DVC Vero with eye for trading

[TexasGator]

We're already DVC members. I'm seeing some great "deals" at Vero and am considering buying there resale, with the thought of staying there occasionally (parents live near there), but looking to trade to other DVC sites mostly. I know that the dues are over $6/pt, which is a negative, but it seems like a cheap way to put 150 - 200 points in the coffers even with the higher dues.

Can anyone tell me if I'm setting myself up for a pitfall?

 

[NewDCLGuy]

You've already thought about the main pit fall: the high dues.

The other big one is that there are rare occasions, mostly Christmas, when it can be tough to book at WDW outside your home resort. Right now you can still get something, but it may get tougher in the future.

But for the most part, it's a good plan. You should be able to book at WDW, and often get your choice of resorts. Note that if all you cared about was cheap points, I think SSR will be the better bet in the long run. But since you want to stay at Vero, it sounds like an excellent plan.

 

[jlewisinsyr]

The initial buying is a drop in the bucket when compared to the cost of dues over the life on the contract.

Additionally there is the risk that Disney could always restrict resort owners to booking at their own resort or sold the resort, and I personally believe this is more of a risk for resorts not attached to a theme park.

 

[mikron]

We own SSR & OKW, I would buy OKW before Vero. OKW has large units compared to all the other resorts. You can use your points to stay at Vero to see your mother. Good savings on dues over Vero over the owner ship.

 

[chalee94]

The initial buying is a drop in the bucket when compared to the cost of dues over the life on the contract.

this becomes less true as we get closer to 2042.

at nearly 1/3 the price of BLT, i have to admit VB is getting interesting priced in the $40s...takes a lot of dues to make up for that. and a dollar in 10 years simply isn't worth the same as a dollar right now.

i still recommend buying onsite at SSR or OKW if you intend to use the pts primarily for onsite visits...just to remove any potential headache of being locked out of using your points onsite (as long as you can book 8-11 months in advance).

as mentioned, there is also the risk that VB will be spun off and no longer able to trade in DVC and increased risks of storm damage for a coastal resort.

but depending on your willingness to roll the dice, VBs resale prices are pretty appealing...

 

[jlewisinsyr]

this becomes less true as we get closer to 2042.

at nearly 1/3 the price of BLT, i have to admit VB is getting interesting priced in the $40s...takes a lot of dues to make up for that. and a dollar in 10 years simply isn't worth the same as a dollar right now.

Using basic math and some assumption of 3% dues growth VB would exceed BLT in year 21 of ownership (2030) if you bought in 2010.

I agree there is the dollar valuation piece as well, but then you also have to consider life of the contract and the retained value of an on-site property, especially one like BLT.

 

[TexasGator]

Thanks for the input!

 

[Dean]

We're already DVC members. I'm seeing some great "deals" at Vero and am considering buying there resale, with the thought of staying there occasionally (parents live near there), but looking to trade to other DVC sites mostly. I know that the dues are over $6/pt, which is a negative, but it seems like a cheap way to put 150 - 200 points in the coffers even with the higher dues.

Can anyone tell me if I'm setting myself up for a pitfall?

Obviously it comes down to a limited set of factors including price difference, dues difference, ending date comparison and the fact you're locked out of WDW with those points until 7 months out. Given you'll use them part of the time at VB, it MAY make sense, esp if looking at a 3 BR unit. However, for most people buying just to use as a points cow, it's not a reasonable choice. To a degree the same can be said about HH but I expect the dues there to be higher overall but less than VB long term. You'll have to balance the plusses and minuses to decide what works for you.