Use Year really doesn't have any bearing on when you can start using your points. We bought our points about 6-8 months before the resort even opened, and couldn't use the points until May 17 2004 when our building actually opened. Back then, this date was listed in our paperwork as an "Estimated Occupancy Date", or something very similar to that. Not sure if they are still including that line on current agreements or not.
I also wanted to add that despite how my comments may have read, I don't necessarily share Dean's opinion that sales are slower than expected. But I don't think sales are outpacing construction either. DVC is likely sitting on an expected surplus of points commensurate to opening 8 buildings (about 5 million DVC points) in 8 months' time.
When SSR was announced as 12 buildings, the original plan (AFAIK) was to be selling points for 4-5 years. We're only a little over 2 years into that timeframe (sales began in August 2003).
As for the reasons for the current "friends and family" discount, here are some possible factors:
* 2006 budgets are about to be set, which will include a subsidy by DVC to cover dues on unsold units. In other words, DVC has to pick-up part of the dues for '06 on unsold points. So, some of the additional discount is offset by the dollars that DVC will save not having to pay that subsidy on the points.
* I suspect sales costs are lower on referred members. When I refer someone, I make it clear that they are welcome to come to me with any / all questions. Two or three email messages or telephone calls to me means two or three phone calls the DVC Guide does not get.
* I also suspect that closing rates are higher on referred members. Again, those being referred already know something about the program. I'm certain a much larger percent of members who are referred agree to buy than those who walk up to a DVC booth at the theme parks or request a DVD from home.
* It is getting folks who may be on a waiting list for add-ons at the sold-out resorts to reconsider their decision. Let's see...$92 per point for 37 years at BCV or $83 per point for 49 years at SSR. Hmmmmmm.
* It's taking a shot at the resale market. Look at all the people we've seen say that they would have bought resale until this offer came along. Even a lower profit margin on SSR still leaves considerable profit margin.
I also wanted to add that despite how my comments may have read, I don't necessarily share Dean's opinion that sales are slower than expected. But I don't think sales are outpacing construction either. DVC is likely sitting on an expected surplus of points commensurate to opening 8 buildings (about 5 million DVC points) in 8 months' time.
When SSR was announced as 12 buildings, the original plan (AFAIK) was to be selling points for 4-5 years. We're only a little over 2 years into that timeframe (sales began in August 2003).
As for the reasons for the current "friends and family" discount, here are some possible factors:
* 2006 budgets are about to be set, which will include a subsidy by DVC to cover dues on unsold units. In other words, DVC has to pick-up part of the dues for '06 on unsold points. So, some of the additional discount is offset by the dollars that DVC will save not having to pay that subsidy on the points.
* I suspect sales costs are lower on referred members. When I refer someone, I make it clear that they are welcome to come to me with any / all questions. Two or three email messages or telephone calls to me means two or three phone calls the DVC Guide does not get.
* I also suspect that closing rates are higher on referred members. Again, those being referred already know something about the program. I'm certain a much larger percent of members who are referred agree to buy than those who walk up to a DVC booth at the theme parks or request a DVD from home.
* It is getting folks who may be on a waiting list for add-ons at the sold-out resorts to reconsider their decision. Let's see...$92 per point for 37 years at BCV or $83 per point for 49 years at SSR. Hmmmmmm.
* It's taking a shot at the resale market. Look at all the people we've seen say that they would have bought resale until this offer came along. Even a lower profit margin on SSR still leaves considerable profit margin.
I do not think my calculator goes that high. I can not imagine how much they are going to bring in once all of the buildings are complete.
