How does the DVC work? How much?

[caroline1851]

I'm just not understanding what the DVC is. Is it a timeshare type thing? How much is it? I see 100 points, etc., but i have no idea what that is. Can anyone give me a brief overview of the very basics? thanks

 

[DVC Mike]

The Disney Vacation Club is a flexible point-based timeshare program. Members purchase an allotment of points for a one-time purchase price, and then receive the same amount of points to use each year until their contract end date arrives.

Point-based timeshare programs should not be confused with fixed-week timeshare programs. Under a fixed-week program, owners typically purchase the right to use a single accommodation for the same week every year. Under DVC’s point-based system, the member purchases points which may be redeemed for stays at any time of year, in a variety of different-sized units at many different resorts.

There are currently six (6) DVC resorts at WDW, as well as one in Vero Beach and one in Hilton Head Island, for a total of eight.

You purchase points either from DVC or on the resale market. The Animal Kingdom Villas cost $96 ($104 - $8 incentive). Besides the cost of the points (which you only pay for once), there are annual dues. For AKV, they are $4.71 per point, annually. Annual dues cover operating expenses (housekeeping, transportation, maintenance, utilities, Front Desk services), administrative expenses (Member Services, member mailings, insurance), refurbishment expenses (updating and maintaining the interior, exterior, and common areas), and real estate taxes (property taxes).

 

[caroline1851]

so, for example, if i wanted one week per year at wilderness lodge, how much would it be upfront? How many points would i need to purchase and how much would they be? And then how much for maintenace, etc? I'm just trying to get an idea roughly of the typical cost for this before i even mention it to dh.

 

[DonnaL]

The amount of points needed for one week at Villas at Wilderness Lodge depends on what time of year you're vacationing, and what type of accommodations you wish (i.e. studio, 1 bdrm or 2 bdrm or 3 bdrm Grand Villa, however VWL doesn't have GV's). There are links to the points charts at the top of the DVC forum pages.....too many variations to copy here. I believe currently the minimum purchase direct from Disney is 160 points......not totally sure of that. However, you can also purchase resale and not have to purchase that many. Just be sure you would purchase enough to vacation in the type of rooms and the time of year you would need and decide whether you would vacation with your points every year, every other year or every third year, which you can do by banking and borrowing points. Also, buy where you want to stay.......especially if you're looking at the smaller resorts like VWL and BCV, which pretty much means your best best is the resale market since Disney isn't currently selling these resorts (however, you could go on a waiting list and if they buy back any points for these resorts you could buy them direct). Also, keep in mind once your initial purchase is made you will need to pay yearly fees for taxes, maintenance, etc. These fees vary depending on the resort and what, if any, major work is scheduled for each resort. The current fees per point are also listed on the DVC resale listings, also a link at top of DVC forum pages.

 

[crisi]

And note, you aren't staying at the Wilderness Lodge - you are staying at the Villas at Wilderness Lodge - the timeshare building right next door. In that case you share amenities with Wilderness Lodge, but the rooms are laid out a little different (studios have a queen bed and a pullout couch and a kitchenette), there is limited housekeeping, cancellation policies for booking on points are different.

Timeshares are different than booking a regular hotel room.

 

[caroline1851]

Okay, so let me see if I'm understanding this correctly....

For example, if the resort was $90 per point and a week at that resort required 125 points, then it would cost $11250.00. And then i would be able to stay at that resort one week per year forever and it would be paid for? How much, typically, are the yearly maintenance fees?
Do you get a discount on anything like park passes, ddp, etc. if you are a dvc member?

 

[chalee94]

For example, if the resort was $90 per point and a week at that resort required 125 points, then it would cost $11250.00.

you may want to factor in another $300-400 for closing costs, but that's basically it. for 125 pts, you may also be limited to resales, depending on what special deals DVC is offering directly (i know you can get 100 pts but not sure how they handle the in-between amts.) it may take a while to find a contract at exactly that amount...but you could also buy a 50 or 75 pt contract and add-on later directly without too much trouble.

And then i would be able to stay at that resort one week per year forever and it would be paid for?

except for annual dues/maint fees, yes. the points required for a week in a given season will almost always stay the same (historically there has been one instance of OKW making some nights more expensive, but to do that, they had to reduce the point costs for other nights.)

if you change your vacation habits, and (for example) stop going in september and have to go in june, point costs at different times of year are different (as shown in the point charts linked above.)

How much, typically, are the yearly maintenance fees?

here is a link to the historical maintenance fee costs.

VWL = $4.87 per point for 2008 = $609 in fees for 2008 for a 125 pt contract. (next year, it will probably go up to $630 or so.)

dues are typically payable in january, but if you hate getting hit with a big bill right after christmas, you can also choose to have it deducted monthly from a checking account with no additional fees.


Do you get a discount on anything like park passes, ddp, etc. if you are a dvc member?

1) DVC members get $100 off an annual pass. no other ticket discounts, though.

2) DDP can be purchased without having to buy a ticket, but is not discounted. (also, no "free dining" when staying on pts.)

3) there are a number of other smaller discounts on wdw restaurants, shops and tours. these change all the time and shouldn't be a serious consideration in whether or not to buy.

here are more links to DVC FAQs:

from all ears

from tagrel

 

[crisi]

That's sort of the basics. Disney has sold contracts in minimums of 150 and 160 (currently 160 - although they'll sell you a mere 100 at VAKL right now). Dues are currently between $4 and $5 a point annually depending on resort - but are subject to go up (and we sort of anticipate it with costs rising so fast). Also remember that rooms are available "subject to availability" - DVC works best for people who can plan their trips at least seven months out - there is often very limited or no availability for short notice trips. If you don't manage your points, they do expire and become worthless.

 

[DonnaL]

Actually, you would buy the number of points you need for your vacation needs and purchase that number of points at a "home resort" which simply means you have an advantage of booking 11 months in advance during busy seasons, in other words you can stay at "any" DVC resort, but, can only book 11 months in advance at your "home resorts". If you wish to stay at any other DVC resort you must wait until the 7 month window before your vacation takes place to book there. Example........you decided you will need a 1 bdrm villa for most vacations, your usual vacation takes place in the month of January, which is considered Adventure Season for DVC purposes, so go to the Point Chart and you will see VWL 1 bdrm in Jan requires 200 pts for a week, SSR requires 182, and OKW requires 160. You've purchased 200 pts at VWL because you know that's mostly where you want to vacation and most vacations happen in January. You can book at VWL 11 months before your scheduled vacation, but, you must wait to book at SSR or OKW until 7 months before your vacation.
To answer your question about point cost.....if you pay $90 per point and purchase 200 points your upfront cost would be $18,000.00. Then you would need to pay yearly dues at VWL (your home resort) of $4.87 per point, which is the amount set for 2008 (this can fluctuate from year to year depending on estimated costs for the year). For the above price, you get prepaid vacations until the year 2042 at VWL. If you purchase at either SSR or AKV your vacations would be prepaid until I think 2057, since both of those resorts are newer and are contracted longer. With inflation, the cost of accommodations can only be expected to increase each year, therefore, you are locking in future vacation accommodation costs at today's prices. One other thing you must look at, however, is your usual vacation practices......are you satisfied with staying at a Value resort.....many people are. If so, the initial cost of DVC may not be justified for your family. The other thing you need to be aware of as another poster said.......DVC is a timeshare program and as such, daily housekeeping services are not provided.....you do get Trash and Towel service on your 4th day of a weekly stay (housekeeping replaces your towels and empties your trash only)....no full cleaning unless you pay extra for it. A full cleaning takes place between guests only. However, if you are in a 1 bdrm it's very easy to wash your own towels since you have a stacked w/d unit plus a full kitchen for your use.
If you run the numbers and it seems like DVC may be a good fit for your needs, simply stop by one of the many DVC kiosks in the parks when you're at WDW and schedule a DVC tour and presentation during your stay. You'll be blown away by the AKV models, which are at the DVC presentation center at SSR. They are absolutely gorgeous.
For our family, DVC was one of the best vacation decisions we've ever made. However, I will say knowing your accommodations are paid for does tend to make the decision easy when an airfare sale comes along!!! And yes, DVC members currently get $100 discount on AP's or $125 on PAP's, so that's also a very nice plus.

 

[caroline1851]

The whole thing seems reallly expensive. Is it really worth it?

 

[chalee94]

The whole thing seems reallly expensive. Is it really worth it?

depends.

if you're willing to stay offsite or at the value resorts to save money, don't bother with DVC.

if you prefer staying on long weekends, don't bother with DVC - pts costs are a LOT higher on weekend nights.

if you are convinced that the economy is about to completely tank and travel will stop to the point that disney will drastically cut it's hotel rates (rather than raise them at historical rates), then definitely don't buy DVC.

DVC is not for everyone. it can save money if it suits your vacation habits and you use it correctly. it can be a nice option for those with larger families who love staying onsite at wdw and need more room to spread out than a hotel would offer.

or it can be an enormous waste of money for those who don't understand what they are getting into and just aspire to join some sort of allegedly elite disney club...

 

[Disney_Villain]

if you're willing to stay offsite or at the value resorts to save money, don't bother with DVC.

I agree. We bought in as we only stayed the moderate & deluxe resorts on WDW property - if we were OK with the value resorts or the non-Disney resorts nearby, we probably would not have bought in.

 

[jana]

The whole thing seems reallly expensive. Is it really worth it?

Chalee has given you a very negative response. I'll try to add some balance.

It really does depend on how you would like to vacation.
Your week at WL currently would cost you somewhere in the region of $250-350 per night plus tax depending on the time of year. Pick a middle $300 X 7 +10% tax so about $ 2,300 per yr . With dues about $600 per year the 1700 a yr less you're paying is going to take about 7 trips/years to cover the $11k out lay after that it's costing you $600 per year for 7 nights at a delux Disney resort. Cheaper than staying at a value resort. Now I've used an ultra simplistic explanation there. To give a truer figure for you as an individual you have to factor in are you paying cash or financing. If financing the charges will make it longer to break even. You would need to factor in what you believe room and dues inflation. Using more at weekends does mean it takes longer to hit a "break even" however if you chose to use your 125 points for two 5 day vacations instead of one 7 day vacation you improve the numbers. IF you want to REALLY make the most of your time you could use 125 points for THREE 5 day stays at OKW or in the value views at VAKL. Just for arguments sake I think the cheapest rooms at OKW are about $225 plus tax so an annual cost of those same vacations would be about $3750. Your break even would be about 3.5 trips. After that you could get just under $4ks worth of accommodation per year for $600. Spread over 45 years that saves you about $135,000 (using a zero inflation) the higher inflation goes the bigger the savings. Other factors are by making use of the kitchen facilities you can cut back massively on the amount of money spent in restaurants. Even just having cereal, toast or bagels for breakfast could cut your vaca costs by $40 per day for a family of 4. Food for many families is actually the highest cost of their vacation. Even on the dining plan $37 per day for a family of 4 plus drinks costs can hit close to $200 per day on food. Stay off property, you need usually to rent a car ($250) parking ($11 per day), gas for the week, can't get the dining plan so food costs go up. Unless you go for a roach motel staying off property isn't always the saving people like to make you believe, it just redistributes your costs around.

Your best option is next time you're at Disney is to take a DVC tour, get all the numbers and see if it works for you.

 

[crisi]

I don't think Chalee gave a negative response at all. She gave a short response.

I'll actually give a shorter one - and one more negative - if that looks like a lot of money to you - no, it isn't worth it - particularly in this economy.

 

[WDWmom08]

Your best option is next time you're at Disney is to take a DVC tour, get all the numbers and see if it works for you.

Is there anyway to get all the numbers without going on the tour? I ordered the DVD from the website but I wasn't sure if anything else comes with it. I would love to have a copy of their info. I have gone on the DVC webiste
and other discussion board but something in me wants a hard copy of real numbers to look over.

 

[chalee94]

what other numbers are you looking for?

IMO, one of the great things about DVC is that all of the financial costs and point values are readily accessible within a few mouse clicks from the DIS. other timeshares i have looked into are much more difficult to figure out and pin down the costs...

 

[WDWmom08]

I don't know, any printed materials I guess. Something that talks about the options. What resorts are avaialbe for purchase? Are they all the same point price? What are my point buy in options - increments of? The site says the minimum buy in is $16,400 but I saw the disclaimer site yesterday with the posting on the $10,400. What does that include? First years dues or is that extra? Are closing costs extra or included in that cost if not what are they?

 

[chalee94]

here is how to start figuring the numbers:

1) start with the point charts link in the top right corner of the screen, to figure how many pts you need at your preferred resort.

2) then use the resale listings link in the top right corner of the screen to figure how much a resale contract would cost. add $350-500 to their stated cost as an estimate of closing costs.

3) to compare the costs of a direct purchase, go to dvcnews. add $250-350 to their stated cost as an estimate of closing costs.

4) go to the link in my previous post to figure the annual dues for your contract. use the historical numbers (plus a little extra given current inflation) to estimate future increases to make sure it fits your budget.

I don't know, any printed materials I guess. Something that talks about the options. What resorts are avaialbe for purchase?

all resorts are available for purchase. some use year months may not be available for all resorts, though.

(BTW, if you don't know about strange new terms like "use years" (often abbreviated "UY"), it's easy to scan through recent threads and use the search function to learn.)

AKV may be tougher to find resale due to it's newness. some older resorts may be trickier to get direct, as the guides seem to be more motivated to sell SSR and AKV. but if you strongly prefer a given resort (and can book 8-11 months ahead of time), you should definitely buy a contract at that resort IMO.

Are they all the same point price?

nope. if you scan through the resale listings and current price structures, that will soon become clear. BCV will cost extra as it is in higher demand, for example. also, DVC does not tend to offer incentives for older resorts.

(the resorts also have different expiration dates, BTW.

AKV expires in 2057. SSR in 2054. all others in 2042...except that OKW is a little tricky: a direct purchase of OKW will expire in 2057 but resales can expire in 2057 or 2042, so you have to pay extra attention...)

What are my point buy in options - increments of?

generally, you have to buy at least 160 pts to buy direct. there is a current promotion to allow a 100 pt purchase. if you buy resale, you have whatever options are currently available for sale - including contracts as small as 25 pts.

once you own a contract, you may add-on 25 pts if you pay cash, or 50 pts if you finance.

there is no increment requirement beyond that. if you want 167 pts for your purposes, DVC will sell you that. if you want 220 pts, you can choose to split that into 160 pts + an add-on of 60 pts.

The site says the minimum buy in is $16,400 but I saw the disclaimer site yesterday with the posting on the $10,400. What does that include?

i'm pretty sure that's just for the contract, and doesn't adjust for any incentives offered. the lower amount is most likely for a 100 pt contract.

First years dues or is that extra?

most likely, extra.

Are closing costs extra or included in that cost if not what are they?

see estimates above.

 

[WDWmom08]

WOW that's amazingly helpful. Have you ever thought of publishing this yourself for all of us fogies (I'm not even forty yet) so we can lay it out on the living room floor and run all the different scenarios? Thanks.

 

[kimberlym4]

I spoke to someone on the phone about all the details two years ago. We just did a tour during our last visit and ironically the same guy (I know it was him because we had spoken about the having the same alma mater) did our tour. We are still up in the air about it. One thing that I don't think has been mentioned is that you can also use your points for any non-Disney condo that is part of Interval International (there's like 500 possible options in that group). It again depends on when you go but the points needed for a week elsewhere is even less that what you would need to go to Disney.

The number I have from the guy we spoke to is 800-827-7140. I don't know if I'm allowed to mention his name or not but PM if you want it. He was very helpful.