Is this too low to pass ROFR?

[suebeelin]

Its random; I bought two contracts (BWV and BLT) under market value, none were taken. My brother bought one (SSR) under market, and it wasn't taken either. Other contracts at a higher price (better deal) were taken, so you just never know. Its not all about price. Good luck.

 

[LAX]

Its random; I bought two contracts (BWV and BLT) under market value, none were taken. My brother bought one (SSR) under market, and it wasn't taken either. Other contracts at a higher price (better deal) were taken, so you just never know. Its not all about price. Good luck.

That's my point. DVD doesn't always snatch what appears to be a bargain. On the flip side, offering to pay more doesn't guarantee a breeze through ROFR. Hence, why worry about a contract being too "good" to pass ROFR? Plus, paying a few more dollars per point won't necessarily make the same contract less "attractive" to DVD. There is really no striking the balance, IMHO. If you don't want to spend the time to play the resale game, might as well just cough up the cash and buy direct.

LAX

 

[igrsod]

look at disboards ROFR thread there are a bunch of sub 100 contracts that passed. if Disney needs your contract it doesn't matter if its 100 or 107 they will take it. I passed with AKL 75PP when disney was ROFRing 75-95PP. I would definitely advise against you raising your offer to 107pp.

Yes you right here.

 

[hlhlaw07]

That's my point. DVD doesn't always snatch what appears to be a bargain. On the flip side, offering to pay more doesn't guarantee a breeze through ROFR. Hence, why worry about a contract being too "good" to pass ROFR? Plus, paying a few more dollars per point won't necessarily make the same contract less "attractive" to DVD. There is really no striking the balance, IMHO. If you don't want to spend the time to play the resale game, might as well just cough up the cash and buy direct.

LAX

Well there’s a huge difference between being willing to pay a little more per point hoping it will help get through ROFR and jumping directly to direct prices!

 

[igrsod]

I think that it depends on your situation whether you should raise the offer in hopes of getting through ROFR. If you are already at the top of you budget or what you can afford, then absolutely do not pay more. While you may have a few contracts taken, you will eventually get one through. However if you have room in your budget and can afford more, and the higher price is still reasonable to you, then it MAY be worth paying what really comes out be a neglible amount. That being said, I had a contract that the asking price was $85/point and I had just had one taken so I offered $90/point. The extra $1250 was really nothing when you are dealing with an already over $20k contract. Of course Disney still took the contract at $90/point too, so my strategy didn’t really pan out. Although, I felt a little better that I made Disney pay more to take the contract from me. So there’s that.

That's what I said to my husband, if Disney still takes it, at least the seller will get a few extra dollars.

 

[igrsod]

Well there’s a huge difference between being willing to pay a little more per point hoping it will help get through ROFR and jumping directly to direct prices!

I agree. The direct price for AKL is considerably more. I was willing to pay up to 115 pp for 100 AKL, so upping it to 107, is still well below my top price.

 

[igrsod]

That's my point. DVD doesn't always snatch what appears to be a bargain. On the flip side, offering to pay more doesn't guarantee a breeze through ROFR. Hence, why worry about a contract being too "good" to pass ROFR? Plus, paying a few more dollars per point won't necessarily make the same contract less "attractive" to DVD. There is really no striking the balance, IMHO. If you don't want to spend the time to play the resale game, might as well just cough up the cash and buy direct.

LAX

That is an interesting perspective. I will cross my fingers and just pray that it passes. If not, it's not the end of the world, just back to the drawing board.

 

[pineapplepalms]

Well there’s a huge difference between being willing to pay a little more per point hoping it will help get through ROFR and jumping directly to direct prices!

Exactly. Just because I'd rather try to save some time by paying enough to avoid being taken in ROFR doesn't mean I want to give up the thousands of dollars I saved by buying resale. Great deals for the specific contract you're looking for aren't always easy to come by. It might have taken a really long time, and I wasn't willing to stalk the various sites for a year trying to save just a little bit more money. I'm the kind of person that would check obsessively if it was still on my to do list. That time is much better spent on making more income and spending time with my family.

 

[LAX]

Well there’s a huge difference between being willing to pay a little more per point hoping it will help get through ROFR and jumping directly to direct prices!

I know. However, "willing to pay a little more" doesn't guarantee smooth sailing through ROFR, so why offer to pay a little more? If a contract get snapped up by DVD at, let's say $100, for whatever reasons (unlikely price alone), willing to pay $105 won't deter DVD from buying it back. If you don't want to pay direct price, then be prepared to get a contract or two get ROFR'ed regardless of whether you are willing to pay "above market" resale price.

LAX

 

[hlhlaw07]

Exactly. Just because I'd rather try to save some time by paying enough to avoid being taken in ROFR doesn't mean I want to give up the thousands of dollars I saved by buying resale. Great deals for the specific contract you're looking for aren't always easy to come by. It might have taken a really long time, and I wasn't willing to stalk the various sites for a year trying to save just a little bit more money. I'm the kind of person that would check obsessively if it was still on my to do list. That time is much better spent on making more income and spending time with my family.

Exactly. After having my third contract taken, I decided to go with a contract that was well above market price but fully loaded so as to be done and ensure that I could get through ROFR. Even at well above market price I still saved $10k vs. direct. So while Disney certainly could have taken my 4th contract, the price on it made it more unlikely. You can still get a great deal with resale vs. direct and not want to deal with ROFR. Ignoring ROFR, or not taking it into account when bidding on contracts is a sure fire way to waste your time. Isn’t that whole point of the ROFR thread helping those in the process be more informed. While in the end, Disney can do whatever they want and take them at any price, it’s not a zero sum game where you just have to accept that you will be in the process forever or pay tens of thousands more and buy direct.

 

[pineapplepalms]

Exactly. After having my third contract taken, I decided to go with a contract that was well above market price but fully loaded so as to be done and ensure that I could get through ROFR. Even at well above market price I still saved $10k vs. direct. So while Disney certainly could have taken my 4th contract, the price on it made it more unlikely. You can still get a great deal with resale vs. direct and not want to deal with ROFR. Ignoring ROFR, or not taking it into account when bidding on contracts is a sure fire way to waste your time. Isn’t that whole point of the ROFR thread helping those in the process be more informed. While in the end, Disney can do whatever they want and take them at any price, it’s not a zero sum game where you just have to accept that you will be in the process forever or pay tens of thousands more and buy direct.

Glad you finally got your contract through!! I remember reading your saga on the ROFR thread now. We also saved so much compared to direct and definitely used the ROFR thread and broker site articles as guidelines for what we were willing to pay.

 

[LAX]

Exactly. After having my third contract taken, I decided to go with a contract that was well above market price but fully loaded so as to be done and ensure that I could get through ROFR. Even at well above market price I still saved $10k vs. direct. So while Disney certainly could have taken my 4th contract, the price on it made it more unlikely. You can still get a great deal with resale vs. direct and not want to deal with ROFR. Ignoring ROFR, or not taking it into account when bidding on contracts is a sure fire way to waste your time. Isn’t that whole point of the ROFR thread helping those in the process be more informed. While in the end, Disney can do whatever they want and take them at any price, it’s not a zero sum game where you just have to accept that you will be in the process forever or pay tens of thousands more and buy direct.

ROFR is (supposedly) a random process, so I don't see how taking it into account can prevent it from wasting one's time. There are plenty of "below market" contracts reported on the ROFR thread. There are also some "above market" contracts reported to be taken on the ROFR thread. I never said resale takes forever. In fact, I have heard people getting a great deal on their first contract (passing ROFR). I personally bought resale and passed ROFR on the first one submitted. All I am trying to say is be prepared to spend the time to wade through the resale process and being willing to pay a few dollars more won't necessarily matter.

LAX

 

[gharter]

As others have said, it seems to be a crap shoot. All you can do is negotiate a deal that you are happy with and hope for the best.
If you are worried, one option would be to increase the price per point (your total cost) and have the seller pay closing costs. Your total outlay is the same, but the price per point looks higher. Does it help? No idea.

 

[Matty B13]

We have bought 3 resale contracts within the last 2 years at current market prices and all passed ROFR, so I think it is a complete crap shoot.

 

[CarolMN]

I (and others) have posted before that price is just one factor that Disney considers in ROFR. IMO, it's not the most important factor either.

The theory is that Disney is more interested in the particular unit number that is being sold than the price of the deal. For whatever reason, Disney only sells points attached to the same unit. (A unit could be one villa, a wing, a building or some other combination of villas). If you are trying to buy a contract with points from a unit that Disney wants, the contract is taken. IMO, that is why very similar contracts might end up with one unit passing ROFR and the other taken, even if the one taken is priced higher than the one that passes.

Unfortunately, Disney doesn't tell us what units they are interested in, so the process seems random to us.

 

[pineapplepalms]

I (and others) have posted before that price is just one factor that Disney considers in ROFR. IMO, it's not the most important factor either.

The theory is that Disney is more interested in the particular unit number that is being sold than the price of the deal. For whatever reason, Disney only sells points attached to the same unit. (A unit could be one villa, a wing, a building or some other combination of villas). If you are trying to buy a contract with points from a unit that Disney wants, the contract is taken. IMO, that is why very similar contracts might end up with one unit passing ROFR and the other taken, even if the one taken is priced higher than the one that passes.

Unfortunately, Disney doesn't tell us what units they are interested in, so the process seems random to us.

I agree, the process only seems random to us and there are sure to be other factors besides price that Disney is looking at. However, since price/overall cost is the only factor that we as a buyer can control, I still think it makes sense to browse the ROFR thread and other sites to glean as much information as possible if your goal is to attempt to get through ROFR. Of course, it could still get taken, but since price is one factor (even if we don't know how important it is), it *might* make a difference. On the other hand, if you're only out for the best deal possible and don't care about trying to get through ROFR ASAP, then your approach will be a bit different. But just because we may have different approaches, it doesn't mean that we should automatically go ahead and buy direct because we'd like to try to avoid getting taken in ROFR. In the end, as long as we're all happy with the prices we paid and got the contracts we wanted that's all that matters. Resale saved me many thousands of dollars and I'm happy with it.

 

[kboo]

Exactly. After having my third contract taken, I decided to go with a contract that was well above market price but fully loaded so as to be done and ensure that I could get through ROFR. Even at well above market price I still saved $10k vs. direct. So while Disney certainly could have taken my 4th contract, the price on it made it more unlikely. You can still get a great deal with resale vs. direct and not want to deal with ROFR. Ignoring ROFR, or not taking it into account when bidding on contracts is a sure fire way to waste your time. Isn’t that whole point of the ROFR thread helping those in the process be more informed. While in the end, Disney can do whatever they want and take them at any price, it’s not a zero sum game where you just have to accept that you will be in the process forever or pay tens of thousands more and buy direct.

If you want to safely pay a lower price, a) buy well before you need the points aka buy not needing to use current UY points in that UY, and b) buy a contract that is not fully loaded in the current UY and well before start of the next UY. Disney can't sell the points in that contract unless they break it up, and so it just doesn't look as appetizing to exercise ROFR. Disney doesn't want to pay a bunch of $ and not immediately make a return on that contract. For example, 160 point BLT contract only had 100 points in current UY, and we bought 1 month into current UY - the best Disney could have done was to break it into a 100 and 60 contract and sell the 100 points "now" and then wait until Feb 2018 to sell the remaining 60 points. Our VGF contract has no points coming on until Aug 2018. But luckily the trips I wanted to book with the BLT points were in the 2018 UY, and we're not using our VGF points until well in last 4 months of its UY (I know... need to switch usage of contracts so we're using the points in the first 8 months of the UY)

We have bought 3 resale contracts within the last 2 years at current market prices and all passed ROFR, so I think it is a complete crap shoot.

They were all VGF, right? I think VGF rarely gets taken. One resale site reported 1 VGF contract that they sold over the last year was taken. I think it's highly unlikely, unless it's a small contract or they have a buyer on the waitlist, for a resale VGF, Poly or CCV to be taken. Even at a $100 per point profit, that's not really worth their time.

 

[Matty B13]

They were all VGF, right? I think VGF rarely gets taken. One resale site reported 1 VGF contract that they sold over the last year was taken. I think it's highly unlikely, unless it's a small contract or they have a buyer on the waitlist, for a resale VGF, Poly or CCV to be taken. Even at a $100 per point profit, that's not really worth their time.

Nope, one was an AKV contract fully loaded at a market price in 2016.

And, I haven't seen to many VGF contracts taken. But you never know with the new pricing if that might change. We are rethinking selling are June UY VGF now.

 

[igrsod]

I agree, the process only seems random to us and there are sure to be other factors besides price that Disney is looking at. However, since price/overall cost is the only factor that we as a buyer can control, I still think it makes sense to browse the ROFR thread and other sites to glean as much information as possible if your goal is to attempt to get through ROFR. Of course, it could still get taken, but since price is one factor (even if we don't know how important it is), it *might* make a difference. On the other hand, if you're only out for the best deal possible and don't care about trying to get through ROFR ASAP, then your approach will be a bit different. But just because we may have different approaches, it doesn't mean that we should automatically go ahead and buy direct because we'd like to try to avoid getting taken in ROFR. In the end, as long as we're all happy with the prices we paid and got the contracts we wanted that's all that matters. Resale saved me many thousands of dollars and I'm happy with it.

That's a great response.

 

[Jelly563]

I dont think Unit #, price & points is all that is involved with ROFR. If it was, you could find out the unit # prior to ROFR and know if it is one that is located in one of the building(s) that has been previously ROFR'd.