Considering Buying into DVC

[Cmbar]

Would anybody be willing to tell me the major difference between buying a DVC resort at Disney vs. a DVC reseller. For instance it seems I can buy more points if I go resale at OKW or BWV thank the value I am getting for SSR. What am I missing. I suppose it has something to do with number of years, but could someone clarify. Also if there is someone who bought through resale and has some advice, please let me know.

Also any current promotions for buying directly from Disney.

Thanks!

 

[tjkraz]

Resales can be a hassle. You need to do all of the legwork yourself--find contract that fits your needs, make offer, haggle over the price and terms, sign contract, wait on ROFR, close on the contract.

And, if you don't happen to pass ROFR, you start all over again.

You'll also need to pay cash or arrange your own financing.

Points at all resorts EXCEPT SSR end in 2042.

If you buy SSR direct from DVC, you can basically agree to purchase, put your deposit on a credit card and make your first reservation all in one phone call. DVC will also finance the purchase for up to 10 years with as little as 10% down.

If you buy SSR, the lowest price you can get now is $85 per point.

If you buy resale, you'll probably pay around $80 for the points, current year maintenance and closing costs. So there is some savings.

The big advantage on a resale comes if you can get a contract with banked points. With SSR, you would get your first set of points in 2005. But you'll be getting a real front-end bonus if you can find a resale contract with 2004 points intact AND 2003 points banked.

 

[Happy Birthday Cat]

TJK touched on it but I'll reiterate that one major difference between buying through Disney and buying resale is the ease of Disney financing. If financing isn't a problem for you then a resale will save you a few dollars. Disney will provide easy financing but if you buy a resale, you will have to set up your own.

I bought a resale but it was years ago now. I'd suggest you research what the ROFR (Right of First Refusal) is currently for the Disney properties and bid accordingly.

HBC

 

[OneMoreTry]

If you decide that a contract lasting until 2042 is long enough for you, then buy resale. The amount of time you spend on legwork, financing, waiting on ROFR is well-compensated in terms of savings.

 

[Caskbill]

If you want to purchase resale and need to set up financing, the easiest way to do it is to get a home equity loan on your current residence. Then just write a check from your equity account to purchase the DVC contract you want.

 

[Scoootch]

The one other thing too....unless I missed it while reading through this thread is home resort .

One of the most basic rules of thumb around here on these boards and I have to agree, is to buy into the resort you would like to stay at the most. The 11month advantage that comes with your home resort can be important depending on what time of year you like to vacation. At present it isn't overly difficult to get ressies at the 7month window at non-home resorts with the exception of holidays and spring break and the like but that could all change someday with the addition of more and more members. Thing is, if you want to own anywhere besides SSR, re-sale is the way to go as Disney is only selling SSR. If you love SSR and that's where you'd like to own then it's not really an issue. But if your heart lies at OKW or BCV's, etc. .....

Just another thing to keep in mind

 

[Cmbar]

Thank you all for the replies. Financing is not a problem as we want to invest a sum of money. SO I am seeing that my sum of money will go for more points if I buy resale. Also I would say that I would not Want to stay at SSR. I prefer OKW or the Boardwalk resorts and we never want to go during peak time anyways, so I guess Resale is a good option. From what I am reading my biggest drawback would be that the points will only be good until 2042 instead of 2054. Is that correct?

How do I find out about ROFR for resale bids? And does anyone have a reseller that they recommend. I might consider SSR with Disney for any incentives currently going on such as extra points. I did get a postcard from the guy we went on tour with last March and they said something about a vacation. But I really don't want to call him back until I have a better idea about resale options.


Thanks again!