Resale Question

[What-r-ya Goofy?]

Greetings!

A question for the experts concerning the resale market...

When a resale seller receives a offer on points they have up for sale what is the protocol for responding to that offer? Are they obligated to decline, accept, or counter before entertaining other offers? Or can they sit on an offer waiting to see if something better comes along before responding?

Not sure if Florida timeshare law speaks to this or if it is even considered ethical for the listing agent to bring other offers with an offer already on the table.

Your thoughts?

 

[jamie3631]

They can and will bring any offers until an offer is accepted, is my understanding. They do represent the owner as well. Many times multiple offers are received so all are presented to the seller. I would follow up with your broker in regards to the timing. I typically have always gotten a response within 24 hours, but one contract did take almost three days to get a decision. Hope that helps!

 

[wnielsen1]

Sure they can sit on it. As the potential buyer, you have the right to retract your offer and move on.

 

[Great3]

The broker really works for the seller, not for you as the buyer. The seller listed with the broker, and is paying the broker the commission, and is obligated first and foremost to the seller. Timeshare is no different than regular real estate. The broker brings all the offers to the seller, and the seller can decide what want to do with the offer. They don't have to accept, decline or counter. They can even choose to not to respond to your offer. I had that happened before, the broker / seller's agent said she will let me know what seller decides to do with my offer, but after that, I never heard anything, not even a respond to my follow-up, but I did see the listing get marked sale pending by the next day, so I know it was already sold to somebody else. It doesn't matter who puts in the offer at first. All you can do is move on, if you are tired of waiting.

Good Luck on your purchase.

Great3

 

[Bobb_o]

I can only speak for my experience with DVCResaleMarket. I put in an offer on a contract and I was told that it had multiple offers. I was a little worried and asked if it's ok to put an offer in on another contract. He advised against it as it'd be messy if both offers were accepted. Turns out mine was accepted (went barely under asking and was a no financing offer) and I was worried over nothing.

 

[Cyberc1978]

When I have put in an offer, id normally wait a few hours. After that I have no problem making another offer on a second contract. Might not make multiple offers with the same broker - but after a few hours I assume the seller is not interested.

 

[Louis morrell]

I was advised to place a time limit on the offer after which it is rescinded. I think I gave 24 hrs when we purchased a couple of years ago.

 

[CarolMN]

The broker really works for the seller, not for you as the buyer. The seller listed with the broker, and is paying the broker the commission, and is obligated first and foremost to the seller. Timeshare is no different than regular real estate. .......

Not true in Florida as almost all timeshare brokers are licensed as "transaction brokers". A transaction broker does not represent the buyer or seller, but instead acts as a neutral resource to help both parties complete a sale

 

[Deb & Bill]

But if a seller turns down a potential sale, they may still owe the broker the commission as if they sold it.

 

[crvetter]

But if a seller turns down a potential sale, they may still own the broker the commission as if they sold it.

Usually the seller signs an agreement that says if a full asking comes in they must accept the offer, if they don't then the broker is allowed to collect the commission. From what I heard it is usually more effort than not to collect the commission so brokers sometimes chose not to collect it sometimes. But no seller is obligated to accept any offer that isn't exactly what they listed.

And as said by previous posters the brokers are a "middle-man" that just happens to be paid by the seller; however, are required to act in a neutral manner offering the best advice to both parties.

 

[Great3]

Not true in Florida as almost all timeshare brokers are licensed as "transaction brokers". A transaction broker does not represent the buyer or seller, but instead acts as a neutral resource to help both parties complete a sale

I stand corrected than. Thanks for educating us. But I would imagine the broker will/can present all offers to the seller, and the seller can still choose to do what they want with the offer.

 

[crvetter]

I stand corrected than. Thanks for educating us. But I would imagine the broker will/can present all offers to the seller, and the seller can still choose to do what they want with the offer.

Yes the broker has a responsibility to present all offers to the seller, and as you stated they can choose to do what whatever they want. Except in the case when a full ask is presented. The seller at most of the DVC resale sites would be obligated to accept, since usually that is a stipulation to listing with them.

 

[lovin'fl]

Having bought resale 5 times, sold once and tried to buy 2 other times (1 got ROFRd and another got cancelled by the seller at 9 days into ROFR)....oh, and listed 2 other contracts just a few months ago but pulled them off the market.....what usually happens is:

-when we make offer to buy, we usually just offer about $4-8 under list depending on how it is priced. They sometimes negotiate and sometimes take it. It pretty much gets done (verbal negotiations) within a day or 2 (if it's a Friday, then maybe 3 days). Then we get contract and we always sign and send in with deposit immediately. I am quick. Sellers, for us, have always been pretty quick too (maybe a couple days later than us but no more than that).

-when we sell...first time we got offer on day 1 of listing and I think it was decent and we took it right away and got contracts sent in next day. Then, this recent time we were selling we didn't get offers for 2 months. We lowered the price a couple times. Then the Jan 19th restrictions were leaked and we started getting offers but they were SUPER low...like $26 lower than list. Crazy. We tried negotiating and they just kept coming back low. Not sure if it was same person the whole time but broker just would say 'I have a new offer for you'. First one I flat out said no to (I think it was like 2 days later though cause I was on a cruise). Other times, think it was like 2 or 3 'new offers' after 1st one...I responded to right away (same day) and I went super low (like $13 lower than list), in the end, and thought it was a great deal but they never responded back. It most definitely would have gotten ROFRd....was like Jan 14th ish and lots around then got ROFRd. (it was 50 HHI...asked $91 and they wanted $65 and I agreed to $78...something like that).

Anyway, if I were to make an offer (to buy) I would want a response within 48 hours or I move on. If someone offers to me (as a seller) I give the same courtesy and respond within 48 hours.

 

[TexasChick123]

We have bought a bunch of resale contracts as well. I make offers on multiple contracts usually. My most recent VGC resale contract was multiple back and forth negotiations before we agreed to a price. The seller was very quick to respond, as were we, so the negotiations wrapped up in a couple of hours.

I have only sold one contract, but I was pretty quick to respond as the seller as well. We had 1 or 2 offers that came in really low and weren't interested in anything other than a low price. As a practice, I always respond with a counter offer even if the buyer's opening offer is low. The buyers we ended up selling to were very quick to respond as well. We were driving home from a vacation, and finished negotiations in about 2 hours.

The seller can have a bunch of offers presented to them at the same time. They only have to take a full price offer as was said earlier. It has to be a pretty special listing to get a full priced offer quickly on it. Contracts that usually get full price offers very fast are small points, desirable property, and/or priced very low. Small point contracts tend to disappear quickly no matter the price point.

Good luck!

 

[disneyeveryyear]

My recent resale purchase had a pending offer, but I came in at full ask and therefore it was an immediate acceptance.