general answers only needed.

[JimMIA]

I found Fidelty did have a lot of contracts but there are quite a few that are "problem" contracts i.e. forced to sell, divorce, and other complications that make doing business a bit harder for their agents.

I think that is possibly true (which I'll explain), but I don't think that, in itself, is really any negative reflection on Fidelity.

The reason I suspect they do have more problematic contracts than other brokers is that their primary source of listings is DVC itself. They have a commission-splitting agreement with DVC. If an owner approaches DVC to take their contract back, or tells DVC they have to sell and asks for a referral, DVC refers them to Fidelity in return for a percentage of the commission (I've heard 50%, which is normal, not unusual -- but I don't know for sure).

Considering that source of listings, it stands to reason that Fidelity would end up with most of the listings for distressed sales. That's not an entirely bad thing for buyers, and certainly Fidelity should be in a position to tell the prospective buyer if there were any complicating factors (like a divorce, or litigation) that might adversely affect the seller's ability to close the transaction.

We had our offer accepted on 3/3, signed and made deposit 3/4 and even on the updated listing dated 3/8 it still shows as an active listing????? We are still waiting for sellers to sign and have been assured it is moving right along and sellers will fax back the contracts.

IMHO...if you sent your deposit a week ago, and the sellers still have not signed and submitted their contract -- absent some incredibly plausible explanation, that is WAY too long of a delay.

I would be demanding an explanation of the problem, and if I didn't get a good explanation, I'd move on. If there is any kind of distress situation (divorce, bankruptcy, etc) and they haven't responded positively in a WEEK...I'd be looking for another contract.

The broker really SHOULD BE ABLE to tell you what's going on. If they can't, or won't, I'd be moving on to more than a new contract.

Buyers who are trying to get in "under the wire" for the March 20 deadline really need to protect themselves in this environment. It's not enough to find a contract you like and have it submitted for ROFR by 3/20 -- you have CLOSE successfully. If things get dragged out, and then you can't eventually close because of the sellers issues, YOU lose out because the deadline passed and you rode it out hoping for the best.

Protect yourself.

 

[MFMont]

Oh yay!! I've been following your saga starting with the original BWV offer because I had the other contract that Tammy had and we both backed out and I saw your post on the other forum about it. I was secretly glad you backed out of that one as well. Anyway, I'm rooting for you and hoping everything goes well! Keep us posted!

Thanks FF Here are the details.

BWV 150 pts, aug. Uy. All 09',10' and 11' points. Buyer pays MF and closing costs at $52 per point. I am sure the closing will also go slow, but as long as I close by June 1, I should be able to make use of the 09' points. The 10' points are banked so no problems there. Let the 30 day countdown begin!

 

[MFMont]

I think that is possibly true (which I'll explain), but I don't think that, in itself, is really any negative reflection on Fidelity.

The reason I suspect they do have more problematic contracts than other brokers is that their primary source of listings is DVC itself. They have a commission-splitting agreement with DVC. If an owner approaches DVC to take their contract back, or tells DVC they have to sell and asks for a referral, DVC refers them to Fidelity in return for a percentage of the commission (I've heard 50%, which is normal, not unusual -- but I don't know for sure).

Considering that source of listings, it stands to reason that Fidelity would end up with most of the listings for distressed sales. That's not an entirely bad thing for buyers, and certainly Fidelity should be in a position to tell the prospective buyer if there were any complicating factors (like a divorce, or litigation) that might adversely affect the seller's ability to close the transaction.
IMHO...if you sent your deposit a week ago, and the sellers still have not signed and submitted their contract -- absent some incredibly plausible explanation, that is WAY too long of a delay.

I would be demanding an explanation of the problem, and if I didn't get a good explanation, I'd move on. If there is any kind of distress situation (divorce, bankruptcy, etc) and they haven't responded positively in a WEEK...I'd be looking for another contract.

The broker really SHOULD BE ABLE to tell you what's going on. If they can't, or won't, I'd be moving on to more than a new contract.

Buyers who are trying to get in "under the wire" for the March 20 deadline really need to protect themselves in this environment. It's not enough to find a contract you like and have it submitted for ROFR by 3/20 -- you have CLOSE successfully. If things get dragged out, and then you can't eventually close because of the sellers issues, YOU lose out because the deadline passed and you rode it out hoping for the best.

Protect yourself.

Jim I agree with you in principal, but in my particular case, the contract was from England. They have a "?Solicitation?" process there that is much more difficult than finding a Notary here. Fidelity was upfront with me on this right from the start. We also biult up a very good repore over the week and a half and they let me know everything that was going on from the sellers end. They also talked some sense into me when i started considering alternatives. At $52 per point it is worth the extra bit of waiting. I would also guess that with the relationship that they have with DVC, they may have some close communications. I did not leave our discussions feeling like i was in any kind of danger at $52 a point. When i wanted to make a simillar offer at TSS, you would have thought that i was nude when asking by the reaction I recieved As an educated consumer (I'd like to think so anyways), i do not like being steared into anything. I appreciate what they where doing for there clients however that contract is still sitting there. Like I said, If they get it, good for them. Disney seems to have no problem getting north of $100 per point so i guess if TSS wants to drive people to the high $60's+ more power to them. I am in Sales so I understand that more margin = less volume required. Once I close, I hope all contract go to a value over $80 per point.

Mike

 

[JimMIA]

Jim I agree with you in principal, but in my particular case, the contract was from England. They have a "?Solicitation?" process there that is much more difficult than finding a Notary here.

Right, I think folks who have been around here for a few years are familiar with the issues faced by English sellers. It's not only more difficult, it's also much more expensive.

I would also guess that with the relationship that they have with DVC, they may have some close communications. I did not leave our discussions feeling like i was in any kind of danger at $52 a point.

I assume you are talking about ROFR here. If so, I don't think anyone thinks ROFR is a big threat at this point. That requires no special communications channels or insight.

When i wanted to make a simillar offer at TSS, you would have thought that i was nude when asking by the reaction I recieved As an educated consumer (I'd like to think so anyways), i do not like being steared into anything. I appreciate what they where doing for there clients however that contract is still sitting there

Different seller, different fact situation, different read by the broker. As one who has both bought and sold through TTS, I can assure you that they have a very good idea of what will fly with their sellers. The listing you reference still being unsold is probably fine with the seller -- if they wanted to sell cheaper, they would have.

The fact that someone tells you something you don't want to hear does not mean they are wrong.

More importantly, I don't think you understand the role of a "transaction broker" in this kind of situation. The broker is not working for ONE client. Both parties are their clients, and they do their best to serve both equally and ethically.

ALL of the timeshare brokers are "transaction brokers," and they all do their best to represent the interest of BOTH parties to facilitate a successful outcome for the transaction.

Nobody is trying to raise resale prices, or hold fire sales, to generate commission revenue. All of the brokers are providing a service to all of us as we buy and sell...and they get paid for that, as they should.