Is DVC a savings or a luxury?

[frannn]

MY SIL is a member of DVC for about 2 years, and has been trying to get DH and I to join so she can get bonuses. I would love to join if the savings will outway the cost. After our honeymoon trip in 1999, I decided to try to go to WDW at least once a year, but inexpensively. Once we've gotten the date set (DH does not have major flexibility), I try to get the least expensive car, airfare, on site room (with AP, codes, etc). I usually do a pretty decent job with the room, due to APs, this site, and mousesavers. We usually stay at the All Stars. I'm wondering how this compares the a DVC room cost, per night. I am aware the rooms are better and have more ammenities. We usually travel in the regular season (March, Oct) and would stay in the smallest room possible (DH, baby, and me) for approx 12 days. This time we are looking at 12 days from Thurs to the second Mon. I've been averaging 65-100/night at the AS, but how much would this cost with DVC? Thanks!

 

[TandyR]

Well March is the Magic Season for DVC and October is the Dream Season. So the point useage would be different. For March for 12 days a studio would be 208 point, 1Br would be 420 and a 2Br would be 545 and for October it would be for a studio 176, 1 Br 356 and 2Br 468. (I used Beach Club Villas for these point values because that is what is for sale right now.) I am going to assume that you would want a a studio most of the time for you trips since you like doing it on the cheap and I am going to assume you need 210 points so you would have enough for October and you can bank them if you go in March. I beleive it is $68 per point right now. So it would be $14,280 to buy the points and they are good until I think 2048 and you whould have about $830.33 for annual dues. So your stays at the All Stars would have to be less then $1150 to make it worth it to you or about $105 per night. That is not counting the discounts that DVC gives you at WDW and the discount at the Disney Stores...and also doesn't count the prouporty tax you pay on DVC is tea deducable and if you take a mortage for it the intrest is also tax deducable, but then you have to add in the abount of intrest you pay to the figures I gave you. In the end only you can decided if it is worth it to you. We decided it was because we _LOVE_ haveing our own kitchen and be able to cook our own meals in a real kitchen rather then juryrigging something or eating at resturants all the time. I hope I have been of some help. Just remember only you can say if it is really worth it for you family and only you know your family so take your time and think about it.

 

[TandyR]

Well March is the Magic Season for DVC and October is the Dream Season. So the point useage would be different. For March for 12 days a studio would be 208 point, 1Br would be 420 and a 2Br would be 545 and for October it would be for a studio 176, 1 Br 356 and 2Br 468. I am going to assume that you would want a a studio most of the time for you trips since you like doing it on the cheap and I am going to assume you need 210 points so you would have enough for October and you can bank them if you go in March. I beleive it is $68 per point right now. So it would be $14,280 to buy the points and they are good until I think 2048 and you whould have about $830.33 for annual dues. So your stays at the All Stars would have to be less then $1150 to make it worth it to you or about $105 per night. That is not counting the discounts that DVC gives you at WDW and the discount at the Disney Stores...and also doesn't count the prouporty tax you pay on DVC is tea deducable and if you take a mortage for it the intrest is also tax deducable, but then you have to add in the abount of intrest you pay to the figures I gave you. In the end only you can decided if it is worth it to you. We decided it was because we _LOVE_ haveing our own kitchen and be able to cook our own meals in a real kitchen rather then juryrigging something or eating at resturants all the time. I hope I have been of some help. Just remember only you can say if it is really worth it for you family and only you know your family so take your time and think about it.

 

[dcfromva]

Hmmm--Well, of course there is no easy answer to your question because there are a lot of variables.

In your example, lets take 2 scenarios for this year (2003):
March 2, 2003 arrival date (this is a Sunday and makes it so you only have 1 fri/sat in your date range) for 10 days. All examples are for a studio.

Old Key West (OKW) would need 142 points for a studio
Beach Club Villas (BCV) would need 176 points for a studio

During that time frame OKW =11points per night M-TH and 27 points per night for FR/SA
BCV=14 points per night M-TH and 32 points per night for FR/SA

Some years (depending when Easter falls and when spring break is), the points could be a lot higher.

For October--picking an arrival on a Sunday night Oct 5th for 10 days
OKW 106 total points (8/night weekdays, 21/night FR/SA)
BCV 142 total points (12/night weekdays, 23/night fr/sa)

What are the actual costs: you have to figure your price per point
(total purchase price divided by 39 years left on the contract plus interest cost--if any) plus your yearly maint. fees. For me, it comes out to be almost $6.00/point (but, I bought last year and the price has increased since then).... You would be buying into BCV or VWL, I would expect.

For me, I estimate it would work out as follows (remember--there isn't any room tax on top of this)
$85.20/night for OKW in Mar this year
$105.50/night for BCV in Mar this year
$63.00/night OKW in Oct this year
$85.20 BCV in OCT this year

Is it worth it? Hmmm. Well, it is true that the maint. can go up each year, but there are limits as to how much they can go up in any given year. So, I think DVC ownership does a fine job of stabilzing the costs.
Has your sister let you borrow points to stay at a DVC property? I think actually staying at a DVC property is the biggest selling point. With a baby, I am sure you would find it convenient to have a Fridge and a microwave (which every studio has). While the studios don't have a washer and dryer in each unit like the 1 and 2 BR units do, there is a washer/dryer in a community area to use at no add'l cost (you do have to bring your laundry soap).
Maybe you could ask your sister if you could borrow her membership materials and look at different scenarios as far as the points are concerned to get a better feeling for it.
By the way, points are now at $84/per point with a 150 point min. There may be some incentives which would lower the price per point.

-DC

 

[dcfromva]

whoops--
I should have said point totals are for 10 nights--but I misread your post--you would actually be looking for 11 nights/12 days-so the calculations would work out little differently.

For Mar 2nd arrival
okw 11 nights 153 points total
bcv 11 nights 190 points total


oct 5th arrival
okw 11 nights 114 points total
bcv 11 nights 154 points total


Actually, the average cost per night would come down in this scenario because there is only 2 weekend nights during the entire 11 nights... (I am using a cost of $6.00 per point--your costs could be higher)

OKW -mar 83.45 per night average
BCV - mar 103.63 per night average

OKW -oct 62.18 per night average
BCV - oct 84. per night average

good luck!
-DC

 

[CarolAnnC]

I stayed several times at the former Dixie Landings now known as POR prior to joining DVC in 1997. I paid in the vicinity of $99 per nite for a pool view room during those visits. That room price has at least doubled since then where my DVC purchase is good till 2042.

I find DVC to have been an excellent investment for myself and my family. I did finance my initial purchase of points and I have no regrets whatsoever. Only you can decide for yourself though. Good luck and let us know what the decision is.

 

[Scoootch]

Originally posted by frannn
After our honeymoon trip in 1999, I decided to try to go to WDW at least once a year, but inexpensively.

I'm wondering how this compares the a DVC room cost, per night. I am aware the rooms are better and have more ammenities

If you plan to go to Disney every year than DVC would probably work out great for you. The whole concept of DVC is for the accommodations on property to be affordable without increasing the room rates year after year -- at least this is how it was explained to me. While to book at any of the WDW resorts through CRO the rates increase every year, the point system for DVC is designed to not increase how many pts you pay for a particular size room every year. The pt costs for stays may increase during a particular date due to holiday dates changing but they at the same time have to decrease during a different date to even it out.

We spent around $9,000 or so for our pts when we bought into DVC in 1997 and were spending around $1,700.00 for our yearly accommodations at Dixie landings (Now Port Orleans-Riverside) one of the moderate resorts prior to joining DVC. That was before spending for food ,park tickets & air fare (we used to live in N.J.). We only bought 150pts. and have already paid them off. We get 150 pts every year and because they are paid for already we now don't have to spend any money on accommodations and the points are good until the year 2042 the only thing we spend money on is for food & park tickets and of course yearly dues. Which are only $508.69 for the year. (I know this because I just got done paying for this year) Much less than $1,700 a year was and that was 5yrs ago for the $1,700.00 I'm sure by now it costs even more since the regular room rates go up every year.

In any case, if you plan to go to WDW every year, eventually DVC pays for itself Plus if you ever need to sell your pts you are getting that money back so it has a cash value. I would do as another poster mentioned and ask to look at your SIL's DVC materials and possibly either take the tour while you are down at WDW or book a stay if you can at a DVC resort. Currently DVC is selling BCV's at $84 per pt with 150 pt minimum but you can also buy re-sale at the sold out DVC resorts for much less than that. If you go to the DVC forums on these boards the timeshare store has a banner up at the top of the message boards where you can click on "current DVC re-sales" and it gives you a list of what they have available. It will give you an idea of how much people are selling their pts for as far as re-sales go.

Hope this was of some help. It can be really confusing and overwhelming but in the end it's definetly worth it IMHO

Good luck!

 

[Lisa P.]

DVC can be a savings or not. DVC (like all vacationing at Disney or other fairly expensive destinations) is, of course, another way to have luxury in your life.

We usually stay at the All Stars.... regular season (March, Oct)... for approx 12 days. This time we are looking at 12 days from Thurs to the second Mon. I've been averaging 65-100/night at the AS, but how much would this cost with DVC?

So for 11 nights, including 2 weekends, you are spending about $715-$1,100 for the cheapest onsite option you have now. Let's see how this compares to the cheapest option at DVC.

March, 11 nights, OKW studio, including 2 weekends = (4 x 27) + (7 x 11) = 185.
October, 11 nights, OKW studio, including 2 weekends = (4 x 21) + (7 x 8) = 140.
So your average points needed would be 163 points, with banking and borrowing. Buying about 170 points would be appropriate for your needs. Now compare costs.

Purchase price on an OKW resale (no bonus for your SIL) would be about $11,500 including closing costs and your annual dues would be just under $600 per year.

If you opted to buy from Disney at either BCV or Vero (granting a referral bonus to SIL), the purchase price would be about $12,000-$14,000 (depending on incentive used) and your annual dues would be under $700 per year.

Either of those options assume you will stay in a studio at OKW for most trips. If you decided to use the points to stay at any other WDW DVC resort, your points costs for the same stay will increase to 176 points in October & 226 points in March, averaging 201 points per trip. So your overall points needs (purchase cost and annual dues) to vacation at other WDW DVCs besides OKW, would increase by nearly 20%.

So it looks like these are your options:

Pay as you go, seeking discounts, without any annual commitment or the upfront purchase expense of thousands of dollars. Spend $715-$1,100 per year for Disney hotel lodging. Take your chances and hope for continued access to good AP/Mousesavers discounts. Satisfy yourself with the Disney Value resort hotels. --or--

Pay $11,500-$14,000 upfront with a commitment of $600-$800 per year for maint fees. Receive a nicer studio room at a more pleasant resort with assurance of annual increases similar to the rate of inflation, stabilizing your annual costs. DVC is an upgrade from the All Stars. In this case, I think you would be paying for that upgrade. DVC is not the cheapest way for you (a family of 3) to vacation at Disney during your usual vacation stays.

Personally, I do not see the value of DVC for you at this time, given your family's current vacation style. JMHO. The annual savings (maint fees vs. AP rates at All Stars) is too small, coupled with the substantial DVC purchase costs and long term commitment. In January of 2042, the whole DVC thing reverts to Disney's ownership and I'm really not sure that you would even recoup your purchase costs in 38 years of such small savings in maint fees, considering the time value of money. Again, that's JMHO. If you wanted a way to upgrade your vacation style, DVC may be able to do that for you. DVC offers a better value when compared with staying at Disney deluxe hotels. Wish you well, whichever way you go. HTH!

 

[DMRick]

That room price has at least doubled since then where my DVC

Maybe it doubled if you don't use any codes or discounts, or only go at very busy times. We have been paying $79-$89 a night at POR with postcards (Jan, May and Augusts trips and we could have paid the same low trip for this upcoming vaction, but the $49 at Music was too good to pass up), AP (that's new to us) and DC discounts. I can't imagine paying double of your $99...which would be about $200.
Because we always use a code, AAA or DC, or Disney discount, we haven't seen yet, where we would save anything on DVC...and we go 3-4 times a year. We'll do the tour again this visit, to see if anything has changed..but so far, it just made for very expensive trips for us, if we joined. One person who says she loves being a member..actually said to me recently, that she has to keep telling me how wonderful it is..otherwise she would feel foolish for spending and commiting so much money.

 

[InstImpres]

I think it is the weekends that make it not such a savings for you. We try hard to only be there Sun-Thurs night. We to have stayed at All-Star but hated it. We thought the rooms were so small, that with the pack-n-play open we had to move my daughter to get to the bathroom.

DVC puts us at a nice resort and gives us a few pluses:
- Extra park time because of saving time on transportation (if going to MGM or Epcot from BCV or BWV)
- The fridge allows us to save on food in the park. When we are a larger group and get a 1 or 2 BR instead of 2 or 3 hotel rooms, we usually also have a few meals in room to cut costs (the full kitchen is wonderful)
- The savings to stay at a nicer resort vs. cash. We are staying in a 1 BR with points next month for what I calculate to be about $150 a night. When we couldn't get a night and needed a cash ressie it is $497.

Just my thoughts though.

 

[Simba's Mom]

I was amazed last trip how much the microwave and refrigerator saved me. Breakfast in my room daily-including coffee and bakery items or Entemanns, a cup of tea in my room in the afternoon, a snack in my room with a soft drink in the evening. Those little park snacks can really add up!

 

[Belle5]

It is a savings to be able to cook in your room. You have to decide if that's what you want to do on your vacation. The cost of DVC and it's maintenance fees could help pay for a lot of nice restaurant meals. I have really considered DVC and this is one of the arguments I've used to talk myself out of it. I'd rather have inexpensive accomodations and the experience of lots of great meals. It sounds to me like what you are paying at All Stars would be about the same as the yearly maintenance fees and you won't have to come up with the additional $11,500 just to start. (Yes, I know you can finance it but you still have to pay for it.)

 

[CarolAnnC]

I can't imagine paying double of your $99...which would be about $200

As I stated we had requested pool view rooms at the Dixie Landings which were more money than their standard view rooms of course. Here is the information on the room prices from the Official Disney Website regarding the current pricing of the Moderate rooms. Keeping in mind not everyone receives postcards for discounts in the mail.

"Rooms from $133 - $219* per night plus tax. The perfect combination of magical Disney theming, value and amenities, Moderate Resorts re-create charming places and bygone days. Each has its own delightful pool area, recreational facilities, outstanding family restaurants and food courts. Moderate resorts have their own special elegance at remarkably affordable rates"

 

[abeyst]

I've been a DVC Member since 1999, and it's the best decision I've made. Sure, it's over in 2042, but I don't have to pay for my room until then, and I don't have to fight with the ever increasing cost to stay at a Disney resort!

Remember that it does have a cash value-you can rent it on these boards. I have 2 kids under 4, and being able to rent them has helped out a number of times. We bought when we did because we knew the per-point cost would always be going up, and we could rent it if we were in trouble financially.

Go with your sister, if you can. If not, rent some points from someone at the boards. You have to see it for yourself by staying there.

I can tell you one thing, you will never forget the first time you pull up to the lobby and see how wonderful everything looks and the feeling you get when every cast member stops what they're doing to say "welcome home". You'll never go back to the All-Stars again!

 

[BuzzLightYear3]

I think one thing that gives DVC an edge when everything else seems to be close is the fact that you don't pay tax on the rooms. I don't know what the current rates are, but tax on a hotel room is significantly more than just sales tax.

Even if you decide DVC isn't worth the cost now, you might decide it is worthwhile later if the size of your family grows. We now have 3 kids and have found a 2BR at BWV really makes it a true vacation for all of us.....especially since we too stay for longer trips, e.g., 11 nights. It truly feels like a vacation when you don't have to go to sleep the same time as the kids and when the early risers can retreat to the living room without disturbing the others. And, the full kitchen is a huge money saver even if all you eat there is breakfast and snacks.

Also, as the other poster mentioned, you can get a relatively good deal on resales instead of buying from Disney.

Key point again is that even if DVC doesn't make sense for you now, you might want to keep it in mind for later.

Hope you have many great vacations whatever you decide!

 

[DMRick]

"Rooms from $133 - $219*

Yes..I see the list prices..but as I said..I know of no one on these boards who pays those rates. Most on this board plan ahead and watch for codes etc. Could you go last second with DVC and save from the list prices? I don't think so. So if you plan ahead to get the best use of your points, why not plan ahead for rates at POR?

Again, if you have yourself convinced it's good for you, then it very well may be. But I would rather spend all that extra money (which would stay in my savings or stocks (and my stocks are still doing OK)), and use just the interest on it, to pay for meals, etc, instead of cooking in a microwave. That way, I can go on more vacations and really have it be like a vacation. Not have to worry about cooking and cleaning, etc. I've been on a couple of the tours..and I've done the math. For us, who go 3-4 times a year (about 21-30 days), it's would not be a savings. We talked to one person down there who said she really spends more now, because she feels she has to use it, even if she would rather do something else. Obvioulsy Disney knew what they were doing when they came up with DVC..a lot of people have joined, and I'm sure Disney has made a lot of money. Most people we've talked to have invested much more in extra points than they ever planned to. We found out more about the DVC, by talking to people at DVC resorts..and I'm always surprised at how much more they have spent, then what I read on these boards. For those who say they are no longer paying for their room...unless I'm missing something, you are..in the form of maintenance fees...and if you are paying on the payment plan..interest rates, as well as the main payment.
But the bottom line is..if it works for you, then who am I to say it's not worth it. It just simply wouldn't be worth it for us.

 

[DMRick]

Keeping in mind not everyone receives postcards for discounts in the mail.

Also..if you re-read what I wrote..I said discounts with Postcards, DC, AP, AAA and Codes. You're right not everyone gets a postcard, but therei are lots of other discounts out there.

 

[InstImpres]

Just another thought.

We do breakfast or dinner in room as a time saver/ it just works as a money saver too! We do at least 1 big character meal a day so I don't at all feel cheated but I also don't always feeling like we are eating large.

Just a thought though, to each his own!

 

[CarolMN]

IMHO, given your current vacation habits, DVC will not be a savings for your family. Generally speaking, the "savings" are greatest for those who routinely visit more than once a year and stay at the deluxe hotels. DVC can still save you money over the long term if you visit at least every other year and stay in at least a moderate hotel. In the last instance your "break even" point will be much longer than in the first instance.

I do not you will ever break even if you compare DVC to staying in the value resorts. Of course, DVC accomodations are much more luxurious than those at the All Star Resorts, and there are other reasons to purchase DVC than just the $$$. But you will pay for that extra luxury and those other reasons. If you are satisfied to stay in the value resorts (and there is absolutely NOTHING wrong with that), then DVC is probably not for you.


My advice is to check out the analyses over on MousePlanet:

http://www.mouseplanet.com/dtp/dvc/

They will give you a balanced view of the financial considerations and other reasons to purchase DVC. Don't let anyone pressure you into something that may not be right for you.

For the record, I am a very happy DVC member. While DVC has definitely given us the opportunity to stay in much nicer accomodations than we were used to previously, I can not honestly say it has or will save us money. The main reason for that is that we now go more often than we otherwise would! Kind of like buying something I really don't need on sale, and then claiming I saved $$. If I compare the purchase to the regular price, yes I saved money. But since I really didn't need it to begin with, my DH says my logic is faulty, LOL!

Best wishes!

 

[skiwee1]

After looking into it seems to be a relative bargain compared to what you pay for it. While many think it's great I am not a DVC type person. I'd rather pay more money and get the resort I want and when I want. It may seem like someone is spending big bucks on it, it does work out to be quite cheap when you figure in the vacations you get. So I think it is big savings but not for what I want.