Is this allowed? Selling/Buying Related

[DizneyLizzy]

One of my friends needs to sell one of her 3 DVC contracts to pay for some home improvements that need to happen sooner rather than later. Her children are all grown now, so it was something she was thinking of doing in a few years anyway, but the immediate need for cash is pushing up the timeline.

I, as luck would have it, am trying to buy a DVC contract. I am currently waiting on an SSR that is in ROFR, and with all of the SSR contracts Disney has been taking, I feel like mine could be next. We shall see.

Anyway, we were talking, and wondering if she could save on commission, and I could save another round of waiting and wondering, if we just did a deed transfer instead, and I paid her in cash for what 100 point SSR contracts are typically going for on the resale market.

Is this allowed? Would she actually save any money doing this, or would the deed transfer cost almost as much as the commission she would pay a broker to sell her contract? If my contract passes ROFR, then this won't matter anyway. I just wanted to see if anyone had ever done something like this before.

If it is allowed, I wish we would have thought about it before I started this whole resale process. LOL. But I've been talking about buying DVC for months, and her home improvement stuff came up kind of suddenly, thus pushing up her motivation to sell.

Thanks!

 

[erionm]

Anyway, we were talking, and wondering if she could save on commission, and I could save another round of waiting and wondering, if we just did a deed transfer instead, and I paid her in cash for what 100 point SSR contracts are typically going for on the resale market.

Is this allowed?

Even private sales need to be submitted to DVC for ROFR.

 

[DizneyLizzy]

Even private sales need to be submitted to DVC for ROFR.

Good to know. That was my assumption. Thank you! So there goes my idea of eliminating the waiting/wondering piece

 

[Chuck S]

I would submit a ROFR request form/statement to Disney, and explain the situation, and ask them nicely to approve the sale. Be sure, though, that your offer is near or at current market pricing or else they still may exercise ROFR.

 

[supersnoop]

She can save the commission, but that doesn’t do anything for you. Everything from your perspective is exactly the same.

 

[DizneyLizzy]

She can save the commission, but that doesn’t do anything for you. Everything from your perspective is exactly the same.

That’s what I figured. I just thought it would be a nice way for me to help her out, as she has helped me out for years renting her extra points to me for a very good price

I also just wanted to make sure it would be possible and not against the rules.

 

[TexasChick123]

Unfortunately, the Mouse won't let any of us sell to friends on the cheap. It would be nice if they would though! There have been reports of people trading things, like a boat. However, they have to get a FMV of the boat and include that in the paperwork. Stuff has gotten creative over the years!

 

[KAT4DISNEY]

As mentioned it would save her the commission so that's a nice thing for her. I'd say that there possibly is a better chance of DVC just approving the sale to a friend but of course not guaranteed. I think it would be worth trying should the contract you are waiting on not pass and your friend definitely decides to sell. Just make the sale at a fair market price.

 

[DizneyLizzy]

Thanks for all of the replies!

It’s good to know that it may be possible to help her save on commission a bit. I guess we’ll wait and see based on what happens with my contract. Would we/she contact member services if we were ready to do this? I feel like I know more about DVC and resales than she does at this point bc I’ve been researching and reading these boards for months - and she’s been a member since the 90’s! She’s an original SSR and BWV owner.

 

[TexasChick123]

Thanks for all of the replies!

It’s good to know that it may be possible to help her save on commission a bit. I guess we’ll wait and see based on what happens with my contract. Would we/she contact member services if we were ready to do this? I feel like I know more about DVC and resales than she does at this point bc I’ve been researching and reading these boards for months - and she’s been a member since the 90’s! She’s an original SSR and BWV owner.

I would recommend paying a title company/attorney familiar with DVC to handle the paperwork for the sale. While you will pay market rate, she can save some money for the commission. Look at all the title companies people use on here, and give them a call to see what their rate would be for something like this. I know a lot of them do it. Good luck!

 

[DizneyLizzy]

I would recommend paying a title company/attorney familiar with DVC to handle the paperwork for the sale. While you will pay market rate, she can save some money for the commission. Look at all the title companies people use on here, and give them a call to see what their rate would be for something like this. I know a lot of them do it. Good luck!

Thanks! I’m keeping my fingers crossed that I won’t even need to bc my ROFR contract will pass