I was told that DVC was the worst timeshare.

[CMOORE185]

When I read threads like this - I wonder how many of us, say "yea, it expires and it doesn't bother me" but deep down really wishes it was like other timeshares and it didn't expire. I know I would sure like it if it didn't expire. I would love to pass it on down to my children (and hopefully grandchildren some day).

What I'd like to know from some real experts is - is there any real reason why DVC expires (other than financial on the DVC side). Why do other timeshares not expire and DVC does? Does this result in lower purchase costs? Lower maintenance or what? Or is it just DVC trying to increase their profits when they resell the contracts.

When I purchased I asked my guide why DVC expires while other timeshares are for life and his answer was that Disney believes the useful life of a Hotel is about 50 years so they do not want ownership any longer than this. He said you will probably be glad it expires 50 years from now. That being said they already extended OKW ownership.

 

[nickspace]

When I read threads like this - I wonder how many of us, say "yea, it expires and it doesn't bother me" but deep down really wishes it was like other timeshares and it didn't expire. I know I would sure like it if it didn't expire. I would love to pass it on down to my children (and hopefully grandchildren some day).

What I'd like to know from some real experts is - is there any real reason why DVC expires (other than financial on the DVC side). Why do other timeshares not expire and DVC does? Does this result in lower purchase costs? Lower maintenance or what? Or is it just DVC trying to increase their profits when they resell the contracts.

This is something to talk about!

 

[TisBit]

I can't speak for DVC but can guess. Other US timeshares either expire or don't depending on the ground underlying it. For non US options, it's usually based on the laws of the country as well (Aruba, MX). I'm not aware of any other US timeshare that made a conscious decision to have something expire that they had a choice in but there may be exceptions. My guess is that Disney did it this way strictly for control and possibly to avoid extending FL resident benefits to a large group of owners. There aren't many buildings I want to own at 50 years out but there are exceptions where location is a premium, I'm not sure that Disney qualifies in that regard because there are too many variables. It's like the beach will still be there at HH, whether Disney is the same draw in 50 years is an unknown.

Either way it's not a big deal to me owning already but I think for someone buying in now, it is more of a consideration. Realize that some of the historically better RTU timeshares in MX started out with only 30 years of RTU though I think 50 years is more the standard now.

Isn't the downside of other timeshares that do not expire is that they usually end up with some special assessments, etc later in their lift to do major rehab/structural work on the buildings. I seem to recall that being a major issue with some of the timeshares out there.

This is the reason we were given for the expiration at Disney (our guide has always been trustworthy and never just fed us a line, but was upfront). That the typical lifespan of a building is about 50 years before it would need a major upgrade, allowing the owners not to have to finance that cost.

 

[BEASLYBOO]

I've stayed at other timeshares in Orlando, and their accomodations were just as good if not better than the DIsney resorts. It's a choice, but for me the expiration feature played no part in my decision to purchase DVC over another. I love being on-site, I love Disney and I absolutely fell in love with OKW! DVC is not for every body and I don't try to sell anyone on it! No one could have sold me on DVC until I stayed at OKW 3 or 4 times using a friends points!

I'll be 80 years old when my DVC runs out, and at that point It will be up to my son to decide how he wants to vacation with his family! I will have done my part!

 

[Chuck S]

I tend to agree with you on this. I think a more fair value calculation would be what you would have paid for typical booking choices. This summer when I attempted to book a one night, weekend, non discounted stay at Pop - standard view - and was quoted $160 including tax, I see value in the real dollars I've paid for my DVC. The rack rate for DVC units is highly inflated, in my opinion, to help members feel like they are getting a great deal.

For my one night stay, I used Priceline for a 3 star Holiday Inn and got a rate of $45.

For, purchasing in 1991, it was a no brainer. We were staying in a tower room at the Contemporary. For the week (OK, it did include park tickets, but nothing else) the room was over $2000. DVC, at the time, had the park admisison incentive, so it truly was comparing apples to apples, other than the monorail access. For our normal travel times, at the 230 point minimum buy in of the time, we could spend 3 weeks in an OKW studio.

(230*$51) buy in our initial buy in was paid for in less than 6 years and we gotto stay at Disney extra time. We soon added on 3 smaller contrats, and enjoy one bedroom accomodations most of the time, now.

And I agree with those that like the contract end date. All buildings, no matter how well kept, have a use life. Eventually, any timeshare will need to be razed and rebuilt. Unless there is one heck of an amortized fund to pay for that, there will be a large special assessment for a forever deeded timeshare at some point. Or, if they do a loan to cover the rebuild, there will be a dues increase to service that construction loan.

 

[Dean]

Isn't the downside of other timeshares that do not expire is that they usually end up with some special assessments, etc later in their lift to do major rehab/structural work on the buildings. I seem to recall that being a major issue with some of the timeshares out there.

This is the reason we were given for the expiration at Disney (our guide has always been trustworthy and never just fed us a line, but was upfront). That the typical lifespan of a building is about 50 years before it would need a major upgrade, allowing the owners not to have to finance that cost.

Special assessments are a risk for all timeshare including DVC. In my experience, SA for well run timeshares are small and based on upgrades, not routine maint. Paying 50% more (DVC) to avoid the possibility of a SA doesn't make sense. You can bet that DVC will eventually have a SA also, VB almost did after the hurricanes a few years ago. While there is likely some truth to the fact that wooden buildings have a value to around 50 years, the guides would not be privy to such reasoning. If you were told that, it was sales speak. He may have believed it & it may have been the water cooler discussion and it may have been DVC's thinking, but he would not have had a way to truly know that information. IMO, it really only makes sense to put a value on the deeded issue if you get something else for it (say FL resident discounts) or one has reason to believe the location will have the same inherent value (beach, NYC, etc). I'd not sure you can truly say that about Disney 30-50 years from now.

I've stayed at other timeshares in Orlando, and their accomodations were just as good if not better than the DIsney resorts. It's a choice, but for me the expiration feature played no part in my decision to purchase DVC over another. I love being on-site, I love Disney and I absolutely fell in love with OKW! DVC is not for every body and I don't try to sell anyone on it! No one could have sold me on DVC until I stayed at OKW 3 or 4 times using a friends points!

I'll be 80 years old when my DVC runs out, and at that point It will be up to my son to decide how he wants to vacation with his family! I will have done my part!

Obviously it depends on what value one places on certain aspects. Ignoring the location and just looking side by side, DVC still have very nice resorts. If theming is important to you, DVC will stand out. On all other aspects, there are maybe 8-10 resorts in the Orlando area that are at least equal and in many ways, better, than DVC. Areas I'd use to compare outside of theming are room size, quality of furnishings, pool, other amenities and activities. For HH there are maybe 4-5 that one could say the same about.

However, one can't truly get away from location and taking that into account, DVC still has the premier resorts in Orlando, even if they lag slightly behind in some areas compared to other top options in the area. IMO, the same cannot be said for HH, actually the reverse it true due to the Beach draw. VB is somewhat neutral due to less competition in the general area with the 2 Marriott's in West Palm being the best comparisons.

On the RTU, this is a definite consideration for resale purchases and all 2042 options going forward

 

[Brian Noble]

Isn't the downside of other timeshares that do not expire is that they usually end up with some special assessments, etc later in their lift to do major rehab/structural work on the buildings.

Generally only if there are truly unexpected circumstances, and/or the HOA board underfunds the capital improvement account. The latter can be common; the board wants to keep costs to owners as low as possible, and skimping on the capital fund is one way to do it that doesn't cost the (current) board any goodwill. Worse, a short-sighted ownership base might well vote for board members who promise to "keep fees low" at the expense of the capital fund.

A well-run resort will plan and budget for these sorts of things appropriately.

 

[fishermouse]

I love all the talk about which time share is a better deal etc. All time shares are lousy investments, as is all money spent on vacations. It is entertainment, just like the fishing boat or camper or whatever else you buy. I choose DVC because I like it, if some one paid less for RCI and is happy that's fantastic. I want to book my stay, call garden groccer, get picked up at the airport and have my owners locker and luggage delivered to me at my DVC resort. I have Disney transportation to take me to whatever park I want , I don't have to park, fight traffic or worry about a designated driver . DVC just works great for my vacation. If that's a bad deal, well I'm a happy sucker!

 

[Dean]

I love all the talk about which time share is a better deal etc. All time shares are lousy investments, as is all money spent on vacations. It is entertainment, just like the fishing boat or camper or whatever else you buy. I choose DVC because I like it, if some one paid less for RCI and is happy that's fantastic. I want to book my stay, call garden groccer, get picked up at the airport and have my owners locker and luggage delivered to me at my DVC resort. I have Disney transportation to take me to whatever park I want , I don't have to park, fight traffic or worry about a designated driver . DVC just works great for my vacation. If that's a bad deal, well I'm a happy sucker!

Maybe for most, I've paid for my current timeshares by past timeshare dealings. The idea that it has to be money down the tubes is not completely true. However, for most this is accurate. Still, there is a relative cost and benefit of each that one should consider. I'd rather blow $1K than 20K, esp if I'm getting the same basic benefit in my eyes.

 

[kikiq]

Those who buy in DVC are generally Disney people first and DVC simply happens to be a timeshare that feeds that habit.

This is would be us. Over the years, we considered timeshares based in Colorado because we spent so much time there when our girls were young. But timeshares being what they were back in the day, my DH didn't like being locked into a time period. We are Disney people, walked away from DVC several times before buying. Disney is my DH's guilty pleasure and he is a "hotel snob". We don't plan on trading out although we thought we might originally but really bought just enough points for our vacation habits.

I agree with Dean's analysis. Several friends and relatives have asked about DVC, my first question to them is "How much do you love Disney?"

 

[BoardwalkSuzy]

When I read threads like this - I wonder how many of us, say "yea, it expires and it doesn't bother me" but deep down really wishes it was like other timeshares and it didn't expire. I know I would sure like it if it didn't expire. I would love to pass it on down to my children (and hopefully grandchildren some day).

What I'd like to know from some real experts is - is there any real reason why DVC expires (other than financial on the DVC side). Why do other timeshares not expire and DVC does? Does this result in lower purchase costs? Lower maintenance or what? Or is it just DVC trying to increase their profits when they resell the contracts.

RTU's are often set up along with the expected life term of the building structure. Land reverts back to developer to rebuild. I like the idea that I'm not going to saddle my kids with maintenance fees, possible reconstruction costs, and taxes, so chose a DVC resort with 2042 RTU. Let your kids buy their own timeshares, and other luxury items that require yearly maintenance fees. Gifts of this kind often unfairly pass yearly costs on to young people that can't afford these luxuries. My parents did this to me (deeding real estate and real estate interest, no cash), and it was a nightmare as I was set up to having to then pay on my student loan and also pay for real estate that I couldn't rent, could not sell & was listed with agent 20 years, didn't want to live in, couldn't live in (became delapidated asbestos hazard structure), etc. My parents meant well, but it was a huge mistake. I could have purchased my first home 10 years earlier where I wanted to live if hadn't been saddled with a home I didn't want (and no one else wanted) in another state.

 

[Scraper]

Unless you plan on spending most of your vacations at Disney or Disney related-properties, it probably could be classified as one of the worst because the trades are so difficult. But, for someone who drinks the Disney Kool-Aid, DVC is a dream come true.

lol My whole family drinks the Disney Kool-Aid. We love our DVC.

 

[CMOORE185]

While there is likely some truth to the fact that wooden buildings have a value to around 50 years, the guides would not be privy to such reasoning. If you were told that, it was sales speak. He may have believed it & it may have been the water cooler discussion and it may have been DVC's thinking, but he would not have had a way to truly know that information.

I will have to disagree with this statement as guides need to have some kind of explanation when asked this question. The fact that multiple guides have used this same statement tells me this was the explanation they were told to give.

 

[TisBit]

I will have to disagree with this statement as guides need to have some kind of explanation when asked this question. The fact that multiple guides have used this same statement tells me this was the explanation they were told to give.

I agree, the answer passes the common sense test. If you just look at the Poly and Contemporary...one is wooden the other is concrete, but both are in need of refurbishment/major overhauls in order to compete with more modern resorts.

But, I agree with Dean that this is only half the story. Disney does not want to sell its land (permanently) and if they did not have an expiration on the contracts, they would be legally obligated to keep those resorts. In 2042 as the first resorts begin to expire (if no more extensions are offered) Disney will have the option to completely demo the resort and rebuild a resort, gift shop, park or whatever they want. This makes good business sense, especially if the timeshare appeal wears off or the DVC business busts.

 

[Brian Noble]

I love all the talk about which time share is a better deal etc. All time shares are lousy investments, as is all money spent on vacations. It is entertainment, just like the fishing boat or camper or whatever else you buy.

That's true. But, some boats are a lot cheaper than others. So, the question isn't "is it a good investment" but rather "given my expected vacation habits, how can I secure the lodging for those vacations most affordably?"

 

[Brian Noble]

But, I agree with Dean that this is only half the story. Disney does not want to sell its land (permanently) and if they did not have an expiration on the contracts, they would be legally obligated to keep those resorts.

More importantly, owners would potentially have some argument that they are "landowners" in the Reedy Creek Improvement District, giving them some voting rights with in the District. RCID is Disney's very own private government, and the very last thing they ever want is any non-Disney employee who can vote in its elections.

 

[hakepb]

IMO, it really only makes sense to put a value on the deeded issue if you get something else for it (say FL resident discounts) or one has reason to believe the location will have the same inherent value (beach, NYC, etc). I'd not sure you can truly say that about Disney 30-50 years from now.

Good point. If Disney gets out of the theme park business, then the resorts may only have value to migrant citrus workers.

I do think that eventually, things change. A story about an old luxury hotel near us mentioned that it was state-of-the art when it opened with in-room bathrooms. In today's market those bathrooms are too small. Then I think about kitchen changes in the last 100 years..I find it hard to believe, that today, we have figured out the ideal vacation experience for the 22nd century.

But, I'm sure the ability for Disney to get money every 50 years played a big part in the equation.

 

[dumbo_buddy]

I told someone about owning DVC and the told me that DVC was the worst timeshare to own. I think they were basing this statement on the fact that DVC contracts expire. They owned their own timeshare in Orlando which is in close proximity to Disney. I didn't respond because they have always been passionate about their timeshare and didn't want to get into it but I was really shocked that they would have the nerve to make such a statement in front of me.

psh! if by worst they mean best then ok!

dvc has been one of our best purchases! i don't mean best in that it is a money saver or anything like that. i mean best in the emotional feeling we have be owning it and using it. don't think you'd get the warm and fuzzies from just any timeshare

 

[gkrykewy]

I agree, the answer passes the common sense test. If you just look at the Poly and Contemporary...one is wooden the other is concrete, but both are in need of refurbishment/major overhauls in order to compete with more modern resorts.

Heh. Pretty sure the Polynesian is themed concrete

 

[dmoore22]

dvc has been one of our best purchases! i don't mean best in that it is a money saver or anything like that. i mean best in the emotional feeling we have be owning it and using it. don't think you'd get the warm and fuzzies from just any timeshare

We totally concur. It's impossible to put a monetary value on the intangibles we've enjoyed as a family since joining DVC years back. Initially it was appealing from a cost and comfort perspective when all of our 6 children where still home. The intangible joys and shared moments with, first, our children, and now grandchildren far surpassed anything we could have imagined when we made our initial purchase.