Is DVC worth the cost?

[MsMinnieMouse246]

My husband and I have always talked about becoming a DVC member but the $20,000 initial fee is WAY out of our budget. Does Disney ever offer some sort of plan or an easier way to become a member?

We always joke together that maybe one day Disney will have a special offer going where they will waive that initial fee for new members One can dream....

 

[RobDoc]

There is no $20,000 initial "fee". There is an initial purchase of an ownership interest in a DVC Resort followed by annual fees to support/maintain that resort. The "Ownership Interest" is expressed as points that may be used to pay for the reservations you will make at that and/or other DVC resorts and reservation options. The cost will be based on the number of points purchased and the method of purchase. Many here have been able to make that initial purchase for a few thousand dollars.

There are two options for purchase - you can buy directly from Disney (the developer of the resort) or you can purchase contracts through the resale market, usually at significant discount.

You should start researching the product, both by reviewing threads on this site, by taking the DVC tour at WDW sometime and by asking questions here.

DVC can be a great option for those who travel to WDW regularly but there is a lot to learn about the program.

Good luck with your research.

 

[MsMinnieMouse246]

There is no $20,000 initial "fee". There is an initial purchase of an ownership interest in a DVC Resort followed by annual fees to support/maintain that resort. The "Ownership Interest" is expressed as points that may be used to pay for the reservations you will make at that and/or other DVC resorts and reservation options. The cost will be based on the number of points purchased and the method of purchase. Many here have been able to make that initial purchase for a few thousand dollars.

There are two options for purchase - you can buy directly from Disney (the developer of the resort) or you can purchase contracts through the resale market, usually at significant discount.

You should start researching the product, both by reviewing threads on this site, by taking the DVC tour at WDW sometime and by asking questions here.

Good luck with your research. DVC can be a great option for those who travel to WDW regularly but there is a lot to learn about the program.

Thank you! This helps out a lot - I never really understood the program and didn't realize the what the cost was.

 

[ziravan]

Look resale and start with a smaller contract. You can find 100 points at SSR for something like $8500 including closing, maybe cheaper. Check out the timeshare store banner at the top of this thread.

If you still need help, many people here strongly recommend not financing, but financing does exist. Monera financial finances DVC without credit check for up to five years. You could probably get started for slightly less than $1000 down for a 100 pt SSR contract.

www.monerafinancial.com

 

[DizBub]

To answer your question, yes it is worth the cost to us.

Years ago we heard from someone that it cost $11,000 to get into DVC and thought immediately we could not afford that and never looked further into it. Much later, after we took the time to actually find out we realized that it is a point system and you buy the points you need. Unfortunately we love it so much we need more and more. Looking back at all the trips we made on cash we should have bought all those years ago.

You have gotten good advice here but you should read and research a lot to see if it really is a good fit for you. At first it seems very complex but it really is pretty simple once you understand the system. Ditto the advice on resales. No way would we pay what Disney wants direct these days.

 

[chalee94]

My husband and I have always talked about becoming a DVC member but the $20,000 initial fee is WAY out of our budget.

yeah, my entry cost was less than $4000. DVC is very scalable - you can buy small if you only need a studio room for a week every other year or so...or you can spend hundreds of thousands to be able to afford a 3BR grand villa with a pool table and a view of an african savanna for several weeks.

it all depends on what you are trying to accomplish.

there are point charts linked at the top right-hand corner of the screen that will tell you how many pts it takes to rent each type of villa in each resort during different parts of the year.

Does Disney ever offer some sort of plan or an easier way to become a member?

as Doc said, it's better understood as becoming an "owner" than becoming a "member." you are buying a real estate interest (a timeshare that is deeded but operates much like a lease) and are responsible for the continuing upkeep for that resort (which is charged as "annual dues" or "maintenance fees.")

here is some starter info on the DVC program:

http://allears.net/acc/dvc.htm

you'll also want to look at the DVC Resource Center for a ton of interesting information about the different DVC resorts:

DVC Resource Center

if you start thinking DVC is for you, hang around the DVC forums and read random threads to get an idea of how current owners like the program and what issues you might run into...so that there are fewer surprises if you decide to commit a lot of money into buying into DVC...

have fun learning.

 

[disneynutz]

If you vacation every year at Disney in a deluxe resort then buying DVC may save you some money, otherwise it will probably cost you more.

A DVC ownership with yearly Disney vacations for 30 - 50 years can cost a couple hundred thousand dollars with travel, food, DVC, admission, and Disney stuff. We consider our yearly Disney vacation a luxury.

Bill

 

[JimMIA]

In addition to your initial outlay, each owner pays for the upkeep and operation of their home resort. Those MFs (maintenance fees) are called "Annual Dues" by DVC for the same reason they call their timeshare sales personnel "Guides." They don't want you to think of "timeshares!"

The annual dues per point are one of the items shown in the DVC Resources thread referenced above. They vary a good bit from resort to resort, but the per point MFs are the same no matter how many points you own or whether you bought them directly from Disney or resale.

If you hold DVC for any significant number of years, the accumulated MFs will add up to more than your initial purchase cost -- so don't ignore them.

Resale market
There is an active resale market. One way to get an idea of selling prices is to look at the DIS ROFR thread, complied here in the DVC Purchasing forum.

ROFR stands for "Right of First Refusal." DVC has a contractual right to review each resale transaction -- and to step into the shoes of the buyer with exactly the same terms the seller and buyer negotiated. If DVC thinks the price is too low, they purchase the contract and then resell it themselves.

The ROFR thread tracks reported transactions, and is a pretty accurate picture because it reflects prices contracts actually sold for, rather than the asking prices you see on brokers' websites.

 

[crisi]

Also don't ignore travel expenses, food, and park tickets. DVC saves a few people money, but for many people, its a more effective way for Disney to suck money out of our pockets - and for us to be pretty happy with that. It will be more expensive than staying at a value - and even if you stay Deluxe, there are some psychological factors that tend to make it easy for members to spend more once they are members.

There is no "free dining" with points. DVC members get a few perks (like discounts), but not many and nothing contractually guaranteed - perks come and go.

 

[wilkeliza]

It really depends on each family.

We took how many points we would need (200) and figured out the cost across all 50 years of the contract. We figured out it ended up being about double the buy in cost. When we were looking at just the buy in we were like awesome great deal but then when we though about the yearly dues it became less of a good deal for us. My group decided next year we are just going to look at buying a vacation home in Orlando. This would allow us to bring the nieces and nephews for quick pop by trips and if we wanted to indulge we would stay on property. We already have renters for the time we aren't there. However, this method also won't work for everyone either, we just already work in real estate so we are familiar with it.

I have discovered members will always say 100% it is worth it but I have found you really have to look for yourself and decide what is best for you and your family.

 

[crisi]

I wouldn't say always and 100%, but for a lot of people who hang on this board, it was a really good fit. And for others, a less good fit but now they have an investment in it. But it certainly isn't a good fit for everyone - its a luxury purchase. Which means you need disposable income that will be reliable for the foreseeable future to use the timeshare. Its a commitment to Disney - if you aren't using it primarily for DVC at WDW (or one of the other DVC properties) you would do better with other options. Its for people who really prefer onsite - if you are happy offsite there are other options that are more reasonably priced. Its for people who can plan ahead - there are times of year where getting a room on less than three months notice (or even more) might be difficult. There are other things that make it a poor fit, but those are some of the big ones.

 

[Dean]

My husband and I have always talked about becoming a DVC member but the $20,000 initial fee is WAY out of our budget. Does Disney ever offer some sort of plan or an easier way to become a member?

We always joke together that maybe one day Disney will have a special offer going where they will waive that initial fee for new members One can dream....

as noted, it depends. you need to learn a lot more and then see if it's a good and responsible option for your situation. IMO this usually takes a good 6 months of active investigation. I'd buy resale and IMO, it one can't pay cash or have other consumer debt, it's a luxury purchase one cannot afford at the time. For those that can afford it, it's only a reasonable purchase for those who would pay OOP for an on property moderate or above, can plan at least 7 months out and who don't mind the compromises of a timeshare.

 

[JaySwash]

My husband and I have always talked about becoming a DVC member but the $20,000 initial fee is WAY out of our budget. Does Disney ever offer some sort of plan or an easier way to become a member?

We always joke together that maybe one day Disney will have a special offer going where they will waive that initial fee for new members One can dream....

There is Disney tourist blog site with a beginner's guide to dvc.

I found that to be a good starting place for dvc info.

 

[Lynne M]

I would say that 'worth' depends on what you expect to use your membership for - what you expect to get out of it.

Boiled down to the basics, what you're buying is the right to stay at DVC resorts for the length of your contract. Subject to availability. Your timeshare ownership means that you'll likely pay less over time for your lodging at DVC resorts than you would for cash reservations for the same rooms. That's pretty much the one and only reason to buy - it's a cost effective way of pre-paying for your resort stays.

At its core, DVC is really just an alternative way of paying for your resort rooms. Aside from the occasional discount (most of which are also available to FL residents and/or AP holders), and the occasional perk (like access to the BLT lounge or pool-hopping), you can have the same vacation experiences by booking through Disney, or renting a reservation from a DVC member.

 

[deploylinux]

DVC seems to be most valuable for:
* Large families or those bringing many guests on annual vacations
* Those that can plan their vacations 7 months - 1 year in advance almost every year
* Those that are willing to limit their vacation destinations most years to locations where there are Disney Resorts, or who may occasionally take a DCL cruise (resorts are a much more effective use of points)
* Those that are concerned about future economic inflation and wish to lock in the costs of vacation travel 20 yrs+ in the future
* Those that can afford the initial points purchase and value vacations enough to be willing to spend a not insignificant amount of $ annually on vacations over a 20-30yr time frame.


The further away you are from the above, the less valuable DVC will be to you. While DVC is perhaps not as risky of a purchase as other timeshares, it is relatively expensive - especially as you are gaining nothing more than 50 yr lease + commitments for maintenance expenses.

 

[HokieGCC]

If you are highly accurate with your purchase and decision making then you might save money. One of the members suggested 6 months of research and that is good advice. We researched it for 15 years before buying ..haha.

 

[Meerkatx]

Good info thx

 

[sonofanarchy]

At its core, DVC is really just an alternative way of paying for your resort rooms. Aside from the occasional discount (most of which are also available to FL residents and/or AP holders), and the occasional perk (like access to the BLT lounge or pool-hopping), you can have the same vacation experiences by booking through Disney, or renting a reservation from a DVC member.

I agree. I've researched DVC inside out, upside down, from every possible angle, directly through Disney and resale, for well over 10 years. I'm always amused when someone from Disney says "Well, if only you had bought 10 years ago..." There is so much wrong with that statement.

No matter how many times I crunch the numbers, whether it be on a whim or spend a couple of hours with a calculator and a spreadsheet, it always comes out the same. Yeah, I MIGHT save a bit of money, but there are far too many variables to say it will definitely save us money. And worth is up to the individual. But as Lynne said, in the end, it's just an alternative way of paying for your resort rooms.

 

[disneynutz]

We all have different expectations, different vacation patterns, different requirements and levels of knowledge.

The one thing that most of us don't discuss is that buying DVC and owning are not a life long required relationship. If you do your homework, buy where you love to stay, use DVC for a few years, take some Disney vacations you will know if DVC is for you.

If it isn't, sell.

Bill

 

[sonofanarchy]

We all have different expectations, different vacation patterns, different requirements and levels of knowledge.

The one thing that most of us don't discuss is that buying DVC and owning are not a life long required relationship. If you do your homework, buy where you love to stay, use DVC for a few years, take some Disney vacations you will know if DVC is for you.

If it isn't, sell.

Bill

I agree, but there are other considerations. DVC is sort of like buying a new car. If you buy a new car and heaven forbid something happens in the next few months, you're bound to lose money and worse, mess up your credit.