Buying Direct Real Advantage

[mort1331]

So not to hijack any of the the existing threads, thought I would start this one.
Most of us know that buying resale has, had, great savings and no real losses. Missing out on DVC Lounge, Member Magic nights, possible AP discount, using points on cruises or exchanges, all have some costs,,,some more that others, but hard to get to the real savings from buying resale. (yes AP discounts add up quick, but no guarantee)
But now with more new resorts coming onboard, and with 42 looming closer, Now might be the time to see the real advantage of buying direct. Access to other resorts. It might only be 1,2, or 3 resorts now, but that will soon be up to half the resorts, possibly. This might be a game changer for a lot of members. What could have been easy walk to Epcot or HS is out.
How much cost do you now put on access to other resorts. This is the big long term push for Disney.

edit to clear up errors

 

[pks_domer]

I'm glad we bought resale when we did last year, but yeah I agree with you-- dwindling availability is the big thing that gives me pause about resale going forward.

 

[CarolMN]

How much cost do you now put on access to other resorts. This is the big long term push for Disney.

None. We have no interest in staying at Riviera, VDH or possibly the Poly tower. We probably only have a few years left in which we can/want to travel.

Obviously, this is a question for the younger folks.

 

[RoseGold]

I mean yea, that's the point. The goal is to make them two different products. If you plan to still be going to Disney that far in the future, maybe that matters to you.

The problem is DVC held value and was such a good product, possibly because of what Disney stripped. It's their decision to change the product, but we don't know the long term consequences for it.

You can already see DVC may be saturated. Even tiny VGF2 isn't sold, and DVC is sitting on millions of Aulani and RIV points. Poly2 and TFW going online soon will only make this more dramatic. That's not exactly a formula to build more restricted resorts. Sure, they've got land, but do they have the demand?

It may be this structure creates even more incentive to cheap resale, which just isn't as useful as it used to be, because it's locked down. Even I would be a RIV resale buyer if pricing were right. It's still a Disney hotel.

 

[Sandisw]

It is very important to us because our adult kids want to be able to visit long after might not.

Now, RIV is my…and two of my children’s top resort…favorite resort which made owning direct or resale RIV important.

While perks are not guaranteed, over time, they will add up when they exist and it’s nice knowing we have them.

I tried to own restricted points, thinking it would be no big deal, but it was and we sold it one year later.

I think that as more are added that are restricted, the harder the choice it will be for those choosing to resale vs being locked out.

My thought is that while those resorts are not restricted, the notion of SAP may change and you see more resale buyers using those points as though they were.

If this plan continues, in 2043, the popular WDW resorts left will be BLT, PVB, CCV and VGF. How many of those resale owners will be trading out to places like SSR, AKW, and OKW? Will it be the same so Those owning elsewhere can get it to them?

 

[scottiesumms]

How much cost do you now put on access to other resorts. This is the big long term push for Disney.

Enough to cancel a resale contract I was going to purchase and buy direct instead.

At the start of my serious consideration of DVC, no 2042/Riviera/VDH/FW Cabins/etc didn't bother me. I would be perfectly happy to stay at the resort I was going to buy!

But the more I read on these boards and the more I thought about my (relative) youth, combined with FOMO and the true value of something that can't get perks or be fully utilized at all the properties, I changed my mind!

There's nothing wrong with resale, and there's nothing wrong with buying direct. People join DVC for all kinds of reasons with all kinds of circumstances and all kinds of ways they plan to use the points they have while they have them. In my case, it made sense for me to buy direct at a resort I know my family and I will enjoy for years to come.

Everyone says DVC is an emotional purchase just as much as it is a financial one, and I definitely see where these people are coming from. And if you aren't totally happy with the way you get your foot in the door with DVC, you can always sell or buy direct or add on or customize your membership so it makes sense for you.

Just my two cents!

 

[Stargazer65]

So as a upper middle age someone who has both direct and resale contracts, I consider the direct contract points to have a slightly higher value than the resale contract points at the present. I'm using the direct points to sleep at Riviera in October. I've stayed at the Poly before, and it's fine, but I don't necessarily need to to go back to it...tower or no tower. We did Disneyland before, we may do it once more, but I certainly don't need a VDH contract. Although we occasionally sleep around just for a new experience right now, it's typically a one and done thing, and we usually default back to our main home resorts of BLT and SSR. I think I currently would add on direct points if I didn't have any, but since I already have some I'm more likely to just add on more SSR resale since I expect to stay there most of the time.

 

[MyDogTink]

My personal concern with resale is the contract where you can only book at that hotel (currently RIV and DLT). What concerns me is points in a holding status. If you can only book at that hotel and are in a holding period, you could have a true possibility of losing points. While resale contracts for the original 14 properties could have a squeeze in reservations as the 2042 properties fall away, at least right now with one of those resale contracts, I can, with high probability, get SRR or OKW in a 60 day window. I know the ‘buy where you want to stay” advice but resale Riviera would frighten me for that. If I love Riviera down the road, I’d be it direct.

 

[tom1944]

That is why I see Poly2 being a separate association.

If it is not it sets buying direct back for now.

 

[Sandisw]

My personal concern with resale is the contract where you can only book at that hotel (currently RIV and DLT). What concerns me is points in a holding status. If you can only book at that hotel and are in a holding period, you could have a true possibility of losing points. While resale contracts for the original 14 properties could have a squeeze in reservations as the 2042 properties fall away, at least right now with one of those resale contracts, I can, with high probability, get SRR or OKW in a 60 day window. I know the ‘buy where you want to stay” advice but resale Riviera would frighten me for that. If I love Riviera down the road, I’d be it direct.

This is absolutely a real possibility and something that owners who buy resale RIV...like I did...had to consider. We have direct points there as well as other points at VGF and SSR that can be used to secure a room too.

Now, our resale RIV is in a contract with direct VGF points so even if I have to use up holding points, I can book a larger room....but we realized the drawback and bought anyway. In retrospect, I wish I had just gone direct...but knowing I was buying to use at RIV, it was worth the extra $6K savings. I also knew I would be traveling more once retirement kicked in later that year so I knew I had the flexibility.

It may also make those who buy a restricted resort like this try to get a UY that is advantageous so you have a long time for that rolling 60 day window.

 

[tom1944]

As more resorts become restricted the historical value that buyer’s experienced goes out the window.

Once you sell those points are good at one resort only and that will have an impact on the value.

 

[DanCali]

How much cost do you now put on access to other resorts. This is the big long term push for Disney.

Obviously more access is always better. More benefits are better. But at what price? I’m willing to buy direct as long as the delta between resale and direct prices is “not too high”. Unfortunately VGF may be the last time you see such a case.

It may be different in the West Coast due to limited options, but for WDW I don’t believe that resorts like Riviera will sustain high resale prices 3 to 5 years from now. A good analogy would be take a look at resale prices on RedWeek for the Westin Kaanapali villas (resale can trade internally) versus Westin Princeville Villas (resale restricted from trading internally). I fear it will become like other timeshares - mostly uninformed buyers will buy direct. Informed buyers will prefer cheap resale, unless offered incentives like point washing. Nobody wants to lose $80-$100 per point 10 days after you sign the dotted line.

 

[achinforsomebacon]

I think it's also very resort dependent. If you're buying SSR as SAP and don't care if you're "stuck" there, resale makes a ton of sense. Especially since it's not an active resort and the direct price is crazy.

If you want to own VGF right now, the direct incentives are too good and the gap with resale is small, if not upside down with direct being cheaper. Not surprisingly, there hasn't been any VGF activity on the ROFR thread lately. There was some last quarter with sales around $150-160 per point. With direct around $161, it's absolutely worth it with the bonus of having all of the benefits.

 

[Unclelude]

IDK... Moonlight Magic rocks! ... extra sparkly wristbands and free popcorn refills at Aulani ... going into the Epcot lounge and wondering if that sweaty family over there are white card (DVC N) peasants... Direct all the way for me!!

 

[Bearval]

Obviously more access is always better. More benefits are better. But at what price? I’m willing to buy direct as long as the delta between resale and direct prices is “not too high”. Unfortunately VGF May be the last time you see such a case.

It may be different in the West Coast due to limited options, but for WDW I don’t believe that resorts like Riviera will sustain high resale. prices 3 to 5 years from now. A good analogy would be take a look at resale prices on RedWeek for the Westin Kaanapali villas (resale can trade internally) versus Westin Princeville Villas (resale restricted from trading internally). I fear it will become like other timeshares - mostly uninformed buyers will buy direct. Informed buyers will prefer cheap resale, unless offered incentives like point washing. Nobody wants to lose $80-$100 per point 10 days after you sign the dotted line.

It just circles back to the " buy where you want to stay". We own at AKL (direct & resale) & BLT (resale) both resorts we want to stay at. I would buy both of these again resale since I don't have a need or desire to stay at the newer resorts with their high point charts and I don't want to pay the high direct prices, also having the ability to stay at the other legacy villas. One thing I wouldn't do is to buy resale into the new resorts with the restrictions. Too much of a potential headache it you have to make any late changes where you could potentially lose points if you cannot rebook.

 

[MartyParty]

So not to hijack any of the the existing threads, thought I would start this one.
Most of us know that buying resale has, had, great savings and no real losses. Missing out on DVC Lounge, Member Magic nights, possible AP discount, using points on cruises or exchanges, all have some costs,,,some more that others, but hard to get to the real savings from buying resale. (yes AP discounts add up quick, but no guarantee)
But now with more new resorts coming onboard, and with 42 looming closer, Now might be the time to see the real advantage of buying direct. Access to other resorts. It might only be 1,2, or 3 resorts now, but that will soon be up to half the resorts, possibly. This might be a game changer for a lot of members. What was once able to access west coast and Hawaii is now out. What could have been easy walk to Epcot or HS is out.
How much cost do you now put on access to other resorts. This is the big long term push for Disney.

Always an interesting topic. We are 100% direct owners for all of our contracts.

Having said that, when it comes to cost value resale in my view always wins the day. If you're talking experience value or longer term (which none of us know for certain), then direct "might" win the day.

My guess is direct folks always value the direct benefits higher (cost and/or experiences) more than resale folks. Not arguing against the resale view as cold hard cash is measurable, valuable, and easier to understand.

 

[ldo]

What was once able to access west coast and Hawaii is now out.

Isn't Hawaii until 2062? Am I missing something?

 

[KAT4DISNEY]

Isn't Hawaii is until 2062? Am I missing something?

I also am confused by that statement in the OP's post.

 

[mort1331]

Isn't Hawaii until 2062? Am I missing something?

Correct,,,but with resale restrictions,,,you wont be able to access them when the 42's change
Therefore,,,more and more resorts when bought resale will have limited numbers.
The 14 that people talk about will be down to 8 or less

 

[Sandisw]

Correct,,,but with resale restrictions,,,you wont be able to access them when the 42's change

There is no change in use at AUL for resale contracts which includes when the 2042 resorts expire.

In 2043, the resales will still be good at VGC, AUL, BLT, VGF, PVB, SSR, OKW, AKV. CCV.

WDW resorts will be down to 7.