- Aug 14, 2008
I think that we can safely say that Disney has now officially killed the magic with DVC and turned it into every other timeshare out there. From now on, the magic words should be "Buyer Beware".
Am I missing something?
Disney Vacation Club is not going down the tubes. These are the actions of a publicly traded, diversified multinational mass media and entertainment conglomerate committed to shareholder return.Everyone has always said how amazing DVC is. Glad I didn't listen since it really looks like its going down the tubes as of late.
That means that anybody who buys a resale contract after January 19 would not be able to use their points to stay at Disney’s new Riviera Resort or at the new Reflections- A Disney Lakeside Lodge at Walt Disney World or future DVC properties.
Nothing changes much for current owners, no. However, let's say you're going to buy Reflections when it opens for close to $200 pp, and let's say that five years later you have a huge financial hardship and want to unload your contract. Who will want to buy it knowing that if they go via resale market they can only stay at Reflections? That means you either take a bath from resale or you take a bath from Disney who ROFRs. While I didn't buy into DVC in order to resell it later, I knew that if something were to happen, I could likely sell it at a reasonable price down the road. If I were buying now, knowing my options were very limited would cause me to say, "no thank you." It's more complex than my scenario, but it's still a generalization that fits.While the change does diminish the value proposition a little bit for people like me looking at buying resale, and portends a future tiering system, I have to ask...
...what actually changed for current owners? Current owners can use their (7-month) points at all 14 resorts, and Riviera, and (apparently) Reflections when they're built. That part hasn't changed. The only changes affect people buying resale in the future. Did you buy in speculating that point prices would go up? Is this really going to affect the point prices for the existing 14 (with the prime real estate) that badly?
It does impact current owners who want/need to sell. The impact now isn't that great, but once the original resorts start expiring, there are far less resorts in the pool for resale buyers. So it will affect the resale price at some point down the line.Nothing changes much for current owners, no.
Until the resorts start expiring. Even without Riviera and Reflections, if they decided to start this new resale rule when they repackaged the expiring resorts, it would have the same impact on the later resorts in their later years. For example, in the last few years of my CCV contract, I would only have Poly and VGF available in the pool if the others were taken out once they expired.So if they had simply "stopped" building more DVC Resorts after BLT/AKV/POLY/GF/CCV (which expire after 2060 and 2066), this would be the same result?
I agree. I'm known as the Disney fanatic to all my friends and acquaintances. For years, I've touted how amazing and magical Disney was to anyone and everyone who would listen. I was like an unpaid spokesperson for Disney. To the point where I became the go to person whenever anyone was planning a Disney vacation (old coworkers have called me up years later and parents of my kid's classmates have reached out to me before). However, with all the negative changes in the last few years (astronomical price increases for everything and the push to make the parks consistently crowded-overcrowded year round), Disney is definitely losing the magic. We'll still go because we drank the koolaid years ago and Disney owns us (for now...we'll see how much more of this downward spiral we can tolerate), but I can't in good conscience recommend Disney to people the way I did before. In fact, I've actually started discouraging families who are on the fence about it, because it just cost to much for what it is now. I can't praise Disney, knowing how awful it could potentially be for a newbie family, and then have people not trust my judgement anymore...the way I no longer trust Disney either.However, for me, the Disney "experience" is now more of a facade. I no longer share Disney with my friends. I no longer recommend DVC. I no longer believe Disney ultimately has the customer in mind (if they ever did is certainly debatable, but I believed they did at one point). In short, I no longer trust Disney.