Have prices shot up?

[Jobelly]

Was looking at purchasing SS this time last year but didn't, now 3rd child later (the reason for not purchasing!) I have started to look and the prices are way higher. Last year SS was $50+ now it's $70+ what has happened in a year? So wish I'd gone for it last year.
Does anyone think prices will come down or is it all to do with economic recovery and they're likely to keep going up?

 

[a742246]

Prices went up on resale for several reasons these past 12 months:

Less distressed sellers,
Economic recovery,
Disney raising prices on direct sales,
Disney ROFR contracts.

Eventually prices will come down, the question will be when.

 

[nalajms]

Eventually prices will come down, the question will be when.

I think prices have already started to fall. The question is whether it's a slow decline or quick drop. Most likely a slow decline. I don't seen anything in the horizon to cause a quick drop in prices.

If you compare prices just a few months ago to now, you'll see listing prices lower and "stripped" contracts listed at a more reasonable price per point now. The number of contracts has increased and so has the time for contracts to sell.

Be forewarned, there are still a lot of buyers. The good contracts will end up in a bidding war, and likely to sell above their listing price. Good luck!

 

[chrisaman]

We are waiting to add on for when the next economic crash occurs. People in financial trouble will be dumping contracts. Recessions are when the rich get richer and the poor get poorer. Prepare for the impending doom

 

[drusba]

Sounds like Michael Lombardi, who constantly predicts economic doom and gloom (are we now on Critical Warning number one million?) and then when it happens after predicting it for years, claims he was right and can accurately predict a crash. It does not actually take an economic crisis for prices to fall or rise. It is common even during good times for real estate prices to rise to a level where they impact demand and then fall back to recapture that demand. DVC prices went up quickly over a short period of time starting over a year ago and have now actually come down some from highs reached last year.

 

[McCrae]

Prices went up on resale for several reasons these past 12 months:

Less distressed sellers,
Economic recovery,
Disney raising prices on direct sales,
Disney ROFR contracts.

Eventually prices will come down, the question will be when.

Not so sure about this.... The longer term trend has been for prices to go up.

 

[Msmithmd]

Not so sure about this.... The longer term trend has been for prices to go up.

I think it's a pretty safe conclusion that several resorts will be worth a whole lot less by 2041...

The only question is what the market swings between now and then will be. But there is absolute certainty that the prices will drop as the RTU nears expiration.

 

[Stoneham92]

I think it's a pretty safe conclusion that several resorts will be worth a whole lot less by 2041... The only question is what the market swings between now and then will be. But there is absolute certainty that the prices will drop as the RTU nears expiration.

So what happens to these resorts in 2041 does Disney start all over with Dvc memberships?

 

[chalee94]

So what happens to these resorts in 2041 does Disney start all over with Dvc memberships?

on Feb 1, 2042, all property rights for several resorts go back fully to disney.

if disney wants to gut BCV and add more hotel rooms to BC, they can do that. if they want to sell the HHI resort to hilton hotels, they can do that.

as for me, disney will own my portion of OKW and i will not owe them any more annual dues.

 

[Lorilais_mommie]

So what happens to these resorts in 2041 does Disney start all over with Dvc memberships?

I think it will depend of if BCV are still in demand..

If other DVC member at other resorts use a lot of their points there, they may do a major refurb.. And start reselling it..
I could see this happening at BCV or boardwalk since this two resorts always sell out for food & wine..

 

[dundey]

At this point there is NO way to predict what will happen as those initial resorts come closer to the end of their RTU. There is no precedent. And of course we're still 28 years away from that happening. It will be a LONG time before we see any significant drop in pricing due to RTU. Mine expires in 2060, so am not even thinking about that one!

 

[nabi]

There's one precedent, don't sell extensions at $15pp with over 30 years left on a contract. I know it's not the precedent you were speaking of, but I'm still amazed at this one.