Purchase price and years you get, property to property comparison?

Discussion in 'Purchasing DVC' started by Lakeview, Apr 24, 2013.

  1. Lakeview

    Lakeview Earning My Ears

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    Ok mathematicians, I'm looking for the following price comparison. Let just take this simple example and analyze it. I'm comparing today BLT at $85 pp to say SSR $55 pp. now factor in that in either case you will use every year and every point on vacations you can get the same room type and you don't prefer either property. We'll factor in MF later if we can.

    So considering that one resort is cheaper pp but the other gives you many more years, which is the better price for your vacations?

    The way I figured it BLT is best but I can't say I'm certain of it. Any help out there? Anyone already do this calculation?

    Is the formula "total price / total years = cost per vacation"? Now factor in MFN if you can or if we even need to. To me BLT wins, and then the fact you get more years at the same price factor even with inflation make it better down the line.
     
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  3. ToddyLu

    ToddyLu Welcome aboard explorers- I love Mr. Ray

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    :) I was an emotional buyer and would have stayed the the cardboard box DVC provided after drinking the free koolaid. DH and I purchased at AKL because regardless of what it cost or how long we had the contract it was the only place we wanted to own. So I am no mathematician...I just know it was expensive....and worth every penny.
     
  4. Sandisw

    Sandisw Moderator Moderator

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    The tough part, IMO, with this type of calculation is that you are looking at the better value for something that doesn't pay back until 2055!!! Unless one really want BLT, and I am one of those people who bought for that reason, I wouldn't spend more just for the expiration. If I liked SSR and didn't mind the home resort, I'd buy more points and enjoy them now and worry about what to do for vacations in 2054...

    Having said that, if you want to strictly break down the cost per year that the contract will cost, the BLT can come out cheaper.
     
  5. Missyrose

    Missyrose DIS Veteran

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    But I think you have to account for BLT's higher per-night point costs. Meaning a villa at BLT will cost you more points than SSR.
     
  6. joelp

    joelp DIS Veteran

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    It's failrly easy to estimate an "average" cost per point for any resort over the life of the contract in Excel, including an assumed average % increase in MF over the years.

    One confounding factor is that the initial cost of purchase will vary not only with the resort, but with the size of the contract ...

    And as another poster pointed out, the # of points needed for each type of room varies between resorts - and with the time of year ... so that will effect the # of vacations you could take ...

    So you would really need to ratchet down the # of variables or include a bunch of additional assumptions to estimate which resort would be the least expensive in the long run ...

    For example, say you wanted to spend Christmas week in a 1 BR every other year ... :) ...

    You obviously could do that more with a longer contract ... but the MFs get increasingly larger the further out you go due to inflation, so that may balance things out ...
     
  7. DougEMG

    DougEMG DIS Veteran

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    Your purchase price of BLT is 54+% higher than the purchase price of SSR and with the MF to pay for the equivalent number of nights in a BLT lake view vrs a SSR room being 20-25% more, those extra years had better be worth a lot to you or else you have to want the BLT location.

    If you don't really care where you stay, SSR is really the best deal in terms of purchase price, MF, and years left on the contract.
     
  8. Deb & Bill

    Deb & Bill DVC-Trivia Contest, Apr-2006: Honorable Mention

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    Buy where you wouldn't mind staying if you couldn't change your reservation at seven months out. Then you will always be happy with where you are staying.
     
  9. Mflaherty

    Mflaherty Mouseketeer

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    Lol lol I loved this post..haha the cardboard dvc... Good for you. Sounds like you got your money's worth and then some. Can't put a price on happiness... And having those points warms my heart just knowing they are there.
     
  10. Mflaherty

    Mflaherty Mouseketeer

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    I was referring to Toddylu
     

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