Am I getting this?

[HannaBelle]

My family (4 "groups" - parents, older brother, me - middle sister + younger brother) are considering buying DVC as a group.

We were thinking of buying a group of points to share, but after doing some research we have come up with an alternative idea. I want to run it by all ya'll and see if this will work.

We buy a small block of points at AKV from resale - 50 or 60 (just have to wait for the right seller) so that we become DVC owners.

Then, we as a group have the ability to buy multiple blocks at BLT in any amount greater than 25 points.

So, each sibling could own 120 points to bank, use or borrow that would result in the ability to use a maxium of 360 points in one year - every three years. "Mom and Dad" will have 50 or 60 points at AKV to use in the same fashion.

Our intent is to have the DVC for our kids and their kids and we are trying to make dividing it up (several years down the road) easier.

We also want contracts with less than 160 points per family. So, we want to purchasing power of a group, with the flexibility of individual ownership.

Do I understand all of this correctly?

Is there any advantage to the time of year your DVC renews?

TIA!

 

[DVC Mike]

Just keep in mind that if one member of the group gets divorced, declares bankruptcy or has creditors go after assets, you could have your membership sold out from under you.

 

[dianeschlicht]

Mike is right. I guess if I were in your situation, I'd advise each group to have their own points (you can buy less than 160 by waiting for the right resale contract) and then transfer points among yourselves as needed annually. That way everyone isn't subject to the financial burdens of all the others.

 

[ssawka]

Just keep in mind that if one member of the group gets divorced, declares bankruptcy or has creditors go after assets, you could have your membership sold out from under you.

This was my thought. The OP must trust their family more than I trust mine!

 

[DebbieB]

If you buy it as one contract, you would not be able to split it up to give to the kids later. It would remain as a group. I would advise buying separate contracts. You can always transfer points to one member for a reservation or link reservations.

 

[chalee94]

for information on "the time of year that DVC renews", i would recommend this thread on use year:

http://www.disboards.com/showthread.php?t=1942668

take your time to understand how DVC works and don't jump in too soon.

if you are intending to buy BLT for the incentive deals and then shortly thereafter transfer ownership (i.e. change all the deeds) to different family members, it might be do-able, but DVC still has the right to refuse a transfer and may take the contract back themselves... usually they will allow transfers between family but you'd still have to go through a legal process of transferring a real estate interest.

it might be a little more expensive to hunt for suitable resales - or for each unit to buy a small contract and then add-on at BLT for just what that individual unit needs - but it's probably the better option overall.

 

[HannaBelle]

This was my thought. The OP must trust their family more than I trust mine!

We are pretty atypical. We all live with in 20 minutes of each other, get together at least once a month and vacation together often. We like each other a lot and work every hard at respecting each others boundaries.

I guess what I am trying to affirm is that we can work the system in this fashion. If "M&D" are the DVC members, buy the initial 50 points via resale to become DVC members, then "M&D" purchase the 120 points with each individual family in "Joint Tenancy with Right of Survivorship", each individual family will own their own contract.

Maybe I did not explain our plan very well in my first post. Here is our tenative plan:

M&D - 50/60 points @ AKV via resale
M&D + Child 1 - 120 points @ BLT from Disney
M&D + Child 2 - 120 points @ BLT from Disney
M&D + Child 3 - 120 points @ BLT from Disney

This would enable each family to use their own points however they wish without the complications of "sharing" a block of group points.

Is buying a small contract via resale to get small contracts through disney considered "bad form" in the DVC world?

Our previous plan was to buy a block of 300 points and everyone vacations once every three or four years depending on point distribution. We would all have to own together, keep track of who used points and who banks or borrowed and so on...that does sound very confusing and has the potential to create strife. We also would not be able to split up a larger block 3 ways.

50 years is a long time....really long....and we are trying to plan for the grandkids...

 

[arthur06]

We are pretty atypical. We all live with in 20 minutes of each other, get together at least once a month and vacation together often. We like each other a lot and work every hard at respecting each others boundaries.

I guess what I am trying to affirm is that we can work the system in this fashion. If "M&D" are the DVC members, buy the initial 50 points via resale to become DVC members, then "M&D" purchase the 120 points with each individual family in "Joint Tenancy with Right of Survivorship", each individual family will own their own contract.

Maybe I did not explain our plan very well in my first post. Here is our tenative plan:

M&D - 50/60 points @ AKV via resale
M&D + Child 1 - 120 points @ BLT from Disney
M&D + Child 2 - 120 points @ BLT from Disney
M&D + Child 3 - 120 points @ BLT from Disney

This would enable each family to use their own points however they wish without the complications of "sharing" a block of group points.


Our previous plan was to buy a block of 300 points and everyone vacations once every three or four years depending on point distribution. We would all have to own together, keep track of who used points and who banks or borrowed and so on...that does sound very confusing and has the potential to create strife. We also would not be able to split up a larger block 3 ways.

A couple of problems that I see... and by no means am I an expert...

With banking and borrowing you can not vacation every 4 years...the largest gap, while still using all your points is 3 years. So if 4 years is a though, it won't work.

Also, the way that the names on the contract have to be identical for add ons. If they are not, they are treated as a new contract and new contract requirements must be met.

Yours says
M&D
M&D + Child #1
M&D + Child #2
M&D + Child #3

That is not a way that Disney will do the contracts. If Mom and Dad buy the first contract, all subsequent contracts will have to be titled the same way.

 

[arthur06]

The only way that I could think of is asking Disney if you bought 380 points at BLT, if they would break them into 120,120,120,60 and title them accordingly for you.

OR

You could buy 120,120 with one sibling...title both families on both contracts (then doing the same 120,60 on the other) then on one contract have one family do a Quit Claim Deed, and have the other family do it on the other. Not really sure of exactly how that works, but... maybe something to look into!

 

[SuzanneSLO]

. . .
Maybe I did not explain our plan very well in my first post. Here is our tenative plan:

M&D - 50/60 points @ AKV via resale
M&D + Child 1 - 120 points @ BLT from Disney
M&D + Child 2 - 120 points @ BLT from Disney
M&D + Child 3 - 120 points @ BLT from Disney

This would enable each family to use their own points however they wish without the complications of "sharing" a block of group points....

When you buy an add-on from Disney, it has to be titled exactly the same way as the original contract. As a result, M&D will have to buy each add-on then transfer to the new owenrs, namely M&D + Child #. This requires the recording of a new deed and Disney will have to formally refuse its ROFR rights in order for you to record that Deed.

Even once this is accomplished, it may be complicated to arrange 4 different contacts owned by 4 owners for a vacation. Each owner can book as many nights as they can with available points (M&D book Sun, Child #1 books Monday & Tuesday, etc.).

But if there are extra points in any contract which are not enough for a single night (and this is likely), there could be problems due to the limits on one transfer (in or out) per owner per year. For example, you need 80 points and no single owner has that many. One owner can receive a transfer from another owner to get enought points for that one night, but that will probably mean the transferring owner has excess points that they cannot either use to book a night or transfer. Many owners manage this with multiple home resorts owned by a single owner (although the thought give me a headache), but when you add in 4 owners, the complications get greater.

Another option would be for M&D to own all the points, with an agreement by the family members to pay the dues for their "share." Each Child could also be an associate member with power to make bookings, but would not be able to benefit from such perks as discounts on APs. In their will or trust, M&D can leave one contract to each Child.

Best of luck in whatever you decide. -- Suzanne

 

[chalee94]

That is not a way that Disney will do the contracts. If Mom and Dad buy the first contract, all subsequent contracts will have to be titled the same way.

true. again, M+D would have to add-on in their name and subsequently deed the real estate interest to you (and then repeat the process for #2 and #3). in any transfer of DVC ownership, DVC has the right to step into the contract and take it for themselves - usually they pass on this in the case of immediate family. but i'm not sure if they would approve of this kind of transaction...

i would definitely not try to corporately own a block of 300+ pts...

it's easiest to pay a little more and each buy your own smaller resale (although you might have to wait a year or two for more BLT resales). if you wanted to try option one, with M+D buying a resale - then adding-on and transferring their interest - it's possible but may get more complex than it looks.

 

[Chuck S]

They would all be completely separate memberships, unless titled exactly the same. Each would fall under the purchase requirements for a new membership. Plus, while you may each trust and love each other now]/i] but family dynamics change; with marriage, divorce, death, medical issues, etc. And as others have mentioned, any bankruptcy or legal proceedings can potentially have an impact on the status of the ownership.

No matter how close your family may be, this just isn't a good idea.

 

[CarolAnnC]

Not to mention when you say "child" if it is a younger person who one day wants to attend college, this ownership in their name would affect their ability to qualify for financial aid, loans, etc. as it would be an asset. All owners are going to consider this an asset which can even result in a forced sale sometime by a court of law for credit issues, divorce, etc. and divided up.

Why go through all this? Just buy your own points...

 

[HannaBelle]

This is exactly what I need to know…

When you buy an add-on from Disney, it has to be titled exactly the same way as the original contract.

My "Plan B" will not work.

This is what we are attempting to avoid by sharing 1 group of points…

…while you may each trust and love each other now but family dynamics change; with marriage, divorce, death, medical issues, etc. And as others have mentioned, any bankruptcy or legal proceedings can potentially have an impact on the status of the ownership

…if one member of the group gets divorced, declares bankruptcy or has creditors go after assets, you could have your membership sold out from under you.

That way everyone isn't subject to the financial burdens of all the others.

The OP must trust their family more than I trust mine!

All owners are going to consider this an asset which can even result in a forced sale sometime by a court of law for credit issues, divorce, etc. and divided up.

Here you are mixing details from “Plan A” and “Plan B”…

Quote:
Originally Posted by HannaBelle
We are pretty atypical. We all live with in 20 minutes of each other, get together at least once a month and vacation together often. We like each other a lot and work every hard at respecting each others boundaries.

I guess what I am trying to affirm is that we can work the system in this fashion. If "M&D" are the DVC members, buy the initial 50 points via resale to become DVC members, then "M&D" purchase the 120 points with each individual family in "Joint Tenancy with Right of Survivorship", each individual family will own their own contract.

Maybe I did not explain our plan very well in my first post. Here is our tenative plan:

M&D - 50/60 points @ AKV via resale
M&D + Child 1 - 120 points @ BLT from Disney
M&D + Child 2 - 120 points @ BLT from Disney
M&D + Child 3 - 120 points @ BLT from Disney

This would enable each family to use their own points however they wish without the complications of "sharing" a block of group points.

Our previous plan was to buy a block of 300 points and everyone vacations once every three or four years depending on point distribution. We would all have to own together, keep track of who used points and who banks or borrowed and so on...that does sound very confusing and has the potential to create strife. We also would not be able to split up a larger block 3 ways.


A couple of problems that I see... and by no means am I an expert...

With banking and borrowing you can not vacation every 4 years...the largest gap, while still using all your points is 3 years. So if 4 years is a though, it won't work.

With "Plan A", the shared points, each family would only get a week at WDW once every 3 or 4 years

With "Plan B", where we each had our own contract, it would not matter to each other what we did with our points. We could use 120 a year, 240 every 2 years or save up and have 360 in one year.

I am just trying to find a viable way to purchase less than 160 points per family. =D

I appreciate everyone’s candid responses!

We are definately trying to do this...

Take your time to understand how DVC works and don't jump in too soon.

 

[CarolMN]

......
I am just trying to find a viable way to purchase less than 160 points per family. =D....

You can purchase less than 160 points if you buy a resale contract. Might take longer, but it would be a lot cleaner if each family owned their own contract. You could still combine points / make reservations for each other if you wanted to do that.

Also, I believe Disney is currently selling 100 point contracts for both AKV & SSR .

 

[HannaBelle]

I am typically our vacation planner, so I want to make sure that each family has control of their own points...less work for me.

I would have to agree that it will be easier for everyone to have their own points!

Thanks for all of the assistance!

I am reading through the dvc use year post noted above and it is hurting my brain! lol

 

[bumbershoot]

I have another idea!

Mom and Dad buy whatever points they want to buy by resale and become full members.

Then they refer each one of you. Each buys 160 (which is sort of only 120 + the 60 points you mentioned earlier, plus 10 more) at BLT which sounds like where you all want to own.

Mom and Dad get referral bonuses for each buyer.

You guys get any special out there when you're referred by a member.

Could end up doing quite well that way!

 

[arthur06]

If you want to buy less then 160 points, there are threads now saying that AKL and SSR are selling new member contracts at 100 points. If this was the case, are you totally set on BLT? If not this is a great way to go! You would not qualify for some of the incentives, as many are based on a "minimum" vacation purchase.

 

[Illuminations_Rocks]

I know I'm not addressing your wanting to transfer points... but if you all just bought smaller resale contracts (like your wanted 120), sure you'd miss out on a few years at the end vs BLT, but you would still be able to go every three years with 360 points (with banking and borrowing) as you were planning.

You've probably thought of that, but just in case!

 

[HannaBelle]

Bumbershoot, what are the referral bonuses?

Arthur06, we really are set on BLT. The only other resort I would consider would be AKV. If we can get a smaller contract there, we might consider it.

The big issue here is that we would all have to be on the deed jointly and share one pooled amount of points even if we have multiple small blocks of points.

Illuminations_Rocks, we have considered that and it is possible that we just wait and shop for individual smaller blocks at BLT via resale or wait for it to become available for sale from Disney as smaller contracts as well.