Does the $500 fee change the pattern of resale?

[disneylandtour]

So quick question--how do others think that the new $500 fee will change resale patterns? For years, I've thought that the 50-75 point contracts were the most advantageous to hold as, if necessary, they could be sold quickly and at a a slightly higher per point price than larger contracts. Do others think that this most re-sellable contracts will shift up to around 100 or so points? $500 on a 50-point contract is $10 pp--which is a big add-on. On a 100-point contract, $5 pp--which seems more acceptable. Etc.

 

[ShaneDJ]

I think the $500 fee will strengthen the resale market by making the resale process more enjoyable by eliminating one of the biggest complaints with resale (the long waits).

 

[juliebee]

I think it might depend on how small the contract is. At many resorts a 25 point contract isn't super usable- one night a year in a studio- so I think potential buyers might just say they will purchase a 50 or 75 point resale instead. There will still be a market for the 50-75 point contracts as it's a way to dabble in a resort. My thoughts are that the $500 fee hurt the market of any contracts less than 50 points and encourages buyers to consider the next higher point level for a resale contract for the lower cost per point.

 

[disneylandtour]

I think the $500 fee will strengthen the resale market by making the resale process more enjoyable by eliminating one of the biggest complaints with resale (the long waits).

If that actually happens--and that's a huge if. When margins get tight again--and customers forget about the time when there was no $500 processing fee--I sorta suspect, in four or five years, we'll be right back to the four-to-five week wait for resale.

 

[Annabell]

Those 25 and 50 points contracts will lose their popularity. Owners that want to add points will think twice now as the overall cost is higher. Popularity could shift to the 100 points contract but I doubt it. Maybe people just stop adding on!
IMO, DVC is getting more and more unattractive to own.

 

[JamJam2021]

It used to be that 50 point contracts hold a premium per point right? Now I guess it will be a discount per point due to the $500