Does DVC ever buy points back...

[OneMoreTry]

outright, before another offer has been made? Or do they just wait to exercise ROFR when it suits them?

 

[spiceycat]

DVC only use ROFR.

I think your contract states that.

 

[DebbieB]

DVC does not buy points back direct. You have to have an offer and submit ROFR.

 

[marapets]

i think you have to offer for them back but would probably lose out

 

[Slakk]

Actually DVC does buy contracts back - I know they have purchased some BCV recently.

 

[DVCLiz]

Actually DVC does buy contracts back - I know they have purchased some BCV recently.

Slakk, could you explain this a little more, please? Were these contracts that were on the resale market, or did individual owners offer them directly to Disney??

 

[RobDoc]

DVC will not buy directly from a member. As Spicey mentioned already, this is spelled out in the documents. However, I was told that, at one time , DVC had considered the possibility of a resale component in the future - but nothing official has ever been published and I've heard nothing more about that for several years now.

At this time, DVC will sometimes exercise it's Right-of-First-Refusal option (ROFR) and purchase contracts after the accepted offer has been submitted to them for consideration. Members cannot just call DVC and offer to sell a contract.

 

[T.E. Yeary]

We have had customers tell us that Disney has offered to buy their DVC packages back at $55per point. They are very HAPPY customers now after turning Disney down and pocketing much more after selling through us!!!

 

[ceejay13]

We had toyed with selling our small BCV contract in January when we bought additional BWV points direct from DVC. My DH asked our guide, Glenn Wilson, if Disney ever bought points back. Glenn said yes and gave him a phone number to call and he told my DH it would take a few days or a week before they would call back. Just as he said they did call back and offered to buy our BCV points and yes it was for all of $55/point. I had never heard of this either but that was our experience. We have decided to hang on to them but we had a good laugh after the call.

 

[Dean]

We had toyed with selling our small BCV contract in January when we bought additional BWV points direct from DVC. My DH asked our guide, Glenn Wilson, if Disney ever bought points back. Glenn said yes and gave him a phone number to call and he told my DH it would take a few days or a week before they would call back. Just as he said they did call back and offered to buy our BCV points and yes it was for all of $55/point. I had never heard of this either but that was our experience. We have decided to hang on to them but we had a good laugh after the call.

LIkely not DVC but a rogue employee trying to pocket the difference.

 

[T.E. Yeary]

No rogue employee, this has happened to a number of our customers in the last few years.

Tom

 

[Slakk]

I am waiting for BCV points and was on the phone with my guide. He told me that they are buying BCV points back right now because there is such a demand.

 

[JimC]

I am waiting for BCV points and was on the phone with my guide. He told me that they are buying BCV points back right now because there is such a demand.

I believe when the guides say they are buying contracts because of demand it is really just more aggressive use of ROFR.

 

[Slakk]

I believe when the guides say they are buying contracts because of demand it is really just more aggressive use of ROFR.

Nope, they are actually purchasing the points from owners.

 

[dianeschlicht]

Nope, they are actually purchasing the points from owners.

But that IS what happens with ROFR.

 

[T.E. Yeary]

All I know is that when different people at different times that own different resorts and different amout of points, all say they were offered $55 per pt, it was enough to convince me!

 

[Slakk]

But that IS what happens with ROFR.

No it is not. In ROFR there is another BUYER, I was told by my guide that they are being called BY OWNERS and are buying direct without A BUYER to sell back to people on the wait list.

I have no reason to believe my guide is lying and since the owner of TSS is saying the same it seems that it is happening.

 

[T.E. Yeary]

In Disney's defense, as far as I know they are the only developer willing to buy back the property at ANY price. Most developers just say too bad, so sad.

 

[RobDoc]

No it is not. In ROFR there is another BUYER, I was told by my guide that they are being called BY OWNERS and are buying direct without A BUYER to sell back to people on the wait list.

I have no reason to believe my guide is lying and since the owner of TSS is saying the same it seems that it is happening.

The point being missed here is that - except for those DESPERATE to sell a contract quickly, Disney will get very few takers at $55 per point when sellers can easily get $25-$35 more per point (and Disney will still exercise ROFR).

If you are depending on getting BCV points from Disney repurchasing at $55, there is likely to be quite a wait. Their greatest sources for contracts at sold out resorts are ROFR and foreclosure. Offering to purchase at $55 is a token gesture at best, IMO.

 

[Dean]

In Disney's defense, as far as I know they are the only developer willing to buy back the property at ANY price. Most developers just say too bad, so sad.

Marriott also will repurchase at times. The main reasons most developers won't repurchase is they've have to sell again. If they have sold out the property, not worth fooling with. If they haven't, then it's competing against themselves. Points programs are unique in that it's the only legal way I kinow of to sell the same unit more than once as a "new" unit, at least in the US. The $55 per point is in the range where they'd need to do so to make enough money to make it worthwhile. If Disney started a resale program, 35-40% commission is the expected range.