Add-on vs. master contract (Pros and Cons)

[bcpage]

I am getting ready to take the plunge and get 150 AKV points. I am also going to add my parents on this contract. I have read that i can either get a new master contract to put them on or add-on then when i get the deed do a quit-claim to add them later. What are the pros and cons for add-on and master contracts? Which one would you do?

 

[RobDoc]

If they are listed as owners on the contract, they will have full membership benefits and full control of the contract. In that case, future add-ons would need to be titled the same way and would be treated the same as the master contract.

If you purchase a contract without their names being on the deed, you could not buy an add-on to that contract in their name - but you could purchase an add-on and resell it to them (subject to ROFR).

I guess it depends on how many points they would require. If 150 or more, then I'd just suggest a contract in their name from the start. If they would only use a lesser number of points, then the add-on would probably be a better option.

Good luck with your decision!

 

[shellbelle1971]

I was initally nervous when we bought a small resale that caused us to have two master contracts. As it turns out, managing them is no problem at all, and I like the ability to do two transfers a year. (So far we haven't done that, but I like knowing that I can.)

 

[Dean]

If you're buying a full contract, currently 150 pts, you can and should add them initially. That removes the cost and aggravation of adding them later with a new deed. DVC will allow you to do so up front in this situation. Just realize that this will be a totally separate contract and you will not have the combined banking percentages and if you want to use points together you either have to make separate reservations and link them OR transfer points from on contract to another occupying the once a use year transfer option for both contracts.