How low would you go?

[Splashboat]

I understand that the details of a contract make a difference - some are loaded and some are stripped... However, I notice that a lot of the prices that seem to be passing are significantly lower than all the prices I see listed on the main resale sites. I am looking at possibly purchasing some additional points next year but I don't want to insult someone so they won't even negotiate with me. Would anyone with experience in 'making offers' care to share the details if you have offered and negotiated a much lower price than what the seller asked 75 -150 pt. range. (I understand that offering a lower price might mean that someone might get the contract before me. That isn't my concern. I am more worried about looking at this realistically and not insulting the seller or wasting everyone's time.) I appreciate anyone willing to share details.

 

[Sandisw]

We just added on a contract at BWV. DH and I decided what we were willing to pay and went in with that offer.

We got rejected three times before a seller accepted the amount we want. When I called, I simply told the salesperson that I knew my offer was low but that is what I was comfortable with.

They simply presented the offer for me. The first time, the owner was firm and rejected outright. The second time, they countered $5/less then asking, but this was still more than we wanted so we passed.

The third time, the owner countered with only $1 less than asking and we passed.

The final and successful time, we offered a bit more than we originally had but asked that MF's be covered instead. The owner countered within a few dollars and we decided it was close enough to our target that we accepted.

My feeling is that buyers want the best deal for them and sellers want the best deal as well. As someone who has also sold, I would not have been insulted if someone low offered on my contract so I would not be too concerned about that.

Good luck!

 

[HookdonWDW]

My feeling is that I would decide how low to go based on how bad I want the contract, and not on whether or not I would upset someone I will probably never meet. The seller's goal is to sell the contract for as much as possible, and the buyer's goal is to get it as cheap as possible and still pass ROFR. I'd look at historical data, and go from there when making an offer.

Best of luck!

 

[DVCconvert]

I am more worried about looking at this realistically and not insulting the seller or wasting everyone's time.

none of this matters....if you make an offer the seller won't accept they'll simply say no. I look at the ROFR thread as a source of comp's to help in deciding what to offer...don't forget you can also throw the closing costs & MF's as open for discussion too. You can never lower an offer, but you can always offer more....

HTH

 

[Splashboat]

I have been watching the ROFR thread - that's what brought me to this question. For example; there are resales out there right now for SSR $80.00 pt (some with nothing banked - current year forward) It seems as though many of these contracts are selling in the $50s. It seems extreme to offer $25-30 less per point. I was wondering if anyone has offered that much less and been successful - or if any of you sellers have started out that much higher than you ended up accepting.

 

[DVCconvert]

It seems as though many of these contracts are selling in the $50s. It seems extreme to offer $25-30 less per point. I was wondering if anyone has offered that much less and been successful

yes...that's why you're seeing contracts close at $25-$30 less than the orginal asking price.

I think I've bot 8 contracts this year...only 1 did I offer and buy at the asking price. Another was orginally listed at $80...I ended up buying it at $35 pp....it's not "extreme" it's the free market...you can't force someone into selling, they have to be willing to accept your offer.

I'd go as far as to say I'd guess it's UNcommon for the majority of resales to be sold at their orginal asking price...and as I said earlier - but now from the seller's POV....you can't go up, but if you start high enough you can go down.

 

[Splashboat]

Wow, DVCconvert, your response was exactly what I was wondering about - I never would have thought to make an offer for so much less than the asking price. Great information - to know it is possible. (I was wondering if people were finding low asking pices that were gone before I could even see them listed)
Thanks!

 

[DVCconvert]

I was wondering if people were finding low asking pices that were gone before I could even see them listed
Thanks!

That can happen - but if you email the major brokers, they'll put you on their email lists for new offerings & price reductions so at least you'd have a shot at those resales that get listed & priced for a quick sale - but...even then unless your rabid to get a specific contract, I'd still make an offer below the asking price...even if it's just a couple bucks - if you can offer a cash sale rather than fiancing..that helps your odds too.

I never would have thought to make an offer for so much less than the asking price.

honestly, I think in that contract case I mentioned, I orginally offered $29 and went up to $35

 

[GoofItUp]

For our first contract, we wanted a specific contract that came on the market, so we offered full price. It was BCV and a few years back when it wasn't as much of a buyers market. On our 2nd contract, we wanted a bargain for extra points. We offered on several contracts before a seller accepted our offer. We weren't concerned about what the sellers would think or how long it would take, only getting a contract for our price point. Don't be timid -- go for what you are comfortable with!

 

[disneyofcourse]

Don't worry about offending anyone. Its a business deal! Find a price you'd like to pay and check it against ROFR and go from there. If the contract is selling at $30 under what the person is asking...why not offer the low price? The first company I tried buying through practically refused to send in my offer. So, I went to the next company and had a great experience and got exactly what I wanted.

 

[Dasha]

If it bothers you to offer less, just wait and keep checking the sites as cheaper resales keep appearring. We pruchased two more this way in the last year.

 

[Tollerwalker]

In my case, we just closed on a SSR June use year contract with 200 pts for $50pp. The contract was originally listed at $65.

I did not even know you could really negoitate the contracts. I had contacted an agent letting them know we wanted June use year at SSR for approx 200 points and wanted to pay in the low $60s. The agent came back & let us know about this contract where the seller had previously accepted at offer of $50pp but the buyer got cold feet.

I am hoping the agent had permission from the seller to provide that information, I kind of felt bad to low ball them, but it worked out in the end for us.

 

[DVCconvert]

..... I kind of felt bad to low ball them, but it worked out in the end for us.

You can cry all the way to the bank with the $3000 you saved off the listing price!

Don't feel bad...all's fair in Love, War ....and buying DVC resales

 

[Tollerwalker]

Don't feel bad...all's fair in Love, War ....and buying DVC resales

I didn't say I felt bad for long

 

[DVCanadian]

I had contacted an agent letting them know we wanted June use year at SSR for approx 200 points and wanted to pay in the low $60s.

I took a similar approach. I called Fidelity as they had 11 or so SSR contracts similar to what I wanted. I told the broker that I wanted to pay $50 per point. They were all asking 60 or higher, some in the 70s. She went to one person, made the offer, they countered, I said no, and moved on the next contract. They said yes. I knew from the ROFR data on this site that $50 wasn't too low as other deals had been made and passed at that amount.

The advice from the other posters is excellent. It is a business deal. Get the best price.

 

[DisneyMotherOf2]

Our contract is now in ROFR. We're in the process of adding on 150 points at BWV. We currently own 150 BCV points. The listing was for $66/point for 150 BWV. We offered $48/point. They countered with $60/point. We countered with $50/point and they accepted. This all went down last week in the span of one hour. There are 62 banked points from 2011 and all 150 for 2012. Based on the ROFR threads I'm anticipating it will make it through, but never say never. Hang tight and keep making offers in the range you want. Something will come through eventually at the price you want! Good luck!!!

 

[Splashboat]

Our contract is now in ROFR. We're in the process of adding on 150 points at BWV. We currently own 150 BCV points. The listing was for $66/point for 150 BWV. We offered $48/point. They countered with $60/point. We countered with $50/point and they accepted. This all went down last week in the span of one hour. There are 62 banked points from 2011 and all 150 for 2012. Based on the ROFR threads I'm anticipating it will make it through, but never say never. Hang tight and keep making offers in the range you want. Something will come through eventually at the price you want! Good luck!!!

You are awesome. I never would have thought to negotiate like that - good luck, hopefully you will pass ROFR quickly!

 

[DisneyMotherOf2]

Thanks!! I'm on pins and needles!!

 

[skoi]

Not to OP, but thanks for all this information. We're thinking of adding on, wanting to get a small HHI contract, but aren't quite sure yet. Will take this information to dh and see what he says, after checking the ROFR list.

 

[emilymad]

I took a similar approach. I called Fidelity as they had 11 or so SSR contracts similar to what I wanted. I told the broker that I wanted to pay $50 per point. They were all asking 60 or higher, some in the 70s. She went to one person, made the offer, they countered, I said no, and moved on the next contract. They said yes. I knew from the ROFR data on this site that $50 wasn't too low as other deals had been made and passed at that amount.

The advice from the other posters is excellent. It is a business deal. Get the best price.

This is exactly what I did. I knew I wanted SSR at $50 because that is what I felt it was worth. Fidelity made a lot of offers for me and in the end actually called me with an offer from a seller. It is for slightly less points than I wanted but in the point range I gave Fidelity. We jumped on it and will probably add on in the future.