Is Dvc price too High?

[Laurabearz]

We bought in to DVC to take money out of the stock market, and invest it in our hotel accomadtions for the next 40 years. In fact DVC has prolly saved me 5-10 grand due to how much the market went down after we purchased our points. But we purchases our points either via resale of before the point increase........

 

[CarolMN]

I don't think VB is all that far from being sold out. Apparently, there isn't even enough left to sell there to justify an on-site (at VB resort) sales staff. If that is the case, VB will probably be fully sold before BCV sells out. JMHO. YMMV.

 

[Richyams]

I may be completely wrong, I can't even put a finger on where I got this idea, but I also thought VB was sold out or very close.

Are we wrong?

That does put an entirely different light on things....it means that the lie "Buy at VB, its the only thing we have available and you can stay wherever you want, whenever you want, the seven month window is meaningless"....will be told over and over.

Maybe my first impression was right. They purposely planned this period with no inventory to get VB and HH sold, HH is sold, I though VB was too.

 

[Gigashadow]

1. Price too high - Bought points at $65.00
2. stock market, jitters of the economy - Sold everything at overvalued prices $$$
3.oversaturatation of market in WDW - The more saturated the better, it will keep our dues from jumping due to low occupancy's - and Orlando has LOTS of places to go
4. People not traveling - I live in NY and we have 3 trips in 2002 year alone (All Flying)
5."Discounted" hotel rates IN WDW - Discounts as very good as we used to always use them - but kitchens and room sizes are the + for the family

"Is it worth it to you?"

This is the #1 question for anyone purchasing anything.

My question would be, Do you forsee yourself travelling to Orlando for multiple reasons spending money on resort reservations at WDW for 10+ years, then read away at the posts that will support the reasons we all bought into DVC. My cash trips to the Poly would have bought me a good amount of points. Second, If you never seen the DVC rooms and need a little more incentive, Go for the room tour at BWV's. You know your monetary allowances and your vacation expectations. Good luck with your further studies on DVC.

 

[yasuern]

In answer to your ?
No $80.00 a pt is not to high - as a former frequenter of the All Star resorts I can say without hesitation BUY DVC!!!! The All Star resorts nightly price will btwn now and 2042 increase and in about 5-10years your dvc purchase will seem like the greatest bargain. Comparing DVC resorts to economy Disney resorts is like comparing day and night although both have their place they are hardly interchangable. JMHO

 

[deerh]

Thanks for all your opinions on this question. I agree with Doc that they will not let go of the DVC on property and will always have something to sell, either a pre-sell of DVI, or something. I still say, the days of 8% increase of hotel rooms including DVC rooms is over for the short time. Maybe they will go back to that, but I think the economy will be slow in recovering. They said 10000 on the dow in 6-18 months. It could be that slow, for now I would say DVC prices will not go up until DVI is built, and I am not sure when that will be. I agree, DVC is a good "hedge" against inflation, just not the ones we were lead to believe 2 years ago or more. As Rich would say, that is a "fabrication", hotel rates will rise 8%+ in the years to come is what I was told when I bought in! I think those days are over, so is your "investment" less than what you bought it for? Another question as someone said, resell prices are not following the retail price now, is this a trend?
Just my .02 worth......
deerh

 

[fkj2]

I bought DVC to enjoy WDW and the exchanges (have yet to do any) and stay at high quality accommodations. Since I did so early in the program, there is no doubt that I have recouped my "investment" and I use that term loosely; it is still primarily a vacation destination.

But, after the purchase, there are the yearly maintenance fees and for those who borrowed, a mortgage. If many buyers have a primary home mortgage, car payment (maybe more than one), any credit card debt, college tuition, etc., it may be that should things slow down significantly, DVC may be more of an expendable expenditure. If enough people feel a "pinch", there goes the secondary market.

This sounds somewhat like the stock market mantra of the 90's; it's a new paradigm. Well, my 401K looks like, well, let's just say "OUCH"! Should the pension plans have the kind of losses that begin to affect retirement payouts, people may really panic and sell their stocks. And these aren't JUST internet companies who don't make money. JNJ has lost around $25 from its year high. That's a chunk of change. Daddy always said, "A bird in the hand was worth two in the bush" and I've read articles lately where the interviewees have concerns that we are headed for a significant slowdown. Look at Japan and how the market remains in the dumper there after, what, 12 or more years. NASDAG is down about 66% off its high. Worldcom's about to declare bankruptcy. Who's got them financed???? I think there's a legitimate concern about things that people should at the very least consider how serious this could be.

 

[doubletrouble_vb]

DVC is not All Stars, and its not Port Orleans and thank god its not Pop Century. Just look at the resorts...they are either attached to golf courses or delux(ish) hotels.

I think resale and Disney are in different markets. Resales are bought by people who already own or who have the urge to research and find a bargain. Disney can grab impulse buyers...and of course impulse buyers are usually willing to pay more. IMHO the resale market hasn't risen to within $10 of the Disney market because that market is looking, analysing to death and choosing not to pay 70 per point (yet).

I do think when BCV sells out the price for BWV & BCV will rise with VWL rising a bit slower and OKW slower still. This is not a 'dis' of OKW just an observation that Disney doesn't have a published plan to build another DVC at a theme park at this time. The only reason I say VWL will rise slower is because it is in a bit of a backwater (which is why i love it).

 

[Kick it up a notch!]

I think that everyone is confusing the stock market with the economy. The economy is still chugging along at a good clip (albeit a little slower than before) The stock market however is a different story. We have seen an unprecedented dip (yes, it is only a dip) in the market and it still may go down a little more, probably not too much. If anyone has cash, now is the time to buy mutual funds and stocks. Now is not the time to sell. If people are liquidating their portfolios, that is the danger. That in and of itself could affect the economy and that is not good. If people are liquidating their holdings, I don't really think they will spring 10-15K on a timeshare. If the economy starts to falter, this will really have an adverse effect on the value of DVC. The price is what it is, if people are paying it, then that is what it is worth. If the mentality changes then maybe it will not be worth it. To answer the question is it priced to high, my answer is not at this time, but it could be in the future.

RIch, I agree with you with the stipulation that the economy stays the same or improves. If it gets worse, I don't see DVC getting those prices. Price is what the market will bear. Look at Vero, while the product is the same, the market does not bear the same demand that BWV does because of its location. It is still DVC. We have to see what will happen to the market before we can determine future values, but right now the price is $80 and yes it is worth it, just look at the sales pace.