Any CM's out there that have sold their DVC?

[cindybelle]

I've been reading some posts where people have been saying there may be some restrictions for CM's who want to sell their contracts. Is this true, and what would they be?

 

[tjkraz]

Since nobody answered your question, I'll give it a shot.

CMs are offered additional discounts on DVC purchases as an employment perk. In return, CMs are asked to sign a document that places other restrictions on the ownership. If memory serves, two of the clauses on this document are that CMs CANNOT rent their points for profit, and if a CM ever chooses to sell their points DVC has the option to buy them back at the original purchase price.

 

[cgcruz]

I'm guessing since most non-management CMs don't make much more than minimum wage, not many could afford DVC, even with additional discounts.

 

[disney junky]

I'm guessing since most non-management CMs don't make much more than minimum wage, not many could afford DVC, even with additional discounts.

This is an interesting comment. I'm not sure your point.

I know from my guide that over the years the discount that CM's receive on the purchase of points has varied. I don't know what the restrictions are. I suspect they vary as well. If a CM can purchase points at a discount and then sell them on the open market, they could make a good deal of money just buying and reselling points, so I suspect tjkraz is right on. The difficult restriction would be not being able to rent points out. My guide has 400 points and lives in Orlando, so she uses most of her points all over the place.

 

[n2mm]

We purchased our original contract with a CM discount. Ours was a WDC CM discount, so not the 25% the WDW CMs get. We did not sign any paper stating any type of "special" rules. Our discount saved us $6000. We may sell it one day as we get older. BTW: we have many WDW CM friends and former TDS CM friends who own DVC.

 

[Caskbill]

I'm guessing since most non-management CMs don't make much more than minimum wage, not many could afford DVC, even with additional discounts.

I disagree. There are a number of CM's who have semi-retired. They've moved to Florida and work at Disney. It's not the pay as much as getting benefits such as Medical, free Park Admission and such. Or they just like being part of Disney itself.

I've spoken with a number of CM's at WDW who have purchased DVC. I've also been told that if they want to sell, they can only sell back to Disney.

 

[cindybelle]

I appreciate everyone's info.
I bought my contract in 2000 when I was living in Orlando and was a CM. I'm actually still a seasonal CM (no longer living in FL) but am in a position that I need to sell one of my contracts (I'm hanging onto a small one to remain a DVC member). But I've been going through all my papers and cannot find anything that states any restrictions about me selling it. Nor does it say anywhere that I have to sell it back to Disney.
That's why I was hoping to hear from another CM who has sold their contract.
I guess I could ask my guide....but I'm sure that's the last thing they want to hear is that we're trying to sell

Thanks again everyone!

 

[tor]

There are a number of CM's who have semi-retired. They've moved to Florida and work at Disney. It's not the pay as much as getting benefits such as Medical, free Park Admission and such. Or they just like being part of Disney itself.

This is part of my retirement plan sure beats what the retirees around here do working for walmart or home depot.

 

[disney junky]

I appreciate everyone's info.
I bought my contract in 2000 when I was living in Orlando and was a CM. I'm actually still a seasonal CM (no longer living in FL) but am in a position that I need to sell one of my contracts (I'm hanging onto a small one to remain a DVC member). But I've been going through all my papers and cannot find anything that states any restrictions about me selling it. Nor does it say anywhere that I have to sell it back to Disney.
That's why I was hoping to hear from another CM who has sold their contract.
I guess I could ask my guide....but I'm sure that's the last thing they want to hear is that we're trying to sell

Thanks again everyone!

Actually, I doubt your guide would really care that much. They already got paid for their work on the original contract so I'd contact them. Go for it.

 

[tor]

I appreciate everyone's info.
I bought my contract in 2000 when I was living in Orlando and was a CM. I'm actually still a seasonal CM (no longer living in FL) but am in a position that I need to sell one of my contracts (I'm hanging onto a small one to remain a DVC member). But I've been going through all my papers and cannot find anything that states any restrictions about me selling it. Nor does it say anywhere that I have to sell it back to Disney.
That's why I was hoping to hear from another CM who has sold their contract.
I guess I could ask my guide....but I'm sure that's the last thing they want to hear is that we're trying to sell

Thanks again everyone!

I think calling is the only way to find out the answer. The restrictions could have been implemented after you purchased and therefore not apply to you. If the say they apply ask them for a copy of it in writing.

 

[cindybelle]

I've emailed my guide and hopefully I'll have an answer soon. I'll share the info with you all when I find out.
Thanks for all of your responses!!

 

[cindybelle]

I have such a great guide...he's always very helpful!!
I guess there is a recent stipulation added to a CM contract that they have to bring their resale to DVC first (just like tjkraz said ) I'll have to take a closer look at my recent add on to get the full details. But since I bought my first one awhile ago...I'm good to sell it like anyone else would!
Thanks again everyone!

 

[Boston5602]

thanks for reporting back , always nice to know how things turn out, after someone comes to the Dis for help !

 

[newt1912]

Just happened across this thread. Not sure I fully understand the answer. I purchased my DVC 200 VWL points in 2002 using my son's CM discount. We are now selling. Do I have to sell to Disney for purchase price? When I first began sale thoughts back in early May I contacted Member Services and was sent a letter just giving me the name of a broker who would sell them for me. No one asked if these points were purchased with CM discount. I just called MS Administration again but had to leave VM message. Sounds like you never get a human. Push 1 if you want to sell and a letter will be mailed to you about selling to the address we have on file. Back in early May I also spoke to my guide about selling via email and was just sent an email reply to contact MS.

I just tried to read the fine print in all my paperwork and nothing pops out at me about CM discounted DVC points going back to Disney for original purchase price.

Is this just for DVC points purchased after a certain date? Any info would be appreciated as my points are currently listed with a broker.

Thanks

 

[newt1912]

bump

 

[tjkraz]

Is this just for DVC points purchased after a certain date? Any info would be appreciated as my points are currently listed with a broker.

Based upon cindybelle's response from DVC, it appears that the policy does not date back to DVC's inception.

As Disney Junky suggested, the restriction was put into place to keep CMs from buying points at a significant discount and then re-selling in short order at a profit.

My understanding is that there is an additional document that must be signed as part of the sale process that defines the extra limitations. If you don't have such a document in your files, it's entirely possible that you purchased before the policy was enacted.

I'd ask DVC to be certain. Otherwise you may not find out until the contract is submitted for ROFR, and you could have a pretty disappointed buyer on your hands.