Annual Dues for December Contract

[Wedgeout]

You will be a pro when your membership process is complete with these contract buying experiences. Side note which you probably already have done..with international there are IRS taxes from the seller going to be due. Please be sure your title company does the proper filings and holds back those taxes at closing. Don’t need any future headaches on that contract.

 

[Girlstar30]

These are quotes from your thread about managing 2 use years. I feel like you are taking this personally, when I'm honestly just trying to help you understand why it seemed like a really good deal on the surface. I didn't say it was a bad deal, and definitely didn't say you were stupid. But it is not as good as it appeared now that you've disclosed that you are reimbursing for 2024 dues. If you are fine with that, great.
I would encourage you to read as much as you can on here. I spent a good 6 months reading/researching DVC, mostly on disboards but also reddit, before I decided we should jump in. If you google your question and put the word disboards at the end all kinds of good stuff will come up. Good luck!

Thanks I actually did learn from what you told me about most 2024 contract buyers not having to pay dues so i do appreciate that input, its just the "she shouldnt have signed without knowing" part that didn't go well with me because I did know i was paying for 2024 dues. I didnt know that a lot of people don't though so that piece of info was great. It's all love, thanks for answering

 

[Girlstar30]

For December UY, you just need to remember that the dues paid and points are for the year ahead.

Thank you!

 

[Brian Noble]

I mean the question isn't asking if I'm getting a good deal... it's about annual dues and how they work...

Dues are based on the calendar year, and have nothing to do with use years. The resale market has tended to consider them tied to a particular UY's worth of points, but Disney does not treat them that way.

 

[Girlstar30]

You will be a pro when your membership process is complete with these contract buying experiences. Side note which you probably already have done..with international there are IRS taxes from the seller going to be due. Please be sure your title company does the proper filings and holds back those taxes at closing. Don’t need any future headaches on that contract.

I'm happy that that contract is thru www.dvcresalemarket.com i feel more confident with their filings is there a way i can see if they did this when it's all said and done or should I just ask them to make sure they did it? Thanks!

 

[Girlstar30]

Dues are based on the calendar year, and have nothing to do with use years. The resale market has tended to consider them tied to a particular UY's worth of points, but Disney does not treat them that way.

That's how they were able to low key bamboozle me

 

[Brian Noble]

I think some other timeshare management companies do this---Wyndham does, I think---but all my weeks with them are January UY so I can't tell the difference.

 

[Wedgeout]

I'm happy that that contract is thru www.dvcresalemarket.com i feel more confident with their filings is there a way i can see if they did this when it's all said and done or should I just ask them to make sure they did it? Thanks!

I’d check with your friendly agent on that. I’d want copies for me at the end.

 

[Chili327]

Oh ok I realized that I was paying for 2024 points and I was fine with it because those are still all there for me to use. i guess I'm just wondering why I have to pay for 2025 points already when the 2025 UY for December doesn't start until December. So I'm guessing everyone prepays for points before they are dropped unless they have a January use year?

Also, there is no Jan use year, so yep everyone pays in Jan for that year of points.

 

[Girlstar30]

Also, there is no Jan use year, so yep everyone pays in Jan for that year of points.

Good point, i always wondered why they axed some uy

 

[jolynne28]

Thanks I actually did learn from what you told me about most 2024 contract buyers not having to pay dues so i do appreciate that input, its just the "she shouldnt have signed without knowing" part that didn't go well with me because I did know i was paying for 2024 dues. I didnt know that a lot of people don't though so that piece of info was great. It's all love, thanks for answering

I was referring to you not knowing that you pay your Dec 2025 dues in January 2025, not that you didn't know the 2024 dues were in your contract. We as a board did not know that though until this thread, otherwise we definitely would have encouraged you to not offer to pay them. Sounds like you are fine with how it's working out so hopefully it's smooth sailing from here on out!

 

[Sandisw]

Dues are for operations of the resort and billed on calendar year.

So, don’t think of it as which points but for being an owner.

The amount you owe is calculated based on how many points you own because it represents your share of ownership.

Regardless of UY, if you are an owner in 2025, you pay 2025 dues.

What confuses things is that in the resale market, sellers and brokers take the stance that if you get points for that UY, you should cover the dues.

But if you look at how it happens when you buy direct, it makes more sense.

 

[Girlstar30]

I was referring to you not knowing that you pay your Dec 2025 dues in January 2025, not that you didn't know the 2024 dues were in your contract. We as a board did not know that though until this thread, otherwise we definitely would have encouraged you to not offer to pay them. Sounds like you are fine with how it's working out so hopefully it's smooth sailing from here on out!

Well considering this was www.fidelityrealestate.com response to my questioning it, you can see why someone wouldn't know this...I haven't bought direct before so I had nothing to compare it too...

"These folks are still in 2024 usage, the 2025 points do not start until december 2025. You would be responsible for paying 2024 points because you are receiving them"

 

[Girlstar30]

Dues are for operations of the resort and billed on calendar year.

So, don’t think of it as which points but for being an owner.

The amount you owe is calculated based on how many points you own because it represents your share of ownership.

Regardless of UY, if you are an owner in 2025, you pay 2025 dues.

What confuses things is that in the resale market, sellers and brokers take the stance that if you get points for that UY, you should cover the dues.

But if you look at how it happens when you buy direct, it makes more sense.

I guess they figure since it's still way cheaper than buying direct it can be treated differently

 

[Sandisw]

I guess they figure since it's still way cheaper than buying direct it can be treated differently

It’s just a different mindset. I always based my offer on when in the calendar year we were, especially since I never bought stripped contracts.

If I bought in the first three months, I’d reimburse full, if I bought closer to June, I’d offer 6 months and once it got to fall, I wouldnt pay at all.

As a seller, I took the same approach and never asked for due reimbursement selling in the fall, even when they got the points.

 

[Girlstar30]

It’s just a different mindset. I always based my offer on when in the calendar year we were, especially since I never bought stripped contracts.

If I bought in the first three months, I’d reimburse full, if I bought closer to June, I’d offer 6 months and once it got to fall, I wouldnt pay at all.

As a seller, I took the same approach and never asked for due reimbursement selling in the fall, even when they got the points.

I think this is a very fair way to approach it, I would do this as well!

 

[AstroBlasters]

It’s just a different mindset. I always based my offer on when in the calendar year we were, especially since I never bought stripped contracts.

If I bought in the first three months, I’d reimburse full, if I bought closer to June, I’d offer 6 months and once it got to fall, I wouldnt pay at all.

As a seller, I took the same approach and never asked for due reimbursement selling in the fall, even when they got the points.

I think I have always done pro-rata unless it was a YOLO @Jimmy Geppetto style offer….

 

[Girlstar30]

I think I have always done pro-rata unless it was a YOLO @Jimmy Geppetto style offer….

I think this is my approach to life

 

[Chili327]

this was www.fidelityrealestate.com response…

You would be responsible for paying 2024 points because you are receiving them"

I’m thinking the bolded part is a flat out lie from Fidelity.
You are NOT responsible for those points, like Sandi said, you will be responsible for 2025 as an owner, not prior years. BUT I have paid for past dues that were included multiple times, just have to do the math and determine what yore willing to pay. It’s just a negotiation tool and Fidelity made it sound like a “law” or “rule”.

 

[Girlstar30]

I’m thinking the bolded part is a flat out lie from Fidelity.
You are NOT responsible for those points, like Sandi said, you will be responsible for 2025 as an owner, not prior years. BUT I have paid for past dues that were included multiple times, just have to do the math and determine what yore willing to pay. It’s just a negotiation tool and Fidelity made it sound like a “law” or “rule”.

The resale markets bamboozle people with this and the title company I have learned. They 100% make it feel like you have to go with their preferred title company by saying stuff like "the title company will be bla bla bla" Since that was done to me by www.dvcresalemarket.com , I knew better this time around, so when www.fidelityrealestate.com tried to tell me what title company i would be using, I told them I wanted Mason and they told me that the reason they use the one they do is its usually cheaper than Mason. The math was done and lo and behold the recommended one from www.fidelityrealestate.com title company was more expensive and with less services provided. Didn't check if magics was cheaper because in my case too late for my BLT one. I don't feel completely bamboozled by agreeing to pay 2024 annual dues because well it's early in the year and I'm using em, but new buyers beware!