Are all points created equal?

[Disn3yVision]

Hello all,

I am brand new DVC member, having just purchased 150 points at the Poly. I am completely new to this forum and website but my question: is are all points equal? For instance, if I wanted to rent out my points, are they worth the same amount as points with a home resort of SSR or OKW?

I would bet there are very few Poly owners renting their points at this point and I would assume that makes them more valuable. Also, since they sell for much more than other resorts, the ability to book whatever you want at Poly 11 months out should be worth more than the ability to rent SSR or OKW at 11 months? Am I wrong in my thinking here??? Thanks in advance!

 

[CarolMN]

At 7 months, a point is a point is a point. Won't matter what resort they are from or how much you paid for them.

Before then, your points are worth what someone is willing to pay for them and that's based on the reservation they can be used to make. Will someone pay more for a Poly reservation than one at OKW, or SSR or etc.? Probably. Demand varies according to date, size and location.

Check out a few of the rental brokers - you can see by what they offer owners to use their points and what they charge renters for reservations which resorts are more in demand than others.

 

[_auroraborealis_]

Honestly, only if you do all the legwork, and are willing to book at 11 months. Brokers will generally pay the same for a Poly point 11-7 months as they will other premium resorts (WDW resorts not Saratoga, AKV or OKW). So they're paid out equally to BLT points or VGF points (and VGF points are as high demand as Poly).

 

[cvjw]

They are also worth the same at the 11 month window as my $77 BWV points and $83 BCV points if we were to rent them thru a broker.


You might be able to get more if you rented them yourself.

 

[Disn3yVision]

Thanks for the responses. I've looked around a few broker sites and it appeared as if the rate per point they offered was determined more so by whether or not you were trying to book outside of 7 months, not by what resort you were trying to book. I am thinking about renting my points and doing the legwork but just wasn't clear if the "going rate" per point was the same for the high demand resorts as it was for the lower ones. So, if I am understanding the responses correctly, if I go through the broker I will probably get the same rate/deal as a person renting their points from other resorts, whereas if I were to rent them myself I may be able to ask a little more if I can find somebody who wants to book a premium timeframe at PVB more than 7 months in advance. Is that the basic jist?

 

[bwvBound]

Keep in mind that the points required for Poly vs SSR already take into account a pricing difference. That is to say, a standard-view studio at SSR will likely require far fewer points than the same dates at a standard-view studio at Poly.

Specific Example:

• 1st week of July 2017, standard view studio at SSR: 106 points
• 1st week of July 2027, standard view studio at Poly: 169 points

So the Poly reservation is already almost 60% more expensive than SSR, even if the $$ charged per point were equal.

 

[3 Hobbits 2 Disney]

And I don't know that you could rent them here through the Dis until you have more posts.

 

[_auroraborealis_]

There are going to be limits to how high you can charge, even at 11 months, rented directly yourself. If your rate ends up more than rack rate for the studios -30%, you won't get takers. Disney is still booking roughly a third of the Poly DVC via CRO, and the studios are generally eligible for 25-30% discounts.

I've seen people trying to get $18/point for Poly having to drop their pricing because they're getting greedy. People who rent aren't going to pay more for a reservation they don't control and cannot cancel than they would have to pay Disney for the same room, with cancel policies and housekeeping.

 

[Disn3yVision]

Thanks for this perspective. I wouldn't ask for that much but even $15 a point vs $13 would be an extra $300 per year for my 150 points. The question I must answer I guess is that is worth the convenience of using a broker. To be honest I'm not quite sure it is...

 

[CarolMN]

Thanks for this perspective. I wouldn't ask for that much but even $15 a point vs $13 would be an extra $300 per year for my 150 points. The question I must answer I guess is that is worth the convenience of using a broker. To be honest I'm not quite sure it is...

To clarify, renters more often want these resorts than the others: Bay Lake Tower At Disney's Contemporary Resort, Disney's Beach Club Villas, Disney's Boardwalk Villas, The Villas At Disney's Wilderness Lodge, The Villas at Disney's Grand Floridian Hotel, The Villas at Disney's Grand Californian Hotel, Disney’s Polynesian Villas & Bungalows and Disney's Aulani Resort and Spa. The brokers usually charge more for a reservation for those resorts if made during the home resort priority period.

In addition to the brokers, you will have some other competition if you decide to rent your points.

You will be in competition with Disney's prices. Renters expect a substantial discount over the price they can get by booking with Disney and they tend to compare a DVC studio with a resort hotel room. There may be times of the year that Disney's prices (think discounts & special offers like free dining) are more attractive than DVC rental prices.

There are still some owners who will rent for less than what some think "should" be charged. To get top dollar for your points, you may have to do some work and turn away renters who want to pay you less than your advertised price.

There are quite a few established owner-renters who have references, repeat customers and a history on the DIS for prospects to review before agreeing to the private transaction. Some renters prefer to minimize their risk by dealing with that type of owner.

All that said, there are many owners who rent successfully and some of those only rent occasionally.

If you choose to advertise your points here on the DIS Rent/Trade Board, please read the Sticky Thread at the top of that forum before you submit your thread. Thanks!

 

[Disn3yVision]

Thanks for clarifying. We just returned from WDW, are going to DL in 2 weeks and back to WDW in Nov and, living in Cali, I don't think we are going to be able to go back to ORL again next year so I may end up renting out those points. This would be my first time renting my points so I may try to do it myself and see if its worth the effort, if it proves unsuccessful or not worth it I can always just go through a broker. If I want to try to rent this years points (I have a DEC UY) then they would be valid all the way until Dec. 31 2017, or I could even bank them until Dec 2018 so I have plenty of time to try.

Thanks to your responses I do know now that certain resorts do rent for more than others and that brokers are wiling to pay a slightly higher rate for a "premium" resort. That was what I was really unsure of. Which leads me to my next question...

If I am going to rent out my points how far advance should I start trying? Now? If I wait until I get them in December I will have very little time to find a renter before the 11 month window closes, right?

 

[drusba]

In trying to get any "premium," you should also be aware that wise renters likely already know that Poly is easy to get at 7 months out at any time between mid-Jan and mid-Sep and thus can wait for someone from SSR to do a rental for that period. Any 11 month window premium will be easier to get for making reservations in the late Sep to marathon weekend in Jan period.

You could put the points out for rent starting now and see what happens because there is still some Poly availability for December and early Jan that could be reserved before 7 months out and if there are no bites now, you may let it sit, and come Sep or Oct you may find more renters who have started looking for rooms in Fall 2017.

 

[Disn3yVision]

Thanks drusba, that sounds like good advice. I think I may do just that!

 

[Debbie Jean]

You might want to think about transferring your points to another member before you go the rental route. You are allowed only one transfer per year so you would want to find someone who would take them all.

The advantage is that it is a one and done transaction. After you transfer them the other person owns and controls the points. With renters you are responsible for adding things like DDP, ME, etc. You continue to own, control and maintain the reservation so any needs your renter has must go through you.

I have purchased transfer points on several occasions over the past dozen or so years. Pricing is similar per point. Owners can find themselves "point poor" for any number of reasons and where there is a limit on "on time use points" transferring can be an attractive option. Also if an owner wants the 11 month window at a resort they do not own, transferred points can provide that. When BLT opened, I specifically purchased transfer points from another member to get the 11 month window.

Another alternative for you to consider.

 

[ziravan]

Poly for Nov/Dec is definitely worth renting in the 11 month window and there are far more people wanting to rent than are renting, at least at this time.

This is the 2nd year I've booked someone else into Poly during the 2nd week of Dec. Rented the points last year, as a favor this year. (It's also the 2nd year I've booked myself there so my points have stayed double parked at Poly in Dec).

You'll have no problems finding a Nov/Dec renter during 11 month window for a firm $15/point, and could prob hold out for $16.

Any other time of year? For now at least, Poly can be had with 7 month points any other time.

Keep in mind that Poly is currently 29% sold and 60% released, so there are twice as many rooms avail as members with points. That will obviously change once Poly sells out and THEN we'll get a better idea about booking/renting patterns year round.

 

[CarolMN]

.....(snip)........ If I want to try to rent this years points (I have a DEC UY) then they would be valid all the way until Dec. 31 2017, or I could even bank them until Dec 2018 so I have plenty of time to try.........

This year's points (use year 2016) are valid for stays between 12/1/2016 and 11/30/2017. If you do not bank them (the deadline for that is July 31, 2017), they will expire on 12/1/2017. If you bank the 2016 points, they become valid for stays between 12/1/2017 through 11/20/2018. If the banked points are not used before 11/30 2018. they expire. You may not bank them again.

If you are thinking about your 2015 use year points, those are good for stays between 12/1/2015 and 11/30/2016. You have until July 31, 2016 to bank them into your 2016 use year.

Understanding Use Year

Key point: Your use year has nothing to do with when you can make a reservation. That is always 11 months prior to arrival date for your home resort and 7 months prior to arrival date for non-home resorts.

All of your points are already in your account. (You don't have to wait until "you get them" on 12/1). You just have to have points that will be valid for the dates you want to stay.

 

[Disn3yVision]

Key point: Your use year has nothing to do with when you can make a reservation. That is always 11 months prior to arrival date for your home resort and 7 months prior to arrival date for non-home resorts.

All of your points are already in your account. (You don't have to wait until "you get them" on 12/1). You just have to have points that will be valid for the dates you want to stay.

CaronMN, thank you so much for explaining this! I will admit I have been a bit confused. Can I ask you a specific question I am having problems with?

I am planning a very big family trip in January 2019 for which we will need to use three years worth of points and I am getting confused as to how I would bank and borrow to do this. My current plan is:

Bank my Dec 2017 points
Use my Dec 2018 points
Borrow my Dec 2019 points

So, if I would like to use 450 points to book a room for January 2019 and make my reservation 7 months in advance, what points do I need to bank and borrow and when? Is my plan above correct? Or would I need to commit to banking and borrowing at certain dates to make sure all points will be available January? I hope that make s sense, lol.

 

[Disn3yVision]

You'll have no problems finding a Nov/Dec renter during 11 month window for a firm $15/point, and could prob hold out for $16.

Thats great to know ziravan! So can I ask you, my 2015 points need to be used by Nov 31st this year (DEC UY). I have 90 points available. It seems to me there is no point trying to rent these out. My plan was to just bank them and then I will have an additional 150 points on Dec 1 this year, giving me 240 total. I would then try to rent out those points (or transfer them) for use either December 2016 (I know we are only about 8 months out) or hold out until the 11 month window for November 2017. If by the time I get to 9 or 10 months out from Nov and still haven't found a taker I could just use a broker and try to book the through the remaining 9 months. Does that sound like a sound approach in your opinion?

 

[Disn3yVision]

You might want to think about transferring your points to another member before you go the rental route.

Im so new to this that didn't even cross my mind but it sounds like a great option and possibly a little less stressful than renting them to a non-member. So if I transfer, is it like a trade where they transfer me some of there points in the near future? Or would they just pay me the same way a renter would and its a one time transaction?

 

[ziravan]

Thats great to know ziravan! So can I ask you, my 2015 points need to be used by Nov 31st this year (DEC UY). I have 90 points available. It seems to me there is no point trying to rent these out. My plan was to just bank them and then I will have an additional 150 points on Dec 1 this year, giving me 240 total. I would then try to rent out those points (or transfer them) for use either December 2016 (I know we are only about 8 months out) or hold out until the 11 month window for November 2017. If by the time I get to 9 or 10 months out from Nov and still haven't found a taker I could just use a broker and try to book the through the remaining 9 months. Does that sound like a sound approach in your opinion?

If you're planning to rent them together for sure, I'd bank them and try to rent them for Dec 2016 now. Current 7 month window is already mid-Nov.

If you pay a small premium you can list on the rent trade board now.

Otherwise, you'll either have to hold a reservation until Nov 2017 or rent them as 7 month points for $12/point.

I haven't looked at Dec booking lately but my guess is that if you list the points, you'll find a renter either for NYE or Jan marathon very quickly.