Analytical minds needed-points vs cash help please!

[trampslady]

Members: Me (35) hubby (38) no kids...family will occasionally join us.....

Points: 170 BCV April use year....50 HH April use year

Situation: We have had our points since July 2002. Our first use will be in early December, BCV two studios for 105 points each and late December HHI studio 34 points. This will leave us with 130 banked BCV points and 12 banked HH points.

I work for an airline and get 50 percent off rooms and usually cruise rates too. Last May 2003 was our very first Disney visit (AKL) and that's when we fell in love with it--hence the DVC purchase. Since January of this year, we have been to Disney six times for long weekends and a cruise. Each time we have stayed at All-Stars for around $40-$60 per night. To justify long weekends and the use of our Annual Passes, we have settled with All-Stars. It's been fine. My dilemma is trying to figure out if buying more points makes sense vs. the costs of rooms over these long weekends. I know we have spent around $900 in room costs so far this year. Of course, the remainder of our trips for the year will be DVC..no charge!! Would that $900 would be better spent on points that we could use for those trips? My concern is that weekend points are so high that we still end up better just paying cash.

Any brilliant math majors out there?

 

[bcvillastwo]

The best way I've found is to break cost down to a per points basis. For example, if you paid $21,000 for 300 points over say a 40 year life your DVC ownership it would work out to $1.75 per point. Then add an estimate of what your annual mainteance cost will be on a per points basis. I'm using $4.00 which brings your per point cost to $5.75 per point. If you like round it to an even $6.00 per point. This calucation assumes you have completely paid the $21,000. If you are financing your DVC ownership then you should factor in interest.

So, if you wanted to stay at BCV studio durin the Magic season from Thursday night through Sunday night it would cost 42 points on Friday and Saturday nights and 14 points for Thursday and Sunday nights for a total of 114 points @ $6.00 per point which equals $672.00

Using the information you presented above it would cost you $40 to $60 per night at Allstars. I'll use $50 per night as an average which works out to $200 plus tax for 4 nights.

If my assumptions are sound and my math is correct it seems to me that paying cash is the best way to go considering the nice discount you get. Even if you consider the fact that a BCV studio is more convienient to Epcot and MGM an its considerably nicer than an Allstars room the difference of almost $500.00 makes it a no brainer to me.