Anyone made it through (or not made it through) ROFR recently? - Section V

[kkolbusz1]

Am I right in saying, the more points, the lower the price per point? They are looking for 150 to 250 points.

IVe been asking the brokers. Julie at resalebydvc says theyre consistantly selling for $61-$66/pp. Theyre getting rofr'd in the high 50's lower 60s. Just asked kin this morning, he said one got taken back at $62. I read another got taken back on the 11th at $64.50. We offered $3 over asking price cause we felt $60pp was too low & were willing to pay more. Imo anything in the 50s will get taken now. Theres nothing listed for that low & especially with the prices going up direct i could guess that resales would potentially go up slightly.

 

[silmarg]

I guess it depends on your patience if you want to test the low end of the market.

Alternatively, if you find the perfect contract, there is no sin in paying a couple dollars more to add a dose of certainty to the deal.

 

[ELMC]

I'm helping friends with a first time resale offer. If they are looking at OKW and SSR contracts with all or most of current use year points and all of next use year points in tact how much is a reasonable offer? I see that OKW has passed as low as $52 and SSR has passed for $50 and even $48. Woudl they get by ROFR with those kind of numbers?

I'm all for trying to get a good deal, but this is not the time. These numbers are very deceiving as the market has completely changed since contracts were passing at those rates. Demand is higher, ROFR activity is indirectly pushing prices up and buyers are being more aggressive. If you're looking for a bargain, I wouldn't buy in this marketplace. If you're looking to get a contract, I would go in bidding around $55 per point on SSR and $52 on OKW and prepare to get either outbid or negotiated up. Good luck.

 

[dbs1228]

If I had known 3 weeks ago what I do today I would have upped our offer by at least 6.00PP over asking just to hope we will pass - too late now just wait and see!

 

[DougEMG]

I'm all for trying to get a good deal, but this is not the time. These numbers are very deceiving as the market has completely changed since contracts were passing at those rates. Demand is higher, ROFR activity is indirectly pushing prices up and buyers are being more aggressive. If you're looking for a bargain, I wouldn't buy in this marketplace. If you're looking to get a contract, I would go in bidding around $55 per point on SSR and $52 on OKW and prepare to get either outbid or negotiated up. Good luck.

Yeah, a completely different market then a year ago. Since last summer resale prices have been going up. A lot more stripped contracts on the market as well.

 

[zgirlz]

This same thing happened to me. Started with 44 '12 points. Ended with 160 for the original price.

Does that mean rofr was waived on yours?

 

[Missyrose]

Yeah, a completely different market then a year ago. Since last summer resale prices have been going up. A lot more stripped contracts on the market as well.

I think people finally figured out that stripped contracts don't get as devalued as they should on the resale market, so why not use every last point you can before selling?

 

[AppleDisneyDad]

Does that mean rofr was waived on yours?

Yes. I had a nervous couple weeks. I had paid pretty high per point but the seller was paying closing & mf. It is my recent AK contract on page 1.

 

[JVL1018]

We offered on Feb 22 and were notified that we passed ROFR on March 19th.

54 HH points September use year, just 28 points coming Sept 2013, 54 points coming 9/2014.
We paid asking price of $60.
This was the perfect amount we needed to add on to our HHI points, and in our use year, so I wasn't chancing on losing them.

 

[jcotten]

I think people finally figured out that stripped contracts don't get as devalued as they should on the resale market, so why not use every last point you can before selling?

Good point, after just going through the process of picking a contract to make an offer on ,seems that the loaded contracts are going faster,but if someone is not in a hurry ,I would not blame them

 

[BWV Dreamin]

I'm all for trying to get a good deal, but this is not the time. These numbers are very deceiving as the market has completely changed since contracts were passing at those rates. Demand is higher, ROFR activity is indirectly pushing prices up and buyers are being more aggressive. If you're looking for a bargain, I wouldn't buy in this marketplace. If you're looking to get a contract, I would go in bidding around $55 per point on SSR and $52 on OKW and prepare to get either outbid or negotiated up. Good luck.

This logic is not going to work now. Since the changes have been announced, there is a frenzy for resale contracts. And in the back of at least my mind, I think people of worried about the next step, which is more resale restrictions. With grandfathering most likely happening, I think people do not want to wait any longer to get those resale contracts.

 

[cm8]

We offered on Feb 22 and were notified that we passed ROFR on March 19th.

54 HH points September use year, just 28 points coming Sept 2013, 54 points coming 9/2014.
We paid asking price of $60.
This was the perfect amount we needed to add on to our HHI points, and in our use year, so I wasn't chancing on losing them.

Congratulations

This logic is not going to work now. Since the changes have been announced, there is a frenzy for resale contracts. And in the back of at least my mind, I think people of worried about the next step, which is more resale restrictions. With grandfathering most likely happening, I think people do not want to wait any longer to get those resale contracts.

Are there any new "changes" since March of 2011

 

[wordwitt]

We offered on Feb 22 and were notified that we passed ROFR on March 19th.

54 HH points September use year, just 28 points coming Sept 2013, 54 points coming 9/2014.
We paid asking price of $60.
This was the perfect amount we needed to add on to our HHI points, and in our use year, so I wasn't chancing on losing them.

I have a 90 point HHI contract that just went to Disney on Friday. Not wanting to lose it, I offered asking price of $57/point. It is a loaded contract and ideal for us. I did feel funny about paying that much, but we are happy with the overall price and the maintenance fees, which are pretty reasonable on 90 points even at HII.

 

[ELMC]

This logic is not going to work now. Since the changes have been announced, there is a frenzy for resale contracts. And in the back of at least my mind, I think people of worried about the next step, which is more resale restrictions. With grandfathering most likely happening, I think people do not want to wait any longer to get those resale contracts.

Well I did say "prepare to get outbid or negotiated up". My recent experience suggests that this strategy still works. I think it's irresponsible for me to say "go in offering to pay full asking price plus all fees". That's tantamount to advocating that someone throw their money out the window. While I agree with you that there is definitely increased activity in the resale market, I don't think it's necessary to go in at full offering price unless the contract is under priced or has a third year of points.

 

[DougEMG]

I think people finally figured out that stripped contracts don't get as devalued as they should on the resale market, so why not use every last point you can before selling?

Agree..if I was selling I'd definitely sell a stripped contract.

 

[ELMC]

Agree..if I was selling I'd definitely sell a stripped contract.

I think that stripped contracts have one advantage that we are overlooking, and that pertains to cash flow. Sure, buying a loaded contract and renting out the points will net the lowest cost, but some people don't have the desire to rent out points and others might not have that extra cash on hand to lay out upon closing. So while from a strict dollars and cents perspective loaded contracts are the best bet, buying a stripped contract has advantages which I have overlooked in the past.

 

[BWV Dreamin]

No one is saying to offer full price on resales listing. But offering rediculously low offers is not going to get you the contract anymore.

Yes I was told more resales changes coming but those with contracts going to ROFR and current resales contract owners will be grandfathered. No date mentioned. So we will see if it happens. Since DVC has yet to announce the new classic resort price increases don't hold your breath for any prior notification.

 

[BWV Dreamin]

I have sold 4 stripped contracts over the past 14 months. All but one were 60 pts. or less. The other was 170 pts. All were sold lower than the loaded contracts but all within $5 of the loaded contract prices. One was only $2 less. Two didn't even have points available till 2014.This was by far the best way for me to sell the contracts.

 

[nunzia]

Well I did say "prepare to get outbid or negotiated up". My recent experience suggests that this strategy still works. I think it's irresponsible for me to say "go in offering to pay full asking price plus all fees". That's tantamount to advocating that someone throw their money out the window. While I agree with you that there is definitely increased activity in the resale market, I don't think it's necessary to go in at full offering price unless the contract is under priced or has a third year of points.

I offered full price immediately to get my 125 at VGC. The agent said she had had several calls on that listing and I believe her. As soon as I offered asking price it was accepted and I'm sure there were some who had made lower bids. Since then..just a smonth ago...I have seen my $108 pp look reasonable as many are listed at $120 with sales pending. Depending on the resort and the availability of points, I don't think offering full price is throwing your money out the window anymore than any other luxury purchase.

 

[JVL1018]

I have a 90 point HHI contract that just went to Disney on Friday. Not wanting to lose it, I offered asking price of $57/point. It is a loaded contract and ideal for us. I did feel funny about paying that much, but we are happy with the overall price and the maintenance fees, which are pretty reasonable on 90 points even at HII.

The way we looked at it was we could offer $55, but if we lost it I would be kicking myself for quibbling about what would amount to less than $300.
We have 154 now with the add on, which will make life much easier for us in regards to booking. This year we had to wait til 7 months out and use out BW points.
We've been wanting more ever since a-my oldest started middle school so we couldn't go in lower point seasons and b-they changed the point structure.