Can I Sell Hilton Timeshare Points? An In-Depth Look

Author

Jason Connolly

July 24, 2023

The timeshare industry has seen a substantial evolution over the years. One major aspect that has evolved is the development of timeshare points-based systems, like the one used by Hilton Grand Vacations Club (HGVC). Owners in these systems don't own a specific week at a particular resort; instead, they own a number of points which they can use for stays at their home resort or various locations within the Hilton timeshare resort network.

This flexible approach has made timeshare ownership a much more attractive option for many vacationers. But one question that often arises for owners is: can I sell my Hilton timeshare points?

To answer this question, it's important to understand how the Hilton timeshare points system works. Unlike traditional property ownership, where you hold a physical asset you can sell, a Hilton timeshare represents an entitlement to use a property, even though it is deeded, rather than a solid, tangible asset. Nonetheless, your points can be sold and transferred to another party.

So, the short answer is yes, you can sell your Hilton timeshare points. However, the process and potential profitability are affected by several factors, including market demand and how the points were originally sold by Hilton Grand Vacations.

The Market for Hilton Timeshare Points

Like any market, the timeshare market is swayed by supply and demand. If the demand for HGVC points at a specific resort is high and the supply is low, you stand a good chance of selling your points for a reasonable amount. Conversely, if the market is oversaturated for a given resort, it might be more challenging to find a buyer willing to pay a higher price.

Historically, the resale market for timeshare points has not been as robust as that for physical vacation properties. One reason for this is the misconception that Hilton timeshare points are not real "property", even though they are deeded to a specific resort. However, with increasing awareness and acceptance of the points-based system, the market has been gradually improving.

Valuing your Hilton Timeshare Points

One of the most important aspects of selling Hilton timeshare points is understanding their worth on the resale market. This is significantly impacted by the way they were originally sold to the initial owner at the resort.

When a vacationer tours a Hilton timeshare resort, they are introduced to the program and given the chance to buy points which are deeded to that resort. The sales process includes costs such as marketing costs of the points, costs to get the vacationer onto the property for the tour, and the commission paid to the sales agent for a successful sale.

This process can add up to as much as 60 percent of the price of timeshare points bought at the resort. This overhead is what makes the points so expensive at the resort, and these costs are removed when the points are put up for sale on the resale market, which is why the resale points are comparatively such a great deal.

Sellers need to understand this dynamic and not suffer from reverse sticker shock when they see the lower potential resale price of their Hilton points. Much like a new car drops in value when it is driven off the lot, the same thing occurs once a timeshare owner completes the sale at the resort.

The good news is that Hilton’s marketing machine draws attention to the product, and savvy buyers who understand this progression are driven to the resale market looking for deals. If the resale points are priced right, there is an excellent chance they will sell.

Differentiating the Types of Hilton Points

Not all Hilton points are the same, which is where it can be confusing for a consumer. Hilton timeshare points are different from Hilton Honors points, which is the hotel loyalty program for Hilton.

There is some overlap between the two programs, since Hilton timeshare owners become Hilton Honors members when they purchase points in the Hilton Grand Vacations Club timeshare program. HGVC Hilton timeshare points can be converted into Honors points in a given use year, but once they are converted they cannot revert back until the next use year.

In either case, whether the Honors points are converted from timeshare points or earned through the Hilton hotel loyalty program, they cannot be sold on the resale market. This is important to know in case a buyer thinks they are looking to top up their Honors points rather than looking at timeshare points.

The Terms and Conditions of Ownership

While you can sell your Hilton timeshare points, the specifics of how you can do this may be dictated by the terms and conditions of your ownership agreement. Some contracts may have restrictions on reselling your points, such as right of first refusal clauses which allow Hilton to buy your points back before you sell them to a third party.

Otherwise known as ROFR, once a seller has a contract to sell Hilton timeshare points to a buyer, Hilton can enact a right of first refusal clause to inspect the contract. Depending on their assessment of the price and terms of the agreement, Hilton may decide to step in and buy the points back from the seller. Otherwise, they would allow the sale to go through to the buyer.

In either case, the seller stills sells their Hilton points and collects the proceeds. It’s just a matter of who becomes the buyer and, therefore, how the contract is amended.

Selling Your Hilton Timeshare Points

To navigate the intricacies of selling your Hilton timeshare points, you may require the services of a licensed timeshare resale broker. This is one of the major advantages of using a service such as SellaTimeshare.com. 

An experienced broker can help guide you through the process, help you address any potential obstacles and proactively look for buyers, which is why we work with our sister company, Timeshare Broker Associates (TBA).

When an owner signs up with us to sell their timeshare points, offers that come in are vetted by licensed TBA agents to make sure they are legitimate and not the tactic of a rogue company trying to get the seller’s personal information. Agents also work in this space every day, so you won’t miss an offer when it comes in.

Whichever way you choose to sell, exercise caution when choosing a resale provider. Avoid those who demand large upfront fees or make overly optimistic promises about the resale value of your points. Fortunately, SellaTimeshare.com does not charge upfront fees and anyone looking to sell can get started assessing the worth of their points by using our free market analysis tool.

Invest time in researching and selecting a reputable resale company or timeshare broker with a proven history in the timeshare industry. Good brokers will use an escrow account during the transaction to ensure the protection of both the buyer and the seller.

So, Can I Sell Hilton Timeshare Points?

To sum it up, yes, you can sell your Hilton timeshare points. However, the process involves consideration of several factors like market demand, the terms of your ownership, Hilton's rules, and finding a reliable resale company. Be sure to thoroughly understand all of these aspects to ensure a smooth and successful sale of your points.

If you are ready to engage a risk-free way to sell your Hilton timeshare points with no upfront fees, click here to learn more.

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