January 1, 2011

[Maistre Gracey]

I think at this point it would almost be impossible to close on a contract before January 1, whether you are the buyer or seller. Waiting for ROFR and then the holidays will make it extremely difficult IMHO.

True, but I'm only asking the question because I thought the answer might give us a clue, not because I'm selling.

In a s side note, I'm wondering if the cut off point would be the date of the offer, not the closing date. The offer, or whatever the first legally binding marker is, would make more sense to me.

MG

 

[toocherie]

In a s side note, I'm wondering if the cut off point would be the date of the offer, not the closing date. The offer, or whatever the first legally binding marker is, would make more sense to me.

MG

Date of the offer would not make legal sense as it would be easy to back-date a sales contract. Date of closing (i.e., recording of deed) would not be something someone can manipulate.

 

[Maistre Gracey]

Date of the offer would not make legal sense as it would be easy to back-date a sales contract. Date of closing (i.e., recording of deed) would not be something someone can manipulate.

Well I'm assuming there wouldn't be any fraudulent behavior. There certainly wouldn't be from the reputable resalers.

At some point before closing there is at least partial binding. People can, and do lose their deposit after backing out of deals.

MG

 

[com_op_2000]

This whole thread has been discussed several times here on the Dis. In a previous post, I stated:
Called my DVC sales rep, he is a friend from before my becoming a DVC Member; he stated that for DVC to do what is being discussed would require DVC to post the information ahead of time, schedule an implentation date, and grand-father all previous resale purchases into the current format.

 

[VTNuke]

The problem with all of these rumors is less about what they are going to do and more about why they would do any of these rumors.

There are two types of timeshare buyers, the educated and the uneducated. You don't make these types of changes to gain more uneducated buyers. Uneducated buyers tend to buy timeshares on emotional impulses. Educated buyers may still make decisions based on emotion, but tend to do more research to find out what works for them.

Making these changes will hurt the sales of DVC to the educated buyer. An educated buyer is much more likely to research what DVC is worth on the resale market. Timeshares are a lot like cars, once you buy it, the value immediately drops.

Yes these changes may mean more people may feel they "Have" to buy direct, but in the long run, the value of what they are selling will go down. The educated buyer may not be as interested in the product.

 

[Lil' Grumpy]

right, i don't think disney is going to be scratched off many
people vacation list because of these changes.

we're blt points owners. so it does not effect us as much. but
i would think those who invested in disney @ ssr & okw will
be happy. now they would have a better chance, being owners
to switch to the newer resorts like blt. i also like to see
something done with the member cruises.

i think that the way it should be. i also like to see more rules helping
owners to work together.

 

[dianeschlicht]

right, i don't think disney is going to be scratched off many
people vacation list because of these changes.

we're blt points owners. so it does not effect us as much. but
i would think those who invested in disney @ ssr & okw will
be happy. now they would have a better chance, being owners
to switch to the newer resorts like blt. i also like to see
something done with the member cruises.

i think that the way it should be. i also like to see more rules helping
owners to work together.

As usual Grumpy, I fail to follow your "logic". Do you mind expounding on WHY you think SSR and OKW owners should be happy? I for one, would NOT be happy. For starters, I do not want to switch to BLT. Why would I want to?

 

[lisareniff]

I was wondering how long before this topic would make it over to this board. There are a couple threads running on other DVC boards with the original posting. There have been rumors swirling around for a few months and recently there have been some reports from a posters inside source that outlines possible changes.



I just want to quote Dean on way back on 10/14 on this DIS thread....

It has been suggested to me by someone in a position to know more that indeed there are changes coming in this area. We'll see. It does make sense that this is where DVC should have been years ago and it is reasonable for them to protect themselves now, even at the expense of those looking to buy or sell aftermarket. My question is more to how it might be done than if. The benign thing to do would be to either set a SHORT TERM cutoff date going forward grandfathering current members OR to leave everyone out and allow them to opt in for a price or add on. It should be fun and would likely make the reallocation and valet threads pale in comparison if it does happen.

 

[tomandrobin]

As Disney is growing, and with the addition of Alunai....which will have a fixed week option, Disney will need to add rules similar to the rest of the timeshare industry. Resale contracts have reached that tipping point to where Disney needs to protect is "new sales" product.

 

[SorcererJim]

I dont see the logic of "protecting their new sales". New sales have the advantage of longer contracts. with resales, you are buying "partial" contracts compared to the original sale date. So the prices should be lower than new sales... if Disney feels that someone is getting too good a deal where they are hurting their sales process, guess what? they can swoop in and buy that contract and put it into their direct sales market. As usual, I think we as a group are just being a little "chicken little" because of some information that may or may not have come from someone who may know something or heard it from a bus driver

in the words of Douglas Adams.... Don't Panic!

 

[DVC SSR Owner]

I think that the only way to do this would be to grandfather current resale owners and if they change booking rules, it would have to be 7 months out. They could also fo something like say direct sales and your first resale of your contract would be covered to keep your resale of this contract valuable so you could resell it and keep people buying direct. Thoughts?

 

[mouseaider]

I think Disney would be opening itself up to some serious lawsuits from members that have already purchased through resale if this rumor was indeed true. Not to mention all the negative publicity, something Disney tries to avoid at all cost.

They have the way to control the resale market by using ROFR so what would be gained by doing this ?

In my opinoin, the only thing it would accomplish would be less people buying into the DVC philosophy. Less people buying in means less $$ spent at parks, hotels on site, food, etc., etc. I know we wouldn't have joined DVC if it were not for buying resale.

I don't see this rumor as being correct.

 

[JWG]

Agree (as I mentioned) this can't be accurate. If you destroy the resale market, it only hurts the membership and Disney. I'll only buy August use years, even if adding on.

My ability to do that is contingent upon a resale being available as I'll likely only add-on at what I already own (BWV or BLT). I now have home resort opportunity at a MK area resort and Epcot. That's proximity to 3 of 4 parks. Don't see a need to add a 3rd to manage.

Since BWV is sold out and BLT will be, to add on I'll be reliant on a resale (either through 3rd party or Disney). If the resale market is restricted through 3rd party as rumored - I won't buy. Thus, I won't add points. Thus I won't pay more in dues to Disney nor will I visit as often and spend as much money. Maybe someone else will or the person who wants to but now can't sell will, but likely not what I'm willing to if they'd like to sell and can't and I'd like to buy but won't.

Unless the they completely revamp how they handle resales and make it an easier more friendly process to sell/buy previously owned contracts to/from Disney, this just doesn't make sense. At least not this aggressive of a change.

 

[dianeschlicht]

Agree (as I mentioned) this can't be accurate. If you destroy the resale market, it only hurts the membership and Disney. I'll only buy August use years, even if adding on.

My ability to do that is contingent upon a resale being available as I'll likely only add-on at what I already own (BWV or BLT). I now have home resort opportunity at a MK area resort and Epcot. That's proximity to 3 of 4 parks. Don't see a need to add a 3rd to manage.

Since BWV is sold out and BLT will be, to add on I'll be reliant on a resale (either through 3rd party or Disney). If the resale market is restricted through 3rd party as rumored - I won't buy. Thus, I won't add points. Thus I won't pay more in dues to Disney nor will I visit as often and spend as much money. Maybe someone else will or the person who wants to but now can't sell will, but likely not what I'm willing to if they'd like to sell and can't and I'd like to buy but won't.

Unless the they completely revamp how they handle resales and make it an easier more friendly process to sell/buy previously owned contracts to/from Disney, this just doesn't make sense. At least not this aggressive of a change.

You bring up some interesting points. One thing DVD could do is have their own resale division, and I suspect that might be what this is all about. Perhaps they are going to be their own clearing house for resales, and not in the way they have been in the past. Perhaps they will basically become "brokers" for the owners who wish to sell. I know some other timeshares have done similar things in the past.

 

[JWG]

You bring up some interesting points. One thing DVD could do is have their own resale division, and I suspect that might be what this is all about. Perhaps they are going to be their own clearing house for resales, and not in the way they have been in the past. Perhaps they will basically become "brokers" for the owners who wish to sell. I know some other timeshares have done similar things in the past.

This I could see. Why use ROFR to resell when you could charge the 10% sellers fee AND return the price to retail levels? Or, because there's less variability (can't select # of points and use year, have to take contract as is), maybe even sell at a slightly higher discount?

Either way, I could see Disney getting more involved in making resales available through them and then implementing restrictions only on those purchased 3rd party. But flat out destroying the resale market just doesn't make sense for anyone. Disney should want contracts in the hands of those willing to actively use them. 15 years in, if someone wants to sell but can't, I imagine the use of RCI goes up and bookings on Disney property go down.

 

[kwdw]

So - I intend to buy resale in 2011 and I'm not worried about these changes because they are TOO dramatic as a whole.

Sure - there might be changes, but these rumors don't make sense for Disney. Potential lawsuits, decrease value in the resale market, more work managing the rules. IMO, if they want to better control the resale market, they just need to exercise ROFR more frequently to up the cost of resale contracts. That will get more people to buy direct. Or, they could eliminate the option of the resale market through anyone but themselves.

Speculation is always bad and good for end of the year sales.....

 

[disneynutz]

This rumor seems to be gaining traction. How likely would it be for an announcement to be made after the December meeting? When do " enhancements" typically happen?

With the DVC, the announcements are usually made after their effective date or so close to the date that you don't have a opportunity to react or change your plans.

Have they announced the location of this years member meeting yet?

Bill

 

[JWG]

Have they announced the location of this years member meeting yet?

Bill

Sure have, it's "at WDW"

 

[LIFERBABE]

Have they announced the location of this years member meeting yet?

Bill

Yep, it's at the CR Fantasia Ballroom @ 1pm Dec 9, 2010.

I made my reservation last year for BLT for these dates. "expect the unexpected"

As far as bad publicity, JL and Co. dont give a flying Tink about it!

 

[KPOP]

I hope that they are smart enough to grandfather any old resale contracts in to whatever changes they make...