DVC resale info

[disneydad1]

3 questions from a family thinking of purchasing on resale market:

1. What benefits are currently available to those who purchase directly from Disney that are NOT available to those who purchase on the resale market?

2. What are the most reputable/reliable resale market vendors?

3. A question for current owners - Based on your experience, would you encourage or discourage a new buyer from purchasing resale DVC as their initial purchase? Why?

Apologies in advance for being too lazy to search for answers that probably already exist on the forum.

 

[condorthb]

I am in the process of buying my initial DVC contract through resale.

1-From what I have read, almost all of them.

2-I used the The Timeshare Store. The broker has been excellent.

3-Resale contracts appear to take a good bit of time to complete the transaction. In my case, the title company, First American, is taking an extremely long time to get me the closing documents. It is now day 34 since I passed ROFR and still have not received them

 

[disneydad1]

why did you choose resale rather than a purchase from Disney?

 

[condorthb]

I chose OKW (2057). I got 150 points for $80 a point. I think, right now, OKW is $145 a point to buy direct.

$12,000 vs $21,750

 

[disneydad1]

wow - that one slipped through ROFR. That's great!!!

 

[_auroraborealis_]

Benefits available to direct purchasers not available to resale:

• Annual Pass discounts
• Special events (Moonlight Magic, etc.)
• Using points for the Disney Collection (non-DVC Disney, including cruises, AOA, etc.)
• Tote bag from your sales guide

Benefits available to everyone:

• Top of the World Lounge
• DVD rental at resorts
• Pool hopping
• RCI trades

In general, trades for the Disney Collection are inefficient and not a good use of points. Legacy members can get equitable value for their points, but new purchasers direct are typically paying $10+ per point/per year for each point purchased direct, and most exchanges via Disney have a value of $5-7 per point. The economics are much better for someone who bought points in 2005 for less than $100 per point. With current direct pricing starting around $145, it's rare that the economics of a trade make sense.

AP discounts and special events can be had by buying a small (25 point) add on after buying resale, but for many visitors, they won't matter. For people looking to go every other year or every 3 years, or who have restrictive seasons of travel, APs won't make sense anyway, and planning 11 months out for specific dates makes you unlikely to be on campus for many events. The tote bag can be had on eBay.

 

[supersnoop]

wow - that one slipped through ROFR. That's great!!!

Slipped through? No. That's a fair price for OKW, even extended. In average, I expect a $60/point difference between Disney and resale.

 

[rg35]

I'm going to skip directly to question 3

We bought resale in 2012. 250 points at AKV (one 200 pt contract and one 50 point contract being sold together) for $65 a point (listed at $72 per), not stripped. We have been to Disney every year since. In 2012 the direct price at AKV was $130/point. The resale market was so depressed when we bought that there was not even a moment where I considered buying direct. There were absolutely no ancillary benefits to offset saving 50% off the purchase price.

We were in no rush. It took exactly a month to get through ROFR, and then we closed a month after that.

 

[disneydad1]

I have not done any research on numbers - but was under the impression that if resale price wasn't close to Disney's market price that they would refuse to allow the sale, purchase the property at said price, and mark it up to prevent the devaluation of DVC.

 

[CarolMN]

I have not done any research on numbers - but was under the impression that if resale price wasn't close to Disney's market price that they would refuse to allow the sale, purchase the property at said price, and mark it up to prevent the devaluation of DVC.

Disney does have ROFR - Right of First Refusal, on all sales. While the price is certainly one criteria Disney uses, there are others. No one here knows exactly how they decide. That said, resale prices have NOT been close to direct prices. Check out the RODR threads to get an idea of what the various resorts are going for on the resale market. You can compare those to the direct prices and see the difference for yourself.

Current ROFR Thread

Current DVC Direct Prices from DVCNews.com

 

[mustinjourney]

https://www.disboards.com/threads/so-youve-decided-to-buy-dvc.3567366/#post-56896801