Charge for Estoppel

[Dean]

I may have missed it if it was discussed here but from what I got this week DVC is raising their price for Estoppel from $50 to $150 effectively immediately.

 

[CarolMN]

Thanks for the update.

 

[LisaS]

I just checked the "FAQs for Sellers" page on the website of one of the resale brokers and it now lists the estoppel fee as $150. Yikes!

 

[disneynutz]

Just another way that Disney has come up with to penalize resale buyers. Should make people think twice about buying into a product offered by a company who treats their customers this way.

If we were to think about buying now, I think that we would pass with all of the changes and issues.

Bill

 

[jerseyduke]

I wonder what is going to happen with a contract I am buying; it passed ROFR in Feb. but the seller can not close until end of may.

 

[BillPA]

One of the main reasons we purchased DVC was the high resale value. With Disney adding fees and major delaying tactics, the value of resale will be going down. This, to me, lowers the original worth of a DVC contract. Why would anyone with a basic understanding of math pay $165 ++ for something that Disney is doing it's best to make the value lower and lower? I guess PT Barnum was right, there IS one born every minute.

 

[jerseyduke]

One of the main reasons we purchased DVC was the high resale value. With Disney adding fees and major delaying tactics, the value of resale will be going down. This, to me, lowers the original worth of a DVC contract. Why would anyone with a basic understanding of math pay $165 ++ for something that Disney is doing it's best to make the value lower and lower? I guess PT Barnum was right, there IS one born every minute.

Some people (most) do not know a resale market exists. Others are afraid it is a scam. If I wanted the Poly, I would buy direct for ease.

All that being said, I do not think the new fee will lower the value of the contract. People will still buy them a plenty.

Also, the resale market is a safety net for those who buy DVC and do not like it, or need to liquidate, etc, etc. I do not think most people buy DVC with the thought of selling it.

Why would a high resale value be a REASON to purchase? If you are buying direct, you do not say "Yea I will buy at 160 per point....this baby can be resold at 140!"
I do totally agree it is a nice safety net.

To me, the killer is commission. Why brokers have every right to make a living, and the money they can, the term 'Industry Standard' with regard to prices and/or fees was always synonymous with collusion to me.

I for one will not be holding my breathe until resale prices go DOWN!

 

[Dean]

I wonder what is going to happen with a contract I am buying; it passed ROFR in Feb. but the seller can not close until end of may.

Where I heard about it said that it was "effective immediately". They were asking if DVC would let the ones already in the pipeline close with the lower fees. We've got to remember that they once had a $100 transfer fee that the abolished. I don't think anyone can get too upset about this change.

 

[jerseyduke]

Where I heard about it said that it was "effective immediately". They were asking if DVC would let the ones already in the pipeline close with the lower fees. We've got to remember that they once had a $100 transfer fee that the abolished. I don't think anyone can get too upset about this change.

I saw it as effective immediately as well. Since I am the buyer, I suppose it does not matter, correct?

 

[Dean]

I saw it as effective immediately as well. Since I am the buyer, I suppose it does not matter, correct?

That's my understanding.

 

[hayesdvc]

I am still confused why the title company gets this information from DVD (estoppel) that takes weeks, prepares the closing documents, receives the signed documents back from seller and buyer along with the buyer's payment, THEN the title company has to go back to Disney for the final payoff which the title company usually receives back in a day.

 

[disneynutz]

I am still confused why the title company gets this information from DVD (estoppel) that takes weeks, prepares the closing documents, receives the signed documents back from seller and buyer along with the buyer's payment, THEN the title company has to go back to Disney for the final payoff which the title company usually receives back in a day.

What about that is confusing?

Bill

 

[SuperRob]

The fee isn't going to move the needle on resale prices at all. It wouldn't have changed my decision at all. It's just a tiny faction of the overall cost of a resale contract. But I am glad my estoppel came through before the new fee. My closing costs were actually lower than estimated!