Is the increase in Resale pricing scaring you?

[corpcomp]

I just talked to TTS after getting their latest email re available contracts. I was considering a smaller contract to add on.

There is only 1 for sale at BVC and that is a large contract at $92. TTS indicated prices are definitely going up at BCV, partly due to the fact that it is a smaller resort and available contracts are going down. It's a sellers market finally again. Of course DVC raised all their prices as well which drives the resale value. The statistic that stood out was 4 years ago TTS had 7000 on their contact list. They now have closer to 25,000.

As a very local comparison, there are 5 contracts available at BWV but they are also larger and in the 80's. Several months ago I believe they were mostly in the 70's as was BCV.

Good news - if you have to sell you will get more.
Bad News - if you want to buy more, it will cost you more.

But then again you can't put a price on happiness, right?

 

[pinnocchiosdad]

Bite the bullet and make the purchase. Then any continued price rise will be an increase in your properties equity.

 

[corpcomp]

Bite the bullet and make the purchase. Then any continued price rise will be an increase in your properties equity.

Yes I am on the waitlist. Just nothing available now.

 

[OrangeCountyCommuter]

You are looking at the resort that never dropped as hard as some other resorts so I am not sure you can take BCV and say "resale" in general. I didn't see much at 70 when I was deciding which of my contracts to sell last year. From a financial point BCV was the one to sell, mine are small and I figured I could get 80 or so, but I went with other contracts because I wanted to still own at BCV.

There are still cheaper options out there you have to decide if price or location is your driving factor.

I would also get on other brokers listings. I don't list with TSS anymore and I am sure there are others that choose other brokers for whatever reason.

 

[corpcomp]

You are looking at the resort that never dropped as hard as some other resorts so I am not sure you can take BCV and say "resale" in general. I didn't see much at 70 when I was deciding which of my contracts to sell last year. From a financial point BCV was the one to sell, mine are small and I figured I could get 80 or so, but I went with other contracts because I wanted to still own at BCV.

There are still cheaper options out there you have to decide if price or location is your driving factor.

I would also get on other brokers listings. I don't list with TSS anymore and I am sure there are others that choose other brokers for whatever reason.

I saw most on the TTS listing in the low to mid 70's last year when I purchased a small contract. My original contracts were in the mid $90's back in 2006 through DVC, so essentially the resort lost about $20 per point in the recession. Now half that has come back. Last purchase last May 2012 was a 30 point contract at $80 which I was happy with. Now there is a 25 point contract going at $90. But being distracted with the cost of sending my DS 17 (oops - 18 as of yesterday) to Georgia Tech at $43K per year. Those in-staters have a great deal there.

 

[nickspace]

I am not scared but surprised. I am happy because DVC holds its value so well and I am not ready to add on for another 7-10 years. I am curious what the resale prices will look like then.

 

[drusba]

As an owner who already likely has all the points he is ever going to buy and may someday need to sell, I am fine with the price increases. However, the thing that actually impresses me about the decrease in resale inventory and rising resale prices is that it is just one more sign that the overall economy must be recovering.

 

[corpcomp]

As an owner who already likely has all the points he is ever going to buy and may someday need to sell, I am fine with the price increases. However, the thing that actually impresses me about the decrease in resale inventory and rising resale prices is that it is just one more sign that the overall economy must be recovering.

Absolutely! Just not as fast as many would like to see.

 

[corpcomp]

I am not scared but surprised. I am happy because DVC holds its value so well and I am not ready to add on for another 7-10 years. I am curious what the resale prices will look like then.

At the current rate, in 7-10 years we will be easily hitting $200-$250 per point through DVC so a standard 160 point contract will be at least $32,000. The real question is what the ticket prices will be - Probably $140 per person per park per day figuring about a 5-6% increase every year. Can the average middle class family afford that? And I forgot what the price might be for a turkey leg!!

 

[dizfan]

Not scared and not surprised.
It was easy to see that DVC had a major problem on their hand at the peak of the economic crash.

March 2009, economy hit the bottom.
In 2009, DVC added around 10 million new points (Kidani, BLT, THV, and VGC all opened).
2009-2011, a ton of points were coming back to DVC through foreclosures.

Today, DVC has less than 1 million AKV points, VGF is small and selling well.

Much different than 2008-2009 when millions didn't know if they were going to have a house or job, let alone ever vacation again.

 

[Belle & Ariel]

I get emails from the reseller we purchased through and have been happy at the increased prices. I don't think we will add on or sell but I feel DVC is in better shape at the higher price.

 

[OrangeCountyCommuter]

At the current rate, in 7-10 years we will be easily hitting $200-$250 per point through DVC so a standard 160 point contract will be at least $32,000. The real question is what the ticket prices will be - Probably $140 per person per park per day figuring about a 5-6% increase every year. Can the average middle class family afford that? And I forgot what the price might be for a turkey leg!!

But a lot of the resale contracts will be heading quickly towards expiration in 10 years. I doubt they will bring as much as a percentage of "new" as resale a do now

 

[spruce]

But a lot of the resale contracts will be heading quickly towards expiration in 10 years. I doubt they will bring as much as a percentage of "new" as resale awhich do now

In 10 years there's still about 18 years left on a 2042 contract which isn't quickly heading towards expiration. That's a new born all the way through high school, plenty of time to make family memories. I don't have a clue what the value will be then.
I wonder after 1-1-42 what I'm going to do at 81 for more disney trips.

 

[BWV Dreamin]

In 10 years there's still about 18 years left on a 2042 contract which isn't quickly heading towards expiration. That's a new born all the way through high school, plenty of time to make family memories. I don't have a clue what the value will be then.
I wonder after 1-1-42 what I'm going to do at 81 for more disney trips.

A little birdie has told me a BWV extension has been on the table for a couple of years now.. just sayin ( wink)

 

[spruce]

A little birdie has told me a BWV extension has been on the table for a couple of years now.. just sayin ( wink)

Cool, we didn't extend at okw, which is our biggest contract, we do have 2 bwv contracts that are smaller and would consider an extention on one of those contracts. Smaller contact equals less out of pocket.
I of course still question if an extension is worth it with me at 81, wife at 77, son at 56 and grandkids at 31 and 29, and probably great grandkids that got to go before 2042.

 

[bnlbebes]

A little birdie has told me a BWV extension has been on the table for a couple of years now.. just sayin ( wink)

I am considering adding onto my current BWV contract, and having the option to extend our ownership would be a BIG plus!

 

[DougEMG]

A little birdie has told me a BWV extension has been on the table for a couple of years now.. just sayin ( wink)

While I probably wouldn't be able to take advantage of a BWV extension personally, I'm sure my daughter would make good use of it, so if an extension at BWV ever happens I'd be interested. Given how bad the OKW extension went, I doubt though we'll see one happen.

 

[Imagineer2Be]

While I probably wouldn't be able to take advantage of a BWV extension personally, I'm sure my daughter would make good use of it, so if an extension at BWV ever happens I'd be interested. Given how bad the OKW extension went, I doubt though we'll see one happen.

Could someone please enlighten me on how bad the OKW extension went? I haven't seen any posts about this before.

 

[dianeschlicht]

At expiration in 2042, I'll be 94.5 years old. Our children are in their 40's and have not produced grandchildren at this point, so I'm thinking that ship might never sail. Since I won't have grandchildren to pass it on to, I don't see extension to make any sense to us. It's the reason we didn't extend OKW back when we had the opportunity.

 

[Anna114]

Holy cow! I read the title of the thread and then looked at the prices at VWL... Holy kaka. I paid $75 and $70 respectively for my contracts back in 2009 and 2010. Not that I was planning to buy but I always keep an open mind for small contracts with an Oct UY