A Couple of Questions

[Tigger73]

I'm in the process of evaluating DVC and am looking for advice from the numerous experts who visit this board.

1. Does it make sense financially ? I know there are annual fees associated with the membership. For example, a 100 points will cost about $11,000, how much of an annual cost is above and beyond. Are there any hidden costs?

2. What are the options for purchasing the points on the secondary market ? What is the average price ? Is this method available for new members ?


Thanks in advance for your thoughts.....

 

[Hilary]

1. Does it make sense financially ? I know there are annual fees associated with the membership. For example, a 100 points will cost about $11,000, how much of an annual cost is above and beyond. Are there any hidden costs?

Points sold through Disney are currently $75 each, going up to $80 next month. So 100 points would currently cost $7,500 to purchase.

Annual dues vary from resort to resort, but a high average would be less than $4 per point, therefore your eaxample of 100 points would costs $400 per year.

The only 'hidden cost' that I can think of is the fee charged if you want to trade your DVC points for a vacation with the Interval International resorts (currently $75, I believe). I'm sure someone else will corrcet me if that's wrong!

2. What are the options for purchasing the points on the secondary market ? What is the average price ? Is this method available for new members ?

There are many brokers dealing with the resale market and there is no reason why a new member shouldn't use them to purchase their membership. I believe prices are currently around $65, but vary considerably depending on points banked / borrowed, size of contract, etc.

Check out the FAQ link at the top of this forum for more information

 

[CarolMN]

Just wanted to let you know that there is a 150 point minimum buy in for first-time purchasers. Some people think that if you buy resale, Disney will allow you to purchase less than the minimum. Others think Disney will exercise its first right of refusal and buy the contract itself rather than allow this. However even if you can buy less via resale, small contracts are hard to find and may end up costing you more (than buying from Disney) because of the closing fees (buyer usually pays these). It costs the same to close on a small contract as it does on a large one.

At $75/point, the initial purchase price will be $11,250. If you buy BCV, the annual maintenance dues for 2002 are $3.77 per point. Annual dues can go up or down. Your first year's dues will be prorated.

Currently, only BCV, VB and HHI are available directly from Disney. OKW, BWV, VWL, VB & HHI are available via resale. Annual dues vary by resort.