Rental of points - Success rate

[TOM&LORIE]

Hello all,

I am curious as to those of you that rent vacation points to people and how successful you are in doing so. Our point needs fluctuate so we are considering another contract. However, upon a year that we would not need them all, would we be LIKELY to be successful in renting them. I do realize there is no promise to renting points but history is a good indicator of the future. So I will rely on the collective wisdom of you renters and your success rate. Thank you in advance for your help.

 

[Swayhoover90]

Excellent question. I'd love to get some feedback on this also.

We are considering purchasing another contract with the intent of covering need fluctuations for our vacations. Probably around 3/4 of the points will be rented out each year to partially cover buy-in and MF.

 

[parlay]

We rented points last year (we rented our points and used the cash to pay for our DCL cruise last August). I was able to rent points within days. I think it is taking longer to rent points these days.

The Rent/Trade board at that time allowed possible renters to list what they were looking for. Renters are no longer allowed to do that, and owners list that they have points for rent. I understand why the Rental boards were changed, and I do believe it is for the mutual benefit of owners and renters. BUT... (I've been watching and reading the thread, since we may have some points we are considering renting) owners are being hit with requests to check for availability, and requests to EXPLAIN the process. Its a LOT more work for owners, weeding out people who are just kicking the tires, and those that are serious about renting points.

Can it be done. I think so. But I think it requires a little more patience.

 

[Pinmaniac]

I don't know if we got lucky or if this is standard but last year we had 100 surplus points that we didn't need. I listed them on the dis and within a couple days they were sold. We didn't actually rent the points but rather did a transfer to another DVC'er. He paid through paypal and I transfered the points - very easy. I probably sold them too cheap

 

[maciec]

Prior to the change I rented out my points twice and had 0 problems doing so. It was quick and painless

 

[Deb & Bill]

As there are more and more DVC members, it could get harder and harder to rent out points. Plus as Disney offers these wild discounts, you might not be able to match what they can get directly from Disney.

 

[tjkraz]

I'm no expert on renting but I'd say it depends entirely on what you plan to ask for the points. If you list them for $12-13 per point, you may be waiting quite a while to get an offer. However, if you list them for $9 per point, you will probably have more offers than you know what to do with.

Just remember that you're paying dues on the points and legally you're required to report the rental proceeds as income. That means Uncle Sam will also take a share.

Rentals can be hard work, too. Again, if you list for a low price you'll be juggling offers from multiple people with varying levels of interest. You could make a half-dozen calls to Member Services to check availability for a wishy-washy potential renter, only to have him bail out at the end.

Depending upon your annual dues cost, original acquisition price, and how highly you value your time, you'll have to decide how cheaply you are willing to let those points go.

 

[speicher46]

I have rented twice with absolutely no problem. It has been a very painless experience. On both occasions, the points rented within a couple of days.

 

[dianeschlicht]

I'm curious why so many seem to have "extra" points that they can't use? We did a good plan to buy the right number of points for us. Sure, we are constantly in a state of "banking", but it's not an issue until we get down to the last year of the contract! I've occationally had 2-3 points left over in my AKV contract that are not able to be banked, but then I wait until the 7 month booking window and add a day to my reservation and have those "extra" points used when I book it. MS can always work that out. We've been members for 13 plus years, and I've never lost a point or needed to rent any out....We have 449, and I can guarantee, we rarely use that many each year. We do use banking and borrowing frequently though, and I feel that's the beauty of the DVC system. There really isn't a lot of need to rent out "extras" unless you specifically want to do that for the money.

 

[Mgeris]

I have rented points a couple of times for each of the past few years. Never had trouble finding a renter. Always within a week had them rented out.

 

[totsnblocks]

We just started renting our points because we know that next year we won't be able to go to Disney and we have five successful rentals so far.

 

[castleri]

I'm curious why so many seem to have "extra" points that they can't use? We did a good plan to buy the right number of points for us. Sure, we are constantly in a state of "banking", but it's not an issue until we get down to the last year of the contract! I've occationally had 2-3 points left over in my AKV contract that are not able to be banked, but then I wait until the 7 month booking window and add a day to my reservation and have those "extra" points used when I book it. MS can always work that out. We've been members for 13 plus years, and I've never lost a point or needed to rent any out....We have 449, and I can guarantee, we rarely use that many each year. We do use banking and borrowing frequently though, and I feel that's the beauty of the DVC system. There really isn't a lot of need to rent out "extras" unless you specifically want to do that for the money.

In my case we bought a home on the gulf coast and now don't plan as many or as long trips to Disney - the other factor is that the kids who always came with us can't get away as easily so trying to book family trips is harder. For the most part we are using the points but I can see having to rent some in the future to keep from losing them if this trend continues. Step daughter opted to do free dining this year so DH and I have a 1BR at BW for the same time frame. A studio would have worked but I do like a 1BR better. We have rented points to pay for a trip to DL for the 50th anniversary and for a non Disney cruise. I have also had family cancel at the last minute due to a lost job and starting a new one which left me with a reservation that couldn't be used so cancelled it and rented the points. With one exception I have had good luck renting points with not much work involved. That one exception was when I made the reservation and then informed the person and they said a change in their job made it impossible to take the trip so I just cancelled it the next day. There had been no money exchanged so it was no big deal since it all happened in a two day time frame.

 

[SabresFan]

Interesting thread. I've been wondering this myself, partly because I'm thinking of buying a contract that is bigger than I really want or need - primarily because the acquisition cost per point drops as the point total increases. So that would leave me with leftover points I would want to rent out - or more accurately, would need to rent out, since the MF's would be too steep for the full 300 or 400 point contract.

I probably won't go that route unless I can get a really crazy deal on the big contract, but it's an idea I am kicking around.

 

[Boardwalk III]

I own 500 pts and probably rent 200 pts or so every couple of years now that our kids are in college (we also usually travel to WDW with friends and they pay us for their points). But on the rental boards I can easily rent these points (BWV) for approx $11/pt to one buyer within a few weeks (did it less than 6 months ago to a lovely family of 5 from Colorado who are going for first time next month and are quite excited) I actually love helping to provide a high quality WDW trip to a family that couldn't afford it on rack prices! I also usually use this rental income towards plane fares or a non-WDW trip so it works out well for me.

 

[funatdisney]

I have rented out my points last year and this year for the first time. I felt comfortable with the process, since I have rented points for my first DVC stay (in 2006). It isn't too hard to rent out your points, but I would give two pieces of advice:

1. Know the holding points and the 4 month policies very well! You have to be aware of when your points will expire and when they will go into holding when a renter cancels. (I had only one renter canceled, but I knew it may happened and I had rented my points to her before: trust was well established.) I think the 4 month mark for banking your points or using them in the use year is important. Others may not think so.

2. Try to do the least number of renters as possible. It makes for an easier time. It can be hard to keep track of all your renters if you have too many of them.

As for the renter that canceled, it worked in our favor. The rental was for the VGC in Dec. I decided to use it myself and now we are going to VGC when is impossible to get a booking at that time of the year!

 

[Boardwalk III]

To protect my investment I actually do not allow for cancellations - I request 50% payment up front, and the other 50% well in advance of any banking windows etc. I do tell renters that if they need to change their reservation for any reason I can certainly try depending on availability but can not guarantee. I have never had a problem with these terms.

 

[funatdisney]

Yes. I have the same conditions, too. Furthermore, the contact has an expiration date (the last day of the UY) to make any changes when a reservation is canceled.