How much to rent to a friend?

[Maryrachel713]

We're new owners and planning to rent our points to our best friends for their Aulani trip this summer. I'm seeing a range of prices here and am not sure how much I should tell them. These are our kids godparents, we're very close and they're always very generous with us. We also make significantly more than they do. What's a good range? They were planning on paying rack.

 

[Sandisw]

When I rent to friends traveling without me I charge a fee close to MFs. Last year, it’s was $7/pt.

 

[nkosiek]

I went with friends once who insisted they pay something since they knew those were points we could use ourselves, so we settled MFs plus a dollar. Definitely wasn't trying to make money.

 

[kilik64]

That close of a friend Id just charge the cost of the MFs for the points used personally.

 

[RoseGold]

I rented a BW room to a work colleague and charged the AoA rack rate, everyone was happy with that. It was a little more than I paid for the points, but less than the going rental rate.

If you want to be more generous, I think charging dues makes sense. This will likely be much less than rack rate.

 

[Rush]

This is a hard question to answer for someone else. It really depends how close of friends and how important recouping the value of the points and/or dues is to you.

The range clearly is from $0 to market rental rate. For me, super close friends/family who I might want to show my appreciation to or gift for them, $0. Close friends but just trying to help them out to afford a great vacation, just cover my dues. Not super close, I might ask dues plus the value of the points (initial price/total contract years points). And last, not very close or a coworker, I’d probably ask market rental rate.

Again, it also depends how much the financial aspect is important to you, and also what you were intending to do with those points for your own trips. If I had a surplus of points I’d probably feel more generous, if I was in a borrowing state all the time, probably less generous or not willing to rent at all. Your knowledge and experience can also help them find rental points through this site and the various rental brokers. Helping doesn’t always have to be with your points.

Assuming you don’t mind parting with the points, from your description it sounds like these people would fit between my $0 and cover my dues category. You have to decide where in that they fall.

 

[DaveNan]

I must not be a good friend...... I have charged what I would get from renting through one of the agencies. So, if they do rent I do not lose any money, that I could have gotten for the points. I might be able to get more if I looked for a direct rental on the boards, but those have more risk for me than renting to a friend. They save the broker fee ($3-$5 per point), get much more flexible booking availability (I am online at 8AM sharp or even walking if needed), and better cancellation policy. Based on the timing of the stay versus my UY and current/borrowed/banked points, I discuss my risks.

 

[DaveNan]

Additional note....... If we are doing a joint vacation and I invite them to come along, I have not charged them.

 

[trenty]

I charge enough to cover my annual dues. In recent years I have rented to friends for $8-10/pp. For a really close friend or family member I might do less or maybe not charge at all if I had no plans to use the points myself.

ETA: like others have said, if I invite them to join me I do not charge at all.

 

[bwang123]

It depends on the circumstances and relationship. We have treated family and friends to our points before, we have also just asked them to cover a few dinners when travelling together and we have also charged just over MF's.

 

[DVC Doctor]

Charge them $8pp and let them know going rate is $16-20pp

 

[DizneyLizzy]

I buy points from a friend probably once a year when I run out of points and need a night or two for a short stay. We've been doing it for years. When we first started back in 2014, before I was a DVC member, I paid her $8 per point. I now pay her $16, which is still a significant discount from the rental market. She has never asked for more than the $8 I originally paid her 8 years ago, but I feel like I need to offer her a fair price, and for me and my comfort level, a fair price is the lowest going rate on the internet.

 

[DizneyLizzy]

I must not be a good friend...... I have charged what I would get from renting through one of the agencies. So, if they do rent I do not lose any money, that I could have gotten for the points. I might be able to get more if I looked for a direct rental on the boards, but those have more risk for me than renting to a friend. They save the broker fee ($3-$5 per point), get much more flexible booking availability (I am online at 8AM sharp or even walking if needed), and better cancellation policy. Based on the timing of the stay versus my UY and current/borrowed/banked points, I discuss my risks.

LOL. You're a good friend! I wouldn't feel comfortable using my friend's points without paying her a "fair" price for them. But as a member, I understand what a fair price is more than someone who isn't DVC and/or familiar with the rental process. When I transfer her points to me, or make myself a reservation on her account, I know we're both getting a good deal - she's making some much appreciated cash, and I'm still getting a massive discount on a really nice room. The $16 per point I paid her for a studio at the GF last year worked out to $336 per night. And no tax or parking! Can't even get a room at Caribbean Beach for that.

 

[Maryrachel713]

Thanks for all your input. We don’t really have the extra points but as I said these are our closest friends. She’s planning on $700/night for 3-4 nights. We aren’t going and she would never take them for free. We’re both math teachers so she’s going to want to know where my math comes from

The site won’t load rn (of course) but I think it’s around 100 points and I’m trying to get them 4-5 nights (got some and have waitlists in).

 

[kes601]

When we booked a 1 bedroom at Thanksgiving at BLT for my parents and sister we charged them $19/point (the cost of one time use points through DVC).

 

[jo-jo]

For years, a friend who we rented from , from time to time charged $10 for friends and family, $15 for others. This year he upped it by a buck.

 

[crisi]

For someone close to me - either the cost of dues or I'd gift the points. It sounds like your friend has a price in mind they are trying to fit a Hawaii trip in and if that is a price that works for you - that works.

DO make sure they understand the nature of points - they really can't cancel once you've committed points - and especially if their trip is after your banking window or they cancel less than 30 days out. Airfare to Hawaii is expensive, car rental is expensive in Hawaii (so is gas and food and - well, Hawaii is not a cheap place - and at Aulani they will want a car and the food onsite costs about as much a four year college education - I'm exaggerating, but a $20 for a breakfast bagel - it was a very good bagel with salmon....but it was $20), and you don't want to have wasted points because they discover that its $1500 a person to fly the week they want to go and $1500 for a car. So I'd give them a deal, but I'd give them a deal only once I understood whether their overall budget was realistic.

Thus the car (or a budget for ample rideshare). Target maybe eight miles away and groceries aren't cheap, you can buy a whole LOT of bagels for $20.

 

[Maryrachel713]

For someone close to me - either the cost of dues or I'd gift the points. It sounds like your friend has a price in mind they are trying to fit a Hawaii trip in and if that is a price that works for you - that works.

DO make sure they understand the nature of points - they really can't cancel once you've committed points - and especially if their trip is after your banking window or they cancel less than 30 days out. Airfare to Hawaii is expensive, car rental is expensive in Hawaii (so is gas and food and - well, Hawaii is not a cheap place - and at Aulani they will want a car and the food onsite costs about as much a four year college education - I'm exaggerating, but a $20 for a breakfast bagel - it was a very good bagel with salmon....but it was $20), and you don't want to have wasted points because they discover that its $1500 a person to fly the week they want to go and $1500 for a car. So I'd give them a deal, but I'd give them a deal only once I understood whether their overall budget was realistic.

Thus the car (or a budget for ample rideshare). Target maybe eight miles away and groceries aren't cheap, you can buy a whole LOT of bagels for $20.

She has the flights already booked. She had planned either 3 or 4 nights at Aulani at rack rate. So anything less she’s good with. She said she would add an extra night depending on price. Great advice to make sure she knows it’s a done deal though.

 

[crisi]

If she has the flights booked, your points aren't in much danger (there is always emergencies, but those are emergencies). Since you really don't have points to spare and are doing this as a favor (and its a big favor if you don't have points to spare), I'd set your price at her budget for her 3 planned nights - since that's what you can get away with on points and maintain some for your own use.

 

[heynowirv]

I have a friend who I've worked with and I have either charged 10/pp or rounded it out lower depending on how many points she needed. My MF are now over 8./pp so It's only reasonable. When I've had to rent on the boards to strangers I charge 15/pp.
I'm seeing 20/pp and wonder who's willing to pay that much and why are people gouging ?...Just my 2cents.