borrowing 2 years?

[beer dave]

borrowing 2 years?

I'm looking at resales-- a couple just came up for AK-- march uy--15 points coming in 3/16------ Am I missing something? how did they borrow 2 years ahead? or are they just wanting to get to use the next year when it comes? not closing for a year and a half? I don't get it.

Maybe not closing until march of 15? It would have to be after they take the trip, right? There is no way this trip could be booked now.

 

[RobDoc]

With a March Use Year, points could be borrowed now from the 2016 Use Year for any trip after March 1, 2015. They would not likely want to close on the resale until that trip was completed since the reservation would be canceled by DVC, but borrowing points for a trip between 3/1/15 and 11/4/15 is entirely possible and could have been already reserved.

 

[Sur]

If they did close with a reservation pending, they'd lose that reservation too.

 

[beer dave]

If they did close with a reservation pending, they'd lose that reservation too.

Right-- or the new owner could cancel it. who would commit to a contract that they will not own for a year?

 

[MountainMouse]

Right-- or the new owner could cancel it. who would commit to a contract that they will not own for a year?

We just purchased and were told that all reservations were cancelled when the deed was sold. Personally I wouldn't want to wait so long to close for fear that he deal would fall through and I would have wasted all that time. Also, I can see the desire for a stripped contract if the price is right, but it usually isn't.

 

[beer dave]

With a March Use Year, points could be borrowed now from the 2016 Use Year for any trip after March 1, 2015. They would not likely want to close on the resale until that trip was completed since the reservation would be canceled by DVC, but borrowing points for a trip between 3/1/15 and 11/4/15 is entirely possible and could have been already reserved.

I get it now-- thanks-- It doesn't matter what the actual date is, just the date of the reservation--if the res is in the 15 use year, they could borrow from 16 even if we are still in 14.....

 

[Sandisw]

Remember, reservations for stays in a March 2015 UY, began in April 2014, so it sounds like these owners did indeed book a reservation during their March 2015 UY.

If the contract is being sold with a notation of "can't close until xxx", then they want to keep it until they take that reservation.

I have sold two contracts this way. I listed them way ahead of time because I was told by the resale agent that there are some people who could be interested, even though there was a delayed closing--ie: right resort, right UY, etc.

And sure enough, both of them sold within 48 hours, even though there was about a 4 month delay in closing..I guess the buyers were fine since it delayed having to pay for it that long too!!!

No contract will be sold with a pending reservation so that would be canceled once a sale was going through if there is no delayed closing agreed to...