DVC resale or directly from Disney

[DannyDisneyFreak]

Okay, we took the tour at SS last week, we would love to get into DVC especially since now that our trip is over we are so sad and know we would be going back much sooner if we were DVC owners. I have so many questions but just to start I want to know the difference between buying directly from Disney or getting a resale. How much money can you save?
Thanks for all comments and help.

 

[luvindisneyworld]

Basically resale you can get whatever resort you want at somewhat cheaper price.Directly from Disney you have the friends and family incentive that saves you 15% till Feb 1st at SSR which brings the point price down to about 83.00pp.You can finance through Disney and they pay closing.Resale you pay closing costs.With Disney the process is quicker than going resale.
We always go through Disney,someone that has bought resale can help more with that.
But no matter what you decide you will be happy.
Also SSR has the extra 12 yrs.

Misty

 

[Caskbill]

You really have to look at all the issues. You might save and you might not. With Disney you will get full 2005 year points, plus your upcoming 2006 points.

With resale, it varies from stripped contracts with no 2005 points and possibly no 2006 points, so nothing coming until 2007. Or, it may be a loaded contract, maybe even with banked 2004 points. As you can see, the 'value' between these two contracts is enormous.

With resale you will most likely pay closing costs so be sure to add that to your total 'price'. Again, it all depends on how it's negotiated between buyer and seller. There may also be some negotiations on maintenance fees.

Remember, if the contract is really a good buy, then Disney will buy it via ROFR. If it's not that good, you'll get it, but whether it was a lot better than going directly to Disney or not may be a wash.

If financing is an issue, with Disney you can finance through them and have payments automatically debited from your Checking or Savings account. With resale you'll have to arrange your own financing.

Nobody can tell you how much money you'll 'save'. Buying direct from Disney is pretty straight forward and you can calculate your total costs. Buying resale you'd need to calculate everything on a case to case basis. Generally a resale will be cheaper in total dollars, but whether it's a lot or just a little will vary depending on each individual contract you're considering.

 

[LisaS]

If you haven't already done so, scroll up to the top of the page and click on the "DVC Resales" link. You will see a list of resale contracts currently available through The Timeshare Store, this board's sponsor. Many of us have purchased resale contracts from them and it was a very easy process. Their listings will give you a good idea of what you should expect to pay on the resale market. If you are buying 150 points or more, add $500 in closing costs to the price. If you are buying fewer than 150 points, the closing costs will be less than that.

I found the title of your post interesting: DVC resale or "new". The difference really is purchasing DVC resale or directly from Disney -- whether you buy a resort on the resale market or directly from Disney (and you can buy any resort directly from Disney, not just SSR), you are buying exactly the same thing. There is nothing "newer" about the contracts that you purchase directly from Disney.

 

[DannyDisneyFreak]

If you haven't already done so, scroll up to the top of the page and click on the "DVC Resales" link. You will see a list of resale contracts currently available through The Timeshare Store, this board's sponsor. Many of us have purchased resale contracts from them and it was a very easy process. Their listings will give you a good idea of what you should expect to pay on the resale market. If you are buying 150 points or more, add $500 in closing costs to the price. If you are buying fewer than 150 points, the closing costs will be less than that.

I found the title of your post interesting: DVC resale or "new". The difference really is purchasing DVC resale or directly from Disney -- whether you buy a resort on the resale market or directly from Disney (and you can buy any resort directly from Disney, not just SSR), you are buying exactly the same thing. There is nothing "newer" about the contracts that you purchase directly from Disney.

Thanks for the clairification, I understand though, I just put the "new" in quotes because I wasn't sure what the correct term would be, I think I will edit my title though to make it acurate, thanks.

 

[Tinkaroo]

You really have to look at all the issues. You might save and you might not. With Disney you will get full 2005 year points, plus your upcoming 2006 points.

I did not knkow this about getting 2005 points - is that because your use year might not begin until later? I had always assumed if you were buying in 2006, that you would get those points, nothing more, when your use year began.

I've been doing my research, but haven't run across this. If you could elaborate, I would appreciate it!

 

[luvindisneyworld]

Right now they are offerimg the 2005 points also.So you get all of 2005 and then you will recieve 2006I was speaking with my guide just the other day and that was what he told me.I really didnt ask any questions about it.

 

[Tinkaroo]

Right now they are offerimg the 2005 points also.So you get all of 2005 and then you will recieve 2006.

Do you know how long that lasts?

So, if I was not planning on using my points for a trip in 2006, could I bank all the points I received in 2006 (those from "2005" and the true ones for 2006), and then use them in 2007, along with my points from 2007?

(Sorry if this is rudimentary - still trying to get the hang of this.)

 

[luvindisneyworld]

Do you know how long that lasts?

So, if I was not planning on using my points for a trip in 2006, could I bank all the points I received in 2006 (those from "2005" and the true ones for 2006), and then use them in 2007, along with my points from 2007?

(Sorry if this is rudimentary - still trying to get the hang of this.)

I think you can bank up to 3 years worth of points.So you should be good to do that.

 

[luvindisneyworld]

Do you know how long that lasts?

So, if I was not planning on using my points for a trip in 2006, could I bank all the points I received in 2006 (those from "2005" and the true ones for 2006), and then use them in 2007, along with my points from 2007?

(Sorry if this is rudimentary - still trying to get the hang of this.)

My guide did not say how long that was going to last.Sorry

 

[stingmom]

we bought in to DVC via a resale with our board sponsor here, TimeShare Store. It was far more affordable for us that way. We simply watched the resale page and phoned as soon as we saw what we wanted! Now we enjoy ALL the DVC benefits, but at a far less cost, because we do not need 150 pts rigt now (the minimum amount required to purchase direct through DVC). Do your research. You will find many varying opinions. Best wishes!

 

[LisaS]

Do you know how long that lasts?

So, if I was not planning on using my points for a trip in 2006, could I bank all the points I received in 2006 (those from "2005" and the true ones for 2006), and then use them in 2007, along with my points from 2007?

(Sorry if this is rudimentary - still trying to get the hang of this.)

It is not a rudimentary question at all. It is actually a bit complicated to explain but I'll try (and hopefully a DVC veteran will come along and explain it better than I can!)

When you purchase DVC directly from Disney you will get "current year" points. For those purchasing DVC in 2006, your "current year" points will be either 2005 points or 2006 points depending on the use year of the contract you purchase, and the date you make your purchase.

For example, let's say in Feb 2006 you purchase a contract with an October use year. In this case you will get 2005 points because those are your "current year" points -- your 2005 use year began on Oct 1, 2005 and runs until Sep 30, 2006.

Another example: Let's say in April 2006 you purchase a contract with a February use year. In this case you are already in your 2006 use year (Feb 1, 2006 - Jan 31, 2007) so you would not get 2005 points. Your "current year" is 2006, so your first points are 2006 points.

Now as to whether or not you can bank them, that depends on where you are in your use year. At any time during the first 6 months of your use year you can bank 100% of your current-year points into the next use year. So going back to my first example, if you close on an Oct use year contract in February, you are within the first 6 months of your use year so you can bank all of your current-year points into your next use year. If you closed on that same Oct use year contract in Sep 2006, they probably would not let you bank any of the points because you are in the last month of your use year and you would have one month to "use 'em or lose 'em".

If you do receive 2005 points and are able to bank them, you get one additional year in which to use them. So if you purchased an Oct use year contract in Feb '06, you would receive, and could bank, your '05 points. Once banked, they can be used for stays between Oct 1, 2006 and Sep 30, 2007, along with your 2006 use year points which are valid during the same time period. Once banked, those Oct 2005 points will expire on Sep 30, 2007. They cannot be banked again. If you needed even more points for a stay between Oct 1, 2006 and Sep 30, 2007, you could also borrow points from your 2007 use year.

I hope this makes sense!

 

[carolina_yankee]

I think you can bank up to 3 years worth of points.So you should be good to do that.

My understanding is that you can use up to 3 years of points in one year, but you can only bank 1 year. For example, using generic years, you can bank year 1 into year 2 and borrow year 3 into year 2, using all 3 years in year 2, but you can't bank year 1 and year 2 into year 3. Of course, in this example, you would have no points available in year 4 unless you borrowed them from year 5.

 

[LisaS]

My understanding is that you can use up to 3 years of points in one year, but you can only bank 1 year. For example, using generic years, you can bank year 1 into year 2 and borrow year 3 into year 2, using all 3 years in year 2, but you can't bank year 1 and year 2 into year 3. Of course, in this example, you would have no points available in year 4 unless you borrowed them from year 5.

Yes, you are correct except for your last sentence. You would still have your Year 4 points available. I think what you meant was that you would have no points available in Year 3 unless you borrowed some from Year 4.

 

[Tinkaroo]

It is not a rudimentary question at all. It is actually a bit complicated to explain but I'll try (and hopefully a DVC veteran will come along and explain it better than I can!)

When you purchase DVC directly from Disney you will get "current year" points. For those purchasing DVC in 2006, your "current year" points will be either 2005 points or 2006 points depending on the use year of the contract you purchase, and the date you make your purchase.

For example, let's say in Feb 2006 you purchase a contract with an October use year. In this case you will get 2005 points because those are your "current year" points -- your 2005 use year began on Oct 1, 2005 and runs until Sep 30, 2006.

Another example: Let's say in April 2006 you purchase a contract with a February use year. In this case you are already in your 2006 use year (Feb 1, 2006 - Jan 31, 2007) so you would not get 2005 points. Your "current year" is 2006, so your first points are 2006 points.

Now as to whether or not you can bank them, that depends on where you are in your use year. At any time during the first 6 months of your use year you can bank 100% of your current-year points into the next use year. So going back to my first example, if you close on an Oct use year contract in February, you are within the first 6 months of your use year so you can bank all of your current-year points into your next use year. If you closed on that same Oct use year contract in Sep 2006, they probably would not let you bank any of the points because you are in the last month of your use year and you would have one month to "use 'em or lose 'em".

If you do receive 2005 points and are able to bank them, you get one additional year in which to use them. So if you purchased an Oct use year contract in Feb '06, you would receive, and could bank, your '05 points. Once banked, they can be used for stays between Oct 1, 2006 and Sep 30, 2007, along with your 2006 use year points which are valid during the same time period. Once banked, those Oct 2005 points will expire on Sep 30, 2007. They cannot be banked again. If you needed even more points for a stay between Oct 1, 2006 and Sep 30, 2007, you could also borrow points from your 2007 use year.

I hope this makes sense!

I believe I'm following you - thanks so much!!!

 

[Caskbill]

Just to correct one thing Lisa said. If you purchase from Disney and get 2005 year points, but it is near the end of your 2005 Use Year, you may still bank them even though you might be past your 6-month banking window.

For example, say in April 2006 you purchase a June UY and therefore get 2005 points, good for stays between Jun 1, 2005 and May 31, 2006. You're unable to use those points in April or May and it's past all your banking deadlines.

DVC will allow you to bank these points into 2006 as part of the purchase agreement.

Note: This does not apply to resale purchases.

 

[LisaS]

Note: This does not apply to resale purchases.

And it may not apply to purchases of sold-out resorts directly from Disney either, at least if my own experience is anything to go by. I was going to purchase BWV directly from Disney but by the time I closed I would be within 5 or 6 weeks of the end of the use year I would be purchasing. I asked my guide to find out if I could bank the current-year points and a few days later she called me back and said essentially "absolutely not, no way, no how". So, that's why in my post when I gave an example of purchasing within a month of the end of your use year I said "they probably would not let you bank any of the points" because for whatever reason, some people are allowed to bank points in that situation and others are not.

I couldn't bear the thought of losing my entire first set of points and didn't want to get into figuring out how to rent them with so little time before they expired so I just told my guide "no thanks" and bought resale instead. Fortunately I soon found a contract of the right size and use year and with some banked points to boot, and saved some money in the process by buying resale so it all worked out great in the end.