Influx of Aulani contracts or is it just me?

[Jimmy Geppetto]

I'm noticing an influx of Aulani contracts that are hitting the resale market across ALL brokers. Is anyone else noticing this or is it just me? Is this common for Aulani during this time of year? Dues invoices aren't even out yet.

 

[DVChris]

I also noticed a couple of folks who actively rent out their points on FB groups selling their Aulani contracts, including subsidized dues.
My guess is that the recent announcement from Hawaii’s governor is having an impact - discouraging all travel unless you’re coming for essential reasons.

 

[macman123]

I've also noticed this.

But owner could still rent points at other resorts 7 months out. Still value in them there contracts.

 

[davidl81]

AUL subsidized contracts may be the best value in DVC resale right now depending on the buy in price. Even if just used for SAP.

 

[jbreen2010]

I was wondering the same thing.

I wonder if it’s just normal course of life of a DVC contract that say 5-10 years after purchase the resale market starts to uptick in the total contracts listed. 10-years in people may have had a change in preferences.

that said I did snag a subsidized dues contract last year. I know they are pretty rare I have seen maybe 3 become listed within the past 3 months across broker sites. Might just be that they are about 10 years old at this point.

 

[Paul Stupin]

The influx might be a result of the governor recently asking people not to travel to Hawaii.

 

[DKZB]

I've never actually looked at AUL contracts but I like a good bargain. How do you know if it is a subsidized contract. If it says nothing on the listing, i would assume its un-subsidized. Any other tips from those who've bought or looked?

 

[Jimmy Geppetto]

I've never actually looked at AUL contracts but I like a good bargain. How do you know if it is a subsidized contract. If it says nothing on the listing, i would assume its un-subsidized. Any other tips from those who've bought or looked?

The broker will highlight if its subsidized in the listing. Expect to see the price be about ~$20 higher per point for sub dues.

 

[Carol_]

How much savings are in subsidized fees?

 

[Jimmy Geppetto]

How much savings are in subsidized fees?

Dues are:

2021 Aulani (Subsidized) = $6.28 pp

2021 Aulani = $8.35 pp

 

[DKZB]

Last subsidized trade I see reported in the ROFR thread is $132 with 2021 points. That amounts to $3.22 per lifetime point + $6.26 in dues is only $9.48/point!!

That is REALLY cheap considering my SSR deal i just made ($120/point - 210 Points, 185 Bonus Points, Seller Pays '21 MF + 50% CC) that very well may get taken in ROFR comes out to $3.28 per lifetime point with $7.11 in Dues.... $10.39/point.

Almost $1 more!! WOW!

 

[Jimmy Geppetto]

Last subsidized trade I see reported in the ROFR thread is $132 with 2021 points. That amounts to $3.22 per lifetime point + $6.26 in dues is only $9.48/point!!

That is REALLY cheap considering my SSR deal i just made ($120/point - 210 Points, 185 Bonus Points, Seller Pays '21 MF + 50% CC) that very well may get taken in ROFR comes out to $3.28 per lifetime point with $7.11 in Dues.... $10.39/point.

Almost $1 more!! WOW!

Bingo Bango! And you get the subsidy for the life of the contract.

 

[ONeilcool]

I'm super excited that I just got an offer accepted on a subsidized AUL contract. I did my research and I think people WAY undervalue the subsidy. If my research is correct, Disney pays almost exactly 25% of the dues and when the dues increase the relative percentage stays the same. What this means is that as dues increase, the savings will increase as well. Right now the subsidy saves you a little more than $2 per point, but for example, when the dues hit $12 (which they will eventual due to inflation etc) the subsidized contracts will only be $9 so you'll be saving $3 per point and this will only go up as time goes on!

 

[DKZB]

I'm super excited that I just got an offer accepted on a subsidized AUL contract. I did my research and I think people WAY undervalue the subsidy. If my research is correct, Disney pays almost exactly 25% of the dues and when the dues increase the relative percentage stays the same. What this means is that as dues increase, the savings will increase as well. Right now the subsidy saves you a little more than $2 per point, but for example, when the dues hit $12 (which they will eventual due to inflation etc) the subsidized contracts will only be $9 so you'll be saving $3 per point and this will only go up as time goes on!

if you are open to it, you should post how much you paid on the ROFR thread. This info helps members who are in the market by seeing what others are paying and if the contract is taken by Disney.

 

[RoseGold]

I've never actually looked at AUL contracts but I like a good bargain. How do you know if it is a subsidized contract. If it says nothing on the listing, i would assume its un-subsidized. Any other tips from those who've bought or looked?

I seriously considered a subsidized contract pre-pandemic, and I decided against it based on the Hawaii law changes and tax policies, which do not benefit owners IMO. DVC beach properties are historically high on maintenance dues, and Hawaii has changed timeshare rules and property taxes. Those taxes are passed to you as dues. Aulani dues are somewhat low now, but it could easily flip.

I also didn't want to own a resort that may never sell out and DVC will always be selling direct. The demand is just not there, and maybe never will be. Maybe your crystal ball is different than mine.

 

[DKZB]

I seriously considered a subsidized contract pre-pandemic, and I decided against it based on the Hawaii law changes and tax policies, which do not benefit owners IMO. DVC beach properties are historically high on maintenance dues, and Hawaii has changed timeshare rules and property taxes. Those taxes are passed to you as dues. Aulani dues are somewhat low now, but it could easily flip.

I also didn't want to own a resort that may never sell out and DVC will always be selling direct. The demand is just not there, and maybe never will be. Maybe your crystal ball is different than mine.

All very valid points....one might argue that WDW properties sell for more because there is more VALUE in them for some of the reasons you mentioned.

 

[DVChris]

Does anyone know if the sewage spill issues have been fixed in Ko Olina? The latest I can find online is from 2017 and it was still a major issue in the area, needing about 2 years and $34mm to fix.

Also, anyone know if the Atlantis Resort is still on track to being built next to Aulani? I read that it is expected to be twice the size of Aulani and have 800 hotel rooms and 500 luxury residences.

 

[scoobdoo]

Also, anyone know if the Atlantis Resort is still on track to being built next to Aulani? I read that it is expected to be twice the size of Aulani and have 800 hotel rooms and 500 luxury residences.

No. The Chinese company behind it has no money.

 

[Paul Stupin]

I seriously considered a subsidized contract pre-pandemic, and I decided against it based on the Hawaii law changes and tax policies, which do not benefit owners IMO. DVC beach properties are historically high on maintenance dues, and Hawaii has changed timeshare rules and property taxes. Those taxes are passed to you as dues. Aulani dues are somewhat low now, but it could easily flip.

I also didn't want to own a resort that may never sell out and DVC will always be selling direct. The demand is just not there, and maybe never will be. Maybe your crystal ball is different than mine.

But the resale demand is there. The Aulani price per point has gone up almost 50% in the last year.

 

[Jimmy Geppetto]

Rising tides lift all boats.