We all know that around Walt Disney World (WDW) there are larger, nicer, and less expensive rooms, but they don’t offer the in-park experience. Disney relied on this unique appeal and raised prices on deluxe hotel rooms.
Unfortunately, they set prices higher than the value the public places on the “in-park experience,” so guests began looking elsewhere. [snip]
I cut out a lot of this post but it seems to have a fundamental misunderstanding of supply and demand. If you look at an intro to macroeconomics text book, the more luxury hotel rooms you make available on Crescent Lake (supply), the lower the price goes, unless you can increase the number of people who want to book them (demand). When demand is constant, an increase in supply lowers the room price which is exactly what is happening at BWV and BCV and to a lesser extent appears to be happening at VGF and PVB. More specifically, supply keeps increasing as increasing numbers of
DVC owners realize they can buy more points and profit from renting them even after covering dues and buy-in costs, but the demand for $500-800 hotel rooms is relatively constant or increasing. Thus, Disney is forced to lower prices and having a harder time filling the hotel rooms at all.
Is there any correlation between the points chart and the rack rate on the hotel side. If I were selecting something with the intention of selling it (renting) I would maximize my profit by offing rooms that had the biggest gap between points paid and room rate. VGF might simply have too high of a
point chart to reserve regularly. I’ve owned VGF two years and had no issues so far
Yes, that's exactly why renting is worst for the lowest point rooms and the most desirable locations. I actually think there's a double whammy of people realizing their shiny new VGF and PVB points don't go very far, so they try to switch into the crescent lake original resorts to save points, but also more and more owners are realizing over time that if they have extra points they can make the most money off those points by renting BW, AKV (if they can get them), BC, and then, at least until recently, Poly and GF were also not bad places to rent because even at $20/pt it was a lot cheaper than the hotel rooms... however, Disney has been having to lower prices on it's hotel rooms as rentals increase and guest demand softens, so now it's less desirable to rent along the monorail.
Appreciate the feedback, so yes, at least that supports some level of inconsistency!! I know I have read that several owners have followed up with emails to DVC about this and that the MS CM's are giving inaccurate information.
I have no idea why people keep assuming that MS CM's are giving inaccurate information. This is exactly what happened in the weeks prior to the dramatic
DAS overhaul... people kept hearing cast members suggest draconian restrictions and dramatic changes and confidently telling each other "there's no way they can kick out people with IBS, that would be illegal" or "surely they will let us add 6 on to our DAS family member's account because it just wouldn't be a vacation if we can't all ride together."
I'm not sure what the actual new policy will be, but it seems
extremely unlikely that MS CMs who are taking the time to reply by email are just making things up that did not start with Disney. It's not impossible, but discount them at your own peril. I've only seen anecdotal reports on social media (from people whom I don't know well enough to say whether they are making up the story) but if a real person you know was told "I'm supposed to be reporting things that look like rentals" or "you can only rent to friends and family you know personally", I would absolutely start looking to unload however many excess points I needed to rent more frequently than every other year, at minimum, ASAP.
- but it sounds like a great idea
