Is there a limit to the amount that maintenance fees can increase each year?

[DisneyGirl614]

Hi Everyone! My husband and I are seriously considering buying into the AKV this fall, and I was just wondering if anyone knew if there was a limit on how much Disney can raise the maintenance fees each year. I have this fear that they will skyrocket, and 30 years from now we'll be in our fifties and struggling. Thanks for your help!

 

[DebbieB]

15%, not including taxes. It has averaged around 5%.

 

[dianeschlicht]

Most years it has been around 2-3% increase, and some years it actually went DOWN at OKW. THis happened shortly after we bougt in, so we thought it was great!

 

[jarestel]

Barring extraordinary "special assessments", the maximum increase is 15% per year.

Over 7 years my maintenance fees (VWL) have increased from $3.63 per point to $4.73 per point. This equates to a 23% increase over the total seven years, or an average increase of approximately 3.3% each year. I would expect the percentages to rise as the resort ages and requires more extensive maintenance in order to keep it in shape.

Good luck!

 

[PhilUK]

We've been members for 8 years and the cost increase has been fairly consistent. Vero went up a little more than usual after being damaged by the Hurricane.

Phil

 

[dianeschlicht]

I had this archived in my computer, and I know someone here did it, so I'll pass it on.

dues history

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Dues from 1991 - 2007

Year OKW BWV VB VB(sub) HH VWL BCV SSR
2007 4.40 4.85 5.63 4.39 4.98 4.73 4.63 4.12
2006 4.24 4.69 5.27 4.12 4.34 4.61 4.48 3.98
2005 3.86 4.41 4.87 3.84 4.04 4.35 4.27 3.83
2004 3.68 4.25 4.67 3.67 3.86 4.22 4.18 3.80
2003 3.49 4.11 4.36 3.45 3.70 4.05 3.97
2002 3.22 3.92 4.17 3.33 3.48 3.80 3.77
2001 3.13 3.82 3.97 2.70 3.32 3.63
2000 3.16 3.94 4.08 2.87 3.25 3.62
1999 3.16 4.02 3.99 2.82 3.18
1998 3.17 3.94 2.76 3.20
1997 3.14 3.84 2.90 3.16
1996 2.99 3.70 2.82 3.16
1995 2.84
1994 2.70
1993 2.63
1992 2.56
1991 2.51

Annual Increase 1992 - 2007

Year OKW BWV VB VB(sub) HH VWL BCV SSR
2007 0.16 0.16 0.36 0.27 0.64 0.12 0.15 0.14
2006 0.38 0.28 0.40 0.28 0.30 0.26 0.21 0.15
2005 0.18 0.16 0.20 0.17 0.18 0.13 0.09 0.03
2004 0.19 0.14 0.31 0.22 0.16 0.17 0.21 3.80
2003 0.27 0.19 0.19 0.12 0.22 0.25 0.20
2002 0.09 0.10 0.20 0.63 0.16 0.17 3.77
2001 (0.03) (0.12) (0.11) (0.17) 0.07 0.01
2000 0.00 (0.08) 0.09 0.05 0.07 3.62
1999 (0.01) 0.08 3.99 0.06 (0.02)
1998 0.03 0.10 (0.14) 0.04
1997 0.15 0.14 0.08 0.00
1996 0.15 3.70 2.82 3.16
1995 0.14
1994 0.07
1993 0.07
1992 0.05

Percentage Increase 1992 - 2007

Year OKW BWV VB VB(sub) HH VWL BCV SSR
2007 3.8% 3.4% 6.8% 6.6% 14.7% 2.6% 3.3% 3.5%
2006 9.8% 6.3% 8.2% 7.3% 7.4% 6.0% 4.9% 3.9%
2005 4.9% 3.8% 4.3% 4.6% 4.7% 3.1% 2.2% 0.8%
2004 5.4% 3.4% 7.1% 6.4% 4.3% 4.2% 5.3%
2003 8.4% 4.8% 4.6% 3.6% 6.3% 6.6% 5.3%
2002 2.9% 2.6% 5.0% 23.3% 4.8% 4.7%
2001 -0.9% -3.0% -2.7% -5.9% 2.2% 0.3%
2000 0.0% -2.0% 2.3% 1.8% 2.2%
1999 -0.3% 2.0% 2.2% -0.6%
1998 1.0% 2.6% -4.8% 1.3%
1997 5.0% 3.8% 2.8% 0.0%
1996 5.3%
1995 5.2%
1994 2.7%
1993 2.7%
1992 2.0%

You will note that all the resorts went up pretty significantly in 2006. That had something to do with increased insurance costs, and also with a different mode of taxation on timeshares by the state of Florida. At least, that is how it was addressed at the annual meeting when that question was asked.

 

[DVC Grammy]

Hi Everyone! My husband and I are seriously considering buying into the AKV this fall, and I was just wondering if anyone knew if there was a limit on how much Disney can raise the maintenance fees each year. I have this fear that they will skyrocket, and 30 years from now we'll be in our fifties and struggling. Thanks for your help!

Although this might be considered heresy , within the next thirty years, if you actually are having financial problems (or for any other reason), you can sell your contract!

Granted, there are no guarantees, but if the current offerings (AKV & SSR) follow in the histories of the first group of DVCs, you should be able to recoup your buy-in costs (at least). As long as Disney keeps ROFR and the appeal of DVC continues, the current prices will look like "bargains" compared to future ones.

 

[PhilUK]

I can't think of many timeshares that you can sell for more than you paid for!
Another plus for DVC.
When we bought in 1999 we never considered DVC as an investment but it's turned out to be one of the best.

Phil

 

[Tiffany]

Hi Everyone! My husband and I are seriously considering buying into the AKV this fall, and I was just wondering if anyone knew if there was a limit on how much Disney can raise the maintenance fees each year. I have this fear that they will skyrocket, and 30 years from now we'll be in our fifties and struggling. Thanks for your help!

This is the thing that is causing us to consider actually buying at SSR instead of at AKV. Taking care of the animals has got to impact the fees.