing costs are so high, until they try to resell their units. The advertising costs incurred by the developer frequently exceed the resale price of the timeshare. 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 resale dilemma is further magnified by a sales technique commonly used by resort developers at the new sales table. Following is an example of this technique, referred to as "the drop." The salesperson initially presents the property for $15,000. To try to prompt a quick sale, a manager offers the property for $11,000, if the customer will buy it immediately. 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. This scenario has the effect of the original developer not wanting to engage an owner in a resale program because the owner is now cognizant of the original high price, and without the support of the developer or other owner funded selling program, a commission only sales program is too expensive to be viable.

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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