Buying resale

[ded4025]

Is there a "good time" of the year to buy resale? Maybe around the holidays or at tax time to get a good deal?

 

[tjkraz]

I hear a lot of contracts tend to hit the market in January with dues payments being due by 1/31.

But Tom at the Timeshare Store recently said that August has always been one of their busiest months.

 

[bobbiwoz]

I was able to get a 50 pt VWL resale in December. I think people were too busy with the holidays to notice. We felt very lucky, we didn't have calls into any retailer, it was listed for a few days before we bit. I can't imagine that happening at other times of the year.

Bobbi

PS. I don't mean that we got a "good deal" other than the fact that it was our use year (March) at a price that did squeak by ROFR. We were going through the purchase between Christmas and New Years day while we were on vacation.

 

[JimMIA]

I don't know that there is a "good" time to buy resale, but I do believe there is a bad time.

I think a month or so after a DVC price increase at SSR is a bad time to buy resale, because it is very difficult to know how much the price increase will affect ROFR threshholds, or when the effect will start. I've seen a lot of people disappointed with ROFRs after the latest price increase...many of them with offers which would have passed a week previously.

We always talk about how the most important number in a resale is the number that will clear ROFR (not the lowest possible price), but I think that's even more important right after a price increase. Disney seems to give 30-45 days grace for pre-increase contracts to clear through ROFR, but then they tighten the screws.

 

[deide71]

any guidelines on what price threshold to avoid rofr?




Thanks for any advice.

Denise

 

[vascubaguy]

any guidelines on what price threshold to avoid rofr?

Thanks for any advice.

Denise

I think most would agree that ROFR is unpredictable! Sometimes there are deals that we don't think would even come close to passing, yet it does. Other times there are offers made that we are certain will pass, yet they get ROFR'd. My guess would be that it depends on the current demand for those points, DVC invetory of points at that resort, and the terms/price of the contract.

Beca has been trying to keep track of ROFR history, so you might want to check that out to see how things have gone in the past.

http://www.disboards.com/showthread.php?p=9564661#post9564661

 

[deide71]

Thanks for the advice. By the eay, this message board is fabulous!! I have had so many questions answered, even before I knew I had them. Keep up the great posts.

 

[JimMIA]

Beca has been trying to keep track of ROFR history, so you might want to check that out to see how things have gone in the past.

http://www.disboards.com/showthread.php?p=9564661#post9564661

You will find that's a VERY long thread. Go to the last page or two for the most current listing.

Good luck!

 

[TEK224]

Can anyone who bought from them tell me what the closing costs were?

Also when making final payment, can it be done with a credit card? I've read that you can pay Disney off with a cc, so I'm just wondering about TSS.

I'm going to have to finance either way and if I can put it on my cc that has a 6.9 rate, that's better than Disney's rate. Also, does anyone know what the TSS financing options are?

Thanks!
Terri

 

[JimMIA]

Can anyone who bought from them tell me what the closing costs were?

There is a minimum and a sliding scale above that. They just reduced the closing costs for small contracts. The best thing to do, rather than speculating, is just find a contract about the price you want and call them. They'll be happy to give you the exact cost.

Also when making final payment, can it be done with a credit card? I've read that you can pay Disney off with a cc, so I'm just wondering about TSS.

No. You can send a regular check for the deposit, but certified funds are required for the balance. We wired our cash to close because it was easier to do than a certified check, but there was some cost involved with that.

I'm going to have to finance either way and if I can put it on my cc that has a 6.9 rate, that's better than Disney's rate. Also, does anyone know what the TSS financing options are?

Don't know, but they do have financing available.

 

[tjkraz]

I'm going to have to finance either way and if I can put it on my cc that has a 6.9 rate, that's better than Disney's rate. Also, does anyone know what the TSS financing options are?

Tom posted info for Tammac Financial, their preferred vendor, a few weeks ago. Try searching for "Tammac" and you should find the post. If memory serves the rate was in the 11% neighborhood.

Just be aware that if you finance via a credit card or Tammac, the interest will not be tax deductible.

If you finance via DVC or use something like a Home Equity loan, the loan is guaranteed by the property (DVC deed or your own home), making the interest paid a valid tax deduction for most folks who itemize.

 

[vascubaguy]

Also when making final payment, can it be done with a credit card? I've read that you can pay Disney off with a cc, so I'm just wondering about TSS.

You can not have the final payment charged to your credit card. HOWEVER, you can send one of those credit card checks to pay the final payment. Just know that using those checks could result in a 3% charge, but if you call the credit card company to let them know you are having to send it for a real estate purchase where they don't take credit cards, they might waive the 3% fee. Also, you would need to send that payment in several weeks before you actually close that way the check would clear and the funds put in escrow before you were to close. Normally the final payment has to be certified funds but as long as the funds are there and clear by the time closing comes around, all will be well.

I'm going to have to finance either way and if I can put it on my cc that has a 6.9 rate, that's better than Disney's rate. Also, does anyone know what the TSS financing options are?

TTS does work with a financing company, but it is unsecured loan so you have to have really good credit to get approved. The rate is also over 10%.

Just one other thing about using credit cards, just know that usually the terms of your credit card are subject to change. So that 6.9% rate could go up to 11.9% or if you are late on even one payment, it could jump to the 21% range or more. I am putting my DVC purchase on a 0% interest card until December 2006 but I plan to move it to a home equity loan before then (if I don't get it paid off before).

HTH

 

[TEK224]

Thanks for the replies!

 

[DeniseO411]

I'm brand new to this and am currently considering buying into DVC!!
I'm trying to get insight into DVC, but I'm very convfused by most of the acronyms like ROFR, SSR and a bunch of others I can't think of.

Is there a place where the definitions for these reside or can anyone help me please?

Thank You,
DeniseO411

 

[tjkraz]

I'm brand new to this and am currently considering buying into DVC!!
I'm trying to get insight into DVC, but I'm very convfused by most of the acronyms like ROFR, SSR and a bunch of others I can't think of.

Is there a place where the definitions for these reside or can anyone help me please?

Thank You,
DeniseO411

There's a guide here somewhere, but I don't know how many DVC terms are in it.

ROFR = Right of First Refusal (DVC can buy-back a contract on the resale market if they like the terms of the deal.)

SSR = Saratoga Springs Resort and Spa
OKW = Old Key West
BCV = Beach Club Villas
VWL = Villas at Wilderness Lodge
BWV = Boardwalk Villas
HHI = Hilton Head Island
VB = Vero Beach resort
(The above 7 are the current DVC resorts)

SAB = Stormalong Bay - BCV pool complex

Those are probably the most common you will see here.

 

[girth]

We haven't bought yet (around Christmas perhaps?), but we wanted to pay with our credit card for the cash back bonus - 1%, then pay the cc off with our home equity for the tax deduction.

 

[LisaS]

I'm trying to get insight into DVC, but I'm very convfused by most of the acronyms like ROFR, SSR and a bunch of others I can't think of.

In addtion to the acronyms tjkraz listed, you might also see these on the DVC boards:

TTS, TSS: The Timeshare Store, a DVC reseller and the sponsor of the DVC boards

MS: DVC's Member Services - the folks you call to make DVC reservations