DVC Point Total Question

[MJames41]

Hi everyone. I understand that Disney only sells in blocks of 150. Is it possible to purchase less via resale and have those be the only points you have? For instance, would a purchase of only 50 points be legal? Or to purchase 150, and then sell 100? Thanks.

 

[TCPluto]

Disney only sells the original contract w/ minimum point allocation of 150. Add ons throught Disney can be for as little as 25 points. Original purchases through the various resale brokers can be for any amount, even under 150 points, regardless whether it's your first contract or not.

You cannot break a contract up, ie., buy 150 point contract and then sell 50 points, leaving you 100.

 

[Caskbill]

Originally posted by MJames41
Hi everyone. I understand that Disney only sells in blocks of 150. Is it possible to purchase less via resale and have those be the only points you have? For instance, would a purchase of only 50 points be legal? Or to purchase 150, and then sell 100? Thanks.

Not in blocks of 150, just a minimum of 150. You could buy 150, 151, 152, 153 etc on up to whatever number you wanted.

Resales are available for less than 150 (These would be add-on's that people purchased after their original contract, and are selling just the add-on itself separate from any other points they may have.) There's nothing that says you can't buy smaller contracts as your only DVC contract. Many people have done just that. The problem with this today is the cost. Disney seems to be using their ROFR a lot more recently, pretty much buying anything less than $70/point, or even higher. When you could still get small contracts for under $60/point that was one thing, but today your cost/point can get pretty high.

For example, if you had to offer $73 or more per point to keep Disney from using ROFR, and then you had to pay $500 in closing costs, your 50 point contract is costing you $83/point.

As mentioned you cannot break up an existing contract into smaller contracts yourself. So purchasing for example a 150 point contract direct from Disney and using MB, thus paying $74/point, you could not then go and sell part of those points later. That contract is forever set at 150 points. Only Disney themselves can break contracts into smaller contracts. Thus they may buy-back a 150 point contract using ROFR and then sell those points as three 50 point contracts as add-on's to existing members.

 

[johde]

As others have mentioned, yes you can by what was an addon contract as your only contract. I purchased 60 OKW points. This is more than I need for my every other year early December trips to OKW. On my resale, I paid $350 in closing costs. If I remember up to about 100 points was that price. I used Jaki at atimeshare.com and she was wonderful. Most small resales seem to go for about $3 - $5 more per point than larger contracts. With this recent increase in Disney's buy back rate that may not still be true. Reid4florida.com has some pending small resales that were priced at $70 per point. Assuming you purchased 60 points (enough for a 5 weekday trip adventure season), total cost per point would be about $76 per point. At $70 Per point I would expect most of this years points to be present.
These small resales can be hard to come by. I would contact all of the major resale brokers and get on the call sheets. Most small resales never make it to their web sites. I would also check the web sites occationally. I purchased a contract that ended up on the web site that they didn't happen to call me about. I was the second offer in the 8 hours it was on the web site. You may not save money in terms to cost per point by buying resale but you are not buying points that you cannot use. In my case 90 points I didn't need at $80 per point at the time or $7,200.

Jeremy

 

[Doug Wolfe]

MJames41.... To be honest, I do not think 50 points would do you much good. There are some individual nights that use that many points or more. Look at the financing options, and you might be suprised that you can swing a 150-point purchase. Good luck.