We are new DVC members and we're trying to get as much info on maximizing points, weekday/weekend debate, etc... That being said, I stayed up late last night to read old posts (as a teacher, I so love the amount of info that is shared on these boards!) about paying cash for rooms, cruise, etc... and I am a bit baffled. Here is my query:
When I take my purchase price for our 175 points (minus Disney discount) and divide by 50 years, I get an amount that equals $1.80 per point, plus $3.80 for maintenance fees. This equals $5.60 per point (I used current maintenance fees cuz no one knows what these will increase to in the future). Therefore, if I take this and multiple it by 272 points (4 day cruise - cat.8), it equals $1523.00, but the cruise in cash costs approx. $2500.00. What's the deal? The only thing I can figure out is that people who rent the points and then use this cash for cruise, have assigned a value of $10.00 per point, so is that why people pay cash for their cruises? For me, it doesn't seem like a deal at all when it will cost me cash, plus the cash price is more than the point cost. Am I doing something wrong?
My DH and I bought our points to use, and IMHO, I don't feel it's right to rent out points to make a profit and use these for cruise, or anything else for that matter (not making a judgment, we just feel that this is not what points are intended to be used for); therefore, we aren't using the $10.00 value amount because it doesn't pertain to us. Do I think that too many points are required to cruise? Yes! - but if I decide to use my points for this, instead of paying more cash out of my pocket, then this is a greater use of my points for my current situation.
As well, in following the weekday/weekend debate, I don't understand why if we've already paid cash for our points through our purchase, why then would we pay $200, $300 or $400.00 + per night to stay in that room just to save those points?
I guess there are several things that I'm trying to wrap my head around in regards to our DVC membership. The biggest thing that I'm learning is that all family situations are different, but I find that lots of DVC posters tend to generalize and so it's hard to follow some threads as people feel the need to make blanket statements about point values, etc... I read a post last night which I really liked as a someone stated that their DVC membership is valued at whatever works for their family: eg. using points for cruise, not having to move on the weekends, renting out grand villas for family, etc... This is how my DH and I are looking at it!
Looking forward to hearing any and all opinions. Thanks, Tiger
When I take my purchase price for our 175 points (minus Disney discount) and divide by 50 years, I get an amount that equals $1.80 per point, plus $3.80 for maintenance fees. This equals $5.60 per point (I used current maintenance fees cuz no one knows what these will increase to in the future). Therefore, if I take this and multiple it by 272 points (4 day cruise - cat.8), it equals $1523.00, but the cruise in cash costs approx. $2500.00. What's the deal? The only thing I can figure out is that people who rent the points and then use this cash for cruise, have assigned a value of $10.00 per point, so is that why people pay cash for their cruises? For me, it doesn't seem like a deal at all when it will cost me cash, plus the cash price is more than the point cost. Am I doing something wrong?
My DH and I bought our points to use, and IMHO, I don't feel it's right to rent out points to make a profit and use these for cruise, or anything else for that matter (not making a judgment, we just feel that this is not what points are intended to be used for); therefore, we aren't using the $10.00 value amount because it doesn't pertain to us. Do I think that too many points are required to cruise? Yes! - but if I decide to use my points for this, instead of paying more cash out of my pocket, then this is a greater use of my points for my current situation.
As well, in following the weekday/weekend debate, I don't understand why if we've already paid cash for our points through our purchase, why then would we pay $200, $300 or $400.00 + per night to stay in that room just to save those points?
I guess there are several things that I'm trying to wrap my head around in regards to our DVC membership. The biggest thing that I'm learning is that all family situations are different, but I find that lots of DVC posters tend to generalize and so it's hard to follow some threads as people feel the need to make blanket statements about point values, etc... I read a post last night which I really liked as a someone stated that their DVC membership is valued at whatever works for their family: eg. using points for cruise, not having to move on the weekends, renting out grand villas for family, etc... This is how my DH and I are looking at it!
Looking forward to hearing any and all opinions. Thanks, Tiger
) trips to WDW in high-quality resorts. We plan on using our points as best we can. We're NOT into the total maximization thing; I just booked a 1BR at SSR for next May and ::Gasp:: included a Saturday night on points! 
, I had to run spreadsheets to figure out what each year's points were costing us at thye time of purchase, and since DVD was offering us $10 a point for the first year's points, that seemed like a good starting point. So in 2003, our current points cost us $10, 2004 points cost $7.55, 2005 cost $6.80... ... and the final year about 2 cents. Of course this was for BWV points at $84 per point. Add in opportunity costs, and out 2004 points should be worth us$7.55 times the cost of money (prevailing interest rates, we use the cost of our mortgage), so maybe us$8 each on a cost basis, plus maintenence fees; it could be that you're losing money if you were to rent them out at us$10 per pt. There are all sorts of ways to figure it, but it is important to include the time value of money. 
As mydogdrew pointed out so well "I'll trade my 2042 points for 2004 points any day."
, which is fine).
