Best way to sell a small DVC contract...

[lovin'fl]

Sorry, forgot to ask... Are the closing costs on top of all of these fees and if so who get them?

Yes and the buyer pays them, but they sometimes negotiate that the seller pays them. You can say no to that as a seller. We tried to get the seller to pay ours for the contract we are currently in ROFR on and they offered a little off the price per point instead.

Buyer also pays 2013 MF and if you have already paid them, you will get that money back. If you have no 2013 points than the buyer likely won't pay the 2013 MF and the broker will advise as such. MF can also be negotiated but it typically goes to buyer if all points are there and seller if not (sometimes buyer and seller will split them).

If you don't use a broker, you will still pay closing costs and will have to find a lawyer to do the closing. The only thing not using a broker saves you is the 10% commission.

 

[johnsbelt]

Sorry, forgot to ask... Are the closing costs on top of all of these fees and if so who get them?

Yes, the closing fees are on top of the commission. Just think of it as selling your house. Go back and look at the HUD-1 (closing statement) for your last closing (buy or sell). It contains 2 columns on it, one for the buyer, and one for the seller. All of the fees, by law, are listed on this form. While the amount of the fees will be less (because the value of the sale is less), you can expect most of these fees to exist. The one area where you will not apply is in the concessions area (the seller paid for repairs that the buyer requested or the mortgage company requested).

To sell the contract yourself, the closing costs would still be negotiable. You might agree to a price per point a couple of dollars lower but still above the price that would trigger ROFR or since you are not paying the commission, you might agree to pay all of the closing costs. As far as ROFR, it is the bottom line that Disney probably focus' on, not the price per point.

Hope this helps and I haven't confused you too much.

John

 

[hollypoast]

Yes, the closing fees are on top of the commission. Just think of it as selling your house. Go back and look at the HUD-1 (closing statement) for your last closing (buy or sell). It contains 2 columns on it, one for the buyer, and one for the seller. All of the fees, by law, are listed on this form. While the amount of the fees will be less (because the value of the sale is less), you can expect most of these fees to exist. The one area where you will not apply is in the concessions area (the seller paid for repairs that the buyer requested or the mortgage company requested).

To sell the contract yourself, the closing costs would still be negotiable. You might agree to a price per point a couple of dollars lower but still above the price that would trigger ROFR or since you are not paying the commission, you might agree to pay all of the closing costs. As far as ROFR, it is the bottom line that Disney probably focus' on, not the price per point.

Hope this helps and I haven't confused you too much.

John

No, this is perfect. Thank you! There sure are a lot of fees for such a small amount of money.

 

[Sandisw]

I've sold two small contracts and used brokers to do it each time. Both times, I had offers within 24 hours. I was even selling with a delayed closing, and was able to get it done quickly. Plus, I didn't have to worry about anything other than signing and sending back the papers. Everything else was handled and for me, well worth the 10% I paid them.

For us, in both instances, I closed in August and covered the MF's for that year but the buyers paid the closing costs. So, my expenses were just the 10% commission and a small fee of like $70.

Good luck!!

 

[hollypoast]

I've sold two small contracts and used brokers to do it each time. Both times, I had offers within 24 hours. I was even selling with a delayed closing, and was able to get it done quickly. Plus, I didn't have to worry about anything other than signing and sending back the papers. Everything else was handled and for me, well worth the 10% I paid them.

For us, in both instances, I closed in August and covered the MF's for that year but the buyers paid the closing costs. So, my expenses were just the 10% commission and a small fee of like $70.

Good luck!!

Did you get your asking price? Just curious

 

[Mickey'sApprentice]

How difficult would it be administratively to sell a contract outright?

I just sold my 12 year old car on facebook. It was rather easy to find a buyer.

 

[minniemoms]

We are going to have to sell our SSR.. And we have 3 smaller contracts for Grand Villas.. We are going to see one of them. I am hating hating doing this, but don't have a choice. So, I have only heard fidelity and Time Share store. There maybe others? I am sure my Grand Villa one will sell faster.. How hard is it is going to be to sell SSR? Any help on this, would be so appreciated..

 

[DizBub]

We are going to have to sell our SSR.. And we have 3 smaller contracts for Grand Villas.. We are going to see one of them. I am hating hating doing this, but don't have a choice. So, I have only heard fidelity and Time Share store. There maybe others? I am sure my Grand Villa one will sell faster.. How hard is it is going to be to sell SSR? Any help on this, would be so appreciated..

Sorry you are having to sell.

SSR is very popular on the resale market, especially smaller contracts. Banked or available points make it even more attractive.

Best of luck.

 

[AllieV]

I have read some threads where people are transferring a contract to an adult child, a divorced spouse, etc. Those people have used a closing agent. In some states, this is an attorney. In others, it is just a licensed real estate broker. They've paid a flat fee for the paperwork to be filed with the state and with Disney.

Do a search here on these boards for "transferring contract" or "selling to family member" in the title and see what pops up.

 

[Sandisw]

Did you get your asking price? Just curious

For one yes, full price....for the other, it was $3.00 less per point but it was only a 50 point contract, so $150.. For the quick turnaround, I figured it wasn't worth holding out for that, especially since I was selling so I could turn around and buy the points for BLT from Disney...back when they were only charging $100 per point..