Mait fees - scary

[Kim Gillihan]

how do you wrap your head around these fees on top of the expense of buying in?

I want at least 200 points and of course the more points you have the more fees you pay. I just came across a contract for 300 points which looks really great but the maintenance fees are just under 2000 a year

Which made me think. Wow!

I know a lot of people on here have a lot of points and some with multiple contracts I'm just wondering how you feel about paying these fees?

 

[ScubaCat]

It's wonderful. Paying that money gives me great pleasure.

Seriously, it's just part of the deal. If you want to own, you have to pay them

 

[DougEMG]

With a 3-4% average annual increase in maintenance, you'll end up paying a lot more in MF over the life of you contract then the initial purchase price.

 

[disneynutz]

The dues cost is part of ownership. Take a look at the loaded costs of buying including dues, admission,travel, food, and Disney extras and you can really get scared.

Bill

 

[ziravan]

Many people bought more points than they need and rent out points to offset MFs

More or less: $6 pt in fees, $14 value to rent.

Our example: We use about 250 points per year for personal use. I own 420 points and rent out about 170/yr. I owe a little more than $2500 in MF offset by a little less than $2400 in rental income.

This yr I've rented 181 pts so MF and rental income will be a straight up wash.

Meanwhile we have enough personal points to stay a week at Poly and a week at BCV each year.

 

[Kim Gillihan]

Many people bought more points than they need and rent out points to offset MFs

More or less: $6 pt in fees, $14 value to rent.

Our example: We use about 250 points per year for personal use. I own 420 points and rent out about 170/yr. I owe a little more than $2500 in MF offset by a little less than $2400 in rental income.

This yr I've rented 181 pts so MF and rental income will be a straight up wash.

Like that idea! Where do you own and as far as renting does that matter?

The dues cost is part of ownership. Take a look at the loaded costs of buying including dues, admission,travel, food, and Disney extras and you can really get scared.

Bill

no kidding. I guess just like those other things u try and not think about it!

 

[Kim Gillihan]

With a 3-4% average annual increase in maintenance, you'll end up paying a lot more in MF over the life of you contract then the initial purchase price.

I know! More scary. But I want to do this!

 

[Kim Gillihan]

It's wonderful. Paying that money gives me great pleasure.

Seriously, it's just part of the deal. If you want to own, you have to pay them

Lol. I know! Just was curious how people justified it. I guess like anything u don't need but want. Like my swimming pool. Hard to justify.

 

[ziravan]

Like that idea! Where do you own and as far as renting does that matter?

no kidding. I guess just like those other things u try and not think about it!

I own at Poly and BCV. If I worked them, I could get $16/point. As it is, I normally rent inside the 11 month window at $14/point and never have difficulty finding renters.

This year, I rented two reservations. The first renter sought me out word of mouth. The 2nd renter I found the same day I started looking.

 

[supersnoop]

Many people bought more points than they need and rent out points to offset MFs

More or less: $6 pt in fees, $14 value to rent.

Our example: We use about 250 points per year for personal use. I own 420 points and rent out about 170/yr. I owe a little more than $2500 in MF offset by a little less than $2400 in rental income.

This yr I've rented 181 pts so MF and rental income will be a straight up wash.

Meanwhile we have enough personal points to stay a week at Poly and a week at BCV each year.

Don't forget about income taxes on the rental income.

 

[Lynne M]

Lol. I know! Just was curious how people justified it. I guess like anything u don't need but want. Like my swimming pool. Hard to justify.

Well, you look at the total cost....buy-in plus maintenance fees...compare it to your current lodging costs, and see if the money you're spending is worth what you're getting.

Don't get hung up on the MF as some extra fee that's being tacked on. It's not. It's the core cost of owning a timeshare. You're becoming a part-owner of a resort, and you're paying your share of the operational budget of that resort every year.

 

[DougEMG]

For me the purchase price and ongoing maintenance fees still end up being a cheaper way to stay at a deluxe Disney resort over the long run than either renting points or booking through Disney. So I don't really worry about paying the MF and just consider it part of the cost of the trip.

 

[njprb]

For me the purchase price and ongoing maintenance fees still end up being a cheaper way to stay at a deluxe Disney resort over the long run than either renting points or booking through Disney. So I don't really worry about paying the MF and just consider it part of the cost of the trip.

I agree. We look at it as comparing to what we would have paid to rent a 1 or 2 bdrm from disney. The maintenance fee ends up being cheaper. Plus it forces me to take a vacation each year.

 

[Dean]

how do you wrap your head around these fees on top of the expense of buying in?

I want at least 200 points and of course the more points you have the more fees you pay. I just came across a contract for 300 points which looks really great but the maintenance fees are just under 2000 a year

Which made me think. Wow!

I know a lot of people on here have a lot of points and some with multiple contracts I'm just wondering how you feel about paying these fees?

One needs to look at it but here's the thing, if you're going and staying on property, you're paying for the room over time. Assuming comparable volume, frequency and LOS; one will save money over time compared to a similar room on cash or renting DVC not through Disney. Compared to a moderate or value, it may not save money but will add value. IMO this is one of those areas where those who normally stay value or moderates end up paying a lot more money over time. It's the "your eyes are bigger than your stomach" approach. They go from a value or moderate to a high end DVC resort where it's more to buy in, higher fees AND more points for a stay. IMO it's often better to underbuy in terms of resort or number of points depending on specifics and one's level of knowledge and experience. If you think you need 300 and are looking at a high end option, buying 250 at a lessor resort might be best. Put another way, buy SSR at 250 might be better than buying 300 at BLT, VGF or Poly. Few new buyers truly know what they're longer term preferences will be but a lot of them think they know. Remember the higher end options are both higher cost per point AND more points to stay in many cases. That may be perfect for some but often it isn't.

 

[OKW Lover]

how do you wrap your head around these fees on top of the expense of buying in?

How do you wrap your head around making repairs to your house after buying in? Same concept.

 

[miTnosnhoJ]

First, DVC is a luxury item, so if the Maintenance Fees could present a hardship for you, even if you pay the initial purchase in full, then stay away. Also, if you will resent paying $2000 to Disney every year, stay away. You can certainly stay offsite and spend less than $2000 total. I did for many years.

It is sort of like buying a hotel room, but a more helpful analogy for buying DVC would be buying a cabin at a lake. You pay for the cabin. You get to stay there several weekends throughout the year, and maybe even some full weeks. When something goes wrong, you have to pay to fix it. When it needs to be painted, you pay to have that done. If the grass needs cutting, it is your responsibility. If you have to replace the refrigerator, the washing machine, the hot water heater, etc. it is on you. You have to pay the real estate taxes. You have to buy the insurance. From time to time, it may need some serious repairs. DVC is similar. The maintenance fees go in to a pool of money that pays for these things.

 

[MrInfinity]

I want at least 200 points and of course the more points you have the more fees you pay. I just came across a contract for 300 points which looks really great but the maintenance fees are just under 2000 a year

Yeah, but our trips were starting to run us $6000/hotel for 2 rooms, and that's not even what we want. We'd want a suite, and those would run closer to $10,000. So compared to the real cost of vacationing, $2,000 to get a 2-bedroom apartment for 8 nights every year is not so bad.

how you feel about paying these fees?

How I feel? Well, I bought them because I wanted them. I can't see doing that then feeling bad about paying for them... It's costing me less to get what I want out of vacation so I'm pretty ok w paying them.

The maint fees should be less than the price to stay in a Deluxe for the same time. So if you would otherwise do that, then you'd be ahead of the game if you can afford the buy-in.

 

[Kim Gillihan]

One needs to look at it but here's the thing, if you're going and staying on property, you're paying for the room over time. Assuming comparable volume, frequency and LOS; one will save money over time compared to a similar room on cash or renting DVC not through Disney. Compared to a moderate or value, it may not save money but will add value. IMO this is one of those areas where those who normally stay value or moderates end up paying a lot more money over time. It's the "your eyes are bigger than your stomach" approach. They go from a value or moderate to a high end DVC resort where it's more to buy in, higher fees AND more points for a stay. IMO it's often better to underbuy in terms of resort or number of points depending on specifics and one's level of knowledge and experience. If you think you need 300 and are looking at a high end option, buying 250 at a lessor resort might be best. Put another way, buy SSR at 250 might be better than buying 300 at BLT, VGF or Poly. Few new buyers truly know what they're longer term preferences will be but a lot of them think they know. Remember the higher end options are both higher cost per point AND more points to stay in many cases. That may be perfect for some but often it isn't.

Great points! One issue My husband wants to stay in one or 2 bed vs studio preferably. To him that's the reason for doing this. But that's more points needed..... I'm looking ssr and akv leaning akv because I know I'll love it! But not counting out ssr if find great contract.

 

[Dean]

Great points! One issue My husband wants to stay in one or 2 bed vs studio preferably. To him that's the reason for doing this. But that's more points needed..... I'm looking ssr and akv leaning akv because I know I'll love it! But not counting out ssr if find great contract.

All any of us can do is bring up various components and what we would do in a given situation, you'll have to absorb it and make your own decisions. And since none of us truly know all the preferences and thought processes anyone is going through, it's not going to be a perfect recommendation. It's easier to say what not to do rather than what to do such as don't buy for cash exchanges (DCL, etc), don't buy retail except in limited situations or don't finance. That said, here are a few thoughts. I feel one should spend enough time and have enough Disney, DVC & timeshare experience to make an informed decision. To me that's around 6 months of active investigation for someone new to the specifics of DVC and at least some Disney & DVC experience. The more other timeshare and the more Disney experience one has, the better decision one can make.

One who has deluxe experience can make a better decision than one who only has value experience. One who has DVC experience, can make a better decision than one who doesn't. One who has a fair amount of other timeshare experience and some Disney experience is likely OK. One who goes one trip and buys DVC with no timeshare experience, has debt and finances DVC is simply playing Russian Roulette.

Going from hotel rooms or studios to a 1 BR is a big jump in price, not so much from 2 rooms to a 2 BR. It simply falls under the idea of added value over savings. IMO it's rare for one to save much with the extra facilities but common for people to justify it that way. As for AKV vs SSR, I don't think you can go wrong with either. SSR will be cheaper and I personally feel getting in to AKV Kidani won't be that difficult but it may require using the wait list at times. Maybe you should stay at SSR first if you haven't. IF you buy SSR and it doesn't work out, you can always sell later with minimal loss. I would strongly suggest deciding what you want in terms of UY, home resort and number of points rather than letting the "best contract" drive your choices. Once you do that, just set out to find and act on that contract when you find it. Or one could buy less points at SSR and try it out then maybe buy elsewhere later (?AKV) as an add on or sell and buy elsewhere if it doesn't.

 

[kniquy]

I would say once you meet your break even point then paying the MF isn't so scary because if you compare to what that same direct room would cost then it would make paying that MF much easier. What would be scary for me would be financing, having that monthly payment and then being hit with the MF in January on top of the monthly payment.

I just paid my MF for our 120 points at AKV -- ~ $780 so even with next years MF - we will be paying in ~$1500 - to stay in a 2BR at AKV -- direct that would cost between $5500 - $6500. So i am actually happy paying my MF.

Even though they will go up every year -- the cost of hotel rooms are going to go up as well and possibly at a similar 3-4 %.