I think I have found it!

[Belle091507]

The perfect contract for us - question though;

The contract comes with banked points listed as follows February use year 2013 150 2014 300

Does this mean that 2012 points are banked into 2013 and must be used by February and that 2014 points have been banked 2013 + 2014 points?

So if I rent out these points I'm going to have to do it fast after closing or lose them .

Am I understanding this right?

 

[Minniesgal]

The perfect contract for us - question though; The contract comes with banked points listed as follows February use year 2013 150 2014 300 Does this mean that 2012 points are banked into 2013 and must be used by February and that 2014 points have been banked 2013 + 2014 points? So if I rent out these points I'm going to have to do it fast after closing or lose them . Am I understanding this right?

It will be virtually impossible for you to offer this contract now and rent out those February points. You will probably own them at the earliest by end of December by which time it is highly unlikely you will find availability. If they are banked points which it looks like but I would ask broker to confirm they are virtually worthless and I would offer accordingly.

 

[Belle091507]

It will be virtually impossible for you to offer this contract now and rent out those February points. You will probably own them at the earliest by end of December by which time it is highly unlikely you will find availability. If they are banked points which it looks like but I would ask broker to confirm they are virtually worthless and I would offer accordingly.

Thanks!


I called the broker and left a message to make sure that they are listed as I understand them, waiting for a call back. I figured that they would be very difficult to rent as January is a popular month. Because it's not a huge amount of points I had a small hope but I will definitely factor it into my offer( thanks!) I was hoping to close by beginning of December but I forgot that it will take some time to get my membership ID points posted etc... Oh well, at least there is 300 points for next year!

 

[Minniesgal]

Thanks! I called the broker and left a message to make sure that they are listed as I understand them, waiting for a call back. I figured that they would be very difficult to rent as January is a popular month. Because it's not a huge amount of points I had a small hope but I will definitely factor it into my offer( thanks!) I was hoping to close by beginning of December but I forgot that it will take some time to get my membership ID points posted etc... Oh well, at least there is 300 points for next year!

It depends on lots of things, the closing agent and the sellers mostly but recently it has been taking an average 10 weeks for points to appear. It can be faster of course but it often isn't. It can take 2 weeks for closing documents to arrive after ROFR and it can take sellers a while to return the. My most recent purchase was slow but it took 5 weeks to close from passing ROFR. So I would count on 10 weeks average. Factor in the things will slow right down over the holidays and I think you are looking at closer to 10 than 8. I could be wrong but I suspect those points are very close to worthless. I mean you might be lucky but as it is unlikely id count on not being able to rent them and consider it a bonus if you can. As they will be extremely distressed points and as a new owner you have no track record or references you will probably have to rent them very cheap to even find someone to rent them so even if you are lucky you won't make much. Companies like David's etc won't touch distressed points or if they do take them they will rent them for next to nothing.

 

[Belle091507]

It depends on lots of things, the closing agent and the sellers mostly but recently it has been taking an average 10 weeks for points to appear. It can be faster of course but it often isn't. It can take 2 weeks for closing documents to arrive after ROFR and it can take sellers a while to return the. My most recent purchase was slow but it took 5 weeks to close from passing ROFR. So I would count on 10 weeks average. Factor in the things will slow right down over the holidays and I think you are looking at closer to 10 than 8. I could be wrong but I suspect those points are very close to worthless. I mean you might be lucky but as it is unlikely id count on not being able to rent them and consider it a bonus if you can. As they will be extremely distressed points and as a new owner you have no track record or references you will probably have to rent them very cheap to even find someone to rent them so even if you are lucky you won't make much. Companies like David's etc won't touch distressed points or if they do take them they will rent them for next to nothing.

Good to know- thank you for the information! Now to make my offer and hope it's accepted!

 

[Dean]

The perfect contract for us - question though;

The contract comes with banked points listed as follows February use year 2013 150 2014 300

Does this mean that 2012 points are banked into 2013 and must be used by February and that 2014 points have been banked 2013 + 2014 points?

So if I rent out these points I'm going to have to do it fast after closing or lose them .

Am I understanding this right?

There are options, maybe you could make a trip using those points BEFORE closing. You could deposit with RCI though for under 45 days there isn't much value there. You could also ask for a single exception and bank those points potentially.

 

[Belle091507]

There are options, maybe you could make a trip using those points BEFORE closing. You could deposit with RCI though for under 45 days there isn't much value there. You could also ask for a single exception and bank those points potentially.

By using those points before I would have to have the current owner book it right? Like renting but not. I guess this would be negotiated into the offer?

I'll admit I haven't researched RCI because I had no intention of using my points for non disney stays, guess I'll have to start looking into it.

Never heard of ' single exception' is it something that dvc occasionally grants to new resale members? If they allowed this I would have access to 4 years of points!

 

[Dean]

By using those points before I would have to have the current owner book it right? Like renting but not. I guess this would be negotiated into the offer?

I'll admit I haven't researched RCI because I had no intention of using my points for non disney stays, guess I'll have to start looking into it.

Never heard of ' single exception' is it something that dvc occasionally grants to new resale members? If they allowed this I would have access to 4 years of points!

I don't recall offhand an example of a new resale owner being able to use the one time double secret exception but wanted you to know as it might end up being your only direction option. If you chose to use RCI for this single time you'd likely need to deposit 160 but as I noted, once you're under 45 days out it's of so little value as to not be worth it. Were I about to buy in this situation for a Feb UY of 150 points all loaded as your situation, here's how I'd approach it given you are less than 4 months from the end of the UY. These options are somewhat dependent on availability and exact timing. Just make sure you're not reimbursing for fees on points you can't use.

I'd first make a standard offer and get it accepted and signed. Once that was on the books I'd start to negotiate using the points prior to closing if I could in some way, maybe through DVC directly, RCI, the BVTC or CC. Club Intawest has a couple of resorts in your general neck of the woods. If that didn't work out I'd be ready day 1 to make 1 or more reservations then offer that time up for rental at a reduced rate. One possible but convoluted option is to "trade" with another member where they used your short notice points then gave you SOME points back in the future.

 

[Belle091507]

I don't recall offhand an example of a new resale owner being able to use the one time double secret exception but wanted you to know as it might end up being your only direction option. If you chose to use RCI for this single time you'd likely need to deposit 160 but as I noted, once you're under 45 days out it's of so little value as to not be worth it. Were I about to buy in this situation for a Feb UY of 150 points all loaded as your situation, here's how I'd approach it given you are less than 4 months from the end of the UY. These options are somewhat dependent on availability and exact timing. Just make sure you're not reimbursing for fees on points you can't use.

I'd first make a standard offer and get it accepted and signed. Once that was on the books I'd start to negotiate using the points prior to closing if I could in some way, maybe through DVC directly, RCI, the BVTC or CC. Club Intawest has a couple of resorts in your general neck of the woods. If that didn't work out I'd be ready day 1 to make 1 or more reservations then offer that time up for rental at a reduced rate. One possible but convoluted option is to "trade" with another member where they used your short notice points then gave you SOME points back in the future.

Excellent information- thank you very much!

 

[ptlohmysoul]

The perfect contract for us - question though;

The contract comes with banked points listed as follows February use year 2013 150 2014 300

Does this mean that 2012 points are banked into 2013 and must be used by February and that 2014 points have been banked 2013 + 2014 points?

So if I rent out these points I'm going to have to do it fast after closing or lose them .

Am I understanding this right?

If you close on time, and that's a big IF, you could probably rent them fairly fast at $7/point. You should look at the requirements here on disboards to see if you qualify for renting them here (for free). For a 1-time rental, I don't see that it makes any sense to pay to be able to advertise the points.

 

[bumbershoot]

If you close on time, and that's a big IF, you could probably rent them fairly fast at $7/point. You should look at the requirements here on disboards to see if you qualify for renting them here (for free). For a 1-time rental, I don't see that it makes any sense to pay to be able to advertise the points.

I think it's availability that's the issue, though, not the interest. I had three teensy days to book in January and at one point the ONLY place open was SSR, and then that was gone. Rooms are opening up bit by bit in the last few weeks but it's still difficult. I'm having to move once for a 3 night stay because I had to change arrival and departure and that's what worked for me. Availability for January has been an issue...


Dean, I thought that if there is ANY reservation on an account that closing is delayed until that trip. So would it really be possible to have the current owner make that arrangement for the OP?

 

[Minniesgal]

I think it's availability that's the issue, though, not the interest. I had three teensy days to book in January and at one point the ONLY place open was SSR, and then that was gone. Rooms are opening up bit by bit in the last few weeks but it's still difficult. I'm having to move once for a 3 night stay because I had to change arrival and departure and that's what worked for me. Availability for January has been an issue... Dean, I thought that if there is ANY reservation on an account that closing is delayed until that trip. So would it really be possible to have the current owner make that arrangement for the OP?

It is theoretically possible if the trip takes place before closing, but practically I'm not sure sellers would go for it.

 

[Belle091507]

Well I placed my offer- found out there is another offer as well but hope the seller picks mine!

I also mistakenly wrote February use year- it's a march use year( I was looking at 2 different contracts) so I have an extra month to try and figure something out with those points. The broker confirmed that they are indeed 2012 points banked into 2013 and that 2014 has 2013 banked with 2014 available. I will probably try and use some in February and/or rent the 2012-2013 and maybe bank the 2014 points as we have a cruise booked for October out of San Juan on the magic and weren't planning a WDW trip until 2015!

I'm trying not to get ahead of myself as I don't even know if the offer was accepted never mind if it will pass ROFR but I'm so excited! We have been researching dvc for over a year now and I'm happy we are finally getting the ball rolling!

Thanks for all your input everyone!

Melissa

 

[Dean]

Dean, I thought that if there is ANY reservation on an account that closing is delayed until that trip. So would it really be possible to have the current owner make that arrangement for the OP?

They cancel them at the final transfer. In this situation it could be easy to get an agreement that would allow use of the points and not hold up closing much or at all.