Anyone have a recent comparison of the DVC rental brokers?

[jkips]

It seems like the board's sponsor has meaningfully changed the pay-out for those of us that have extra DVC points to rent. I know there was some animosity towards the way David's handled some of the COVID cancellations but their pay-outs have remained the same. I'm wondering if anyone has put together a recent compilation with comparisons across the DVC broker business ecosystem.

 

[jkips]

Looks at the commissions charged it looks like DVCrentalstore takes outs $8 for most reservations (for a $22/pt reservation the rentee gets paid $14/pt) while David takes out $5 ($23 and $18 respectively).

 

[Nursemanit]

You can set confirmed reservations to only accept $18 a point but not higher. I have been inundated with offers to rent my points for $12 - No thanks - I would give them to a friend first. Room prices are still high so there is no excuse for the changes they made.

 

[jkips]

You can set confirmed reservations to only accept $18 a point but not higher. I have been inundated with offers to rent my points for $12 - No thanks - I would give them to a friend first. Room prices are still high so there is no excuse for the changes they made.

Yeah - I find the $12 insulting as well

 

[Redheadprincess]

It seems like the board's sponsor has meaningfully changed the pay-out for those of us that have extra DVC points to rent. I know there was some animosity towards the way David's handled some of the COVID cancellations but their pay-outs have remained the same. I'm wondering if anyone has put together a recent compilation with comparisons across the DVC broker business ecosystem.

This was discussed on the DVCfan Facebook page. I mentionned that owners would be less willing to rent out points at how low they dropped the payout. I was told that business was more robust than ever and that there were too many points and not enough renters. But the interesting thing is that if you look at the Claim open listings portal, there are around 200 open listings. A year ago 80% were BCV, with a few Poly, VGC, and VGF thrown in. Now it is full of Saratoga, OKW, BLT etc. I've never seen that. An 11 month reservation for SSR, OKW is paying out $12 instead of $16,that is crazy.

 

[SteveAZee]

I suppose that if people believe a recession is on the horizon, then owners might want to have cash (rather than vacation to WDW) so lots of people want to rent their points and supply is high. On the renter's side, seeing a recession coming means not wanting to spend a ton of money this year on a Disney vacation, so demand is low as well.

 

[jkips]

I suppose that if people believe a recession is on the horizon, then owners might want to have cash (rather than vacation to WDW) so lots of people want to rent their points and supply is high. On the renter's side, seeing a recession coming means not wanting to spend a ton of money this year on a Disney vacation, so demand is low as w

I get vacations - especially when as many dollars are involved as is needed for a Disney vacation - are completely discretionary and people’s willingness to spend will very a lot depending on how they are feeling about their jobs, their investments and the overall economy. What’s concerning here is the $8/pt take rate DVCrentalstore is taking. It is excessive and much higher than what their take rate used to be. It’s more than a third of what they are charging.

My understanding is Davids and DVCrentalstore are the two behemoths in the space with there being a few startups periodically that have never gotten to enough critical mass to matter. DVCrentalstore had been charging renters more until recently while paying those with points to rent the same as Davids. They seemed to have switched tactics within the last few months to try to undercut Davids on what they charge renters while now paying those with points to rent significantly less.

 

[SteveAZee]

I get vacations - especially when as many dollars are involved as is needed for a Disney vacation - are completely discretionary and people’s willingness to spend will very a lot depending on how they are feeling about their jobs, their investments and the overall economy. What’s concerning here is the $8/pt take rate DVCrentalstore is taking. It is excessive and much higher than what their take rate used to be. It’s more than a third of what they are charging.

My understanding is Davids and DVCrentalstore are the two behemoths in the space with there being a few startups periodically that have never gotten to enough critical mass to matter. DVCrentalstore had been charging renters more until recently while paying those with points to rent the same as Davids. They seemed to have switched tactics within the last few months to try to undercut Davids on what they charge renters while now paying those with points to rent significantly less.

Yeah, it's pretty interesting to see the reach that some of the brokers have.

 

[MarkNC2Disney]

I get vacations - especially when as many dollars are involved as is needed for a Disney vacation - are completely discretionary and people’s willingness to spend will very a lot depending on how they are feeling about their jobs, their investments and the overall economy. What’s concerning here is the $8/pt take rate DVCrentalstore is taking. It is excessive and much higher than what their take rate used to be. It’s more than a third of what they are charging.

My understanding is Davids and DVCrentalstore are the two behemoths in the space with there being a few startups periodically that have never gotten to enough critical mass to matter. DVCrentalstore had been charging renters more until recently while paying those with points to rent the same as Davids. They seemed to have switched tactics within the last few months to try to undercut Davids on what they charge renters while now paying those with points to rent significantly less.

Biting the hand that feeds you… 60% of the time, it works every time

 

[Red Dog Run]

This was discussed on the DVCfan Facebook page. I mentionned that owners would be less willing to rent out points at how low they dropped the payout. I was told that business was more robust than ever and that there were too many points and not enough renters. But the interesting thing is that if you look at the Claim open listings portal, there are around 200 open listings. A year ago 80% were BCV, with a few Poly, VGC, and VGF thrown in. Now it is full of Saratoga, OKW, BLT etc. I've never seen that. An 11 month reservation for SSR, OKW is paying out $12 instead of $16,that is crazy.

Refused to rent. Got 512 OKW I would have rented. They back up to $14, but still ridiculous.

 

[Red Dog Run]

Biting the hand that feeds you… 60% of the time, it works every time

Yep. To advertise they have special rates and then tell the renters we lower your payout to $12 a point? I did give 29 to my little cousin that lives in Orlando just because I'd rather give to her than give to DVC rental. She enjoyed her little stay. Happy to do it.

 

[chrispgross]

I have been a fan of renting to friends. They are much easier to deal with and I don't get a 1099.

 

[chrispgross]

I have been a fan of renting to friends. They are much easier to deal with and I don't get a 1099.

This is the biggest reason I like to avoid the brokers, the 1099 I get.

 

[BWV Dreamin]

Do any of the brokers have a “ bid” system where you could bid on some points?

 

[jkips]

Do any of the brokers have a “ bid” system where you could bid on some points?

There have been some that have tried more dynamic pricing in the past - bipbop is one that comes to mind that is now out of business.

Brokering points is a scale business where you need both a lot of supply - ie people with points they want to rent out, and a lot of demand - ie people wanting to rent others’ points at the same time. Getting both sides of a marketplace to grow at the same time is a tough business to start from scratch. You need to grow both sides at the same time and to have both sides trust you as a business. The biggest players are entrenched and get to monetize the network effects and trust they have grown over the years.

I’ve seen a lot of sub scale brokers come and go through time because they haven’t been able to get to scale

DVCrentalstore recently upped their percentage take of the transaction - most likely because they are such a big part of the DVC point rental market that their position is strong enough to be able to improve their own bottom line without significantly hurting their volumes.

Although I think their take of what is now greater than one third of the economics is too much for the service they provide it appears to be working fine for them. They have built a great capital light business that has to be a cash flow monster. I’m no longer renting my excess points through them but it seems like others still are.

 

[nw6675]

This was discussed on the DVCfan Facebook page. I mentionned that owners would be less willing to rent out points at how low they dropped the payout. I was told that business was more robust than ever and that there were too many points and not enough renters. But the interesting thing is that if you look at the Claim open listings portal, there are around 200 open listings. A year ago 80% were BCV, with a few Poly, VGC, and VGF thrown in. Now it is full of Saratoga, OKW, BLT etc. I've never seen that. An 11 month reservation for SSR, OKW is paying out $12 instead of $16,that is crazy.

As a renter, I find that difficult to believe. At least for larger point rentals. I've often been unable to secure points through either of the agencies. I've ended up having awesome luck direct from these boards and will continue down that path.

I often hear renters complaining that it is taking the agencies forever, if at all, to secure the reservations.

 

[Red Dog Run]

There have been some that have tried more dynamic pricing in the past - bipbop is one that comes to mind that is now out of business.

Brokering points is a scale business where you need both a lot of supply - ie people with points they want to rent out, and a lot of demand - ie people wanting to rent others’ points at the same time. Getting both sides of a marketplace to grow at the same time is a tough business to start from scratch. You need to grow both sides at the same time and to have both sides trust you as a business. The biggest players are entrenched and get to monetize the network effects and trust they have grown over the years.

I’ve seen a lot of sub scale brokers come and go through time because they haven’t been able to get to scale

DVCrentalstore recently upped their percentage take of the transaction - most likely because they are such a big part of the DVC point rental market that their position is strong enough to be able to improve their own bottom line without significantly hurting their volumes.

Although I think their take of what is now greater than one third of the economics is too much for the service they provide it appears to be working fine for them. They have built a great capital light business that has to be a cash flow monster. I’m no longer renting my excess points through them but it seems like others still are.

I stopped renting through them when they started offering $12 a point. I can't justify that even in today's resale contract glut.