Question about down payment-no cash

[princesspiglet]

I am confused about the down payment. Do we need to have cash or can we add the down payment onto the financing? We are planning on doing the F&F promotion at $86 per point. Can we walk away without paying anycash outright until our first payment is due? TIA!

 

[phorsenuf]

I am confused about the down payment. Do we need to have cash or can we add the down payment onto the financing? We are planning on doing the F&F promotion at $86 per point. Can we walk away without paying anycash outright until our first payment is due? TIA!

You will be required to put down at least 10%. When we bought last year (same promotion) we put 10% down and used the discount towards another 10% so essentially we put down 20%.
Depending on your credit you may be required to put at least 30% down.

When you initally call and start the paperwork they will ask for a $500 deposit right away. You can pay the balance of the downpaymnt when you send back the signed paperwork.

Hope this helps.

 

[Deb & Bill]

They will accept a credit card for the down payment.

 

[3DisneyKids]

Ok, I know that this is none of my business, but I always worry about good people getting in over their heads financially.

If you need to finance 100% of your DVC purchase (no cash out of pocket, as you stated), then this is not the right time for you to buy DVC. Yes, the promo is great right now, but this is a luxury expense and is best handled when you can afford it.

Now, maybe you can afford it and were just asking a hypothetical...then great! And please...I really don't mean to offend. I have just seen so many friends and family think that they can afford something just because they get approved for the financing.

Best wishes and I hope you make the decision that is best for you and your family.

 

[MIDisFan]

I just wanted to add that the 10% is based on the pre-incentive price. So a 150 point contract would be $1515 down (150 X $101 X10%) and not $1290 (150 X $86 X 10%). I can't remember if they required the closing costs to be paid upfront as well. Maybe someone else can answer that.

 

[JimS4210]

I can't remember if they required the closing costs to be paid upfront as well. Maybe someone else can answer that.

They gave us the option of paying the closing costs or having it lumped in with the financing...We put down 20% plus the closing costs.

Jim

 

[princesspiglet]

Ok, I know that this is none of my business, but I always worry about good people getting in over their heads financially.

If you need to finance 100% of your DVC purchase (no cash out of pocket, as you stated), then this is not the right time for you to buy DVC. Yes, the promo is great right now, but this is a luxury expense and is best handled when you can afford it.

Now, maybe you can afford it and were just asking a hypothetical...then great! And please...I really don't mean to offend. I have just seen so many friends and family think that they can afford something just because they get approved for the financing.

Best wishes and I hope you make the decision that is best for you and your family

We actually do have the money to pay the down payment, but don't want to dip into my savings! I am pretty tight and like to stick to a budget and I only dip into savings in an emergency. We do not own any credit cards, so we pay for eveything out right and usually plan in advance how much we need to save per month to make a big purchase. We have no other debt beside our mortage and car payments. However, with this great deal that is going on right now, I may have to rethink my tightwad ways and use some money from savings- We could actually buy it outright, but then I would have to start saving all over again!

 

[phorsenuf]

We actually do have the money to pay the down payment, but don't want to dip into my savings! I am pretty tight and like to stick to a budget and I only dip into savings in an emergency. We do not own any credit cards, so we pay for eveything out right and usually plan in advance how much we need to save per month to make a big purchase. We have no other debt beside our mortage and car payments. However, with this great deal that is going on right now, I may have to rethink my tightwad ways and use some money from savings- We could actually buy it outright, but then I would have to start saving all over again!

Well another thing you can always do is put down the down payment and set up your financing. You can then make extra payments either through the mail or online. Then you could pay it off earlier than the financing terms. There is no prepayment penelty. I wouldn't clean out your savings for it. I think they even have a 50% down 1 year finance plan.
Have you talked with a guide yet about all the options?