DVC's methodology of ROFR then resell as add on..

[senecabeach]

I hope I can verbalize this question right...

Does anyone have any insight as to the DVC process of ROFRing a contract, then, what methodology is used in re-selling it as an add-on to someone on the waitlist?

I understand the offering price is key and thats not what Im concerned with.

Lets say that DVC exercises their ROFR. OK..now there are X points, for X UY, @ X resort, available for someone on the add on wait list.

Is the wait list prioritized to give preference to existing "owners of resort X" on the wait list vs. those who dont own there??

Does DVC sometimes split up points?? I.E...they get back 1 contract for 300 pts....have a wait list for 3-100 point add on's...now they can divide the points to accomodate the wait list...right??

Understanding normal checks & balances, can/would/does DVC, at their discretion, change the UY to accomodate a longer wait list at another resort?
Somehow...I dont beleive this would be a huge problem..as long as it is monitored.

Sorry for the multiple questions. Your thoughts please???

 

[laceemouse]

I could be wrong, but I don't think they are allowed to change the UY. But, I see no reason that they could not break up a 300 point contract into 3 100 point contracts if they like. I have not idea about who gets first dibbs on anything. We own 160 BCV points and would like 90 more. We keep talking about getting on the DVC waitlist. I would like to know if we would get them before a non-BCV owner. Anyone????

 

[Chuck S]

Yes, DVC can break up contracts that they get through ROFR. As far as the priority of the waitlist, I have no clue. Also, UY is set, so no, Disney can not change UY on the ROFR contract.

 

[snowbunny]

Dumb question...what does UY stand for? thx

 

[Tagrel]

Dumb question...what does UY stand for? thx

UY = Use Year.

 

[DisneyBill]

We were told the waitlist is pretty much first-on, first-off. Pretend you're first in line for 300 points, and then DVC rofr on 200 points. They hold those 200 until they have 300 for you, even if say the second person on the waitlist only wanted 25. Irrespective of any/which prior resort ownership.

 

[Dean]

I don't think DVC prioritizes to owners at any resort and simply treat's all owners the same in this area. And I doubt DVC really makes any money at the spread between buy backs and new sales as it is but i now others disagree. IMO, they simply do it to keep us guessing, prop up the retail price and make resales not appear as attractive as they might otherwise.

 

[disneydawn6]

Disney Just bought back my contract.. So good luck to someone. 170 at Beach Club June UY

 

[carlos1117]

Disneydawn,

Could you give us the details of the contract that Disnet ROFR'd?

 

[disneydawn6]

170 points $78 per points 111 points coming on June 2005...

 

[disgirl]

DisneyBill: This is interesting that you were told first on first off, whereas when I said to my guide "I guess I will have to wait a long time for my points(50)", she said well if 50 points come in and the person in front of you wants more, you will get them. I do not know, it is all very confusing. I do agree and understand that they would not change UY and that they could split the points up on a big contract. However, my guide did also say she could not tell me where we were on the wait list. This, I do not understand. Can't they atleast tell you how many people at the resort you want, asked to be on the waitlist before you without having to of course, tell you how many points they are asking for etc.? The question about if owners get priority over non owners is another interesting concept and might be part of why they can not tell you where you stand on the waitlist, too many variables.


Diseydawn6: I am so sorry your contract got ROFR. I hope another one comes along soon for you.

 

[bobbiwoz]

disneydawn6, I'm sorry that Disney took the contract. Have you sent the info to Beca on the other board? She has a list going. I think it's interesting to see how Disney has been working to raise the price of resales.

Bobbi

 

[senecabeach]

disgirl..disneybill....

Hi..Im the original poster of this question. I see I have sparked much thought?? Great...I need everyone's opinion!!

My curiosity about this question and all its scenerios peaked..... because I own @ the BC and am on the wait list for an add on @ the BC., which I really dont plan on using till 06's UY. Yes...then again I want them yesterday!!

My CM, in Jan told me it would take only a 2,3 month wait..
which surprised me!!

Well See...... BTW........

bobbiwoz..Ive been following your progress and KUDO's on your add-on!! Send me some pixie dust..please

 

[bobbiwoz]

You got it, senecabeach!

Pixie dust, pixie dust, pixie dust!

 

[disney junky]

I suspect they wouldn't let people know where they are on the list because it can't possibly be an exact science. They have no idea what points will be coming in and probably juggle the points to get rid of as many as possible to as many people as possible. It would be interesting to know how many points change hands in a given amount of time.

 

[DisneyBill]

I suspect they wouldn't let people know where they are on the list because it can't possibly be an exact science. They have no idea what points will be coming in and probably juggle the points to get rid of as many as possible to as many people as possible. It would be interesting to know how many points change hands in a given amount of time.

I guess that depends on whether the information my guide provided is correct or not about spooling up points when it is your turn in line to fulfill your request. I would think DVC could however provide how many points you are down the list, if not the number of customers. Which would be more meaningful anyway.

 

[Scotch]

170 points $78 per points 111 points coming on June 2005...

Disney just bought back this contract but PASSED on mine (last week), which was a BCV 160 points, also $78 per point, with all 160 points coming in April 2005! So this mean the use year makes a big difference (presumably because Disney had someone on the waitlist for yours) -- and there isn't any particular cutoff on price at a certain range??? But with everyone saying how popular BCV contracts are vis-a-vis adding on direct via Disney, I would assume they would have bought back mine since it should move quickly given the demand.

 

[carlos1117]

Disneydawn,

From my experience with ROFR; you got screwed. A partial stripped contract @ 78 per point ROFR'd. Disney must have a long waiting list.

 

[DebbieB]

Perhaps seller paying closing costs or maintenance fees was a factor?

 

[Dean]

Disney just bought back this contract but PASSED on mine (last week), which was a BCV 160 points, also $78 per point, with all 160 points coming in April 2005! So this mean the use year makes a big difference (presumably because Disney had someone on the waitlist for yours) -- and there isn't any particular cutoff on price at a certain range??? But with everyone saying how popular BCV contracts are vis-a-vis adding on direct via Disney, I would assume they would have bought back mine since it should move quickly given the demand.

I get amused at this type of discussion. The idea that DVC is trying to pick and chose the contracts to buy back simply on the strict financial issues is laughable. DVC is simply trying to make it unpredictable, keep the price per point up on resale and make it such that anyone wanting to buy has no real reason to buy resale other than maybe home resort. Ever since they've been buying them back, they've bought one contract and let another better one go through. It's like they decide they'll buy X number of contracts from X resort and then once they've done that, they're done for a while. Obviously if they know they'll have trouble selling some points, they may be less likely to buy that resort like VB, OKW & HH.