Have you owned a timeshare which you've converted to points? Did it happen successfully?

Answer 1

Yes I own with the Mariott and I converted it to points one year with no problem. I used some of the points for airfare and a weeks stay in the Islands.

Answer 2

Yes. If you cannot use your week or don't feel like a "resort" vacation you can transefer to points with Hilton or Marriott, westin or Hyatt I believe.

Answer 3

Yeap, it happens all the time.
If you do it trough the company you own with is always a smooth transaction, be careful of trade-ins to an outside company, there is no value in that.