May 02 2008
Death of a salesman
Summit at Massanutten in the Shenandoah Valley is a decent resort, spacious units are built on the cliffs over looking the valley. It’s a year around place. We’ve been there before, kids actually learn to enjoy ski in Virginia, out of all the possible places, good few years back during one of the biggest snow storm. It’s heaven.
The first time we were there, we toured the same unit we were in this time, that were just being marketed. I don’t remember how much they were asking then, but now the listing price for a 2 two-bed two-bath unit (total sleep 12 people) during the prime time (there are lesser crowded times which cost the least, at $46,500) is $67,500 per week per year, deeded. One thing this resort has that others don’t is you’ll get two additional weeks for the same amount of maintenance each year, at $460 - which is extremely low. So for someone who’s new to timeshare, this place might be the best deal, one low maintenance covers 4 weeks. The total maintenance of our 3 weeks is $1680 per year.
The saleslady who showed us around took us back to the deal making room. After setting us down, she went to look for a sales manager. I didn’t know why wouldn’t she make the sales pitch herself. A few moments later, a tanned man appeared and looked at our profiles (she took some notes as we were chatting during the breakfast), quickly made a deal for us: we can trade in two weeks plus $11,000 for the prime week.
There isn’t a resale timeshare market, so I always wonder how do the industry pricing their condos. I chatted with the saleslady, asking about the point system vs week’s. She said point system isn’t keeping up with the inflation. Do week system do - who’s determine the price if there isn’t a solid resale market? I told her that we bought a week on eBay for a $1, she quickly said, “oh, you won’t find us on eBay. Because we always buy back our resort.” - I did check on eBay, they are there, starting price at $199 but it’s tri-annual usage = every three years you get a week.
I was tempted to the swap: trading in two weeks with high maintenance which would pay off the $11,000 in about ten years. Golfer got impatient, he has 11am tee time. So we told the tanned guy, sorry we’re not interested. We were ushered to another guy to check out. He briefly asked how did lady do her job, as if taking a survey. But quickly he offered a deal for us too: $5,600 at a lesser demanding time of the year.. ..
It’s a well orchestrated practice, I enjoy it to the degree as my continue education, keeping in touch with what’s going on in the industry. Some aspect she covered were of value, others may just be her ignorance or out right inaccuracy. Buyer be aware. I’m still thinking about their low maintenance 
!