Buying a specific # of points - what would you do

[jodiey]

There's a 250 pt Sept UY with current points available with TTS - the board sponsor.

Saw it, thanks!

 

[paults]

Saw it, thanks!

just remember you can't break a 250 pt contract up and sell just some of the pts if you decide to sell some later. You will need to sell the whole contract. We have 3 contract 2 resale and 1 direct. 100/150 /150. We can get rid of anyone we want if we need too to cut back.

 

[bellablue2]

That's not really an issue as more contracts always come along you can then just bid on another?

yep...new contracts come on the market daily.

 

[CMOORE185]

I would pay extra for the smaller contracts. Even though you are paying slightly more for them you will be able to sell them for more and faster as in the future.

That is one regret I have is that I have bigger contracts . I wish I had multiple smaller contracts.

 

[lovin'fl]

I would, most definitely, buy 2 smaller contracts with same UY. Ever since our first purchase, of 200 OKW points, we have added on in smaller increments and wished that 200 pointer was two smaller contracts instead. Smaller contracts are easier to resell, they go for a higher price and you can downsize if you need to someday.

Another thing is that I wouldn't get caught up on a specific UY. Our UY (use years as we have 2) have not been all that important. We manage our points just fine and, in 8 years of ownership, have cancelled and had holding points just once (recently and we only cancelled 1 night to have 42 points in holding and had no problem re-using those holding points).

 

[Dean]

I would pay extra for the smaller contracts. Even though you are paying slightly more for them you will be able to sell them for more and faster as in the future. That is one regret I have is that I have bigger contracts . I wish I had multiple smaller contracts.

IMO it's a good option to have but one not worth paying signifiant dollars for. Basically it's insurance, one just has to look at the situation and cost and make a decision. It's just another example where making a good up front decision is important. I'd suggest just looking at the cost vs benefit. In general I'd suggest it's not worth the difference to buy under 150 pt contracts resale for this purpose and certainly not worth buying retail for this reason alone. That includes the idea that one should not buy with the intent on selling later so it's only a just in case option. Now if one has other reasons such as multiple home resorts, that would need to be a main reason to make this generally a good choice. Once you get large enough such that the price isn't affected too much, around 200 or so per contract, then I would start diversifying but I'd consider multiple home resorts in that situation anyway. The cost difference on a 200 pt contract compared to two 100 pt contracts resale is likely to be in the range of $2000 and when you consider the likelihood that you'd find a better contract also, the total difference can easily reach $3000 in that example. IMO a far better approach to this situation is to underbuy by 10-20% hopefully on a loaded contract. On top of that, for resorts that offer them, I feel the fixed week options are a more valuable choice that breaking up the contracts for most people.

 

[CMOORE185]

IMO it's a good option to have but one not worth paying signifiant dollars for. Basically it's insurance, one just has to look at the situation and cost and make a decision. It's just another example where making a good up front decision is important. I'd suggest just looking at the cost vs benefit. In general I'd suggest it's not worth the difference to buy under 150 pt contracts resale for this purpose and certainly not worth buying retail for this reason alone. That includes the idea that one should not buy with the intent on selling later so it's only a just in case option. Now if one has other reasons such as multiple home resorts, that would need to be a main reason to make this generally a good choice. Once you get large enough such that the price isn't affected too much, around 200 or so per contract, then I would start diversifying but I'd consider multiple home resorts in that situation anyway. The cost difference on a 200 pt contract compared to two 100 pt contracts resale is likely to be in the range of $2000 and when you consider the likelihood that you'd find a better contract also, the total difference can easily reach $3000 in that example. IMO a far better approach to this situation is to underbuy by 10-20% hopefully on a loaded contract. On top of that, for resorts that offer them, I feel the fixed week options are a more valuable choice that breaking up the contracts for most people.

I bought my bigger contracts direct so I assume I could have had smaller contracts at no extra cost.
I do see your point when buying resale, $2000 or $3000 is a lot of money.
I just hope buyers see it like this if I ever have to sell my contracts.

 

[Dean]

I bought my bigger contracts direct so I assume I could have had smaller contracts at no extra cost. I do see your point when buying resale, $2000 or $3000 is a lot of money. I just hope buyers see it like this if I ever have to sell my contracts.

My comments are related to buying today which is a different ball game than when there wasn't a large difference between resale and retail. I think this is one of those issues people lose site of in such discussions, they use a past point of reference that is not currently applicable. When it costs the same and there are no other road blocks (fixed weeks) of course it'd be a good choice. That is's a lot of money for insurance IS my point. The reason it's that much occurs for 3 reasons, the additional closing, the fact that smaller contracts tend to be more per point and that larger contracts are often inherently better contracts (loaded?). But like all generalizations, one has to look at the specific situation to make a final decision.

 

[jodiey]

My comments are related to buying today which is a different ball game than when there wasn't a large difference between resale and retail. I think this is one of those issues people lose site of in such discussions, they use a past point of reference that is not currently applicable. When it costs the same and there are no other road blocks (fixed weeks) of course it'd be a good choice. That is's a lot of money for insurance IS my point. The reason it's that much occurs for 3 reasons, the additional closing, the fact that smaller contracts tend to be more per point and that larger contracts are often inherently better contracts (loaded?). But like all generalizations, one has to look at the specific situation to make a final decision.

What are fixed weeks?

 

[Msmithmd]

What are fixed weeks?

For VGF, Aulani, and possibly for future resorts, DVC sells up to 30% of the resort as fixed weeks, where you have an automatic reservation for the week every year.

There is a 10% premium in points purchase needed to have a fixed week. But if you decide to opt out of your fixed week, you can use all those points that year- either at your home resort or elsewhere.

Incidentally, while DVC "can" sell up to 30% fixed, wdrl has reported that they have actually sold far less than that percentage as fixed.