HELP...Should we cancel?

[DisneyDreamMaker]

Hi everyone,

I need some advice from experienced DVC members. We just got back from Disney World and while we were there we purchased a SSR DVC. Now I am contemplating cancelling it. Before our trip I knew little about DVC, my son was pin trading with a CM who roped us into going on an open house at DVC on our last day there. DH & I were hesitant and cancelled the first tour but decided to reschedule it later because it peaked our interest. After 3 hours with our guide we left with 100 pts at SSr at $99/pt. Dh felt we should get more pts but I felt we couldnt afford it, we will be financing atleast half of the cost. I think the only reason we bought it on the spot was because it seemed like such a steal at the time.

As soon as I got home I started researching DVC and found much cheaper resales and now I feel I should cancel the points through Disney and do resale. Our guide was helpful but afterall a salesman doing his job and told us we would have buyers remorse but we would get past it. For this reason alone I feel we should cancel and do much more research before jumping in. We both feel it is a great investment b/c our kids are ages 3 and 5 and we plan to visit Disney every year or two. But I can't help but think we have could save money doing resale and get more points also.

Any suggestions would be very helpful!
TIA
Melissa

 

[disneydenisel]

Hi Melissa,

Definitely follow your instinct and cancel the purchase (assuming you are in the cancellation period) so that you can do more research. Your guide may be able to sell you the points at a later date if you choose to buy direct, or he/she may be able to sell you points at a different resort. You aren't closing the door on buying, just taking a step back to understand it all. Makes total sense to me!

It's great that you are interested in DVC (we love ours ) and so when you are ready, you will figure out what is good for your family. Many will say to not finance and to pay cash, and maybe this is something you can do if you buy resale. Note that resale purchases can't be used to book cruises and non-DVC properties, but many will say it's better to pay cash for those options anyhow.

Good luck ! There is a wealth of information here about all the ins and outs of being a member, buying direct, buying resale, etc. Lots of fun reading ahead !

 

[EWL]

I agree with Denise-- if you are not 100% comfortable with your decision, cancel it, step back, crunch some numbers (especially if you do not have the cash saved up-- IMHO financing is not a great idea and you could for instance start instead with a smaller resale contract that you can afford now and add on later), read everything on these boards, and then revisit whether it's what you really want. Also realize that the upfront cost is only one piece-- you will have substantial annual dues over the life of the contract that you need to understand too. Don't rush into it-- it will still be there when you are ready. We just bought resale ourselves after a ton of research and help from the many many knowledgeable folks on these boards, so ask questions and learn all you can! Best of luck!

 

[DisneyDreamMaker]

Thankyou Denise for your quick response! I understand we cant use the points for certain exchanges but prob wouldn't do that anyhow which is pushing me in the direction of resale. I'm definitely going to cancel for now and think some more before we buy in.

The only thing that makes me scared about resale is that Disney can change the rules at anytime. My fear is they may oneday say resale can only book at their home resort and that would put a damper on our future plans!

Thanks again

 

[erionm]

The only thing that makes me scared about resale is that Disney can change the rules at anytime. My fear is they may oneday say resale can only book at their home resort and that would put a damper on our future plans!

Thanks again

Even if you purchased direct from Disney, the only thing you are guaranteed is the opportunity to make a reservation at your home resort based on availability. I don't see them ever placing the restriction on home resort only. In my opinion, that would devalue the program more so than any other changes they have or could make.

 

[ilikedvc]

If you are having seconds thoughts cancel. DVC isn't going anywhere. If you cahnge your mine you can do it again

 

[Kidanifan08]

The only thing that makes me scared about resale is that Disney can change the rules at anytime. My fear is they may oneday say resale can only book at their home resort and that would put a damper on our future plans!

This notion has come up in other threads (and in my head too, as a pending resale purchaser post-3/20). The prevailing thought is that any future changes to the status and rights of owners of resale points would have to come with fair warning. Any new restrictions would not be applied retroactively, but rather going forward from the point that the institute the change. I think it is unlikely that they would retroactively apply new rules.

 

[DisneyDreamMaker]

Thank you for your help! I agree if we could get a better deal resale than we could afford it better without financing. I understand the dues are significant and they will likely increase over time so we should only buy the points we need!

Any specific sites I should monitor to keep up to date on resale offers?

Thanks again
Melissa

 

[EWL]

Any specific sites I should monitor to keep up to date on resale offers?

I heartily recommend the Timeshare Store, sponsor of these boards (link at the top)-- we had a great experience working with them. There is also a ROFR thread on these boards that will give you a sense of what offers are passing.

 

[disneydenisel]

Thankyou Denise for your quick response! I understand we cant use the points for certain exchanges but prob wouldn't do that anyhow which is pushing me in the direction of resale. I'm definitely going to cancel for now and think some more before we buy in.

The only thing that makes me scared about resale is that Disney can change the rules at anytime. My fear is they may oneday say resale can only book at their home resort and that would put a damper on our future plans!

Thanks again

Hi Melissa,

Luckily, you already knew what to do and just needed a little reassurance from the boards! Now you can relax and remember your great vacation. Then you can think about where you would want to stay, and when, etc.

I believe in owning where you want to go, though many others are great at booking 7 months out. If anything ever changed down the road, I know that I could always come home to my home resorts , and that suits me fine. Is there a certain resort where you want to stay more often than others? If so, I would recommend focusing on buying at that resort (resale for savings). If you could only plan 7 months out and would be happy anywhere, then buy at a resort with a price you can afford, with reasonable annual dues, and know that you could stay there all the time.

I've seen some great contracts that are tempting to me, but I have to keep remembering to buy where I want to go. But that's just me .

 

[robinb]

I agree with the others and think you should cancel if you are not 100% comfortable with buying DVC at the time at that price. I have purchased 2 contracts and sold one through The Timeshare Store and I recommend them. Just a glance at their prices would have you saving about 1/3rd off Disney's prices. FWIW, we have owned DVC since 1997 and we have only traded out of the DVC resorts ONCE and that was because our contract included some points we could not bank and had to be used before were were planning to go to WDW next. We spent 2 nights at the Whitehall in Chicago. I have no interest in using my points for a cruise (too expensive) and the two times I tried to trade with RCI/II there was no availability for what/when I wanted. Personally, the new rules would not effect me in the least if I were buying a resale today.

 

[disneynutz]

Thank you for your help! I agree if we could get a better deal resale than we could afford it better without financing. I understand the dues are significant and they will likely increase over time so we should only buy the points we need!

Any specific sites I should monitor to keep up to date on resale offers?

Thanks again
Melissa

I suggest that you spend a lot of time reading everything you can about the program before you start searching resale contracts. If money is tight, you need to consider the fact that you are committing to an expensive Disney vacation every 1 or 2 years. For us, 2 adults, we spend about $1500 every trip for food, admission, travel, and incidental expenses. That's in addition to the DVC purchase cost and yearly dues.

The reason that I bring this up is that there are a lot of members who purchased and then sold DVC contracts because they didn't realize how expensive Disney would be.

If you already vacation at WDW every year and you are staying in the deluxe resorts, then the DVC can save you some money.

Bill

 

[TisBit]

I agree you should probably cancel and do a lot of research. Really understand the "buy where you want to stay" concept and also look into the restrictions on resale points.

While the restrictions might not be important today, they might be one day. I would keep in mind that DVC does change over time (especially perks, options, etc) and really you only get what the option to stay at DVC resorts in WDW, especially with the resales.

I will never say that buying direct is not the way to go, there are reasons to do it, but you need ot be comfortable knowing what you are getting. At the time we purchased, the price between resale and direct weren't nearly as much so direct was ok with us. Also, the cost of maintenance fees will be much more than the initial buy in over the life of the contract, so in the end what might see like a lot now, doesn't look like much in the grand scheme of things. With that being said, while you might be able to afford more points by going resale, can you afford the maintenance fees every year on more points.

 

[sweetdana]

I agree cancel. Pay cash (re-sale) for what you can afford 1st. If you do not get say the 100 points you are looking for, just plan to adding on later. You can always do a small 25 point add on there direct if you need to finance some of it. It is difficult to finance re-sale contracts though. But cash as much as you can resale. ESPECIALLY true for SSR.

 

[DisneyDreamMaker]

Thanks for all the help!! I spoke to DH and we are gonna fax them tmrw to cancel. I have already started some hefty research and will keep my on the resales to get an idea of what they are going for so I have an idea of what we will need to spend.

I hope you understand this means you will see me everyday on here asking you some annoying questions!!

After all you guys are the experts , to be honest I learned more about DVC & Disney from reading posts on these boards than I did from the actual sales people or workers.

Thanks again
Melissa

 

[Deb & Bill]

If you have any hesitation at all, cancel the purchase.

 

[BLTtinkerbell]

Thanks for all the help!! I spoke to DH and we are gonna fax them tmrw to cancel. I have already started some hefty research and will keep my on the resales to get an idea of what they are going for so I have an idea of what we will need to spend.

I hope you understand this means you will see me everyday on here asking you some annoying questions!!

After all you guys are the experts , to be honest I learned more about DVC & Disney from reading posts on these boards than I did from the actual sales people or workers.

Thanks again
Melissa

Hi Melissa,

You are doing the right thing. It is a huge amount of money and you need to be happy w/your choice. My DH & I thought about DVC for years. WAY too long, but we needed to be sure. Our DVC Guide was helpful & never pushy & that paid off for him as well as us. We bought into BLT & LOVE it!
You & your DH can take your time, find the answers to all your questions, & buy if that is best for you.
Good luck!

 

[cseca]

Good for you for doing your research!
I just want to stress the point that the only thing DVC promises you by contract is the ability to book at your Home Resort based on availability.
Yes, chances are it's unlikely for DVC to restrict internal exchanges (between DVC resorts) but in essence they can. Nobody can know 100% that DVC won't ever do such thing between now and the end of your contract.

Perks come and go, so make sure you like whichever resort you purchase.

 

[Buckeye Fan]

We did the same thing. We knew we were going to buy in, but didn't know about the Disboards. My BIL/SIL were already members (purchased OKW the 2nd or 3rd year it was open), and we went on the tour in December '06 while visiting WDW with them. While on tour, we purchased 316 points at SSR for $85 a point.

When we returned, I started doing research and like you, found this site! We ended up canceling through Disney and bought 390 points via the resale market for $84 a point. We saved about $400 going through the resale market. Today, that savings gap is much, much larger. If you got SSR for $99 a point, you can purchase resale for somewhere in the $50s.

Some things to remember/consider if you purchase resale:
1) Everything is negotiable, not just the price per point. I have purchased really good contracts where I didn't pay for anything but the price per point (no closing costs, no maintenance fees).
2) If you discussed UY with your guide, you may want to stick with the UY he or she recommended. We changed ours (from Dec to Aug), and that is one of my biggest regrets.
3) Smaller contracts are easier to sell, but you will pay closing on each one. Weigh the pros/cons. We just sold and repurchased, and this time instead of going with a larger contract, we went with 3 smaller ones.
4) Not all resorts "expire" at the same time. Older resorts such as BWV, VWL, BCV and some OKW contracts end in 2042. Others (SSR, AKV, BLT, GCV, Aulani, and some OKW contracts) expire much later (2054 and beyond).
5) Resales now do limit you to just booking DVC resorts or exchanging through RCI. You cannot use them to book cruises, Adventures by Disney or other Disney resorts that aren't DVC. Personally, I have those options, and would rather rent my points and pay cash. With the $95 trading fee and high points requirements to book, you come out way ahead by renting and booking. In fact, if I can't book a DVC resort where I want to go, I'll probably rent and pay cash anyway.
6) Don't let your guide make you feel guilty. My guide didn't try too hard, but he did bring up the downsides of buying resale and the risks. Love his heart, 5 resale contracts later I'd still "risk it" again, especially now that there's such a gap between the resale market and Disney's selling price! I'd rather save money or have more points!
7) If a home equity line of credit is an option for you, you can save a ton of money over financing through Disney. When we looked in '06, the interest rate was around 10.9% for good credit, and through our mortgage company, we could get it for under 7.

The one thing I can say is a few years and several trips later, it's one of the best things we've ever done! Even if we had stuck with our purchase through Disney, I wouldn't have regretted it for one minute! Wishing you luck with your decision!

 

[DisneyDreamMaker]

We did the same thing. We knew we were going to buy in, but didn't know about the Disboards. My BIL/SIL were already members (purchased OKW the 2nd or 3rd year it was open), and we went on the tour in December '06 while visiting WDW with them. While on tour, we purchased 316 points at SSR for $85 a point.

Some things to remember/consider if you purchase resale:
1) Everything is negotiable, not just the price per point. I have purchased really good contracts where I didn't pay for anything but the price per point (no closing costs, no maintenance fees).

**I realized that last night, that is a great thing!

2) If you discussed UY with your guide, you may want to stick with the UY he or she recommended. We changed ours (from Dec to Aug), and that is one of my biggest regrets.

**I hadn no idea that UY was an option when buying through Disney, we were given a UY of December but not sure which month would work best for us if we did have an option yet!

3) Smaller contracts are easier to sell, but you will pay closing on each one. Weigh the pros/cons. We just sold and repurchased, and this time instead of going with a larger contract, we went with 3 smaller ones.
4) Not all resorts "expire" at the same time. Older resorts such as BWV, VWL, BCV and some OKW contracts end in 2042. Others (SSR, AKV, BLT, GCV, Aulani, and some OKW contracts) expire much later (2054 and beyond).

**This is one thing our guide explained to us so we benefited from purchasing SSR andI think we may stick with that if we do purchase resale!

5) Resales now do limit you to just booking DVC resorts or exchanging through RCI. You cannot use them to book cruises, Adventures by Disney or other Disney resorts that aren't DVC. Personally, I have those options, and would rather rent my points and pay cash. With the $95 trading fee and high points requirements to book, you come out way ahead by renting and booking. In fact, if I can't book a DVC resort where I want to go, I'll probably rent and pay cash anyway.
6) Don't let your guide make you feel guilty. My guide didn't try too hard, but he did bring up the downsides of buying resale and the risks. Love his heart, 5 resale contracts later I'd still "risk it" again, especially now that there's such a gap between the resale market and Disney's selling price! I'd rather save money or have more points!

**I agree and that is what is pushing me most to cancel! Mostly ppl tell me that the DVc guides re not pushy but I feel ours was kind of pushy. We were in there for almost 4 hours and I still had tons of questions but the guide kept telling me I was getting ahead of myself and I would get to that stuff after purchasing.

7) If a home equity line of credit is an option for you, you can save a ton of money over financing through Disney. When we looked in '06, the interest rate was around 10.9% for good credit, and through our mortgage company, we could get it for under 7.

**Unfortunately we cant do home equity but the good thing is that if we buy through resale the same contract I got through Disney we coud pay it upfront without financing! I just want to be really sure before doing that though!!

The one thing I can say is a few years and several trips later, it's one of the best things we've ever done! Even if we had stuck with our purchase through Disney, I wouldn't have regretted it for one minute! Wishing you luck with your decision![/QUOTE]

**Thankyou, your post was so helpful to me, I really appreciate you taking the time to explain so many things to me

Melissa