Adding on vacation points not through disney

Discussion in 'Purchasing DVC' started by disneybaker, Mar 24, 2013.

  1. ELMC

    ELMC DIS Veteran

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    I strongly disagree with this statement. If you look at booking with a discount or renting points for DVC stays, then buying direct at today's prices is a losing proposition for the first 15 years or more. That doesn't seem like a good price to me.

    I know I sound like I'm nitpicking when I object to the term "guide" (or in your case "advisor") but I really do object to the use of that term. It signifies a mentality of the consumer that believes that these people are actually here to help you and have your best interests at heart. DVC salespeople are not advocates looking out for you. They are salespeople who represent a product and get paid when they sell that product. On average they are better than timeshare salespeople from other companies, and there is a range even within DVC. But you would be wise to stop calling them advisors and start calling them what they really are...salespeople.

    As for the math, there's a reason why you can't make sense of it. It doesn't make sense. DVC salespeople are using closing costs to try to equalize resale and direct purchases, but recent reports are that closing costs for direct purchases have gone up so that they are now about 50% of the closing costs of resales (about $200). There is no way that a purchase of any size resale contract at any reasonable cost would not be a savings given these numbers. As far as financing your purchase, you should really do the math on that and see what kind of costs it adds to DVC.

    You're conflating issues here. Yes it is more convenient to buy a small contract direct (although with the recent growth of the waiting list this is now debatable). It is definitely easier to call DVD and sign up to buy a small contract as opposed to stalking the resale sites and dealing with all the competition. So those points you made are completely valid.

    But your other claims about not really saving and the price being equal are simply not true. Even using your example of a stripped contract, the price per point works out to be $85 per point (including closing and adding $11 in lost value for the missing points. An equal direct purchase would be about $102 per point. So you are saving, in this case $17 per point. And this is at the old rates. OKW is now $130 per point, so the difference is actually $47 per point.

    So go ahead and make all the convenience arguments you want, because they're totally valid. Talk about how you want the real deal or you don't want to deal with the hassle of resale, because I can respect that opinion even though I don't share it. But when you try to justify the purchase using dishonest figures or comparisons, you lose credibility across all your arguments.
     
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  3. dwight16

    dwight16 Mouseketeer

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    what was the increase in the cost of a 1 day park ticket over this same time and compare it with the increase of the cost per point of the DVC i bet they are not that off....
     
  4. scottashackleton

    scottashackleton Disney Couple for Life!

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    Must have misread the title of this thread. Didn't think it had anything to do with everyone tooting their own horn about their degrees and credentials.
     
  5. Apps

    Apps Mouseketeer

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    I didn't indicate whether direct/indirect is priced right. My only point is that prices usually settle at an amount that consumers feel is priced correctly especially in a free market. It also doesn't matter whether you feel its priced correctly if demand exceeds supply...you may feel its overpriced but many people who purchase at direct prices do not feel this way.

    Obviously, the wait-lists for Disney's direct points say that higher prices are warranted. If I were Disney, I would keep raising prices until i found the point that supply exceeds demand :)
     
  6. drusba

    drusba <a href="http://www.wdwinfo.com/dis-sponsor/index.

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    Returning to how this thread started: OP there are resale brokers that have significant experience and ability in selling DVC resales, The Timeshare Store being one is a sponsor of this site and you can easily find it just by going to its ad at the top of the page. It is cheaper to buy resale. Disney has a limitation in that points purchased resale cannot be used for certain Disney Collections (regular Disney hotels other than those at Disneyland, Disney's concierge collection of hotels, the cruise, and Disney adventure vacations). Most do not consider that a loss and they are perks that could be taken away at any time from everyone if DVD felt like it.

    In looking, you will have issues to be aware of. One is that you should try to find a resale that is in the same use year as you; that way the contract will be combined with your existing contract for the purpose of reserving and banking as long as DVD is informed that is desired when the purchase is made. If you buy one in a different use year that becomes a separate contract the same as if it belonged to a new member and its points cannot be combined with prior contract to reserve any single day absent a formal transfer of points. A second issue is that it may be difficult to find a low point contract like 50 for your resort in your use year and your option is to wait-list with the brokers or go buy from Disney. Third is that low point contracts sometimes demand a premium because they are in high demand but it is still a price much lower than Disney. Fourth is that you need to make sure you know exactly what you are buying when doing a bid as it relates to points because some contracts will have existing use year points, some both existing and some banked points, and some may have no current points and all points from the next use year may have already been borrowed and used (called a stripped contract) with the effect that you get no points for more than a year and possibly two. Fifth is to know that all things are negotiable although that will likely be less so for a small contract but, particularly for those stripped contracts, you should be asserting that the seller not you should cover dues for the remainder of the year.

    The main advice anyone can give with a resale is to have patience. If you must have whatever you want immediately then resale may not be your best option including because even if you can find a resale and get it, it takes time to get to closing and to get to the actual use of the points shortly after closing. Note as to closing costs, buyer does pay them with a Disney sale and usually with a resale although even that is negotiable in a resale.
     
  7. ParkHoppers

    ParkHoppers Mouseketeer

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    I have a UY of August. We vacation mid October to mid December. If I bought a resale contract with UY of September or October how would this affect me at the time I make a reservation at my home resort at the 11 month window?
     
  8. Dean

    Dean DIS Veteran<br><a href="http://www.wdwinfo.com/dis

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    It wouldn't have any effect on reservations within that contract. It would have effects if you had to cancel or if you were trying to combine points for a single night or to do 7 days or more using the 2 contracts together. August is fine for what you're doing, if you could get the same UY, you'd be better off.
     
  9. ParkHoppers

    ParkHoppers Mouseketeer

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    When dealing with a resale broker do you tell them to look for a contract with an August UY or do you just keep searching resale sites until you find what you are looking for. thanks in advance.
     
  10. Dean

    Dean DIS Veteran<br><a href="http://www.wdwinfo.com/dis

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    Both plus get on any email list they may have for advanced notice of any upcoming contracts to be listed.
     
  11. JKMJ441724

    JKMJ441724 Um, I'm going to go with "NO."

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  12. ParkHoppers

    ParkHoppers Mouseketeer

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    Thank you for the advice. We plan on adding to our current points by maybe 100 or so the beginning on next year. I have been lookin for a couple of months to get an idea and have not seen the August UY at BLT at all.
     
  13. Dean

    Dean DIS Veteran<br><a href="http://www.wdwinfo.com/dis

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    The BLT numbers will likely be fairly low for some time. I'd start looking now if you're serious about the need and you have the finances. You might even end up with additional points and possibly be able to get by with a slightly smaller contract of say 75-90 if you got an extra years worth of points.
     
  14. Sur

    Sur Love the Dis

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    If you ever wondered the gender of a poster, read a thread like this one.... my mind blanks out while reading sometimes! :faint:
     
  15. ParkHoppers

    ParkHoppers Mouseketeer

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    What a strange comment to make.:confused3
     
  16. dbs1228

    dbs1228 DIS Veteran

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    Keep looking because I have seen many Aug UY BLT contracts - Aug is my UY and there is actually 4 listed on Fidelity's website now - only 1 that is 100 points way over priced but they do come up just keep looking! Good luck
     
  17. ParkHoppers

    ParkHoppers Mouseketeer

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    Thank you for the heads up on Fidelity. Is the price they are asking non negotiable or can you make any offer you like? I am new to resales as I bought direct for our first contract.
     
  18. dbs1228

    dbs1228 DIS Veteran

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    All prices are negotiable but that 100 point contract IMO is WAY over priced I think it is 140.00PP crazy! I have seen 100 Aug UY around 90.00 - 95.00PP. Keep looking at the major resellers Time Share Store, Fidelity and there are a few more if you google DVC resale.
     
  19. ELMC

    ELMC DIS Veteran

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    While I agree with you, if that buyer paid $160 direct and has to pay a 10% commission on the $140, they're still selling at a loss. A good example of the potential perils of buying direct.
     
  20. lodge

    lodge DIS Veteran

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    This reminds me of a Frasier episode where Frasier is at a retirement home with his father, who is pretending to not understand, so Frasier strokes his dads hair repeatedly, while restating the phrase not understood. It was very funny!
     
  21. ParkHoppers

    ParkHoppers Mouseketeer

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    Too funny! Just for the record I am Mike.I am a male.My wife who also occasionally uses this profile is Kelly.She is a female.Hope this makes threads I am involved in more readable. ::yes::
     

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