First RIV resale contract sold for?

[kniquy]

A point - ROFR is created to keep control, not to hold value. That it has contributed some to holding value is just part of keeping control. There are other timeshares that have ROFR and still sell for pennies.

That sustains both control and value. Nit sure I’m understand the difference

ROFR is DVC's way of keeping the price of resales high so that they will have a better argument when someone is considering buying resale vs direct. The sales people can say - for just $40-50 more per point you can have all these benefits and perks. As direct prices have increased even for the sold out resorts the resale prices are also increasing, which is why we always see the debate of buying direct vs resale. If DVC allowed prices of resales to be low (under $100pp) how could they persuade a buyer to spend almost double for a direct contract. So ROFR is for DVC's purpose to keep resale prices inflated to keep their direct prices to seem reasonable -- I guess in a way DVC'c control of the resale market ultimately benefits resale owners with a sustained value.

 

[chunks]

ROFR is DVC's way of keeping the price of resales high so that they will have a better argument when someone is considering buying resale vs direct. The sales people can say - for just $40-50 more per point you can have all these benefits and perks. As direct prices have increased even for the sold out resorts the resale prices are also increasing, which is why we always see the debate of buying direct vs resale. If DVC allowed prices of resales to be low (under $100pp) how could they persuade a buyer to spend almost double for a direct contract. So ROFR is for DVC's purpose to keep resale prices inflated to keep their direct prices to seem reasonable -- I guess in a way DVC'c control of the resale market ultimately benefits resale owners with a sustained value.

I think we are making a chicken and an egg argument here. I would characterize it as the following:

1. DVC sets price for direct sales (based on market analyses).
2. DVC decides that it wants to achieve a certain margin on its direct sales
3. DVC has a waiting list of people that want to buy direct at the direct prices
4. DVC will ROFR contracts that allow it to achieve said margin for people on the waiting list.

Thus, DVC doesnt care about "keeping the resale price up", they care about achieving a certain margin on direct sales to people on the waiting list. If the resale price for SSR went up to $120 pp, then DVC would either a) Not buy them, or b) See if they can raise the direct price to make it worthwhile to buy em. If the resale price for SSR went to $80 pp, then DVC would assess their wait list and if they had people willing to buy direct for $160 pp, they would buy them all back and sell them direct.

However, if the resale price declined to $80 pp and DVC didnt have anyone willing to buy direct, they wouldnt ROFR just to keep the price up.

 

[tguz]

The fact that Disney let it pass ROFR at $100 per point is telling in and of itself imo. The speculation has pretty much been confirmed. I wonder if that's the bottom or if the bottom is even lower? I have no desire for a RiV resale contract, even at $50-$75 a point, otherwise I might throw my hat in the ring just to see lol.

I don't own DVC but not grabbing a contract at Riv for $50/pt would be insane.

 

[thelionqueen]

I don't own DVC but not grabbing a contract at Riv for $50/pt would be insane.

I have no desire to stay at Riv, so no point in buying resale for any amount. I'd seriously consider it around $25 lol

 

[bwvBound]

I have no desire to stay at Riv, so no point in buying resale for any amount.

I'm with you up to this point and had the same "first thought" to the post you quoted.

 

[bwvBound]

I don't own DVC but not grabbing a contract at Riv for $50/pt would be insane.

Don't forget to factor in annual maintenance fees and the ongoing changes to the ownership experience. Who knows if Disney might implement a method to tie your hands behind your back for renting the ownership? They could certainly make it difficult if they so chose.

 

[tguz]

I have no desire to stay at Riv, so no point in buying resale for any amount. I'd seriously consider it around $25 lol

Even if I didn't desire to stay there, I'd try it once or twice and if I still felt the same I'd flip it because if I bought at $50/pt, I'd get my money back and then some.

 

[tguz]

Don't forget to factor in annual maintenance fees and the ongoing changes to the ownership experience. Who knows if Disney might implement a method to tie your hands behind your back for renting the ownership? They could certainly make it difficult if they so chose.

If you buy DVC you can't escape maint fees anyway. I know some are more than others. And the same answer I gave to another post....if I bought at $50/pt and Disney did do something crazy, I'd just sell it and I'd get my money back and then some.

 

[suemom2kay]

Who has the listing? I want to SEE it?

 

[tguz]

Who has the listing? I want to SEE it?

There is no listing at $50/pt......someone said they would not buy Riviera even at $50/pt and the discussion took off from there.

 

[suemom2kay]

There is no listing at $50/pt......someone said they would not buy Riviera even at $50/pt and the discussion took off from there.

I meant the listing for $170.

 

[KAT4DISNEY]

I meant the listing for $170.

That's on Fidelity.

 

[tguz]

I meant the listing for $170.

Gotcha! In that case ignore what I said. Haha.

 

[suemom2kay]

Who

That's on Fidelity.

Thanks. Didn’t see it the first time I looked there. Used the filter and I see it now. Cant imagine paying only $18 less per point for resale, especially with the RESTRICTions! It will be interesting to see what it actually sells for.

 

[Madame]

I don't own DVC but not grabbing a contract at Riv for $50/pt would be insane.

Why? The points chart is high as are the dues. Why pay anything in that instance if the resort doesn’t appeal to you at all and you’d be stuck there as long as you own the contract? Better off with SSR. Lower chart, fees, & you can trade out.

 

[tguz]

Why? The points chart is high as are the dues. Why pay anything in that instance if the resort doesn’t appeal to you at all and you’d be stuck there as long as you own the contract? Better off with SSR. Lower chart, fees, & you can trade out.

For one, after trying it, you might like it. And if you didn't you could easily get your money back out of it since you bought so cheaply. An analogy......in 2017 and 2018 I refused to eat at the Tangerine Cafe fearing I would hate it.....I gave in 2 weeks ago and I loved it and we ate there a second time.

 

[Madame]

For one, after trying it, you might like it. And if you didn't you could easily get your money back out of it since you bought so cheaply. An analogy......in 2017 and 2018 I refused to eat at the Tangerine Cafe fearing I would hate it.....I gave in 2 weeks ago and I loved it and we ate there a second time.

It’s thousands of dollars and 50 years. Better be sure you want to eat there all the time...

 

[tguz]

It’s thousands of dollars and 50 years. Better be sure you want to eat there all the time...

Not at all...as stated, buying it so cheaply would allow a person to try it and sell it if they don't like it or are tired of it and still get every penny back out of it and more.

 

[bwvBound]

Not at all...as stated, buying it so cheaply would allow a person to try it and sell it if they don't like it or are tired of it and still get every penny back out of it and more.

You are assuming others are willing to pay $50pp. ;-)

 

[Madame]

Not at all...as stated, buying it so cheaply would allow a person to try it and sell it if they don't like it or are tired of it and still get every penny back out of it and more.

If you say so. But even at $50, the points chart makes it thousands still.