Can't decide?? Jump on Good Deal or not..

[CheetoGuido]

I have read just about every thread imaginable and gathered as much as information possible and I know that there seems to be a consensus to wait until after the new year to buy resale to be aware of any changes that **MIGHT** happen. But we have wanted to buy DVC for a while and we do think it is a good fit for our family. I can't stop my self from checking the resales lists of a few good brokers and today I was able to negotiate a very good deal for BWV.
I asked if the broker could add a statement in the contract pertaining to being able to renegotiate the price if before we close on the contract in January, Disney were to announce a major change for resale owner rights that is detrimental to resale owners. The Agent informed me they are not able to add this to the contract and that she had attended the Member's Meeting and that there was no mention of this but that of course Disney reserves the right to yada yada yada.
My question is could the price of re-sales really drop significantly?? The price we got is extremely good, the 2nd lowest price i have seen pass ROFR this year for BWV. So I think that even if prices dropped $10-$15 per point, I would still have a good deal on my hands. Is waiting until Next Year that important??

Baffled, Nancy

 

[lisa3635]

I just sent in my deposit for an addon at WL today so I'm not too worried about the possible resale restrictions. I think if you find a good deal that you are comfortable go for it. Apparently, these rumors have been around for years and nothing has happened yet. I think where it would be more important to wait is if you were buying a resort that you didn't plan to stay at, I'm guess that is probably not the case with BWV. I also don't resale prices will likely increase in the near future.

 

[disneynutz]

Disney will do what ever they need to do to increase sales and profit. Not exercising ROFR during this past year has added to the resale price drop and they don't seem to be concerned about resale pricing.

Their new perk program will have an additional negative affect on resale prices and again that doesn't seems to concern them.

As long as the supply is greater than the demand, prices will continue to fall. There are some great resale deals out there and I expect even better deals in the future.

Another factor is Disney's ability to increase park attendance and maintaining 100% occupancy at the resorts. I expect that some members will find the crowds, disappearing slow periods and lack of DVC room inventory a reason to sell their contracts.

Bill

 

[frank808]

Resale prices could drop. Just make sure that you enjoy the resort you are buying at and vacation away. If the price and finances are right for you, I say go for it. It's like trying to see when the bottom of the stock market is.

 

[jolia]

It's like trying to see when the bottom of the stock market is.

If you find the bottom.. please let me know I would like to buy...!

If you can afford the current price, Buy now and start enjoying. I cant even remember how much I pay for mine back then... it is totally overshadowed by the enjoyment of using it!

 

[CheetoGuido]

Thank you all for the responses, after discussing it backwards and forwards with DH, we decided to do it. We are not in a rush exactly to be DVC members since we have already rented points for our February trip and do not plan on going back to WDW until summer of 2012. (BUT if we are going to be DVC members with 150 points, then maybe a another 2011 trip might happen!! ) But with all that being said, it is a great contract that matches our needs the best (home resort, use year and #of points) that we don't know if we will find another resale contract that fits our needs this good.

I am just waiting to hear back from the Broker/Agent that she received my acceptance and where to send my deposit!!
Thanks again and to the Disboards!! I wouldn't be able to do anything with out yall!!
Nancy

 

[frank808]

congrats! here is some good luck against the ROFR monster

 

[a742246]

Buy now... I would be more concerned when disney finally sells out at BLT.
They may start exercising ROFR again.

BWV is an excellent resort.

 

[robertdangelo]

Most member will say... "We wish we had done it sooner"! No matter what happens, you should be able to book your home resort. We often say... buy where you like/Love. BWV is a great resort... you will love it.

 

[staceymay00]

We would have gotten a better resale price if we had waited a few more months. We bought earlier this year, just before resale prices dropped some and before it became clear Disney was not exercising ROFR a whole lot. I don't regret our purchase at all, though. We got a fair price for that time (could have gotten a better price, but passing ROFR the first try was important to me). We found a contract that was just the right size and UY and it had all current UY points still available, which we were able to bank. I would not change a thing even knowing now that prices have dropped since we bought. I can't change anything if prices sink even more, but I might just add on if that happens.

 

[CMOORE185]

Buy now... I would be more concerned when disney finally sells out at BLT.
They may start exercising ROFR again.

BWV is an excellent resort.

This is a great point. Maybe Disney should stop building new DVC hotels for a few years after the current ones sell out. This would be a great way to increase resale value if there is nothing new to buy! This way when they do build a new DVC hotel they will not have the disparity in resale price vs new. Problem solved!

 

[disneynutz]

This is a great point. Maybe Disney should stop building new DVC hotels for a few years after the current ones sell out. This would be a great way to increase resale value if there is nothing new to buy! This way when they do build a new DVC hotel they will not have the disparity in resale price vs new. Problem solved!

Won't happen, Disney doesn't make money on resales, only selling new resorts.

Bill

 

[tjkraz]

Won't happen, Disney doesn't make money on resales, only selling new resorts.

Bill

And they don't make nearly as much selling contracts re-acquired via ROFR so new construction is definitely where they will be looking for the majority of their sales.

In many ways, I think we were spoiled by high resale values in the past. You can't really compare DVC to the stock market as another poster suggested. However you slice it, a DVC contract had a finite life span and a dwindling value. It's only logical that a contract with 30 years left will sell for much less than a contract good for 50 years. Resale values--particularly at the 2042 resorts--will continue to fall.

And then there's the issue of supply. Resale supply was certainly impacted by the economy over the last couple of years. But even under more stable conditions, there's every reason to think that the volume of contracts will only rise.

Members choose to sell their contracts for a variety of reasons--death, divorce, changing habits, etc. Even if the percentage of owners looking to sell remains fixed, the volume of contracts will rise as there are more owners. In other words, .1% of 150,000 DVC members is a lot more than .1% of 100,000 DVC members.

 

[CMOORE185]

Won't happen, Disney doesn't make money on resales, only selling new resorts.

Bill

The point is is if resale values are higher they will have an easier time selling their new resorts. The smaller disparity between resale and new will make more people buy direct. Higher resale benefits everybody. I do realize they will not do it this way though.

 

[JimmyJam838]

Won't happen, Disney doesn't make money on resales, only selling new resorts.

Bill

Then what do they do with the money when the exercise ROFR and resell the points? Does it go back into the resort?

 

[VTNuke]

Don't forget Disney still owns some property at the National Harbor in DC. I know there are a ton of rumors on what they are going to do with it, but I'd be shocked if a DVC doesn't pop up at the National Harbor.

 

[OhioDVC]

I guess I missed something. Has DVD officially announced any changes?