25 or 50 Pt add on contracts?

[hellerjw]

One of the main reasons for breaking a contract into multiple smaller contracts is for resale purposes. The smaller contracts tend to sell faster and at a higher price on the resale market.

The only issue with trying to sell a contract with less than 50 points is that the resale closing costs can add as much as $15-$20/pt to the sale price on very small contracts. If the price difference isn't very large between what you could get doing a direct add-on vs. going resale the closing costs could make the resale route more expensive.

However, this is really more of an issue for current members doing add-ons than potential new DVC members, for which these very small contracts provide a great opportunity to become members with very little outlay.

As long as DVC keeps requiring 100-160 point minimum initial buy-ins, these small contracts will be very desirable on the resale market regardless of the additional closing costs.

If it were me I would go with two 75 pointers. I've been looking for a 75 point HHI contract for some time and they just don't seem to exist. I think 75 points is the sweet spot between usability and buy-in cost.

 

[dbs1228]

I'm considering adding on 150 pts at AKV. Is it better to have 3 -50 pt contracts or 6 -25 pt contracts or does it really matter?

I was looking at breaking 125 point contract BLT into 2 - 40, and 1 - 45 and someone on this forum suggested (along with my guide) that I go with 1 - 60 and 1 - 65 point instead because BLT cost more points and a 40 point contract will not get you much at BLT even with banking and borrowing. I decided to go with the 60 and 65 and feel I made the right decision. The more contracts the more you have to check your points to make sure you (or MS) take from the correct points from the correct account and UY when making a ressie.