Help me do the math?

[3DisneyNUTS]

Here is what the vacations would have cost just for accomodations
November (all on points) 1611.20 +$1300 = $2911.20 (room + cruise)

February accomodations in a studio 5 nights $1295

Upcoming Sept trip 2 bedroom and a studio for 2 nights $1944

Ok now if I add all this up (this is off the WDW website) and I assume no discounts like from the AP etc. Room only prices.... I had to estimate the cost of the cruise since I paid points and never got a quote for it.

So my total is $6150.20

How do I figure breaking even with my SSR 150 point contract bought last March. I paid 84 a point then got 200 back......My dues have to account into this correct? I have 0% financing so I don't have to factor in interest unles we want to get technical and add interest in on what I would have made on the 13K instead of spending it...but that is getting nuts no?

 

[Greysword]

Holy Crap!! How did you do all of this on 150 points?

 

[3DisneyNUTS]

borrowing LOL

Ok I will do that math for you lol.

March 2004 purchased 150
TRIP ONE
Cruise 158points (DH, me, DS) wiped out 2004 points borrowed 8
Then 59 borrowed points to stay sun,mon,tues,Wed, Thurs at SSR
cash last night @pop Friday.

TRIP TWO
Then 62 points to stay in a studio 5 nights February 2005 borrowed.

21 left for 2005

Booked for 2 nights in Sept (one being weekend YIKES!) BWV 2bedroom and 1 studio 21 points from the 2005 use year left borrowed 83 from 2006 (total of 104) have 67 points left for 2006.

We are paying for the cruise though so we have a 6 night vacation in Sept but only 2 nights points.

Since DH says there will be no trip for 2006 (he wants a break from Disney) We will either bank the remainder from 2006. I highly doubt we will not see the World in 2006 so I figure those 67 points will be used also. If we keep it to 5 nights we will be current in 2007.

 

[dizplanner]

I figure there are two ways to figure break even. One is to do as you have done and use rack rates for the rooms you booked. The other is to estimate the cost of rooms you would have done instead if you hadn't owned DVC, including discounts you would have qualified for. For example, if you hadn't owned at DVC, you would have probably stayed at AKL and there was a code out for that time (and you had planned your vacation early enough that you would have been able to take advantage of it), then use the discounted AKL rate + tax.

To calculate your DVC cost, I would use your purchase price plus annual dues. For the trips you listed, this would include 2004 dues, 2005 dues and the prorated amount of 2006 dues (you'll have to estimate these at this time).

 

[3DisneyNUTS]

I figure there are two ways to figure break even. One is to do as you have done and use rack rates for the rooms you booked. The other is to estimate the cost of rooms you would have done instead if you hadn't owned DVC, including discounts you would have qualified for. For example, if you hadn't owned at DVC, you would have probably stayed at AKL and there was a code out for that time (and you had planned your vacation early enough that you would have been able to take advantage of it), then use the discounted AKL rate + tax.

To calculate your DVC cost, I would use your purchase price plus annual dues. For the trips you listed, this would include 2004 dues, 2005 dues and the prorated amount of 2006 dues (you'll have to estimate these at this time).

Yeah that is where the problem comes in. Before finding Disboards I was code illiteriate. I found the POP Century special through the mail right before I found Dis. But other than that we payed for moderates at whatever package was available through the wdw website or through calling. We overpaid for our 1996 and 1997 vacations for sure.

Now I am more knowledgable about codes so would I figure from the codes if I would have never known about them if not for DVC? It is so confusing. I guess for me I would figure out moderate prices. Maybe around $109 a night? And the cruise at 1300 still so after tax it would be $3358. But at a lower accomodation. I would have never had the kitchenette or the 2 BR accomodations were it not for DVC. So comparing it to a moderate is not right either KWIM? So figure I keep up this pattern of vactioning it would be about 3 years and it will be paid for itself based on purchase price / room price.

Now it is hard to add in dues because for my points trading into the cruise I received more than just a "room" but meals entertainment all included. So that is where the dues get strange.

Has anyone figure out the true "worth" of a point? Aside from the rental or sale price?

 

[Lesli54]

You could take the total amout you paid for the contract including interest (although you are at 0%, so it wouldn't matter here) plus an estimate in dues that will be paid for the life of the contract. You already have the price of your dues today, so just count on some inflation over the years to get a decent estimate. Then take this "grand total" and divide by the number of years the contract is for. That should give you an estimated average per year that you are paying. Below is only an example, figures may not be accurate based on number of points you own.

Example:
Contract cost $13000
Closing cost $200
Interest $2000 (could be more or less depending on how you finance, this is only for simplicity.)
First year dues on 150pts. $600
Estimate that dues will increase 3% per year (could actually be more or less)

$13000+200+2000+67678 (50 yrs. dues) = $87878 "Grand Total"

Now divide the total by number of years the life of the contract was when you bought in. The example above assumes a 50yr contract.

87878 / 50 = 1657.56 estimated cost per year

You can further divide that by the number of points, assuming 150pt.

1657.56 / 150 = 11.05 per point


In the long run that would be what you are actually "paying per year" for trips. But you can easily use it to figure each trip regardless of banking and borrowing by using the estimate per point.

I don't think that you can compare your cost to a moderate or value that you would have stayed at if you had not bought DVC. That would be comparing apples to oranges, because there are so many amenities that you wouldn't get. IMO I think you are correct with going with the rack rates to make a comparison. You could possibly lower that rate some if you figure that there might be a discount if you paid cash for the SAME accomodations. As far as cruises, you can still figure based on cost per point, your just getting a far better value because of the meals. And of course, the above does not figure in any Perks that you take advantage of while a member.

Considering everything that you get with DVC it is a good value to buy in and you will save money in the long run. Especially when you figure that the rack rates will keep going up, giving you a greater savings in the long run.

 

[3DisneyNUTS]

Thanks that is an awesome explination THANKS

 

[sjdisneywedding]

theres a lot of ways to look at it.

We personally take the price of the room of what we would have typically stayed in. For us that means moderate resorts. In our opinion you cant factor in more per night just because you have more amenities with dvc. You have to go with what you would have spent on rooms if you didnt have dvc. We dont too crazy factoring in discounts and the such if we notice it then we put it in if not no big deal.

again though this is just us, we only want to know at the end what we would have spent for rooms vs what we did spend for rooms.

I have heard some go as far though as to figure in the savings from their AP's when figuring in their break even point. each has their own way of getting to that final number.

 

[Alexander]

I'm too lost in what you were able to do with you points! I am very impressed! Maybe I should give you my 220 points and see what you can pull together for us! Awesome use of points, however the heck you did it!

 

[3DisneyNUTS]

I'm too lost in what you were able to do with you points! I am very impressed! Maybe I should give you my 220 points and see what you can pull together for us! Awesome use of points, however the heck you did it!

No problemo...Tell me what you need and I will work up a plan LOL....Actually I did alot on the advice of other Diser's. Had I known the rental rate I would have probably rented the points out instead of paying for a cruise with points. But you live and learn LOL

 

[lcsmom]

Wow! I could never do that much with 150 pts.

But, as to break even - back before we bought, DH put every thing in a spread sheet. He took the best price we had gotten for a deluxe ($209 at BC when BCV was being built) + tax x 6 nights. Then he added the dues for the year to that figure. Then he had the spread sheet increase it by 3% for inflation every year. Then add it up year by year. After the tenth stay or year, it was more than we paid to buy DVC.

Don't know if it was truly accurate, but we bought!

 

[Luigi's Girl]

WHEW! I need an advil after reading this thread.