Do you mean time shares? That sounds like what you're describing.
Any of you have any experience with owning a hotel room?
I was flipping through the pages of this real estate magazine, and I saw an ad for a 550sqft condo in Whistler. I did some more research and found many more in the same price range. From 100g to 150g.
I know that the hotel gives you a certain amount of days to stay there for free, but what is the potential return on these, once the condo is payed off.
Marketing costs, maintenance fees, etc, are they payed by the owner or the hotel chain?
Do you think it's possible to negotiate for an unlimited time option, or will they reserve the right to have blackout dates.
I mountain bike in the summer and snowboard quite a bit in the winter, and I do stay an average of 20 to 30 nights per year in Whistler. That's almost 4000$ a year in hotel fees.
What do you think?
yeah, I think you are talking about time share ownership.
I've owned timeshares and my parents own them as well.
The available dates for use depend on the timeshare terms. With a timeshare, most of the time you pay an annual HOA fee that covers the maintenance, management, insurance and other items of the property.
While it isn't a bad idea, do some research on it. That's another area where people got screwed with the economy. They bought these timeshare rentals and were told it was much easier to get rid of (if they ran into hard times) than it really is (shocked).
I *think* there are a few sites where you can buy from distressed owners. That would be my first area to research.
He's not necessarily talking about a timeshare. There are also condotels where the units are owned by individual people (not shared ownership like timeshares) but are rented out like hotel rooms and the owner gets to stay so many weeks. These places look exactly like hotels, have a front desk, maid service, all that stuff.
I'm not sure which he is asking about. Condotels are better than timeshares because at least you do own it all by yourself, just like a normal condo, but the rules and the managing association can fairly easily turn it into a disaster.
I wouldn't recommend a condotel or a timeshare.
"All hail Dr. Chris, doctor of money medicine!" --Tornado2dr
"annuity = financial abortion." --jnm2.0t
Thank you guys for your replies, I did some further research, and found that the real estate in whistler is little tricky.
So there are three types of ownership, unrestricted, phase 1 and phase 2.
Here's a video I found
The property I was looking at was phase 2 which is the most restrictive one of all. I'm guessing that's why it's much cheaper than others.
It's in Whistler, tell them to go Whistle for their cash !! Time share generally is a complete waste of money.
Alexandra New Zealand
Second Tig, 2013, TDi, Auto, night blue, park assist 2, auto lights and wipers, RCD510, fogs, tow pack
I just don't understand the reason for owning one. The returns really aren't there from a strictly investment point of view. And what's the point of being tied to a certain vacation for the next 30 years if you're mortgaging it? And if they're such fantastic opportunities, then why won't they let you go home and research them --- why do you have to sign right then at the end of the 2 hour tour
Ultimately, I don't see the advantage to owning either vs. just renting one for a vacation.
I mean, if you're spending $150k to own a hotel room, that's $800/mo on a 30 year, 5% loan. I'm sure there are fees that go to the hotel as well. So maybe you're paying $1000/mo for 56 days at the hotel (28 summer, 28 winter per the video). That's $215/night and you basically have to go there. I'd much rather spend that money going to other places ---- and not having to worry that in 5 years I might not be able to afford that many vacation days.
But from what I'm gathering around, it's seems to be a hassle. And like the other fella said, I don't like to be tied in to one place...
So, let's scratch this idea out. Haha