BBB issues warning against Boise-based timeshare reseller – Capital Realty Management

By Robb Hicken/ BBB’s chief storyteller

The parking lot behind the Shriner’s Temple in downtown Boise is no place for an office. But, that’s the address a Boise-based real estate management company lists.

“I was concerned,” says Nancy Wylie (not her real name) of Pennsylvania. “When I Googled it, it turned up as a parking lot.”

Wylie says she talked with Capital Realty Management President of Sales & Marketing Robin Clark, about the sale of her timeshare in  Florida. Clark assured her it was the correct address.

“They asked us to pay their 8% commission prior to the time of closing,” she says. “I’ve been a banker for 25 plus years, and that instantly raised concerns.”

Capital Realty Management, 210 N. 12th St., Boise, is not registered with the Secretary of State, Idaho Real Estate Commission, or City of Boise, to do business.

Wylie was initially contacted by Capital Realty Management about selling their timeshare in Florida about three weeks ago. A buyer was located and a sale price was negotiated. After the documents were signed, CRM sent copies of the real estate transaction to ESM Holding, in Iowa, to complete the sale. CRM said the commission ($1920) needed to be a “wire transfer” to a bank in Mexico.

“I know that once you wire transfer, you’re giving your money away … money, not a check,” Wylie says. “I wanted to send a certified check so if there was anything shady, we could cancel it. They wouldn’t consider it.”

BBB called two numbers associated with the company. Dan Hernandez answered and transferred us to a voice-mail system; the second was a “leave your name and number, we’ll call you” answer.  Verified the website, and emailed Robin Clark. All contact efforts went unanswered.

When Wylie told the company she’d decided not to sell, CRM threatened to file a lawsuit against her. Documents .

BBB warns sellers to not get involved with this timeshare reseller.

Here’s advice on selling a timeshare:

  • Use a Business You can Trust – Make sure the timeshare reseller you use is a BBB Accredited Business or has a good rating with BBB. You can check out a business’s BBB Business Review at www.search.bbb.org.
  • Confirm Licensing Requirements – Some timeshare resellers will use fake addresses or PO boxes to mislead timeshare owners. Confirm where the company is located and in what states it does business. Ask if the company’s salespeople are licensed to sell real estate where your timeshare is located. If so, verify this with the state licensing board.
  • Get the Facts on the Figures – Find out if the business charges a commission. Do they handle the entire closing and offer escrow services? Do they charge an up-front listing or advertising fee? What does it cover and is it refundable?
  • Be Wary of Upfront Fees – Many complainants to BBB were burned by companies charging an advance “appraisal” fee for services or were told that they just had to pay closing costs and the timeshare would be taken off their hands. Consider opting for a company that offers to sell for a fee only after the timeshare is sold.
  • Don’t Fall for the Hard Sell or a Too Good Offer – Don’t agree to anything over the phone but instead ask the salesperson to send you written materials; take time to think it over and don’t be pressured. Unscrupulous timeshare resellers may claim that your property is in demand and they can sell it immediately; unfortunately, these promises are often empty.
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1 Comment

Filed under Scam alert

One response to “BBB issues warning against Boise-based timeshare reseller – Capital Realty Management

  1. Mark Burrows

    This is something a lot of people are not going to want to hear. Timeshares are a bad investment. Okay, some will argue that they have a timeshare and enjoy it. Well, those are the few lucky ones.
    Think of this, when you purchase, and I mean purchase a timeshare property you are in a partnership to own a place to vacation. Now, depending on how many ways that timeshare is split it might not initially cost a lot of money. Still you have to chip in for your share of paying a property manager to mind the place so that when you show up it is clean, neat, and tidy. You have to also pay your share of property taxes, utilities and insurance. Now, the cost of most of this is still rather minimal except for that big chunk of a bill that comes from the property management company whether you use your timeshare or not. Then there is the constant annoyance of your co purchasers wanting to swap times because they have an event coming up during your time.
    The popularity of timeshares have dramatically declined, it is mostly people trying to resell and get out of the nightmare.
    What has replaced timeshares are holiday condo rentals, these are a bit more expensive than hotel suites but they come with staff like a hotel and often have meal packages available with some of the local top restaurants. You have the comforts of a home, maids to come clean up and change the bedding and towels as well as deals on local entertainment. Sort of what Las Vegas once was when it was more generous with it’s perks.
    These condo rental establishments are growing like wildfire and the more popular they become, the more likely the prices will lower causing hotels to be more competitive.
    This certainly beats owning a share of a piece of property that you have to keep throwing money at and no one really wants to buy except those who still think timeshares is some kind of status symbol or a hot commodity.
    I very much doubt that anyone selling their timeshare is making a profit, more like a loss because the Timeshare agencies and realtors are aware of their predicament and stinging them with high commissions.
    So, enters the scam artists, who offer deals that are unbelievable, and too good to be true. So, my question is thus. “Why don’t people actually read the words unbelievable and too good to be true, then take them literally instead of thinking WOW! What a deal!?”

    Mark Burrows

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