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-   -   a few things to make you go hmm... (http://www.disboards.com/showthread.php?t=3217736)

mrsgoose8 01-06-2014 06:30 AM

a few things to make you go hmm...
 
So I am relatively new to the DIS, Disney in General, and DVC.

We bought around April from Disney, 100pts at AKV, because that was the best "deal". We wanted the flexibility for a possible disney Cruise use of our points, now I'm thinking it wasn't worth it, based on the # points required for a cruise! Yikes! Does anyone actually use points to cover the cost of a cruise?? does it make more sense to just give up on that one and focus on the WDW/DL locations. :)?

We did use Disney Financing, which thankfully WAS a smart choice because we found out a few months later we were moving due to Hubbs job, and took a loss on our home. We didn't use our savings on the DVC so we had it to cover the loss.

BUT the % on the loan is higher than I'd like... does anyone know if it is possible to refinance or something like that. I'm thinking we could possibly get a personal loan... am I correct?

If I want to get more DVC points, does it make more sense to buy resale at another resort, but try to have the same (Dec) UY? At this point that's more of a dream but I'm just sort of thinking aloud here...

we have our first ever DVC stay coming up this week so I'm sure I will figure some things out after this trip!

Thanks for thoughts ! :)

sleepydog25 01-06-2014 07:42 AM

There are some folks who are quite passionate in their beliefs about the best way to use DVC points, financing, and resale vs. direct sale, and I suspect you may get a few to weigh in here. I'll try to keep my comments on an even keel, however. ;)

First, most posters will tell you, and rightfully so, that using your points on a cruise isn't the best option since as you have discovered, the points needed for a cruise are tremendously high. However, there are times when using those points for a cruise might be convenient. The consensus is instead of using points for a cruise, rent the points and use the cash toward paying on a cruise--you'll almost always make out better. Still, they are your points, and if you feel like using them on a cruise at some point, don't stress. DVC points have there most worth when using them for a WDW or DL DVC resort to be sure.

Second, refinancing is always an option, and if you can find a better deal, there seems little reason not to do so. I'd be surprised if someone doesn't come on here and mention how they would never finance a timeshare purchase (which is what DVC actually is), but again, it's a personal choice. If you can afford it, I wouldn't worry about that position, either.

Third, buying resale is almost always a cheaper option than going direct through Disney. I have done both, and there are advantages in either case. Resale is where the better value lies in a strict economic sense. There are certain restrictions on points bought through resale, such as not being able to use those points for a cruise; otherwise, they are currently treated the same as direct sale points. I stressed currently because Disney could at any moment elect to put more restrictions on points purchased via a resale outlet. However, wondering what Disney will or won't do is largely an exercise in futile thinking. To many, the lower cost of resale is always the better route.

However, buying direct can have some advantages such as not worrying over any restrictions, no worries over ROFR, and in general, a faster time between purchase and being able to use your points. Further, many have observed that going direct through Disney for a small add-on contract at their home resort for the same UY can be simpler as the agent will keep an eye open for the proper fit rather than you having to pore over numerous resale sites and because Disney streamlines the process for you. Our last contract, a small add-on at our home VWL, was a direct buy from Disney. At the time, the UY we wanted in a small contract was nearly impossible to find via resale. To be fair, we were on waitlist for nearly four months to get the contract we wanted through Disney, but the price per point for the add-on wound up being less expensive than the cost for similar contracts via resale sites (at least the offered price--we likely could have dickered for a lower price). Above all, it was a painless, streamlined process to go via Disney for our desired contract.

Hopefully, these answers, while by no means comprehensive, will aid your future decisions. Good luck and welcome home! :thumbsup2

DizBub 01-06-2014 08:51 AM

I agree with what sleepydog25 said. Nice post.

You can refinance. We refused to finance with Disney as it was crazy high so we arranged our own financing. Saved a lot of $.

Relax and enjoy your upcoming trip. :)

chalee94 01-06-2014 09:07 AM

Quote:

We bought around April from Disney, 100pts at AKV, because that was the best "deal". We wanted the flexibility for a possible disney Cruise use of our points, now I'm thinking it wasn't worth it, based on the # points required for a cruise!
the best value for using DVC pts is at DVC resorts. we try to warn newbies that it's not worth it to pay extra to buy direct just to get options like cruises and stays at the hotel del coronado in san diego, as they are super expensive. but once you are in, just use the pts however you prefer.

Quote:

We did use Disney Financing, BUT the % on the loan is higher than I'd like... does anyone know if it is possible to refinance or something like that. I'm thinking we could possibly get a personal loan... am I correct?
there are a lot of options for refinancing, some still allow you to deduct the interest from your taxes and some don't. if the rate is low enough, that shouldn't make a difference.

Quote:

If I want to get more DVC points, does it make more sense to buy resale at another resort, but try to have the same (Dec) UY? At this point that's more of a dream but I'm just sort of thinking aloud here...
keeping the same UY makes things easier, yes. just be aware that if you buy a different resort, you cannot pool the pts at 11 months out. if you are booking AKV at 11 months out, you still only have access to the pts from the AKV contract (and vice-versa with the other contract's home resort) - it's like you don't even own another contract. you can only pool pts for booking at 7 months out.

mrsgoose8 01-06-2014 11:27 AM

thanks everyone! I do wish we had known about the disboards before we bought DVC but C'est la vie!

I do see the best value (now!) as being at WDW which is where the majority of our vacations will be-- I <3 Dis. My hubby was more interested in future flexibility, especially when our kids are older. But Good point about renting to get the cash for the cruise. We also have many many mariott points for something like that (we probably won't ever stay at Aulani because we can stay at Mariott in HI).

How difficult is it to buy resale? I do understand about the booking window, but I wouldn't mind having 100-200 points more either at AKL or BLT (to get in there earlier). I think I would want to have another Dec UY just to keep me from losing out on banking!
:) Thanks for the comments, superhelpful!

chalee94 01-06-2014 11:33 AM

Quote:

Originally Posted by mrsgoose8 (Post 50409835)
How difficult is it to buy resale?

it's really easy to do, it mostly just takes longer.

you do want to keep an eye out for whether the contract is "loaded" (it includes banked pts and all current and future pts) or "stripped" (there are no points coming until 2015 or so).

you should also be aware that disney has the option to ROFR a resale contract. (Right of First Refusal means that if you make a great deal on the contract, disney has the option of taking your place at the table and taking the contract for themselves. you just have to start over from scratch.)

there is a ROFR thread that you can search for that might give you an idea of ballpark offer prices for different resorts.

mrsgoose8 01-06-2014 12:08 PM

Thx! I guess step one will be convincing hubby we need more points :)

disneynutz 01-06-2014 12:44 PM

You are now beginning to see the DVC behind the curtain. :goodvibes

I suggest that you wait to buy more contracts, use your existing points to sample the other resorts, then if you find your favorite and based on experience you find that Disney and the DVC works for you, buy then.

We made the mistake of getting all excited and buying resorts that are wonderful, but not our favorites. Expensive lesson learned.

:earsboy: Bill

SolPlyr 01-06-2014 01:24 PM

With regards to the refinancing.....

Can you refinance directly through Disney? Or do you have to go through a third party?

chalee94 01-06-2014 01:37 PM

Quote:

Originally Posted by SolPlyr (Post 50410883)
With regards to the refinancing.....

Can you refinance directly through Disney? Or do you have to go through a third party?

i'm pretty sure you'd need a third party.

rkold 01-06-2014 05:32 PM

And if you want to keep UY the same, I'm pretty sure I read in another thread that the majority of AKV UYs are December. So finding a December UY resale (if you decide you want more AKV points) would not be impossible.

PacoDF 01-06-2014 06:10 PM

Quote:

Originally Posted by rkold (Post 50413035)
And if you want to keep UY the same, I'm pretty sure I read in another thread that the majority of AKV UYs are December. So finding a December UY resale (if you decide you want more AKV points) would not be impossible.


Approximately 30% of the total existing AKV contracts have December UY.


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