Isn't it setting a precedent for rentals?

[toesmom]

Why is it that dvc members rent their points for an average of $9.75 to $10.00? If people want to rent dvc accommodations, wouldn't dvc members want to get the most value for their points?

There are even some postings by people who will pay $8 to $9 per point!!!!

I think the only reason dvc owners agree to $10 is because other owners have already set that precedent.

I see that BCV and BWV owners tend to ask for $12 a point. Others seem to go way lower, including $9.50 per point.

Wouldn't it make sense to sort of "fix" a price (among the members of course) so that all dvc members benefit. After all, those renting the points will still get a great value. I know you could never actually fix the price, but if dvc members started charging what those points are actually worth, then the memberships really do hold a lot of value.

What do you all think?

 

[toesmom]

Many wonder is it worth buying into DVC when you can purchase points for like I said as low as $9 to $9.50 at times?

Will dvc members increase a per point value for rental at some point, or do you think that the values will always stay at $10.

I guess it's comparable to gas prices... they seem to all go up and stay there at the same time. Price fixing? Maybe. I don't think it is illegal, b/c there will always be the market for those who want to rent the points.

Help me out, I want to rent out points, but I'd like to maximize my profit, as do others I'm sure.

 

[SueOKW]

Personally I don't look at renting points as an income generator.

I'm glad points are only $10 each - every year I have to rent 30 to get the accomodations I want.

In the case I ever do rent, I am going to rent to a fellow DIS and hopefully DVC member and the price would never be more than $10.

 

[Alexander]

Some people have points that they need to get rid of in a hurry for one reason or another; they are expiring, they need cash..... These people often will rent their points lower, and as you have noticed they rent quickly. Trying to "regulate" the amount people rent their points at would be like trying to have everyone sell the same plate at their garage sale for the same price.

I think if someone wants to rent their points for $5 then so be it, and congratulations to the lucky person who rents them at that price. Frankly I don't see how someone renting their points for a particular price makes my DVC points more valuable. I know what my points are worth to me, so I don't care if other people realize their value or not.

I don't rent my points and likely never will, but should I ever, I will rent them for whatever price I see fit, since they are my points, and it may be the "going rate" or not.

I'm curious what exactly you deem those points to actually be worth?

 

[Alexander]

Help me out, I want to rent out points, but I'd like to maximize my profit, as do others I'm sure.

Most people rent points out because they have some left over that they cannot bank, and will lose them if they don't. There are a few people on these boards who rent as a business and we've been flaming them for weeks now. If you are looking to only make money, I suggest you find another line of business. It's very unlikely that everyone will raise their price per point so you can "maximize your profit."

 

[drusba]

"Wouldn't it make sense to sort of "fix" a price (among the members of course) so that all dvc members benefit."

Not if you want to stay out of jail. A clever prosecutor could create a limited market and when price fixing is involved, it is much easier to do so.

 

[crisi]

Just to echo....you have specifically suggested doing something illegal. Cartels and price fixing are illegal in the United States.

 

[DrTomorrow]

[...] Help me out, I want to rent out points, but I'd like to maximize my profit, as do others I'm sure.

Not me. If I do ever rent out points, my first goal would be to minimize risk and effort; if I can rent them out the same day I offer them, to another DVC member (hence a transfer of points) and get a certified check or PayPal overnight, I'd gladly charge a little less.

In general, I'd have to believe that rental rates will go up, but how much - and when - I don't know....

PS. How did your Feb. trip go; hubby have to sneak into any health clubs?

 

[childsplay]

Not me. If I do ever rent out points, my first goal would be to minimize risk and effort; if I can rent them out the same day I offer them, to another DVC member (hence a transfer of points) and get a certified check or PayPal overnight, I'd gladly charge a little less.:

I completely agree. Not that I ever intend to rent, but if the occasion arises I would most certainly take less than $10 for a painless point transfer with paypal involved to another DVC member, honestly I'd go as low as $7 or $8 under those conditions.

 

[Alexander]

Just to echo....you have specifically suggested doing something illegal. Cartels and price fixing are illegal in the United States.

But are they in Canada? I see the OP is from Ontario.

 

[jaysue]

Cartels and price fixing are illegal in the States unless you are an oil company in the gasoline selling business

Yes, cartels and price fixing are illegal in Canada unless sanctioned by the government

Cheers
jaysue

 

[cpbjgc]

Only because you ask, price fixing (which I think is what is being proposed) is illegal in Canada.

 

[TheRustyScupper]

1) This is still a market-driven economy.
2) If the market is $9-$10, the price is $9-$10.
3) Unless one rents a lot of points, why should one care?


NOTE: I understand rentals when you can't make a trip or have a few stray points left over, but a lot of people consistently rent a large amount of points. I am sorry, but too bad for them. This was not meant as a money-making investment.

 

[CarolMN]

Once again, I am not a lawyer, but come on!

How can what the OP suggested be illegal?? Disney is the largest renter of resort accomodations and something tells me that Disney is not going to help DVC members charge more for renting their points! Even if they would, there are hundreds of options to a room at a DVC resorts. How is it different than Disney charging whatever it wants for a room? Anyway, if there were a prosecutor willing to charge DVC members with this "crime", I think he/she would be laughed right out of a job!

P.S. I don't rent my points and don't care if others do or how much they get when they do. Charge whatever the market will bear. If the DIS market place won't "bear" your price, just advertise & rent somewhere else. There have been several reports of members getting #12 and more per point on other venues.

Best wishes -

 

[toesmom]

Price fixing? Well I wouldn't compare it to gas prices b/c when prices go up, they all go up and everyone relies on those gas distributors, there are no other choices available to consumers.


With dvc points, there are tons of other choices available for people in terms of accommodation, so it certainly is not price fixing.

What the market will bear is only what people charge for their points. If people gladly rent out for $10 per point, then that's what it will be.

If people decided to charge more, then that's what the market would bear.

Well in purchasing we did consider renting some of the points to help with the cost, of course, why not? I never considered it an investment, only in our family, but why not try to rent the points for a higher amount?

50 points at $10 per point is $500

50 points at $11 is $550.00

That difference of $50 can buy 10 sandwiches at Earl of Sandwich. See my point?

Just some things to think about.

But I do agree and I would prefer to transfer points to other dvc members.

 

[toesmom]

Well with the little one, dh just had no time to get to a health club hahaha

 

[vernon]

The price has been about $10 for a long time ( maybe too long) , but IMHO this is mostly because the cost of Disney rooms has been pretty static for the last 5-6 years. Disney's discounted room rate has been pretty readily available and as such the demand to rent DVC points has been capped by that discounted room rate.
This year it seems the discounts on rooms are not as deep or as easily available as they have been in recent years. If the discounts dry up, then the demand for DVC points from bargain hungry/aware shoppers is going to increase. The supply of DVC points isn't that large, if it becomes widely known what a bargain renting points can be, particularly if Disney's discounts aren't available, $ per point price will definately rise.

Trying to artifically "fix" a price for points would be something very difficult do to, and as has been already warned a potentially risky undertaking. Supply and demand will lead to the price finding it's own level, the biggest factors impacting on demand are the amount and depth of discounts that Disney offer. I think this is likely to be the last year that points are regularly offered below $10 per point. There will still be times when lower costs are are available (when owners are in a use em or lose em situation and just want to get "something" for their points) , but I think those opportunities will become fewer.

 

[cpbjgc]

I have to agree with Vernon on the chances being prices will be going up. In looking at various guidebooks and vacation planning websites that are out there, there is usually a section under accomodations on renting points as being a less expensive alternative. Some even direct people to these boards directly. If you get more outside interest from renters (especially those who go infrequently so they wouldn't have an AP), demand (and price) will certainly go up.

 

[barb45]

I see the OP's point. I have never rented my points and hope I don't have to - which means I'm using them every year and having a great time at Disney. In the event that I can't go one year and have to rent them, I would like to make a bit of a profit on them. I think that a lot of people on this board think that you should just break even. We have a huge outlay of cash in the beginning and maintenance fees rising every year. Why should someone just swoop in and scoop up such a great deal on Disney accomodations? If I can get a bit more and pay part of next year's maintenance fees, I will - I think that is a benefit of ownership. If I have to rent some points - which may be likely soon, I don't expect a fellow diser to subsidize my trip. Just the way I'm thinking right now.

 

[Dean]

Price fixing is illegal, suggesting the price is too low (or high) is not. The price before 9/11 was inching up then came down a little and now has been slowly moving up. It is much easier to rent at $11-12 pp now than in the past. More if you're willing to deal with auctions.

As far as what DVC was intended far, that' purely subjective. DVC was intended by Disney to make them money, plain and simple, no more and no less. What members can do and not do is governed by the POS and related paperwork, case law and the statues of the state of FL. The statement about it being for personal use is required by the state under statute 721 and no one should read it as being exclusive of other options including renting. It's simply a protection mechanism where if you try to use it for any time of money making option like renting or resale later, Disney can say they told you so if you complain you don't make money or even lose money. The reason behind it is that one of the timeshare schemes with many over the years was to tell the buyer they could buy and rent or buy and resell later for profit.