DVC Points - are they transferrable in case of the death of the owner in their will?

[Savage1701]

I know this sounds weird, but can DVC points, since they are a real estate interest, be left to someone in a will?

For instance, assume my mom buys 250 points at BLT and 5 years later passes away. Can she leave these points to me or to my wife? Is that allowed? Or does the death of the owner mean the loss of the points? Can Disney say "no" to someone that they may not inherit points? Of course, this assumes that the estate would, if necessary, pay any estate taxes and the points would be unencumbered by any probate or such. I'm assuming that's been covered by the will and the estate process.

And I know we would then become responsible for annual dues.

Anyone encountered this?

I hope I have the right board for this. I am brand new to this, but not to WDW (36 years visiting), so I'm familiar with hotel bookings, passes, parks, dining, seasonality to some degree, etc. But this is a whole new game for me.

My primary reason for asking these question is that we feel it is best to look at point rental first, then decide if we want to pursue a purchase. I don't want to waste a real estate agent's time when there is no way I am ready to buy - that's not fair to them.

Thanks for any help. These boards are really great.

 

[chalee94]

I know this sounds weird, but can DVC points, since they are a real estate interest, be left to someone in a will?

yes.

also, if immediate family is involved, DVC will usually waive their ROFR and allow gifting of the DVC contract.

 

[CarolAnnC]

I believe there would be inheritance tax levied on the individual to whom the DVC was bequeathed. It may also be subject to probate. Exception to this would be the surviving owner, in case of joint ownership.

 

[Savage1701]

Thanks. And of course I was not trying to circumvent federal or state estate laws. I was more concerned about Disney policies.

 

[Dean]

It can be willed to anyone, not just immediate families, normal RE laws apply otherwise. What you can't do is split a single contract as part of the will.

 

[Savage1701]

Dean - yes, thanks. I've seen it recommended that if one want to buy, say, 320 points, one buys the 160 minimum on a master contract and then a couple 80 point sub-contracts. Easier to sell that way if one must.

Thanks again to all for their help and I again apologize if I have mis-posted any questions on the wrong boards. It was not intentional.

 

[Disneymommato2boys]

Yes it can be done...my family has been dealing with it for a very long time.

It has been a total nightmare and we even had a will that stated it was to be split between two children.

We have started to believe that DVC had no idea how to handle this situation and that we are the very first case where the two founding members had passed. My mother-in-law passed in 10/94 but was survived her spouse. My beloved father-in-law passed in Nov. 2007, yes you read right, and we have JUST NOW been sent the new deeds to be signed and completed. We did have to probate the will in FL but did not have to deal with ROFR (but may as well had) or pay any inheritance taxes. It was extremely difficult to find a lawyer to represent us because we don't live in FL and most of them wanted an absurd amount of money to do it.

We had a total of 520 point in 5 contracts...because of the fact that you cannot split contracts we got 275 (2 contracts) and my sister-in-law got the rest.

Also, a weird fact...
we were assigned the original member number because we recevied the initial contract in our points. At first I was saddened by this but now I am happy! It has been a neat way to remember my inlaws (who were really my mom and dad too)!

Kirsten

 

[jekjones1558]

Yes it can be done...my family has been dealing with it for a very long time.

It has been a total nightmare and we even had a will that stated it was to be split between two children.

We have started to believe that DVC had no idea how to handle this situation and that we are the very first case where the two founding members had passed. My mother-in-law passed in 10/94 but was survived her spouse. My beloved father-in-law passed in Nov. 2007, yes you read right, and we have JUST NOW been sent the new deeds to be signed and completed. We did have to probate the will in FL but did not have to deal with ROFR (but may as well had) or pay any inheritance taxes. It was extremely difficult to find a lawyer to represent us because we don't live in FL and most of them wanted an absurd amount of money to do it.

We had a total of 520 point in 5 contracts...because of the fact that you cannot split contracts we got 275 (2 contracts) and my sister-in-law got the rest.

Also, a weird fact...
we were assigned the original member number because we recevied the initial contract in our points. At first I was saddened by this but now I am happy! It has been a neat way to remember my inlaws (who were really my mom and dad too)!

Kirsten

What happened to the points while all of this was being sorted out? I hope that you were able to use them or bank them and not lose them!

 

[Dean]

Also, a weird fact...
we were assigned the original member number because we recevied the initial contract in our points. At first I was saddened by this but now I am happy! It has been a neat way to remember my inlaws (who were really my mom and dad too)!

Kirsten

Your membership cards will also say member since ??? as the date of the ORIGINAL purchase.

 

[kly]

I'm currently going through a very complex legal case regarding a business that I sold a few months back. Hopefully, everything will end well for me. Assuming for a moment that it doesn't and the courts rule against me. Can they go after my DVC real estate interest? Can they put a lien against it?

I'm considering buying now. Maybe I should do it in my wife's name just in case. Anything else that I should consider when making the decision to just do it in my wife's name?

 

[Dean]

I'm currently going through a very complex legal case regarding a business that I sold a few months back. Hopefully, everything will end well for me. Assuming for a moment that it doesn't and the courts rule against me. Can they go after my DVC real estate interest? Can they put a lien against it?

I'm considering buying now. Maybe I should do it in my wife's name just in case. Anything else that I should consider when making the decision to just do it in my wife's name?

They could go after it potentially. You should ask your lawyer about this. I doubt buying in your spouse's name would give you much protection at this stage.

 

[Disneymommato2boys]

What happened to the points while all of this was being sorted out? I hope that you were able to use them or bank them and not lose them!

Yep, we were able to use them because my DH and Sister-in-law were listed on the membership. My DH and I have agreed that we will add our two children as soon as they are old enough - currently they are still young at 5 and 3.

Kirsten

 

[Disneymommato2boys]

It sure does - Jan 1992!

 

[toniosmom]

This thread has me thinking....

Is it possible to buy a contract in your own name and make it in trust for a minor child? Kind of like a savings account? Therefore, he would be a surviving owner.

I am (God willing) planning to be around for a while, but I will be in my 90's when my contact expires. Obviously, I will at some point and in some way be transferring ownership of this membership to my son.

Interesting....hmmmm.....

 

[JerJan]

My husband passed away in July of 2008 and we were joint owners of our DVC points (paid in full) we had our points in our TRUST so I had NO PROBLEMS getting my husbands name removed and leaving me as the sole owner. The property is in the Trust so if something happens to me it remains in the trust forever (as long as the fees are paid) and it is overseen by the Trustee(s). Everything in the Trust goes to our 2 daughter's. Hope this helps.

 

[TammyAlphabet]

My husband passed away in July of 2008 and we were joint owners of our DVC points (paid in full) we had our points in our TRUST so I had NO PROBLEMS getting my husbands name removed and leaving me as the sole owner. The property is in the Trust so if something happens to me it remains in the trust forever (as long as the fees are paid) and it is overseen by the Trustee(s). Everything in the Trust goes to our 2 daughter's. Hope this helps.

I am sorry for your loss.

 

[JerJan]

I am sorry for your loss.

Thank you..... we are doing better, it's been almost a year now (hard to believe)! DD9 is having the hardest transition, but I guess that's to be expected. Thanks again and have a beautiful day....you just made mine better.