buying resell -question

[cab0ad]

I've been reading these threads for a while and people are saying sometimes that they have negotiated the price for disney resell points. Is this common? Is it "frowned upon"? How do you know if the listing is a fair listing or one that could be negotiated? How much do you negotiate off? Any kind of experience/advice on negotiating resell cost is appreciated!

 

[walkdmc]

I tried to negotiate once. The seller was asking $105/pp for BLT. Everyone else on the site was asking for $100-$102/pp. So, I put in an offer for $102 and the seller declined. I didn't renegotiate, just made the same offer on another contract, seller accepted and we're going through the ROFR.

I think if your offer is in line with what the other sellers are asking, you're fine negotiating. If you're asking for something ridiculously low, good luck.

If you're going through an agency, you never contact the seller directly. That should minimize any uncomfortable feelings you have about negotiating. That's the job of the agent.

 

[adminjedi]

Check the current ROFR numbers for UY and contract size. That is a good indicator of "current market value".
Ultimately, it comes down to the seller's need to sell. If they are motivated, they will accept less, just like any real estate transaction. The question is, how low is to low to pass ROFR? You never really know, but recent deals passing is a good indicator.

 

[XGrumpy1]

One thing to always remember is that the listing agency is really a "buyers agent". They are really working for the seller. When were were looking for our house I remember the agent at the time having us fill out a form saying that. That form is required in my state. Talk to several of the resellers and find an agent that you feel is on "your" side.

You must do your own research to find the current prices to make a "fair" offer. A good place to start is the ROFR list maintained by "Donald is #1". The list is very helpful for prices.

You can also negotiate maint fees and closing cost. Some the resale sites use number that you can tell which contracts have been listed for a while.

Good luck.

 

[DenLo]

Not only would I check the current ROFR thread, but I would also ask my resale broker what has been selling on their site. You can always make an offer but like walkdmc stated above the seller does not have to accept.

When we made an offer we asked for a lower price per point but still offered to pay the closing costs. We hoped that the buyer would find that acceptable and that Disney would not be tempted by the bid to ROFR it. It worked and both the buyer and we were happy.

I've also seen a poster report that they had made three different offers and all three were ROFRd. But after looking at the offers they were all similar extra low price per point, and buyer paying the closing costs and the annual dues on last years and current years points. Disney likes a bargain just like the rest of us so you could negotiate too good of deal.

 

[JimMIA]

One thing to always remember is that the listing agency is really a "buyers agent". They are really working for the seller.

That may be true in your state, but it is not true in Florida. In Florida, a broker can work for either the buyer or seller, or they can be a "transaction broker." A transaction broker represents BOTH parties in the transaction and has both legal and ethical obligations to all parties. Their job is to facilitate the transaction -- not to take sides.

ALL of the brokers I know of who deal in DVC contracts are TRANSACTION brokers, and they make that very clear when you do business with them. There's no "us vs. them" in DVC resales...at least not that I'm aware of.

 

[JimMIA]

I've been reading these threads for a while and people are saying sometimes that they have negotiated the price for disney resell points. Is this common? Is it "frowned upon"? How do you know if the listing is a fair listing or one that could be negotiated? How much do you negotiate off? Any kind of experience/advice on negotiating resell cost is appreciated!

I'd follow the advice you've already received and look at the ROFR thread and also ask your broker. Nothing is "frowned upon." The seller will either accept your offer, decline, or counter. It's a business transaction.

We bought our first contract resale (through TTS). I wanted to offer one dollar less than the buyer was asking, but my TTS agent said that if they accepted, she thought it would be ROFR'd. I offered the asking price and the rest is history. That same week, two other similar contracts for one dollar a point less were ROFR'd. My agent knew what she was talking about.

 

[JimMIA]

One caution about resale. If you tell a DVC guide you are thinking about resale, they will lose it.

Even reasonably ethical guides are likely to lie their tails off if you mention the word resale. The tales they tell to try to talk buyers out of resale are legendary!

So, if you talk to a guide, take whatever they say about resale with a truckload of salt.

 

[Sandisw]

I have bought and sold a contract via resale. In both situations, there was negotiations. In both cases, the final agreed upon price was not the same as what the listed price of the contract.

So, look, find something you like, offer what you feel you would like to pay. If the seller is not interested, keep searching and eventually you will find one who feels your offers are exactly what they need.

 

[walkdmc]

I wouldn't even tell your DVC guide that you're thinking of resale. I had a negative experience when I mentioned this to my agent. First, the DVC guide has very little bargaining power, IMO. I've never heard a story wherein a client tells the agent, "I'm going to buy SSR on resale for $68/point" and the guide turns around and beats that deal. Second, if you do need the DVC guide's assistance in the future, they may have a bit of attitude with you.

 

[scot@dvcstore]

cab0ad,
If you are purchasing a resale through The Timeshare Store, Inc. you associate will be glad to discuss pricing, fair offers and ROFR. Never hurts to ask. Good luck on your purchase.

 

[Deb & Bill]

I had someone offer me about $15 a point less than what I was asking, plus they wanted me to pay the closing costs. I told the agent I would counter and countered with exactly what I was asking to begin with. That was an insulting offer. I think they thought I was desparate to sell.

But when someone offers a few dollars a point or asks me to pay closing, I will consider those.

 

[JimMIA]

I had someone offer me about $15 a point less than what I was asking, plus they wanted me to pay the closing costs. I told the agent I would counter and countered with exactly what I was asking to begin with. That was an insulting offer. I think they thought I was desparate to sell.

But when someone offers a few dollars a point or asks me to pay closing, I will consider those.

Yeah, that's the downside of a silly offer. You might be looking at a contract that would be perfect for your family, but tick off the seller to the point that they simply won't sell to you unless you pay the asking price and they can't get out of it. They might very well sell it to someone else for less if the offer was reasonable.

 

[adminjedi]

I had someone offer me about $15 a point less than what I was asking, plus they wanted me to pay the closing costs. I told the agent I would counter and countered with exactly what I was asking to begin with. That was an insulting offer.

An offer $15 lower than asking price is only insulting if the asking price is appropriately priced based on current market value.

Current Market Value is what a buyer is willing to pay and not what a seller wants. If you want $100 a pt for your contract that is fine. However, if 50 buyers each only offer $80 per point, the market is saying your $100 is over priced. If you want to sell, you will have to adjust your price, insulted or not.

 

[JimMIA]

An offer $15 lower than asking price is only insulting if the asking price is appropriately priced based on current market value.

Current Market Value is what a buyer is willing to pay and not what a seller wants. If you want $100 a pt for your contract that is fine. However, if 50 buyers each only offer $80 per point, the market is saying your $100 is over priced. If you want to sell, you will have to adjust your price, insulted or not.

You're right, of course, but it's hard to believe that a responsible resale broker would let anyone list a contract for $15 more than it was likely to sell for.

 

[Deb & Bill]

An offer $15 lower than asking price is only insulting if the asking price is appropriately priced based on current market value.

Current Market Value is what a buyer is willing to pay and not what a seller wants. If you want $100 a pt for your contract that is fine. However, if 50 buyers each only offer $80 per point, the market is saying your $100 is over priced. If you want to sell, you will have to adjust your price, insulted or not.

I had it priced right for the time I was selling it. That price wouldn't be right now. So I'm not selling it now. I'm using those points instead. It was a small contract when smaller contracts were hard to get.

 

[william1375]

Everything is negotiable. Shop around, make offer.

 

[skelfbsfb]

We have just made an offer for points at BWV and met the sellers asking price, however we have asked that they meet all closing costs. Like others have said everything is negotiable.

 

[bobbiwoz]

I've been looking at a contract, and now the price is reduced $10 pp, but that's still $10 more than I think it's worth! No, I haven't made an offer, there are only 3 current UY points and the retailer made a statement about having to pay MF for those 3 points. I wouldn't even be able to use them. The seller should bank those!

 

[extremesoccermom]

I think that is an important point. I was looking at a small resale that claimed to have all 09, 10, and 11 points available I made a good offer (higher than the current average but with the loaded contract to me). When I realized I needed them to bank the 09 points by the end of the month it was discovered they did not have the 09 points. It was not the deal I wanted. I decided to cancel that offer but was willing to make a new offer more in line with the lack of available points (Only $2.00 less pp) but they decided they needed to think about it. That was over a month ago.
Now I decided I want a bigger add on anyway so I am shopping different resales.