Help needed with offer price

[Princess Michele]

We have thought about buying DVC for a while but the time was not right until recently. I have been checking resale listings and threads here for information on current pricing. We are interested in purchasing at BCV and looking for 75-120 points. I just saw a listing for 125 points but I was thinking that the price was a little high. According to the ROFR thread there have been similar contracts in the past months for $130/pt. and one which passed on 5/1 for $125/pt for 100 points. Fidelity has several listings with asking prices of $130 which have sale pending but I do not know what the final price was. Would it be unreasonable to offer $125/pt. with the hope that the seller would accept or counter offer and hopefully settle around $130? Or would it be better to just offer $130 and if the seller refuses to lower their price enough just wait for another contract to become available? I am not very good when it comes to negotiating and hate buying cars. I do not want to make an offer that is too low and the seller is offended nor do I want it to be too low and Disney takes it. Any help is appreciated. Thank you.

 

[Jerry5788]

What is the list price you didn’t say? I would just offer $125 worst they can say is no

 

[The Jackal]

The only risk you run by offering less money is someone offering more than you do. If you offer $125. I don’t think they will be offended. The usually will counter, but you can’t waste too much time. Seems DVC contracts fly off the market faster than the post them. Good luck.

 

[Henwen88]

Offer price is also contingent on the number of banked, current, and future years points that are available. So one stripped BCV would theoretically go for significantly less than a loaded one (the degree of significance seems to vary between resorts). I can tell you that I own a small (100 pt) BCV, and in this market I would personally not even respond to an offer of $125. It will sell, most likely close to list price (as long as that number is reasonable). How much were they asking and how many points are included?

 

[Bing Showei]

I would worry less on what the seller would “feel” and focus more on what you can afford and want to pay.

If you find you misjudged the market and need to adjust your expectations, do that. But really, your starting place should be based upon your needs and the research you do on these boards around offer prices.

A good thread to read:
What Do You Consider a "Low Ball" Offer?

 

[Princess Michele]

Thank you for all of your replies. I was trying not to give too much away in my post so another reader would not find it and make an offer first. The list price is $141 and there are 19 banked points from 2018 which will be available in March with all of the 2019 points. I realize that contracts are not staying around long for some properties so I did not want to risk taking too long to deal with counter offers and someone else come in and offer the asking price.

 

[Jerry5788]

K

Thank you for all of your replies. I was trying not to give too much away in my post so another reader would not find it and make an offer first. The list price is $141 and there are 19 banked points from 2018 which will be available in March with all of the 2019 points. I realize that contracts are not staying around long for some properties so I did not want to risk taking too long to deal with counter offers and someone else come in and offer the asking price.

This is a stripped contract I would not pay about $130 for this. But that’s just my opinion

 

[Bing Showei]

Thank you for all of your replies. I was trying not to give too much away in my post so another reader would not find it and make an offer first. The list price is $141 and there are 19 banked points from 2018 which will be available in March with all of the 2019 points. I realize that contracts are not staying around long for some properties so I did not want to risk taking too long to deal with counter offers and someone else come in and offer the asking price.

Something to keep in mind, and it’s easier said from the outside than when you’re in the heat of a hunt, but if you are just starting your search, more likely than not, that PERFECT contract that you’re worried about getting away probably isn’t as perfect as it feels.

Contracts are like buses. You miss one, no big deal, another will come along in five minutes (yes, I stole this analogy from what is often used to describe men after a break-up). The further you can distance yourself from the emotion of buying in, the sooner you’ll see there can be a lot of deals to be had.

 

[LaneOT]

I agree with the idea of paying what your comfortable with. We have seen a lot of SSR contracts at higher than average pricing, probably because Disney tends to rofr SSR a lot. When we started looking at contracts I knew my highest for SSR would be $100 pp. Figured after I did a lot fo research on rofr trends that it would pass. (still waiting to hear if we have passed... Finger crossed!) We saw an ssr contract for $109, we offered $100 and they accepted right away. Can't complain

 

[Ruca]

So here is some interesting News, please feel free to add, confirm, or comment.

I just added 150 BLT points to my "portfolio" - Disney has stated utilizing the "right to refusal" clause in all of our DVC contracts. If disney sees a deal that is too good they will buy it up and add it to their resale inventory. Perks of buying thru the mouse resale is that you get all the transfer perks of DVC ownership - i.e. cruise and excursions. if you want the details just PM me and we can talk over the phone or text / pm. I just did went thru it, litteraly

 

[Princess Michele]

K


This is a stripped contract I would not pay about $130 for this. But that’s just my opinion

Thank you for your opinon on the price. $130 was my limit so I thought asking a little lower would give the seller room to make a counter offer and try to end at my limit. We paid too much when we purchased our first house, very green, and I am still very leery when it comes to negotiating. I made an offer so we will see what happens. If it is meant to be then it will happen otherwise we will look for another contract.

 

[Princess Michele]

Something to keep in mind, and it’s easier said from the outside than when you’re in the heat of a hunt, but if you are just starting your search, more likely than not, that PERFECT contract that you’re worried about getting away probably isn’t as perfect as it feels.

Contracts are like buses. You miss one, no big deal, another will come along in five minutes (yes, I stole this analogy from what is often used to describe men after a break-up). The further you can distance yourself from the emotion of buying in, the sooner you’ll see there can be a lot of deals to be had.

Yes you are very correct that there will always be another one to come along. I am sure there will be other contracts it is just a quesstion on when they will appear. I would really like to purchase before the end of this year as I am afraid of what prices may look like next year after seeing the price increases this year. I am wishing we could have purchased in 1999 when we looked at DVC the first time but at that time the money was just not there. I always feel like I have just missed the bus in everything I do in life.

 

[Bing Showei]

So here is some interesting News, please feel free to add, confirm, or comment.

I just added 150 BLT points to my "portfolio" - Disney has stated utilizing the "right to refusal" clause in all of our DVC contracts. If disney sees a deal that is too good they will buy it up and add it to their resale inventory. Perks of buying thru the mouse resale is that you get all the transfer perks of DVC ownership - i.e. cruise and excursions. if you want the details just PM me and we can talk over the phone or text / pm. I just did went thru it, litteraly

What you’re describing is buying direct. “Resale” is a term reserved specifically to points purchased on the secondary market. Anything purchased from the Mouse is considered retail or “direct.”

The mouse doesn’t catch everything. Another user (Mumof4mice) recently snuck through a contract that had no earthly place passing ROFR. Significant savings can be had on the resale market, and the Mouse can’t buy everything back; may not even see the same value you do in a contract.

 

[Marionnette]

So here is some interesting News, please feel free to add, confirm, or comment.

I just added 150 BLT points to my "portfolio" - Disney has stated utilizing the "right to refusal" clause in all of our DVC contracts. If disney sees a deal that is too good they will buy it up and add it to their resale inventory. Perks of buying thru the mouse resale is that you get all the transfer perks of DVC ownership - i.e. cruise and excursions. if you want the details just PM me and we can talk over the phone or text / pm. I just did went thru it, litteraly

Disney has always had ROFR but their choice to exercise it is based upon their needs at the time that the sale is brought to their attention. Certainly, it helps to keep resale prices artificially high. However, they don't tend to exercise ROFR on sales that are reasonably priced nor for those for which they have no immediate need. (i.e. no one on a wait list for that resort). A while back they were ROFRing AKV contracts right and left, especially certain UYs. Now, they appear to have enough AKV points that they have relaxed a bit.

As for the perks, well everyone places a different value on them. IMO, the resale prices are so much lower than the direct prices that it would take an awful lot of perks to make it worth the price difference.

 

[Ruca]

thanks for your comments. very insightful

 

[Dean]

So here is some interesting News, please feel free to add, confirm, or comment.

I just added 150 BLT points to my "portfolio" - Disney has stated utilizing the "right to refusal" clause in all of our DVC contracts. If disney sees a deal that is too good they will buy it up and add it to their resale inventory. Perks of buying thru the mouse resale is that you get all the transfer perks of DVC ownership - i.e. cruise and excursions. if you want the details just PM me and we can talk over the phone or text / pm. I just did went thru it, litteraly

Don't be conned into thinking that DVC's ROFR adds any value to your ownership. It really doesn't and the spread between true resale and retail can be quite substantial. Financially speaking it's rare that a new buyer will get sufficient benefit from the perks to be reasonable on a financial basis.

 

[Mumof4mice]

Thank you for all of your replies. I was trying not to give too much away in my post so another reader would not find it and make an offer first. The list price is $141 and there are 19 banked points from 2018 which will be available in March with all of the 2019 points. I realize that contracts are not staying around long for some properties so I did not want to risk taking too long to deal with counter offers and someone else come in and offer the asking price.

In my brief experience shopping DVC contracts, even though it's a seller's market, normal real estate buying rules still apply. Never feel bad about low balling. People will sell for all sorts of reasons, financial/family trouble, divorce, upgrading to bigger contracts/favourite resorts or they could be simply bored with DVC and have too much money to care to wait a week. If you happen to be there to buy their contract, then you've done them a favour (facilitating the offloading) and scored yourself a deal. If you have a very specific set of requirements: resort, use year, number of points, then perhaps paying a little more is worth the time savings. But if you're willing to be flexible it's completely possible to obtain a good deal in any market. If your offer was accepted, congratulations. If not, I think you should stick with what your ideal price is, make lots of offers, and see what you catch. You should be able to do better than $130pp for a stripped BCV contract.

Yes you are very correct that there will always be another one to come along. I am sure there will be other contracts it is just a quesstion on when they will appear. I would really like to purchase before the end of this year as I am afraid of what prices may look like next year after seeing the price increases this year. I am wishing we could have purchased in 1999 when we looked at DVC the first time but at that time the money was just not there. I always feel like I have just missed the bus in everything I do in life.

It feels like everything takes a long time when you are excited about going to Disney. I can completely relate to that! I had to be reminded by members here to stay calm, remove time pressure and treat it as a standard business transaction which helped tremendously.

Here's another quote for you: "The deal of the century comes every month" - from the richest person I know. Good luck!

 

[Kaufeegurl]

We have *just* gone through the process of purchasing BCV and signed a contract on 8/7. BCV contracts are hot and go very quickly. The point contract you are looking for is very popular and there is a lot of competition. We found that many contracts never hit the websites, or are sold within minutes/hours of hitting the website. Fidelity has the most competitively priced contracts and most go quickly at full asking. It will be very difficult to purchase a contract under $130 - we made five offers (4 full price) before we had an offer accepted. We purchased a contract that was larger than our original plan as the over 200 point contracts don't sell quite as quickly but it met our use year needs and that particular use year (august) is hard to find for BCV. It sounds like BCV is what you really want to own and I think you should find a contract that fits your needs and make a strong offer. In the scheme of the larger purchase price a few extra dollars per point doesn't make a big difference in the bottom line.

 

[Princess Michele]

Well I guess this contract was not meant to be for us. The sellers refused the offer and want to wait for their asking price of $141/point. I guess it is back to stalking the resale websites. Thank you everyone for all of your advice and words of wisdom.

 

[1911]

Well I guess this contract was not meant to be for us. The sellers refused the offer and want to wait for their asking price of $141/point. I guess it is back to stalking the resale websites. Thank you everyone for all of your advice and words of wisdom.

...thats Ok there will be more come to market. one advantage of being a buyer is you don't have to buy.this should be a discretionary income purchase and as such you have the advantage of picking and choosing the price you are willing to pay. sooner or later you will find the deal you are after.