Financing a resale

[BKelly]

I did just go look at our Chase/Disney account to be sure... 5.24% APR for purchases (19.24% for cash advances). We have had the card for many years (8?), maybe that has something to do with it.

Anyway, thank you for your thoughts. Yes, I am clear about UY and what comes with. In looking at current available contracts, I am able to rule out what I definitely would not want by UY. Like I said, in the years that I have been using my parents (over ten), we have never had a problem booking a few months out, usually at BWV, once at SSR. Maybe I have just been lucky, but we have never had an issue. I prefer BWV but have no problem staying at SSR, as long as I can ride The Haunted Mansion, either is fine!

Edited to say: 100 points that you have, that would be very manageable, but I feel like I need more, with two teenage daughters. Two bedrooms (or two studios) have always been best. Have you ever wished you had more points for more space, or been tempted to buy more?

I I wasn't saying that you didn't know . Just make sure you know how the UY effects things , how and when you need to bank borrow , what happens in the last 4 months of your UY . A good understanding of the home resort advantage , and avalibilty . You say 11 months is not going to work is booking at 7 months going to work , cause at 6 months things get really hard to book . I am only mentioning these things cause using your parents points you most likely didn't have to deal with all that , just book when you wanted .

It's also not easy to book 2 studios next to espadrilles other in most resorts .

 

[michelleiada]

We own 250 at BCV and purchased in 2012. When we purchased the contract via resale, it was loaded with almost 3 years of points. Here we are just over two years later and I already want to double my points. Once you buy...you very quickly get addonitis! So....I am currently saving so that I can again pay cash for another contract. I am hoping to purchase another 250 at AKV within the next year or so. In my opinion, DVC points are sort of like money, you never have enough. You can start small but most likely you will want more, especially if you prefer the larger accommodations with the kids. Good luck. Resale is absolutely a huge savings.

 

[BKelly]

We own 250 at BCV and purchased in 2012. When we purchased the contract via resale, it was loaded with almost 3 years of points. Here we are just over two years later and I already want to double my points. Once you buy...you very quickly get addonitis! So....I am currently saving so that I can again pay cash for another contract. I am hoping to purchase another 250 at AKV within the next year or so. In my opinion, DVC points are sort of like money, you never have enough. You can start small but most likely you will want more, especially if you prefer the larger accommodations with the kids. Good luck. Resale is absolutely a huge savings.

Hi! WOW- 500 points in total! That's great! My parents also 'suffered' from 'addonitis', they started with 150 at BWV years and years ago (at that time, Disney used what my parents paid to stay at Caribbean Beach as their down payment) and then added on later with SSR for a total of 386.

I would LOVE to have a nice bunch of points for our next couple of vacations with the girls (when mine is 16 and then maybe again at 18) and then after that, it will probably be my husband and I for most trips I can't even stand to think about my little baby not being my little Disney baby anymore! So, maybe starting small, finding a contract with 2014 and 2015 points and then using 2016/2017 later on for nice spacious rooms.

All this excitement over a DVC so that I can squeeze more vacations in with my not-so-little little one... ugh, it makes me so sad that those moments are almost gone...!!

 

[BKelly]

Just a comment on the Disney card - the interest rate is not 5%. It's around 13%.

I had to pull it and check because of all the questions. Ours is definitely 5.24% on purchases and 19.24% on cash advances, through Chase.

 

[mom2AidanAndEli]

I had to pull it and check because of all the questions. Ours is definitely 5.24% on purchases and 19.24% on cash advances, through Chase.

Are you sure it will stay at 5.24% if you carry a balance on it? Often the great rates are if you pay it off each month. Once you let a balance slide, it will jump way up! Need to read all the fine print!

 

[supersnoop]

Are you sure it will stay at 5.24% if you carry a balance on it? Often the great rates are if you pay it off each month. Once you let a balance slide, it will jump way up! Need to read all the fine print!

It can only jump up of you miss a payment. If they try to raise the rate in the interim, you have the option to discontinue use of the card and continue to pay any outstanding balance under the original terms.

 

[BKelly]

Are you sure it will stay at 5.24% if you carry a balance on it? Often the great rates are if you pay it off each month. Once you let a balance slide, it will jump way up! Need to read all the fine print!

Yes, I am sure- my husband was correct. And I know this as we have had balances in the past, it's never gone up.

 

[BKelly]

It can only jump up of you miss a payment. If they try to raise the rate in the interim, you have the option to discontinue use of the card and continue to pay any outstanding balance under the original terms.

This is probably true, and something that we have not done. We are very good Chase customers...

 

[BestDadEver]

I did just go look at our Chase/Disney account to be sure... 5.24% APR for purchases (19.24% for cash advances). We have had the card for many years (8?), maybe that has something to do with it.

Anyway, thank you for your thoughts. Yes, I am clear about UY and what comes with. In looking at current available contracts, I am able to rule out what I definitely would not want by UY. Like I said, in the years that I have been using my parents (over ten), we have never had a problem booking a few months out, usually at BWV, once at SSR. Maybe I have just been lucky, but we have never had an issue. I prefer BWV but have no problem staying at SSR, as long as I can ride The Haunted Mansion, either is fine!

Edited to say: 100 points that you have, that would be very manageable, but I feel like I need more, with two teenage daughters. Two bedrooms (or two studios) have always been best. Have you ever wished you had more points for more space, or been tempted to buy more?

I had thoughts of adding on . But really I only get one week vacation more points don't really work for me , plus I like going other places so every other year just works for us . I am actually glad I only have 100 . I stayed in 1br the one and only trip so far in value 1br in AKV . I realy like it not sure I want a studio so we started thinking the every 2 years would work best since this year we didn't go cause my newborn son .

My plan if I ever need to have more points for say a big trip would be to transfer in points from an existing member , for around $11pp this works for me cause I am only going 1 time per year .

If I were in your situation and wanted two bedrooms I'd get more points . If you plan on going every year for a week in a 2 br get that many points , I am not up on the point charts for 2br but probably 225-250 I am guessing . But if you only have a few years with the kids left maybe take that into consideration .

 

[Belle & Ariel]

We bought our first contract of 150 points and financed with our home equity line. It is under 3% interest. We did not follow the save till you can pay cash because we spend a lot on vacations--at that time we spent on cruising in a year what our resale cost. We paid off the HELOC in less than a year.
Like OP, we have only mortgage debt. I disagree financing DVC leads to bad choices. It might for some, but not everyone.
I will say as far as home resort, our first contract was Boardwalk. I loved it and thought I only wanted to stay there. A few years later we stayed at Animal Kingdom and love love love it. We have stayed there a lot the last few years and are staying at BW soon and will surely visit AK. I think home resort is important, but your interests will change over time. Those who "need" the monorail resorts to take little ones back for naps or the ease of loading a stroller will not have those same needs in 10 years. The preteen parents who love Beach Club's Stormalong Bay will feel overrun by kids in time. Buying theme and atmosphere can be more important than kids' ages.
If you truly do not care where you stay, go for cheap.
And another point--I think 250 points is a lot for your family's ages. Too soon your kids will not want to go to Disney. Then they will have jobs and college and cannot go with you. You will have too many points for a while. Then they will marry and have kids and will love you treating them to a great resort and you will need more points.
The circle of life LOL. Buy about 150 now and add on at the resort you really love in 5 or 10 years if you need more.

 

[mcap2004]

I think home resort is important, but your interests will change over time. Those who "need" the monorail resorts to take little ones back for naps or the ease of loading a stroller will not have those same needs in 10 years. The preteen parents who love Beach Club's Stormalong Bay will feel overrun by kids in time. Buying theme and atmosphere can be more important than kids' ages.

I hadn't thought about it that way. A lot of ppl recommended BLT because of the close proximity to MK. My kids are 3 and 8 and I had thought about buying BLT. But like you said...after the kids are out of the house, I really don't think I want to be vacationing with my DH at a place overrun by kids.

 

[mcap2004]

If you truly do not care where you stay, go for cheap.

This too is true. I love the whole Disney experience and we usually only travel in the summer season so dvc members aren't using points as much since its more points so it shouldn't (hopefully) be a problem booking at the 7 month window.

 

[mcap2004]

And another point--I think 250 points is a lot for your family's ages. Too soon your kids will not want to go to Disney. Then they will have jobs and college and cannot go with you. You will have too many points for a while.

We are a family of 4. My DH, myself, and 2 boys. Since we only travel during peak season because of school schedules and I know during summer months, more of our points get used. do you think 200 points would suffice? We are first timers and looking into DVC.

 

[Deb & Bill]

We are a family of 4. My DH, myself, and 2 boys. Since we only travel during peak season because of school schedules and I know during summer months, more of our points get used. do you think 200 points would suffice? We are first timers and looking into DVC.

DVC reallocates points occasionally, but for the most part, they are relatively constant. Check the DVC points charts and see how many points you will need to get the vacations that you want to take. Add up the number of nights you will need, for the season you think you will go most often, round the number up a bit to account for changes or added days and use that as the number you need.

 

[jmassey1samchi]

if you think you could pay off your dvc purchase in 18 months, you could use access checks from your Disney visa card. A few times a year or so, they run promotional access checks that you can write against your credit card. They normally come with a 12 or 18 month 0% apr. It works just like any other check, you could write it out to yourself and deposit it into your checking account, and use that to pay for your dvc. You would have to have an available balance equal to what you are purchasing the dvc for (minus any amount you are paying in down-payment), If you do, this is a great 0% finance option.
Jeremy

 

[jmassey1samchi]

just wanted to mention something to which I am in the same boat. If financing the dvc purchase gets you ownership faster than saving and paying cash than go for it. I also have growing children, and if financing allows you to enjoy a vacation with them sooner than the cash route, then that may be what brings you the most happiness, and you should finance! Time is so precious when our kids are growing, and the more time you can spend with them now the better!
Jeremy

 

[mcap2004]

just wanted to mention something to which I am in the same boat. If financing the dvc purchase gets you ownership faster than saving and paying cash than go for it. I also have growing children, and if financing allows you to enjoy a vacation with them sooner than the cash route, then that may be what brings you the most happiness, and you should finance! Time is so precious when our kids are growing, and the more time you can spend with them now the better!
Jeremy

I couldn't agree more. You hit the nail right on the head. Some ppl don't recommend financing but you do as you please with your money. We are looking into DVC and financing is our only option because it will take a while to save; however, we will more than likely finance with our credit union than with who the Timeshare Store offers because my CU offers better interest rates.

 

[BKelly]

just wanted to mention something to which I am in the same boat. If financing the dvc purchase gets you ownership faster than saving and paying cash than go for it. I also have growing children, and if financing allows you to enjoy a vacation with them sooner than the cash route, then that may be what brings you the most happiness, and you should finance! Time is so precious when our kids are growing, and the more time you can spend with them now the better!
Jeremy

Jeremy, thank you for your posts- so nice to hear from someone who can identify. I wasn't aware of the checks option, I will have to look into that. With a 5.24% APR, clearly we are decent customers and maybe they will help us out... ! I appreciate the suggestions.

Time is fleeting and it is so very bittersweet. I actually had to have my husband and daughter convince me to take my honeymoon with only my husband and not cancel Aulani to instead take a family trip back to WDW. We have so many memories there...
I am glad that we went to Aulani, but it made us realize how much we enjoy WDW with the kids and how little time we have left to enjoy them as 'kids'.

 

[Silligoose]

The 0% checks would be nice as a short term influx of cash to bridge savings. If I were in your shoes, I'd start looking for the perfect contract while you save. Sounds like your credit is very good so one of the shorter term, lower interest options should be well within your reach if the right contract becomes available.

And life is too short and too unpredictable - if you know this will bring you joy and you're comfortable with any short term risk, go for it. Having just closed ourselves, I have a silly grin most days knowing all the fun times we have ahead of us.