Direct Price Increase Today

[smisale]

yes I watched it too. I agree with him but I think it will happen sooner also might not be a bad idea to purchase one like Boardwak if it was a reduced rate for the last 15 years

 

[Brianstl]

yes I watched it too. I agree with him but I think it will happen sooner also might not be a bad idea to purchase one like Boardwak if it was a reduced rate for the last 15 years

I think they will end up offering something, but I would never buy a contract assuming that they are. There are just too many things in play that could change what makes sense financially for Disney before they actually make a decision.

 

[JETSDAD]

I don't think they will offer an extension and run into having contracts expiring at different times again but I could see a discount to existing owners on a new contract (probably quite small). There's just too much money to be made by selling them as new contracts again (plus put them all into the latest resale restrictions).

 

[bookwormde]

do you think there gonna offer an extension on 2042 contracts

not to all 2042s but given the number of points impacted some type of extension or other scheme to sell them for use for some period of time appears inevitable

 

[RanDIZ]

do you think there gonna offer an extension on 2042 contracts

There’s no way that happens. At least not for BCV and BWV. People are paying a lot now for those resorts with 21yrs left on it. Disney sees this demand and will capitalize on reselling direct at double the price. And people will pay it.

 

[Brianstl]

I don't think they will offer an extension and run into having contracts expiring at different times again but I could see a discount to existing owners on a new contract (probably quite small). There's just too much money to be made by selling them as new contracts again (plus put them all into the latest resale restrictions).

I wouldn’t want a contract that would have me paying maintenance fees on a building for 50 years that will be past it’s expected life span for 40 of those years. I don’t think Disney wants to deal with that either.

I think Disney ends up closing and replacing all of 2042 resorts except Boardwalk. Before they do they do that, current owners at the closing resorts and Boardwalk will get a chance to “extend” their membership 15 years with a new contract at Boardwalk or OKW while having the option of buying a contract at a discounted price at whatever new resort they are selling at that time.

When 2057 rolls around, Disney will close and replace OKW and Boardwalk.

 

[DougEMG]

I don’t think that is coming. I actually expect that the next thing to drop will be no more annual passes at WDW,l. That means another incidental benefit loss.

They would have to be completely crazy to remove the annual DVC pass at WDW. I think there are a ton of DVC members that because they have access to a reasonably priced annual pass buy more DVC points then they otherwise would.

If they did eliminate the annual pass at WDW, I would certainly look at selling a lot of my points and spending more time at Universal.

 

[RanDIZ]

Does anyone know why OKW was the first and only 2042 resort to be offered extensions? Why was it done so early on (2007 35yrs before exp)? Was DVC scrounging for a cash advance for something else?

 

[Fanofthegame]

They would have to be completely crazy to remove the annual DVC pass at WDW. I think there are a ton of DVC members that because they have access to a reasonably priced annual pass buy more DVC points then they otherwise would.

If they did eliminate the annual pass at WDW, I would certainly look at selling a lot of my points and spending more time at Universal.

No guarantee what Disney does next. Lol. They may charge for every step you take on Disney property. I wouldn't put it past them to charge for towels in your room. Its pushing the envelope until someone tells stop.

 

[RoseGold]

Does anyone know why OKW was the first and only 2042 resort to be offered extensions? Why was it done so early on (2007 35yrs before exp)? Was DVC scrounging for a cash advance for something else?

Short answer is nobody knows, and it was a disaster. Three are still a lot of people who never paid for it and never quitclaimed it, and it's not really clear what will happen at the end: https://www.disboards.com/threads/dvcs-old-key-west-extension-ordeal.3078317/

 

[bookwormde]

Does anyone know why OKW was the first and only 2042 resort to be offered extensions? Why was it done so early on (2007 35yrs before exp)? Was DVC scrounging for a cash advance for something else?

My guess was that it was the first time they realized that they were going to have 17 million points that would become available to be sold all at once at 2042, which even in the best case scenario would take about 8 years. What really confused me was why they picked an extension length that created the same issue in 2057 (15 million points which would follow 13 million points in 2054). A much shorter extension would have made more sense and might have been subscribed to more strongly.

 

[Brianstl]

They would have to be completely crazy to remove the annual DVC pass at WDW. I think there are a ton of DVC members that because they have access to a reasonably priced annual pass buy more DVC points then they otherwise would.

If they did eliminate the annual pass at WDW, I would certainly look at selling a lot of my points and spending more time at Universal.

I think they will replace it with a membership program that is more expensive and more limited on how often you use it. That membership then will “reward” members for spending money at the parks and resorts while encouraging that spending by offering deeper discounts than the current AP’s. Spend so much money and a extra fast pass (or whatever they will call it on Genie) will be available to you. If you are staying at a Disney hotel or DVC during a non blackout period those days don’t count against your total amount of park visits allowed.

It is a way to drive up what Disney considers an abysmal per guest daily spending number for pass holders and increase gate revenues while reducing crowds.

 

[bookwormde]

Short answer is nobody knows, and it was a disaster. Three are still a lot of people who never paid for it and never quitclaimed it, and it's not really clear what will happen at the end: https://www.disboards.com/threads/dvcs-old-key-west-extension-ordeal.3078317/

From what research I have been able to do is that the 2042 deeds will expire in keeping with the original terms. The issue for DVD is that if members did not sign the quitclaim, DVD can not create the extension deed until 2042, so if they ROFR one without quitclaim they have to do that after then take it back. It would be interesting to see if they ROFR the ones that signed the quitclaim deeds at a higher rate then the ones that did not.

 

[RoseGold]

From what research I have been able to do is that the 2042 deeds will expire in keeping with the original terms. The issue for DVD is that if members did not sign the quitclaim, DVD can not create the extension deed until 2042, so if they ROFR one without quitclaim they have to do that after then take it back. It would be interesting to see if they ROFR the ones that signed the quitclaim deeds at a higher rate then the ones that did not.

DVC forces you to sign the quitclaim deed to sell. You still see a lot of them being filed.

The more interesting question is what happens to the owners who predate the extension and didn't comply.

 

[bookwormde]

DVC forces you to sign the quitclaim deed to sell. You still see a lot of them being filed.

The more interesting question is what happens to the owners who predate the extension and didn't comply.

If they let the contract expire in 2042 rather than selling, nothing

 

[zakdavid]

Where do you see manage vacation points? I see it on my dashboard, but when I click on it, there is no add on tool.

https://disneyvacationclub.disney.go.com/add-vacation-points/

 

[KAT4DISNEY]

I wouldn’t want a contract that would have me paying maintenance fees on a building for 50 years that will be past it’s expected life span for 40 of those years. I don’t think Disney wants to deal with that either.

I'm not aware of any expected building lifespan. That they started with 50 years for DVC and kept matching the 2042 expiration date wasn't because of an expected lifespan on the buildings. It was likely a combo of things, most importantly that they were able to take back control of prime real estate at a point that the time was appealing enough to sell but of course not too long that they were locked in for a century like Swan/Dolphin.

CR and Poly are approaching 50 years old and it descends from there and no plans for demolition. They sold 30+ year old buildings at the Poly for a 50 year time. They certainly might choose to raze and rebuild DVC resorts as they expire but it's still a lot of years between then and now and will depend on what the Disney Company is up to at that time.

 

[CastAStone]

DVC forces you to sign the quitclaim deed to sell. You still see a lot of them being filed.

The more interesting question is what happens to the owners who predate the extension and didn't comply.

I agree it will be interesting but due to resale and, um, natural attrition, we’re probably talking a dozen owners in that spot by 2042. We think *most* people signed the quitclaim. If you dig through these forums and some now-almost-dead forums that were more active back when, you can find a lot of interesting stories from people, like being asked to sign them at check in like it was just part of the paperwork for the stay.

One the one hand there is seemingly no legal basis on which to claim rights to points for 2042 and beyond if you didn’t do the extension. And if you were say 35 in 1995 when you bought OKW you’d be 81 or 82 by then, so how interested are you at that point in pursuing that?

On the other hand there’s a reason Disney resorted to drastic measures to get people to sign.

 

[wishicouldgomoreofte]

It is a good chance that they are trying to push sales to RIV and raising sold out resorts may help that. I think sold outs are near 40% of current sales.. I am thinking they would like to push that back down to more historic levels. DVD still has a lot of investment sitting in RIV and the margin on those sales are much higher than the sold out resorts.

As a side note BCV has now reached a point cost per year plus maintenance is $20/pt so I wonder if this essentially is the top since it is going to increase 5% each year even if they do not raise prices

How did you come up with BCV point cost plus maintenance is $20/pt?

 

[KAT4DISNEY]

I agree it will be interesting but due to resale and, um, natural attrition, we’re probably talking a dozen owners in that spot by 2042. We think *most* people signed the quitclaim. If you dig through these forums and some now-almost-dead forums that were more active back when, you can find a lot of interesting stories from people, like being asked to sign them at check in like it was just part of the paperwork for the stay.

One the one hand there is seemingly no legal basis on which to claim rights to points for 2042 and beyond if you didn’t do the extension. And if you were say 35 in 1995 when you bought OKW you’d be 81 or 82 by then, so how interested are you at that point in pursuing that?

On the other hand there’s a reason Disney resorted to drastic measures to get people to sign.

The legal basis is because the deed was tied to the land lease and that lease was extended by DVC to 2057. Then they asked for you to pay. hehe