Should we consider buying into DVC?

[KK'sMommy]

We are a family of four. We take two vacations per year. One warm vacation and one cold (skiing). We are considering buying a Disney resort property, but we are not sure if this would pay off for us. How do we go about finding someone to talk to that will give us more than just a sales pitch? My DH did some reading and said that it was around 16,000 dollars. What does this pay for? Is it like a timeshare? Are they only good at Disney resorts? Any help would be appreciated! Thanks!

 

[KK'sMommy]

sent

 

[PSWGal]

We're brand new DVC owners, haven't even had the deal closed yet. But here is our thinking.

We stayed on and off property while visiting WDW. We liked staying on property MUCH better.

To rent the units for cash is very expensive. We own another timeshare and are very spoiled. We just don't stay in hotel rooms any more. We love to have at least 1-bdrm units to have the full kitchen and in-unit laundry facilities. For us it makes sense to buy because we'll travel with our grown kids and their kids. It would make sense for us even if we were traveling with fewer people but then we would need fewer points.

Have you stayed on Disney property before? There are some real advantages.

 

[salmoneous]

How do we go about finding someone to talk to that will give us more than just a sales pitch?

Ask questions here and you'll get good answers - just understand the board isn't too busy late on a Sunday night.

My DH did some reading and said that it was around 16,000 dollars. What does this pay for? Is it like a timeshare? Are they only good at Disney resorts? Any help would be appreciated! Thanks!

It is a timeshare - one that's a more flexible than most. It can be used outside of Disney, but you really only get your value using it at WDW resorts. Using it else is fine every now and then, but it's really best suited for folks wanting to go to Disney most of the time.

Good place to start reading: http://dvcnews.com/index.php?option=com_content&task=view&id=186&Itemid=160

 

[GranddadTom]

Whether or not DVC is good for you is something that only you can decide. It is pretty much a timeshare that works very well if you use it for vacations at WDW. My feeling is that when you join the DVC you commit to visiting WDW at least once every three years and staying in one of the DVC resorts there. You can use the points in other places but the advantage is really with using them at WDW. We bought two years ago after a history of visiting WDW at least once every two years since the place opened in 1972. We now have eleven grandchildren and we have a grand family gathering every 18 months at the World (we have no trouble talking the kids into going!). We like the idea that you can get any size room that you want and that you stay in a deluxe hotel at a very reasonable price. This year we going down the week before Christmas and we have a grand villa (three-bedroom suite) and two other studios (regular hotel rooms) at the Boardwalk Villa. We have 300 points (which we paid cash for and money which we consider to be spent and gone) and our yearly maintenance fee this year was around $1,400. The grand villa (and you have to see these to believe how nice they are) cost us 96 points for a weekend day and 79 points for a weekday. We could have gotten a studio for as low as 9 points but we opted to pay slightly more to get a room on the boardwalk. Our cost (after the initial shock of buying the points) this year for the rooms for our vacation will be around $2,000. Not bad for five families at a deluxe resort! If you can get down to WDW and take the tour, they can fill you in on how the thing works and then read these boards for a while and you’ll figure this out pretty quickly. You’d be better off doing that and asking specific question rather than just saying tell me about it. Good luck.

 

[mnra]

I joined OKW in 1993 and Boardwalk is 2003. We have 350 points at each. On the plus side we have used are points every year and have truly loved it. I have found however that as Disney sells more properties it has become exceedingly difficult to book at summer time, especially if you decide to book later then the 11 month window. The maintenance fees will continue to rise even at a slow pace. I have used it on crusies and have found that to be a great vacation also. I figure that it has actually paid for itself over the years but since the kids are now in college I find that I like going there just as much. I think where you buy is very important and to make sure that this is the resort you love the most since the booking period is a big help.

Just a thought.

 

[Darkside]

It is hard to say if DVC is for you. We bought into DVC because WDW is where we like to go as a family. After 10 years of visiting WDW every year we decided to buy into DVC. I wish we would have bought many years earlier, but that is the beauty of hindsight. I would recomend doing tour while you are visting WDW. I have to admit that DVC had the most impressive presentation(I am not an impulse buyer, but almost signed over a check that day). My sister in law works for Wyndham time shares, I found that the price was a lot more than Disney(about $5000) for the same amount of vacation time. Just my 2 cents.

 

[Deb & Bill]

We are a family of four. We take two vacations per year. One warm vacation and one cold (skiing). We are considering buying a Disney resort property, but we are not sure if this would pay off for us. How do we go about finding someone to talk to that will give us more than just a sales pitch? My DH did some reading and said that it was around 16,000 dollars. What does this pay for? Is it like a timeshare? Are they only good at Disney resorts? Any help would be appreciated! Thanks!

DVC is Disney's version of a timeshare. Instead of dedicated weeks, you get points to be used at anytime of the year at multiple resorts in multiple types of lodging. If you plan to take one of those trips each year to WDW, it may be worth it to you. If you plan to take an occasional trip to WDW, there are better timeshares out there to take ski trips in the winter and beach trips in the summer.

 

[KK'sMommy]

. My sister in law works for Wyndham time shares, I found that the price was a lot more than Disney(about $5000) for the same amount of vacation time. Just my 2 cents.

Thats what we don't understand. We truly know nothing about the timeshares. We have always been the people that laugh about the timeshares. You buy a week and you get that a room for that week. We are truly uneducated on time shares. We have sent in a contact form to be contacted. We will probably set an appointment to learn how it works. Basically what we have read that you get 160 pts on a new dvc contract for 16440. We have randomly used the points calculators. We would like to get some info before we set an appointment.

Do most people only use their time share for WDW and have another for the other places they go? Do you think of it as more as long term investment? We are looking at on the short term. 16440 = est 300 mth paymemt and 700 year maintenance fees. If we stayed in a studio could we get two 6 or 7 nights stays. We realize to do that we have to been in the value season?

 

[KK'sMommy]

Is this the sort of deal I should be looking at
Old Key West 150 Feb 105 points available now and all 150 coming on 2.1.09 $82 $12,300

I read somewhere where the contracts max out at 35 years? Being 37 I realize that would put me at 72. Can this be transferred to our kids or grand kids (did I just type grand kids wow)

 

[vicki_c]

You shouldn't look at it as an investment - it is not. I look at it as a pre-paid vacation plan for the next 40-50 years (length determined by which resort you buy).

The item you posted is:
Old Key West 150 Feb 105 points available now and all 150 coming on 2.1.09 $82 $12,300

a resale contract at the Old Key West Resort
the contract has 150 points per year
It has a February use year (I wouldn't worry about this until you understand it all better)
The seller has used 45 of their 150 points this year, but has 105 left
the next 150 points (you get them every year) are coming on Feb. 1
They are selling for $82/point, or $12,300 total (150 x $82)

This is a "loaded" contract (at least to some extent) - it has points coming and also some current points remaining. Some contracts are called "stripped", meaning the owners have already used all their current points and probably already borrowed next year's. So, they will sell for less money, but you won't be able to use it until more points are given on the next anniversary date (which could be 18 month or so in the future, if they've already borrowed their next year's points).

Hopefully, this is not too confusing for someone who's just trying to learn! If so, sorry!

 

[goldilocks_63]

If you like skiing, I'd choose Marriott over DVC...

JMHO, GOldi

 

[Anal Annie]

DVC is not like the old fashioned traditional timeshares where you get a set week. You buy points at a resort that is designated as your "home" resort. You have a booking advantage at your home resort. You can book there at 11 months. You may book at the other resorts at 7 months. So many people who travel during peak periods say "buy where you want to stay" so you will improve your odds of availability. There are currently 6 resorts in FL at WDW, one at Hilton Head and one at Vero Beach. They are building a small one in CA at DL that is not for sale yet and they have purchased a property on the island of Oahu to open a combo hotel / DVC in 2011 (also not for sale yet).

DVC has 5 "seasons" and different size units (they're called villas) - these are reflected on the individual point charts. Each property has it's own chart which is how you know which season your date of preference falls in. You select the size unit you want and then you know how many points you will need. As long as you have enough points and the unit availability is there you may go any time you want, as often as you want. There are no restrictions to certain weeks. You can also bank and borrow points if you want to plan a longer trip or if you only want to go every other year. This would allow you to get by with a smaller purchase.

You CAN "trade out" into other Disney collections like Adventures by Disney and Disney Cruise Line as well as to other destinations throughout the world via Interval International. There are nominal fees to do this and especially thru II no guarantee of availability. But the option is there. Typically, you get the best use of your points at the DVC properties.

There are a few perks for DVC Members...like a great discount on Annual Passes if you want to go more than once a year.

DVC makes sense if you plan to go often and like to stay in the "deluxe" hotels as the villas are typically much nicer properties than the value or moderate resorts. The contracts have varying expiration times and yes, can be willed to your children. SSR and AKV have longer contracts because they're newer properties. OKW was the first DVC property and therefore expires first. They recently offered extensions on the contract to current owners. Not everybody took them up on it. Your children could use the membership until it expires if you leave it to them. Most people do not really look at the purchase as a short-term investment to make money. They use it to save on their accomodations at WDW as the regular resort prices keep creeping up.

DVC is a very flexible timeshare arrangement. We loved that we could go to any of these properties for any number of days, basically any time we wanted with a little pre-planning. It would drive me nuts to be stuck to a certain week at one property and only that property.

 

[KK'sMommy]

You shouldn't look at it as an investment - it is not. I look at it as a pre-paid vacation plan for the next 40-50 years (length determined by which resort you buy).

I agree with prepaid vacation. I was thinking investment as cheaper vacation stays.

The item you posted is:
Old Key West 150 Feb 105 points available now and all 150 coming on 2.1.09 $82 $12,300

I like the loaded contract because we are thinking another big ticket vacation.

a resale contract at the Old Key West Resort
the contract has 150 points per year
It has a February use year (I wouldn't worry about this until you understand it all better)
The seller has used 45 of their 150 points this year, but has 105 left
the next 150 points (you get them every year) are coming on Feb. 1
They are selling for $82/point, or $12,300 total (150 x $82)

This is a "loaded" contract (at least to some extent) - it has points coming and also some current points remaining. Some contracts are called "stripped", meaning the owners have already used all their current points and probably already borrowed next year's. So, they will sell for less money, but you won't be able to use it until more points are given on the next anniversary date (which could be 18 month or so in the future, if they've already borrowed their next year's points).

Hopefully, this is not too confusing for someone who's just trying to learn! If so, sorry!

No problem at all, I am understanding for the most part. I am thinking that we could buy this and rent a 2 br villa in may, june or July of 09 or split it up for multiple stays. My wife loves dis and this is the first trip for our little ones (1 y/o boy and 3 y/o girl). I really like dis just not as much as my wife. For example our last year vacations were Coronado Island, CA for a week and Breckenridge, Co for a week. I am thinking that after Dis my daughter will walk around the house saying princesses, I want to see the princesses again daydee. So instead of going somewhere different for the beach or warm vacation. We will be a Disney multiple times a year. A fathers intuition.

Thanks for confirming my beliefs. You seem to be pretty knowledgeable about DVC. I am getting the tone that I should timeshare for skiing and dvc as well. You guys are helping me immensely.

Thanks again.

 

[KK'sMommy]

DVC has 5 "seasons" and different size units (they're called villas) - these are reflected on the individual point charts. Each property has it's own chart which is how you know which season your date of preference falls in. You select the size unit you want and then you know how many points you will need. As long as you have enough points and the unit availability is there you may go any time you want, as often as you want. There are no restrictions to certain weeks. You can also bank and borrow points if you want to plan a longer trip or if you only want to go every other year. This would allow you to get by with a smaller purchase.

Is the normal thing to do vacation with it every 2 years. If so what would be a good pt level to be at to do 2 per year?

You CAN "trade out" into other Disney collections like Adventures by Disney and Disney Cruise Line as well as to other destinations throughout the world via Interval International. There are nominal fees to do this and especially thru II no guarantee of availability. But the option is there. Typically, you get the best use of your points at the DVC properties.

There are a few perks for DVC Members...like a great discount on Annual Passes if you want to go more than once a year.

Trading DVC pts on II is advantageous or not. From reading the posts picking up an additional timeshare for skiing would be better.

DVC makes sense if you plan to go often and like to stay in the "deluxe" hotels as the villas are typically much nicer properties than the value or moderate resorts. The contracts have varying expiration times and yes, can be willed to your children. SSR and AKV have longer contracts because they're newer properties. OKW was the first DVC property and therefore expires first. They recently offered extensions on the contract to current owners. Not everybody took them up on it. Your children could use the membership until it expires if you leave it to them. Most people do not really look at the purchase as a short-term investment to make money. They use it to save on their accomodations at WDW as the regular resort prices keep creeping up.

Thanks, I hadn't found if you could will it yet our not. I assumed your could but you know what assume spells.

 

[Anal Annie]

Everybody uses their DVC membership differently. We purchased 250 points so we could go more often if we wanted to. But it's a lot easier for some to drive and therefore go more often for shorter stays. Some of us who fly, factor in that cost = fewer trips. Some people will go once and stay 10-14 days. Some only go for the Sun - Thurs trips to save points (Fri & Sat use more points than weekdays). If we could drive and be there in 4-5 hours we'd certainly go more often. But it's more like a 15-16 hr drive for us so we fly so that we don't have to tack on extra vac. time for traveling. Some people don't care. No 2 families will have the same game plan. Our plans will change from year to year. Last year we went for a week in Aug. Then we did a quickie 4 n trip in Jan. Now we're going in July for 3 n pre-cruise. But then after that, we likely won't go again for another year as we're saving points to do an extended family vacation in 2009 for my parents 50th anniv... Who knows what 2010 will bring. I would like to do 2 trips, maybe "trade out". Too far away right now to say for sure...

I haven't actually traded out yet so I can't speak to the headaches of it first hand. I know the earlier you request the trade and the more options you're open to the easier it is. Ex - Hawaii - be open to 2 or 3 diff. resorts and 2 or 3 diff. weeks and start your search like 18 - 24 months out. Most II trades take 160 points for a studio pretty much any time of year (or an equivalent unit that sleeps 4). IMO that's not too bad say for Hawaii or Aruba or something - considering a DVC studio in July could run you 109 - 134 or so and a 1 bedroom could run 218 - 270ish depending if you're looking at OKW or BWV.

 

[KK'sMommy]

Everybody uses their DVC membership differently. We purchased 250 points so we could go more often if we wanted to. But it's a lot easier for some to drive and therefore go more often for shorter stays. Some of us who fly, factor in that cost = fewer trips. Some people will go once and stay 10-14 days. Some only go for the Sun - Thurs trips to save points (Fri & Sat use more points than weekdays). If we could drive and be there in 4-5 hours we'd certainly go more often. But it's more like a 15-16 hr drive for us so we fly so that we don't have to tack on extra vac. time for traveling. Some people don't care. No 2 families will have the same game plan. Our plans will change from year to year. Last year we went for a week in Aug. Then we did a quickie 4 n trip in Jan. Now we're going in July for 3 n pre-cruise. But then after that, we likely won't go again for another year as we're saving points to do an extended family vacation in 2009 for my parents 50th anniv... Who knows what 2010 will bring. I would like to do 2 trips, maybe "trade out". Too far away right now to say for sure...

Yeah we have to fly as well. We have found some great flights and cheap flights recently. (180 /person roundtrip) I'm sure as fuel continues on the upward swing that will go up as well.

I haven't actually traded out yet so I can't speak to the headaches of it first hand. I know the earlier you request the trade and the more options you're open to the easier it is. Ex - Hawaii - be open to 2 or 3 diff. resorts and 2 or 3 diff. weeks and start your search like 18 - 24 months out. Most II trades take 160 points for a studio pretty much any time of year (or an equivalent unit that sleeps 4). IMO that's not too bad say for Hawaii or Aruba or something - considering a DVC studio in July could run you 109 - 134 or so and a 1 bedroom could run 218 - 270ish depending if you're looking at OKW or BWV.

I don't know if we can plan like that. We have a tendency to impulse vacation. (I hope who I will be visiting with at WDW DVC sales isn't reading this)

 

[Deb & Bill]

...I don't know if we can plan like that. We have a tendency to impulse vacation. ...

I you want to own a DVC timeshare and make it work successfully, you really have to be able to plan. There are some members who have made their DVC vacations out of last minute planning, but I'd bet they are few and far between. In that case you really can't mind where you stay and what size villa you get and if you can get all your nights in the same room.

Lots of members will book those holiday times or low point times at 11 months out. Others will try to book at 7 months out because they want to stay somewhere other than their home resort. And lately, lots have been frustrated because nothing was available at 7 months out for Thanksgiving, early December and mid-December.

 

[KK'sMommy]

I you want to own a DVC timeshare and make it work successfully, you really have to be able to plan.

I'm sure with a vested interest that something we have to learn to do. I'm also sure that after my 3 y/o daughter gets a taste in the WDW experience we won't have a choice.

I read also that if I purchase while there my room rate is applied toward my dvc?
obviously that doesn't apply to a resale.

 

[KK'sMommy]

Another question, sorry for all of them by the way. You guys are giving me great answers which in turn is bringing up more questions, thanks for all the great answers.

As inflation increases and real estate values go up (hopefully) do you get more pts at anytime or you have to buy another contract to keep up with inflation?