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

[DizBub]

Originally Posted by Joey7295

Submitted Today 2/25

OKW 100 points February UY - $58/point. 100 banked 2012 points, 100 2013 and all 100 going forward. Buyer pays closing, 2013 MF, and admin fee.

Very nice! I was looking at that one and it was GONE the next day.

Best of luck!

[DougEMG]

Originally Posted by Jobelly

Been trying to decide on BCV or SS and offered on a SS 300 point Feb with 0 for 2013 and full for 2014. We went up to $53 a point but with seller to pay closing (after reading all the prices of around $50 thought that was fair) but they won't budge below $56 with buyer paying closing. Does anyone think that's a fair price or am I right in thinking its pretty high.
Broker said a fair price is $60-$65 a point. I am a bit unsure who's side (so to speak) the broker is on.

That is not a fair price at all, that broker doesn't know what he is talking about.
SSR has the most number of resale contracts out there so there is a lot of supply for you to pick from.

While costs ($/point, closing and any MF) are one component, the other component is how many points are on a contract. Two contracts with all the same costs but one having 3 years of points and the other having no points are not equal value even though their costs are the same.

I value points that a contract comes with at either $11/point if I plan to rent them out or at their MF if I plan to use them.

Stripped contracts in general always work out to a higher $/point costs when factoring this into account.

A fair price for that contract would be $40-45 point, which would be equivalent to buying a contract for $60/point that had 2 years of point on it and you had to pay the MF.

[cz4ever]

Originally Posted by DougEMG

That is not a fair price at all, that broker doesn't know what he is talking about.
SSR has the most number of resale contracts out there so there is a lot of supply for you to pick from.

While costs ($/point, closing and any MF) are one component, the other component is how many points are on a contract. Two contracts with all the same costs but one having 3 years of points and the other having no points are not equal value even though their costs are the same.

I value points that a contract comes with at either $11/point if I plan to rent them out or at their MF if I plan to use them.

Stripped contracts in general always work out to a higher $/point costs when factoring this into account.

A fair price for that contract would be $40-45 point, which would be equivalent to buying a contract for $60/point that had 2 years of point on it and you had to pay the MF.

Doug speaks the truth. Stripped contracts are (or should be) worth a ton less than loaded ones. Your broker is full of nuts. They make their money when a deal closes, and if they know the seller won't budge, they're motivated to get you to budge. Walk away, imho.

[Jobelly]

Thank you, I'm happier now to stick with it and look for another contract. Even the $53 seems a bit high now.
Understand a bit better about brokers now.

[moreisgood]

I'm looking at the asking prices on the most popular resale websites, and looking at the negotiated prices at the beginning of this discussion, and they are pretty far apart. Is that typical, or is the market starting to move up?

[puffkin]

Originally Posted by moreisgood

I'm looking at the asking prices on the most popular resale websites, and looking at the negotiated prices at the beginning of this discussion, and they are pretty far apart. Is that typical, or is the market starting to move up?

Just realize only a small percentage of the people purchasing are posting on these boards. Also, some people may feel "embarrassed" to post if they didn't get an awesome deal for whatever reason. So the prices on this site are a bit skewed. It does go to show you that these prices are possible and what does get through ROFR. No matter what you end up at, it's still a lot cheaper than direct!

[cz4ever]

Originally Posted by moreisgood

I'm looking at the asking prices on the most popular resale websites, and looking at the negotiated prices at the beginning of this discussion, and they are pretty far apart. Is that typical, or is the market starting to move up?

Both. The market does seem to have firmed over the last year, and Disney is being more aggressive about ROFR'ing the best deals. On the flip side, the people posting here tend to be some of the most knowledgeable and thrifty buyers around, often willing to accept dozens of rejections before finally finding a particularly motivated seller. Consider the prices listed in the first post as the lowest you can realistically expect to achieve, and if you are even close you are doing very well.

[silmarg]

Originally Posted by puffkin

Just realize only a small percentage of the people purchasing are posting on these boards. Also, some people may feel "embarrassed" to post if they didn't get an awesome deal for whatever reason. So the prices on this site are a bit skewed. It does go to show you that these prices are possible and what does get through ROFR. No matter what you end up at, it's still a lot cheaper than direct!

Well said puffkin.
Here is my take...
There are two markets in the dvc world (direct and resale). I think that several buyers in the direct world that are unaware that the resale market exists (and some might change their purchase if they knew all the facts).

Likewise within the resale world there are two markets (those that accept what the broker says the going rate is and those that are aware of threads like this where the aggressive side of the market exists). Once again those that are in the former group knew about the latter might change their buying pattern.

I think many contracts sell at or near the broker price. This is confirmed, IMO, by the fact that some brokers won't entertain some of the low offers made by people on this board.

[lville23]

Just got the word that Disney waived ROFR on the following two smaller OKW contracts:


OKW - 50 pts / Dec UY / $52 / 2012=50, 2013=0, 2014=50
OKW - 50 pts / Dec UY / $52 / 2012=68, 2013=25, 2014=50

Buyer and Seller split closing costs ($213 each) and seller paid maint for the few 2013 pts (same seller). Submitted to Disney on 2/1/13 and got the news today, 2/26/13

75 of the 2013 pts were borrowed, so the 2012 points need to be used by 11/30/13. A bit messy but I can work with it and I am sure this is why I passed ROFR.

Still waiting on a larger OKW contract with a different broker, but should hear today or tomorrow on that one as well. These were add ons that were submitted after the "other" contract...

[DannysMom]

Originally Posted by Jobelly

Thank you, I'm happier now to stick with it and look for another contract. Even the $53 seems a bit high now.
Understand a bit better about brokers now.

$53 is an excellent price. Keep offering only what you are willing to pay. eventually you will hit a seller that will agree. Just know that the folks that post here, are but a small sample. And it can be self selecting in that, if folks did not get the absolute best deal possible, they may not report here at all. I take this thread to be lowest prices out there. Not average.

Sent from my iPad using DISBoards App, please excuse any typos or autocorrects!

[ELMC]

Originally Posted by lville23

Just got the word that Disney waived ROFR on the following two smaller OKW contracts:


OKW - 50 pts / Dec UY / $52 / 2012=50, 2013=0, 2014=50
OKW - 50 pts / Dec UY / $52 / 2012=68, 2013=25, 2014=50

Buyer and Seller split closing costs ($213 each) and seller paid maint for the few 2013 pts (same seller). Submitted to Disney on 2/1/13 and got the news today, 2/26/13

75 of the 2013 pts were borrowed, so the 2012 points need to be used by 11/30/13. A bit messy but I can work with it and I am sure this is why I passed ROFR.

Still waiting on a larger OKW contract with a different broker, but should hear today or tomorrow on that one as well. These were add ons that were submitted after the "other" contract...

Victory! Congrats.

[moreisgood]

Originally Posted by puffkin

Just realize only a small percentage of the people purchasing are posting on these boards. Also, some people may feel "embarrassed" to post if they didn't get an awesome deal for whatever reason. So the prices on this site are a bit skewed. It does go to show you that these prices are possible and what does get through ROFR. No matter what you end up at, it's still a lot cheaper than direct!

As I thought. I'm a real estate agent, and everyone loves to tell about the "steal" they got, but when they pay the typical price, they talk about the great back yard!

I have come up with a set of equations that I think determine the "real" price of a contract, factoring in the points available situation. Is there anything like that here that I haven't seen? I'd like to see if I got it right, and I'd be willing to share it if there is interest.

[silmarg]

Originally Posted by moreisgood

As I thought. I'm a real estate agent, and everyone loves to tell about the "steal" they got, but when they pay the typical price, they talk about the great back yard!

I like the analogy!

Originally Posted by moreisgood

I have come up with a set of equations that I think determine the "real" price of a contract, factoring in the points available situation. Is there anything like that here that I haven't seen? I'd like to see if I got it right, and I'd be willing to share it if there is interest.

I would love to see it!

[DisneyFansInLINY]

Originally Posted by puffkin

Just realize only a small percentage of the people purchasing are posting on these boards. Also, some people may feel "embarrassed" to post if they didn't get an awesome deal for whatever reason. So the prices on this site are a bit skewed. It does go to show you that these prices are possible and what does get through ROFR. No matter what you end up at, it's still a lot cheaper than direct!

The broker I am using told me flat out that these people are lying. I am not saying that I believe her. As she was trying to sell me a contract that I was hesitant about. So I know it may have been a sales tactic to get me to accept a counter-offer. And it of course worked as I didn't want to take a chance to see if I could find a better deal elsewhere.

The ironic part of it all is that I noticed alot of these so-called "liars" use her realty office lol. I didn't bother to tell her this but thought that it was interesting. I guess brokers don't want you to know or believe this thread!

[silmarg]

Originally Posted by silmarg

silmarg --- 160 SSR (Aug), $52.50, '0 12 pts, all '13 & 14 pts, buyer pays closing and mf (sub 2/5)

1/29AM - Offered $50
1/29PM - Countered $55
1/29 - Agreed upon $52.50
2/1 - Contract Recieved
2/4 - Contract Signed
2/5 - Sent to DVD for ROFR.
2/26 - Passed ROFR

Just got my email from Fidelity. Passed ROFR!

Pretty quick - the fact that I was on the Disney Fantasy last week make the wait much more palatable!