Economic Decision

[dumbo71]

That really depends on when you bought. Remember that after 9/11 the market took a nosedive and didn't really recover until just last year.

If person 'A' bought DVC summer of 2001, and person 'B' left their money in the market, then today, person 'A' is way, way, way ahead.

Good scenarios Caskbill and one likely many wouldn't have thought of.

I'm sure you'd agree DVC is NOT an investment but this is good.

 

[Granny]

I think the big hold out is my DH really doesn't see the need for it. Like I said, I love Disney, he can take it or leave it.

Not sure why your DH doesn't like Disney as much? Is it that he doesn't like the parks? There are a lot of other things to do at WDW, and possibly the enhanced accommodations will allow your DH to enjoy it even more. And don't forget that Vero Beach and Hilton Head are part of the DVC resorts too if you want a change of pace from WDW visits.

FWIW, we didn't buy DVC to save money...we stay in a 2BR villa with just the four of us. What DVC does is allow me to afford to stay in those kind of accommodations that I could never afford if paying cash every year. When it becomes just DW and I, we'll reserve the 1BR and have even longer stays or more often.

I do think the DVC is making more sense as it's been near impossible to use codes anymore to get good deals on rooms.

I think you've identified the trap that many people who eschew DVC have fallen into. We hear often about the great rates and codes and why would anyone lock into DVC when there are such great deals out there. Things change and great codes may not be around for all the future trips you want to make. Not to mention, I think it's a hassle looking for codes and wondering if I really got the best deal on a room.

Good luck with your decision.

 

[Granny]

Especially since I have been able to go on trips where I split the cost with a relative or have received a good deal by buying an Annual Pass.

You can toss and additional $100 per AP savings into your math...that's the discount DVC members currently receive on AP's. Of course, it's not guaranteed to last so probably best not to count on it.

 

[drakethib]

If you try to do the math you will drive yourself nuts.

DVC is not an investment, it is an expense.

More then likely you will spend more money because you will find that you now are taking more trips.

The mouse now gets a lot more of my money because of DVC but it makes us happy.

I wont see the money I kicked out for DVC ever again. It is gone.

 

[jcodespoti]

DVC does not make economic sense...but then does any vacation?


Joe in CT

 

[Eventer98]

Geez..just when I think I posted all my questions on another thread I came up with another! Sorry!!
Can I change the size of the room I use my points on from year to year? We have no kids now so we would probably stay in a studio to start out but someday that could change!
Thanks!!

 

[Disney Anna]

Couple of replies...

1) Have no idea why DH isn't into Disney. He just doesn't get it. He likes it, dont get me wrong. He has a SoCal annual pass to Disneyland and he went with me in 1999 to WDW and had a good time. He just doesn't get the wanting to go back and back and back. Believe me, I don't get it. I just think it's the greatest place to vacay, even if you're not into Disney. It's just a beautiful area with so much to do for every kind of taste.

I think he would enjoy SSprings. I spent Thanksgiving there with my aunt and uncle who are DVCers. We stayed in a 1 BR in Congress Park with a view of DTD. It was beautiful. So relaxing.

2) He isn't extravagant. He has not bought any large purchases of his own. (Darn him).

3) I think it's right to not think of it as an investment. It's buying a luxury item. One I know I would enjoy (and I think he would too). Of course, I can buy it on my own, I would just feel better if he bought into it also.

4) I'm going to sleep on it for awhile and talk it over with him again. Maybe get him to sit in on a presentation at Disneyland.

 

[Boston5602]

I am single and bought DVC.

I did hte math. Economically I would probably have been better off investing the funds in a Mutual fund etc.

However, I consider this an investment in me and that's hard to put a value on. I have no regrets.

EXACTLY ! ! !

 

[Disney Anna]

One of my resolutions is to treat myself nicer. I seem to be able to splurge on others but have a hard time spending money on myself. Maybe this is a challenge.

 

[Granny]

Geez..just when I think I posted all my questions on another thread I came up with another! Sorry!!
Can I change the size of the room I use my points on from year to year? We have no kids now so we would probably stay in a studio to start out but someday that could change!
Thanks!!

Usually it's better to start your own thread with questions, especially when they're unrelated to the original topic of a thread.

But since we're here, points can be used to reserve any size of villa as long as you have enough points. You are not buying a room, you're buying points that are used to reserve rooms. Think of it as an annual budget of points...you can splurge on larger villas for a shorter stay or a longer stay in a studio. Your choice.

 

[jekjones1558]

One thing we did not anticipate was the fun of treating friends and relatives to WDW vacations. We have ended up adding on points because we have so enjoyed spending time there with people we love. I guess when you get into the senior years (59 and 73), you come to value that use of financial resources more than any other purchase. Once we quit staying in studios our vacations changed completely. DVC really became our other "home." Good luck with your decision.

 

[greenban]

Disney Anna:

It is such a multifactorial decision, that the economics are often not clear.

To highlight what others have posted.

We go more often now, so we definately spend more than if we were paying for a 'Disney Vacation'. A 'Disney Vacation' would only happen every few years due to the costs. A DVC stay (for us) occurs at least 3 times per year!

We treat Family Members, (or get larger accomidations) so we are not 'maximizing value'. But we are 'maximizing enjoyment'.

Because of the extra time we spend at WDW, we research, and plan and study our options, we try many of the 'special' (and expensive) offerings found at The World.

It is definately an investment in 'us'. Our vacays are more frequent and definately more fun. Including 'intangibles like, "Welcome Home", owning a piece of Disney, sneaking 14 into a studio and reusing resort mugs. (Okay, Okay, I was kidding about the last two!).

For my family and many here at the DIS, DVC is the right choice, but never a black & white, no matter how we try to break it down.

I hope it is the right choice for you too, and that we will soon be saying, Welcome Home Neighboor!

-Tony

 

[alldiz]

Bottom Line....

If you love disney and have the money....it's WORTH it
Kerri

 

[jade1]

That really depends on when you bought. Remember that after 9/11 the market took a nosedive and didn't really recover until just last year.

If person 'A' bought DVC summer of 2001, and person 'B' left their money in the market, then today, person 'A' is way, way, way ahead.

Very true, thats when we bought VWL and BCV with cash (actually 1/2 down and 1 year of payments) and combined they are worth more today than the investment and dues paid in combined (after 10 plus wonderfull trips we would have taken anyway-except rarely Deluxe Resorts of course).

 

[byoung]

Got 19 nights in a studio with points left over last year. I have 200 points at BWV.

 

[lisaviolet]

We treat Family Members, (or get larger accomidations) so we are not 'maximizing value'. But we are 'maximizing enjoyment'.

Isn't that the truth. It is so lovely to treat people. It's been one of the best parts of DVC for us. Watching a first timer watch "Wishes" or say "I'm staying in today ....I love my suite" (it was a OKW one bedroom) It's like a whole new WDW.

 

[Disney Anna]

I am really coming to understand the treat value. For the first time in our marriage, DH and I are financially set. I think it would be great fun to treat friends and family to a DVC stay. My aunt and uncle just treated me to a trip at Saratoga Springs. I loved it; am very appreciative; and think it would be great kharma to do the same to others.

 

[rahrah]

There is an interesting discussion of the econimics in this thread:

The numbers I came up with tried to include opportunity costs and inflation. They assume that you by an annuity instead of buying the DVC. Then use the payout from the annuity and what you would have paid in maintence costs to finance your hotel stay.

If you like the stock market, then each and every point that you earn over the life of your DVC membership would be costing you just under $10. If you are more conservitive and use a simple guaranteed rate annuity, they cost about $7.

You can then use this number to determine what each stay is "costing" you, and compare that to the cost of where you would have stayed. For example, staying in a studio for 7 days at SSR for the first week in December would "cost" about $950. Staying in a 1 bedroom for the same week is $1,820.

 

[solgent]

One of my resolutions is to treat myself nicer. I seem to be able to splurge on others but have a hard time spending money on myself.

This remark resonated with me. We bought DVC as a birthday present for me for a special birthday and a reward for a big promotion. We all love it there. It makes me happy not just when we are there but every day of the year, because I know we'll be going.

 

[lisaviolet]

2) He isn't extravagant. He has not bought any large purchases of his own. (Darn him).

Oh, DisneyAnna, I had a big smile. So funny. I really was banking on the power of one big purchase!!!! Darn him! Thanks for not being offended by my personal and forward comments earlier.

I still am crossing my fingers that if money if not the issue that you can just go for it. Since you seem 100% clear that this is what you want. Tell your husband that I said that I have relaxing and lazy days at WDW down to a science. If the run, run, run is any part of the issue Ie. if it's how he perceives WDW. I bet renting some points and going down might help him see another viewpoint.

Plus, like others said there is VB and HHI and I'm sure many more in the future. Club Intrawest has a direct trade with us as well. And of course trading out in general.

Best of luck either way,

Lisa