DVC: Worth the initial cost?

[mkpat]

Hello all. Me and the misses were at one time seriously considering buying into DVC (we were basically a phone call away) until we learned of the yearly dues. Basically, IMHO, it seems that you are paying x number of dollars a year (in addition to the initial cost) just to reserve 11 months out. I mean, we never have booked through Disney more than maybe five or six months out at the latest. If it wasn't for the yearly dues, then it wouldn't even be a thought. To all that own, are you glad you did? Do you have any regrets?

 

[browniemtb]

Most here...and myself included will say that we wish we did it sooner. I know the yearly dues thing stinks but thats the money used for upgrades and repairs. Also mathmatically even with dues included you are getting a pretty good deal for the type of accommodations you will receive. Crunch the numbers...theres a million ways to do it, but do whats right in your mind. There is no right way or wrong way.
I guess to sum it up, if you stay in Disney at least once a year or every other year and stay at a moderate to deluxe resort than DVC will save you $$.
Also its a great investment in the family........
Brownie

 

[Happy Birthday Cat]

We are glad we own. We are a family of 6 who always had to have two rooms. We always stayed at Deluxe resorts. It was after a $7,000.00+++ bill for a week at the POLY that we decided it was time to go the DVC route. It has actually saved us a lot when I think of how much the POLY is today over what it was in 1999 when we last stayed there. Will the cost of Disney hotel room remain what they are today 30 years from now? No, but my cost for DVC will (with the exception of maintenance fees).

No regrets here.

HBC

 

[mkpat]

Didn't Saratoga Springs go up? I thought they used to be the same as Old Key West point wise...

 

[RobDoc]

The purchase price for SSR has increased (started at $89 and is now $101), but the point charts have never changed since the resort opened (and the point costs have always been a little higher than OKW).

The purchase price basically locks in the point charts (although point costs have been and can be changed). The annual fees cover the actual costs of running the resort paying for things like housekeeping, landscaping, maintenance, transportation, insurance, utilities, Member Services, all payroll expenses (including pension/healthcare costs), property taxes and a profit for DVC- the management company. These costs have increased traditionally at about the rate of inflation.

 

[jekjones1558]

In addition to the inflation factor driving up costs of regular WDW hotel rooms, I am willing to pay for maintenance fees because DVC has changed the way we vacation. Many hear have expressed how much we love the fact that we no longer feel compelled to do commando-style park visits because we know we will be returning many, many times. And once you have tried a 1, 2 or 3 bedroom unit, you will find a whole different level of relaxation. We loved staying at Riverside but now would be very hard-pressed to go back to anything less than a 1 bedroom unit. Not even Poly or GF would feel as comfortable. We now do condo units even when we're on non-WDW vacations.
Good luck with your decision!

 

[rinkwide]

...The purchase price basically locks in the point charts (although point costs have been and can be changed). The annual fees cover the actual costs of running the resort...

I think it's worth emphasizing that Disney doesn't have the ability to tamper with either the dues or the points. They've contracted with their membership to make all their profit on the up-front buy-in price and, by law, aren't allowed to increase nightly requirements or maintenance fees to make any more.

That's one of the main reasons I bought and a fact that let's me rest easy as an owner. (I also think it's a fact that has and will continue to cause Disney more than a little consternation due to renting and the like.)

 

[RobDoc]

I think it's worth emphasizing that Disney doesn't have the ability to tamper with either the dues or the points. They've contracted with their membership to make all their profit on the up-front buy-in price and, by law, aren't allowed to increase nightly requirements or maintenance fees to make any more.

That's one of the main reasons I bought and a fact that let's me rest easy as an owner. (I also think it's a fact that has and will continue to cause Disney more than a little consternation due to renting and the like.)

Good point- the purchase price does provide a level for "peace-of-mind" regarding inflation of the cash cost for accommodations. WDW cash rates have steadily increased while point chart needs per night have remained steady for over a decade now. Maintenance fees have also increased with inflation, but the actual amount of the increase has increased far less on a $$ basis.

 

[rinkwide]

..."peace-of-mind" regarding inflation...

If it was simply a matter of inflation I wouldn't have bought. It's the whims and penchants of the Disney Company's resort pricing that I'm hedging against.

 

[Granny]

I mean, we never have booked through Disney more than maybe five or six months out at the latest. If it wasn't for the yearly dues, then it wouldn't even be a thought.

Where do you stay now? What times of year do you go?

DVC doesn't make sense for everyone. It's an upgraded vacation experience pure and simple. If you think of it in those terms, you can make a better decision.

When you go to purchase a car, you have the upfront cost and then the ongoing costs (gas, maintenance, insurance, etc). Same thing with DVC except it will last a lot longer than any car you buy.

If you want to go to WDW a lot in the next few decades, and want an upgrade in accommodations, then DVC might be for you. If not, you might not want to make that investment in vacation upgrade.

 

[Darkside]

I know the maintenace fees seem like a lot of money, but it does take a lot of money to keep up these vacation properties. I personally feel the maintence fees are reasonable considering what you get; pools, transportation (maintence/gas), maid service, employee payroll (payroll frindge benefits), grounds maintenace, etc. I only wish I had done this sooner. In fact the reason we bought this year is because the price per point went up and we felt we could wait no longer. We plan on visiting 3 times next year and we feel the value is there for our family. Good Luck with your decision.

 

[kisrael]

When debating about maintenance fees, there are a few things you should consider. Do you vacation every year? If not then maybe a timeshare is not the best solution for you. I understand that banking points is great, but paying all that money for your unit for the year isn't funny when you're not using it.

Also, I own 2 timeshares. This year I exchanged the timeshare I own in Atlantic City for a one bedroom at OKW. My maintenance fees are way lower at Atlantic City, but I stayed at a WDWR. If you try to copy that act, remember you might not get the exchange you want and you need to be very flexible.

I like to vacation in style, so a timeshare that looks like a beautiful villa is just right for me. My brother-in-law thinks of it as a waste of time and money. When he goes to Florida he does not spend any time (except to sleep) in his room. He would be happier at a Motel 6 for $30 a night. If you're like him, don't even bother.

Many other timeshares allow you to keep your unit the same way you can keep a home - you keep it until you die, or you decide to sell it, or give it away. Disney has a time limit. And when your time is up, you walk away with nothing but your memories. That doesn't sit too well with me, but if you go evey year you still wind up ahead as opposed to paying for that same unit as a hotel room.

There are lots of pros and cons, you have to think about what's best for you.

 

[byoung]

One of the ones that wished I bought sooner. Got 19 nights in a studio with points left over last year. 200 BWV points.

 

[RobDoc]

I look at the maintenance fees like I do the expenses of maintaining my own home. In addition to the original purchase price, I'm personally responsible for paying property taxes, utilities, maintenance, insurance, landscaping, housekeeping, transportation - as well as continued replacement of appliances, carpeting and any major structural repair. If my roof needs to be replaced, I'm the one who has to pay that -with DVC that cost is covered by the Capital Reserve fund which is also part of our annual fees.

 

[Didney Daddy]

Compounding the rack rate increase of Disney Deluxe accomodations at 7% a year for the next 40 years will show the enormous savings of DVC even with dues increasing 3-5% a year. To spend that money each year paying even a discounted rack rate means you can only invest the money in short term investments that generally earn less than the rate of appreciation of Disney Deluxe accomodations. Our only regret was not buying DVC earlier. Of course, the major cavaet is that you GO to Disney each year or two. The unexpected bonus has been the fact that DVC prices have gone up so much so when we finally sell we stand a decent chance of getting more back than we put in.

 

[LarryM]

For us we have been able to go for more than one trip a year some years and we have shared it with friends and family other years. For my peace of mind I figured the rooms at 40% off rack rate and have added up the times we have stayed to date and we are beyond our purchase price at this point and when we stay now for just a week we cover our dues. I realize this isn't exact but it works for us.

 

[DVC Grammy]

Hello all. Me and the misses were at one time seriously considering buying into DVC (we were basically a phone call away) until we learned of the yearly dues. Basically, IMHO, it seems that you are paying x number of dollars a year (in addition to the initial cost) just to reserve 11 months out. I mean, we never have booked through Disney more than maybe five or six months out at the latest. If it wasn't for the yearly dues, then it wouldn't even be a thought. To all that own, are you glad you did? Do you have any regrets?

Our dues this year are about $1500 on 330 pts. We also buy AP's(@$600) Our initial investment at BWV was @$63/pt (220 pts) and our cost for SSR was @$83/pt (110). Over this past year, with the AP's, we spent @34 days in DVC resorts (yes, we stay in studios to get all those days). There is no way we could be at WDW on cash for @$2100 for 34 days, including admission! In fact, I don't know where we could vacation at such a high quality place for less than @$62/day! To me, this is the real "MAGIC" of being a DVCer!
(Plus, if I did have to sell my pts. in the near future, , I don't believe I would lose any money! )

 

[Mickey'sApprentice]

DH and I bought 100 BWV resale points in January for about $8,800 after closing costs. We decided to invite my sister and her family to join us for a Spring Break trip next April using '06 and '07 points.

These accomodations (2 BDRM, BW View 5 nights, peak) would have normally cost $4,500 for 1 trip. (I about flipped when I priced it out over the web.) Even if we had stayed in 2 All-Star Rooms, it would have come to $1,320. That exceeds 2 years worth of maintenance fees, and will be so much nicer.

The way I see it, 2 trips will pay for the upfront fees, and future trips will save more than the maintenance fees.

 

[mkpat]

Thanks for all the input guys! We are still contemplating, though...

 

[alexandone]

If it wasn't for the yearly dues, then it wouldn't even be a thought. To all that own, are you glad you did? Do you have any regrets?

To answer your question directly, no we don’t have any regrets. We live in So. Cal. and can't wait for our bi-annual WDW trips.
Well at least no DVC regrets...airfare has gone from $195/person to $330-400 depending on the time of year. Now that's some inflation!