If DVC is so good, why are there so many resales???

[Esmerelda]

I have been trying to learn all I can about DVC. I am awaiting my video information and a gentleman has called me today already from DVC to talk to me.

My only concern is if DVC is so good, why are there SOOO many resales listed constantly?? Do folks get into this and then don't like it?? Also, what are the advantages to buying new as opposed to buying a resale?? The resale points are ALOT cheaper than buying new....

Anyone........?
Esmerelda

 

[Richyams]

Its really not that good. This isn't even a real public board. Its run by Disney to sell those stupid points.

All these posts and all these posters are just two Dinsey sales geeks making stuff up.

Once in a while someone like me gets through and lets the world know the truth.

Ever wonder why Micheal Eisner and Pete Warner have never been seen together??????

I could possibly be killed for posting this.

 

[ClarabelleCow]

there are approximately 70,000 DVC owners and maybe 200 resales on the market that can be found easily. So if my math is correct, that is approximately .003% of members selling. Peanuts! Alot of people sell for different reasons, death, divorce, money crisis, etc., etc. or imagine, bored of Disney!

 

[Richyams]

There's that too...

 

[Beca]

Hi,
I am really new, but here's what my research uncovered. Compared to how many people actually own at DVC...there are an exceptionally small number of resales available. I have been told that the main reasons DVC go up for resale is divorce, or death.

When you do the math, the biggest cost (by far) of ownership is main. fees. Resale and "new" are the same in that respect. When you take the cost of resale (ave $70. per point), and divide by 38 yrs, you get $1.84 per point. When you take the current $89 per point for SSR and divide by 50 yrs, you get $1.78 per point. So, they are roughly equivalent...except with resale, you have to pay the appx. $500 closing costs (again, a drop in the bucktet compared to what you will pay over time in main. fees).

Just my 2 cents!

Good luck in whatever you decide!
Beca

 

[Chuck S]

Now you've done it, Rich, the secret is out. We have no choice but to send out the hit squad.

Seriously, death and divorce are certainly a large part of the resale market...along with some folks falling on hard financial times unexpectedly. Many early purchasers may have changed their vacationing habits, or are simply deciding to sell for a profit (try that with another timeshare!).

 

[borncinderella]

I am new as well, but considering (according to my guide) that 60% of owners have more than one contract . . . that means that the resale rate is more like 0.18% (I'm not a math expert ClarabelleCow but don't you move the decimal over?). I know there are lots of people on these boards that own 3 or more contracts.

Compared to other timeshares out there, there really are very few looking to sell (this may change as the RTU runs out).

 

[stings]

Richyams thanks for the reply. Made my day. I owe you a beer.

 

[rocketriter]

Look at it another way. At DVC, those of us who are forced by life's circumstances to sell our shares are fortunate to be able to do so, usually breaking even and often making a small profit. For almost any other timeshare on the planet, resales are hard to accomplish and earn only pennies on the dollar.

Will that continue in the future? No guarantees. But it suggests that not very many people are trying to get out while a lot of people are trying to get in. The reverse is true of most other timeshares, including some of the most prestigious.

 

[mowog]

supposedly at any given time 50% of existing time shares are for sale. If you search you can find lots of them for sale at very low prices compared to DVC. On some the yearly fees make DVC seem cheap and then the nickle and dime booking fees, etc. Try buying some BCV points and tell me about glutted resales. DVC is just different. I was never a time share person but we found ourselves going to WDW every other year and staying in the park at the better resorts. We don't go for a whole week all the time and never the same time of the year. So after looking and passing on DVC we finally bought end of December a BCV resale. For us it makes sense. We will go every year or two, take our now grown kids or let them use points, and look forward to taking grandkids when the time comes. Good Luck with your decision and smart of you to be doing your research.

Jean and Bob

 

[Nick@ VB+OKW]

Originally posted by Chuck S
Now you've done it, Rich, the secret is out. We have no choice but to send out the hit squad.

 

[crisi]

I think as well that a lot of people buy at WDW under the "this is the best vacation we've ever had" mindset with a "vacation wallet." Two years later they've realized that they have other vacations they'd like to take, that the other collections aren't as wonderful (i.e. are expensive), and that they have other places to put their money.

DVC is very good - but for a certain type of vacationer - one who goes to Disney at least every other year - and will continue to do so for at least five or six vacations, who can plan ahead, who can afford at least $600 a year in dues and to tie up at least $12k in the initial ownership investment. Unfortunately, not everyone who joins DVC is actually that type of vacationer.

Add death, divorce, job loss - as well as happier lifestyle changes like retirement, kids growing up, relocations to less convienient parts of the country, and you have a relatively small pool of DVC resales.

 

[debm]

How about looking at it from another angle? How many DVC's are so happy they do add-ons? For instance, we have added on twice!!

 

[PamOKW]

"A lot" is a relative term. If you are talking about the listing on The Timeshare Store it does seem like a lot to look through with 3 pages of listings. But, let's look at the points for resale relative to the total number of points. I can't offer an exact figure, but I can give some perspective. I seem to recall the total number of points at OKW being somewhere around 5 million (anyone have that figure -- or the total points for any of the resorts?). Taking out the "Sale Pending" listings -- 7,110 points are up for resale. One person can own as many as 2,000 points. That's not even a dent in the total inventory for a resort that is over 10 years old and most subject to the effects of divorce, death and lifestyle change.

Some of the other resorts are even more telling. Here's what's on the TSS listing once you drop the sale pending listing

BCV - No points
BWV -- 400 points
VWL -- 960 points
HHI -- 3,240 points
Vero -- 2,505 points
OKW -- 7,110 points

Not exactly an indication that members are unhappy.

 

[Shamus]

Hey Pam,

Here is a listing I have of total points by resort. This inforamtion is a few years old now and may not be 100% accurate but I'm sure it is close.

TOTAL POINTS
BCV 3,027,092
BWV 4,888,849
VWL 1,961,981
HHI 1,370,499
VB 5,699,554
OKW 7,674,930

TOTAL = 24,622,905

For fun lets play with the numbers

TSS LISTINGS # and %
BCV - No points 0.0000%
BWV -- 400 points 0.0082%
VWL -- 960 points 0.0489%
HHI -- 3,240 points 0.2364%
Vero -- 2,505 points 0.0440%
OKW -- 7,110 points 0.0926%

TOTAL -- 14,215 points 0.0577%


That means 99.94% Of all points are currently Not for sale through the TSS.

 

[new_yawka]

They'll have to pry the deed to my points from my cold, dead fingers!

 

[PamOKW]

Shamus -- Thanks for the numbers and for doing the percentage!

New Yawka -- My sentiments exactly!

 

[LeftCoaster]

Originally posted by Shamus
Hey Pam,

Here is a listing I have of total points by resort. This inforamtion is a few years old now and may not be 100% accurate but I'm sure it is close.

TOTAL POINTS
BCV 3,027,092
BWV 4,888,849
VWL 1,961,981
HHI 1,370,499
VB 5,699,554
OKW 7,674,930

TOTAL = 24,622,905

For fun lets play with the numbers

TSS LISTINGS # and %
BCV - No points 0.0000%
BWV -- 400 points 0.0082%
VWL -- 960 points 0.0489%
HHI -- 3,240 points 0.2364%
Vero -- 2,505 points 0.0440%
OKW -- 7,110 points 0.0926%

TOTAL -- 14,215 points 0.0577%


That means 99.94% Of all points are currently Not for sale through the TSS.

This proves without a doubt that HHI is by far the worst DVC resort. Just kidding, had to stir the pot a bit.
Anyways, with my resale, I know the owner sold because of health problems.

 

[Esmerelda]

I didn't get to read all these responses until this morning! Holy cow....thanks everyone for the input.

I am anxiously awaiting my info. I just want to be certain that I am getting a good deal. I am a single mom and am VERY frugal. I never purchase anything on a whim...I always do research on everything! lol...

However, I do work in an emergency room and know just how precious time is with my family. I watch folks young and old die every week....its very sad. I want to know that I have spent quality time every chance I get w/my boys. I thought maybe DVC could help me do that...and save me money.

(lets see..in 50 yrs...I'll be a mere 91....can a 91 yr old still do Disney??)...lol

Life is just too short, ya know...
Esmerelda

 

[LSchrow]

Originally posted by Esmerelda
My only concern is if DVC is so good, why are there SOOO many resales listed constantly??

just an analogy:
if beachfront homes are so good, why are there sooo many beachfront homes for sale?

it doesn't neccessarily mean the beach is no longer desirable, but that financial difficulties, change of family dynamics, relocation, etc have changed.

when difficulties happen, luxuries are the first to go (yup, DVC is a "luxury" ).