about to take the plunge questions

[glewis1123]

Hi everyone

After much considerations - dh and I have decided to take the plunge and buy into the DVC. We have both already read the FAQ's but still have a couple questions.

1. Other than price per point are there any benefits to buying direct from DVC instead of resale?

2. Will the closing costs be the same?

3. My dh would love it if they put a DVC at the AKL - and if they did would we be able to trade home resorts or how would that work?

Thanks for all your responses. These boards are so amazing don't know what I would have done w/o them these last 2 years.

 

[PamOKW]

Buying direct from Disney may give you additional financing options if you are interested. You may be able to get a better price per point from a resaler.

When you purchase from Disney/DVC they pay the closing costs.

You could not trade your home resort but you would be able to make reservations once the home resort priority period ends. Currently, that would mean at 7 months prior to your arrival date. This is the same policy for any DVC resort that is not your "home resort". If you wanted AKL to be a home resort, you would have to purchase additional points at that resort.

 

[glewis1123]

Thanks for the response Pam.

Just one more questions - if you don't mind.

Since we don't plan on financing the purchase - do you have any idea what the apx closing costs (or percentage of sale) would be on apx 260 pts?

Depending on closing costs it could make a difference.

Thanks again

 

[RobDoc]

A 260 point contract thru resale will have about $500 of closing costs (that is also negotiable to have the seller pay some/all ). The same contract trhu Disney would have no closing costs, but would likely be at a higher initial cost.

Good Luck!

 

[PamOKW]

Glad Doc was here for back-up! I've never done a resale purchase so I'm not very familiar with costs etc.

Glewis1123 -- Keep asking away with questions...even if you think they might be silly. It's the only way to get all this clear in your head.

 

[glewis1123]

Thanks for all the input

I'm sure I'll have more questions before we sign the dotted line.

It appears that buying resale is the way to go. But why will people pay $82/point @ DVC vs $62 - 65/point resale.

Seems to me that DVC ought to up the ante to compete with the resalers.

Off to ponder some more

Thanks all

 

[Caskbill]

When looking at resales, be sure to also look at any points that are banked or borrowed.

For example Disney might offer you year 2002 points right now for immediate use, and 2003 points next year, while a resale might have used all their 2002 points and may even have borrowed and used some 2003 points, meaning you would get no points until 2004.

When considering a resale, banked points are good, borrowed points are bad. Use this information when you go to negotiate any price.

If you find a specific resale you're interested in, post the information here. There are many here who can help you decide the true 'vaue' of a resale where points have been banked or borrowed.

Good Luck.

 

[Chuck S]

glewis,

Another reason people buy direct from DVC instead of resale would depend on what home resort they want. If you want want BCV few, if any, resales will be available. It is always a good idea to buy at home resort where you'll want to spent most of your vacations. As more DVC resorts come online the 11/7 window will be even more important - especially at smaller DVC resorts, the fewer number of rooms, the more important that booking window - and the more important it will be to plan your vacations in advance.

 

[EROS]

We've purchased 3 resales at DVC. I wouldn't urge ANYONE to consider direct purchase from Disney unless they have financing needs or currently have a specific interest in BCV. The savings with resale purchase are SUBSTANTIAL .....

 

[glewis1123]

I guess we need to decide where we want our home resort to be. While I like the theming of VWL my son - age 9 - likes pool slides and their slide - according to my son - is too babyish - so with him in mind - it looks like BV or BCV. Plus the dining options are better at BV add BCV. I'm just trying to think down the road as to what would be the best for us as a unit. I know we can always stay at another DVC resort but have to book at the 7 month window.

Decisions Decisions - lol

Thanks for the input on the banked and borrowed issue.

Thanks everyone

 

[Dean]

You could always buy both. DVC still has some WLV points left and are currently selling BCV in all use year. If you wanted both, you must buy at least 150 points (from DVC) at one resort and then a min of 25 at another resort (same use year). BWV resale might be the best compromise and would be cheaper though the dues are a little higher at present.

You mentioned about Disney competing with resales. At this point resales really aren't that much of a competion. I say that outside of this group, most people who buy don't know about them. Disney also has the Right of First Refusal, which means they have the ultimate control over the price in the resale market. At this point it appears they've set the resale price about $18 less than the developer price.

 

[kem330]

Glewis, it makes perfect sense to buy a resale for $62/pt now with Disney's price going to $84. When BCV's became available for presale in Feb, they had a special incentive of $5 off/point bringing the price down to $70 without having to give current years points back. This was a great deal ( in hindsight) and close enough to resale prices to make it worthwhile. My concern at this point is whether the Disney price increase will create a jump in the resale prices- and will Disney start buying up all the low 60's priced contracts as well. As Dean mentioned, Many people are not aware of the resale market. Your questions about pools and your 9 year old are valid. While SAB is desirable, I think the Boardwalk activities would hold a lot of interest for him as he gets older. You could always buy BWV and wait for BCV to show up in resales for an add on.

 

[Lesley]

We purchased through Disney even though we didn't finance...mainly because we just wanted to do it and get it over with. I didn't feel comfortable with the resale market then, and at the time small contracts at BWV were few and far between in resale...and the price difference wasn't as significant as it seems to be now. We bought from Disney at $68/pp (and used magical beginnings which essentially reduced the price to $63/pp) and small BWV resales seemed to be getting about $60+/pp at the time (some folks were still getting larger contracts at OKW for around $50/pp back then....but smaller contracts tend to be more expensive, in relation to higher demand, and BWV was fetching higher prices too). It didn't seem to us to be worth the time and aggravation of trying to find a resale and evaluating if it was a good value. Plus we were able to get exactly the # of points we wanted.

That said, at this point if we were to purchase 150 or more points we would look to resale. If we do smaller add ons they will probably be through Disney. Sort of all depends on how life plays out...though we could really use at least 50-100 more points!

 

[glewis1123]

Thanks everyone.

I really appreciate all of your advice and view points - it has really given us some "food for thought"

 

[Dean]

Originally posted by kem330
My concern at this point is whether the Disney price increase will create a jump in the resale prices- and will Disney start buying up all the low 60's priced contracts as well.

Count on it going up by $2-3 pp.