Just bought direct . . . Talk me out of it?

[Dentiphile]

Hi all. I've been lurking the great forums for a couple days now. I'm sitting here typing on my iPhone at the grand Floridian hoping you all can help me with my anxiety! Our friends recently purchased a resale. They stated since we would be in disneyworld this week, check out the dvc and get some free fast passes. Fast forward three hours later I'm an owner of a deed. I apologize upfront because I know things have been covered in different parts of the forum but any thoughts would be appreciated


I bought 100 pts at Polynesian for 16500. They had given me an "extra" 100 for the first year.

My main questions

1. If I want to stay at the poly every year, then dvc is a great deal end of story. However from what I have read it's going to be difficult of get anything at grand Floridian? If I want grand Floridian any thoughts? Seems like there aren't many Resales there?

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

3. The salesman made it seems that I could sell back this to Disney in the future at conceivably the same price? So where would be the "loss?"

4. What would be considered the top dvc resorts amenity wise?

5. If I decide to buy more points through the wait list through Disney for a less expensive category. Can I use those discounted points at the Polynesian? One of the staff members was saying this was a way of obtaining more points without me having to pay the 165 a point rate I did with poly.

Sorry for the convoluted post but any help would be appreciated. Thank you.

 

[DisDadDVC]

Hi all. I've been lurking the great forums for a couple days now. I'm sitting here typing on my iPhone at the grand Floridian hoping you all can help me with my anxiety! Our friends recently purchased a resale. They stated since we would be in disneyworld this week, check out the dvc and get some free fast passes. Fast forward three hours later I'm an owner of a deed. I apologize upfront because I know things have been covered in different parts of the forum but any thoughts would be appreciated


I bought 100 pts at Polynesian for 16500. They had given me an "extra" 100 for the first year.

My main questions

1. If I want to stay at the poly every year, then dvc is a great deal end of story. However from what I have read it's going to be difficult of get anything at grand Floridian? If I want grand Floridian any thoughts? Seems like there aren't many Resales there?

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

3. The salesman made it seems that I could sell back this to Disney in the future at conceivably the same price? So where would be the "loss?"

4. What would be considered the top dvc resorts amenity wise?

5. If I decide to buy more points through the wait list through Disney for a less expensive category. Can I use those discounted points at the Polynesian? One of the staff members was saying this was a way of obtaining more points without me having to pay the 165 a point rate I did with poly.

Sorry for the convoluted post but any help would be appreciated. Thank you.

0) They did not give you any extra. They gave you what you were owed.
1) Correct. It is very hard to book VGF. Only buy Poly if you want to stay at poly 90% of the time. There aren't many VGF resales, but there are some.
2) Correct. Some will tend to be higher (Animal Kingdom due to animals, VB due to hurricanes, etc.)
3) Absolutely not. You can however sell through a broker. The loss (or gain) will be the difference between what you paid ($165) and what you sell it for (120? 160? 200? hard to predict) minus commission.
4) Mostly personal choice. VGF is considered the flagship resort. BCV has the best pool.
5) Yes, but only at the 7 month mark. You can book at 11 months with your poly points.
6) Cancel your contract and look into this more. You may find that Poly isn't best for you. You may find that resale is better for you. You can always go back and buy Poly after you have done your research if you determine that is what is your best fit

 

[ustasmom]

1. If I want to stay at the poly every year, then dvc is a great deal end of story. However from what I have read it's going to be difficult of get anything at grand Floridian? If I want grand Floridian any thoughts? Seems like there aren't many Resales there?

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

3. The salesman made it seems that I could sell back this to Disney in the future at conceivably the same price? So where would be the "loss?"

4. What would be considered the top dvc resorts amenity wise?

5. If I decide to buy more points through the wait list through Disney for a less expensive category. Can I use those discounted points at the Polynesian? One of the staff members was saying this was a way of obtaining more points without me having to pay the 165 a point rate I did with poly.

1. If you want to stay at Poly every year, then you are great except Poly costs a good amount of points. You can book your home resort at 11 months out. All others can be booked at 7 months out. Grand Floridian can be very tough to get at the 7 month mark.

2. You can find charts of the MF increase percentages. They don't seem to be terribly out of line in general.

3. Disney will not buy your points back but you are probably in your cancellation window.

4. That would depend on what you are looking for personally.

5. Yes you can get on most waitlists for other DVC properties direct from Disney. There are also charts that show the Disney price for other properties. Those prices are also nowhere near the resale market price. And you only can book at 11 months out with points to that particular resort. You can either wait until 7 months out and add on to your reservation or you can book at your "other" home at 11 months. Also, Disney allows you to purchase up to 24 points per year (at $15 per point.) These points cannot be used before the 7 month booking period.

On a side note, we were just in your shoes except we didn't buy from Disney. As a resale customer you can't do a few things that a DVC direct customer can do. No Disney Collection, Adventurer Collection or Concierge. The initial 100 points sounded great at first, but unless you are doing studios, it doesn't go all that far.

 

[mickeyman]

I've seen a few VGF selling for about $140 per point

 

[NoleFan]

Hi all. I've been lurking the great forums for a couple days now. I'm sitting here typing on my iPhone at the grand Floridian hoping you all can help me with my anxiety! Our friends recently purchased a resale. They stated since we would be in disneyworld this week, check out the dvc and get some free fast passes. Fast forward three hours later I'm an owner of a deed. I apologize upfront because I know things have been covered in different parts of the forum but any thoughts would be appreciated


I bought 100 pts at Polynesian for 16500. They had given me an "extra" 100 for the first year.

My main questions

1. If I want to stay at the poly every year, then dvc is a great deal end of story. However from what I have read it's going to be difficult of get anything at grand Floridian? If I want grand Floridian any thoughts? Seems like there aren't many Resales there?

Buy where you want to stay especially if it is Grand Floridian. GF is a small resort and is typically difficult to book if you don't own there.

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

3. The salesman made it seems that I could sell back this to Disney in the future at conceivably the same price? So where would be the "loss?"

It's real estate. It can go up or down in x amount of time. No absolute full proof guarantee.

4. What would be considered the top dvc resorts amenity wise?

Depends what you are looking for. Each resort offers something different.

5. If I decide to buy more points through the wait list through Disney for a less expensive category. Can I use those discounted points at the Polynesian? One of the staff members was saying this was a way of obtaining more points without me having to pay the 165 a point rate I did with poly.

Older resorts selling for $155 via direct. Not much of "savings" vs. the $165. Again, I would buy where you want to stay.

Sorry for the convoluted post but any help would be appreciated. Thank you.

$16,500 is a lot of money. If you are not certain, I would cancel the contract. With any major purchase, I would personally only buy with certainty. Resale offers a savings (the actual amount & percentage of savings can vary depending upon resort) so if you are open to that option, I would definitely look into that. It sounds like VGF resale would be ideal for you. You could buy 100 VGF via resale for less than you paid for Poly direct.

 

[ziravan]

By state law, you have 10 days to cancel your contract. The paperwork you got explains how. Follow it to the letter.

I would cancel if I were you and I say that as a Poly owner who bought 168 points direct from DVC.

When I bought Poly, I had studied DVC for months, already bought a resale at Beach Club, and most important, I knew exactly what I wanted and why.

I spent about 3 hrs a night, 3-5 nights a week, for 3 months, or about 150 hrs studying DVC before I bought. Only about 3 of those hours of study involved a guide or DVC's official sales pitch.

Poly may be right for you. I doubt a 100 point contract is enough, though. That's about 4-5 days/yr depending on when you go and which studios you stay in.

You need to know more and have a broader base of knowledge than just from a guide.

I'm talking you out of it. Rescind now, learn more, and then you'll be sure you made the right decision.

I love DVC. You might love it, too. Be sure before you spend that kind of money.

 

[supersnoop]

1. Keep in mind that the Polynesian only has studios and the ridiculously expensive bungalows. If you want a one or two bedroom, you're going to have to stay elsewhere. Getting a lake-view at Bay Lake Tower is pretty easy, but I would never count on getting a studio at the Grand Floridian.

5. If you want to buy points at ANY (and I do mean ANY) other resort, you should consider purchasing resale. You'd save thousands. The only resort that you should buy direct is the Poly.

 

[Dean]

Hi all. I've been lurking the great forums for a couple days now. I'm sitting here typing on my iPhone at the grand Floridian hoping you all can help me with my anxiety! Our friends recently purchased a resale. They stated since we would be in disneyworld this week, check out the dvc and get some free fast passes. Fast forward three hours later I'm an owner of a deed. I apologize upfront because I know things have been covered in different parts of the forum but any thoughts would be appreciated


I bought 100 pts at Polynesian for 16500. They had given me an "extra" 100 for the first year.

My main questions

1. If I want to stay at the poly every year, then dvc is a great deal end of story. However from what I have read it's going to be difficult of get anything at grand Floridian? If I want grand Floridian any thoughts? Seems like there aren't many Resales there?

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

3. The salesman made it seems that I could sell back this to Disney in the future at conceivably the same price? So where would be the "loss?"

4. What would be considered the top dvc resorts amenity wise?

5. If I decide to buy more points through the wait list through Disney for a less expensive category. Can I use those discounted points at the Polynesian? One of the staff members was saying this was a way of obtaining more points without me having to pay the 165 a point rate I did with poly.

Sorry for the convoluted post but any help would be appreciated. Thank you.

I'd suggest you cancel and learn more. Then once you know what's right for you, you can buy later. IMO DVC is best for those that can plan ahead at least 7 months out, can pay cash, are OK with the compromises of a timeshare and value saying on property enough to pay significantly more. For the Poly and VGF, you'll need to plan 11 months out, esp for VGF. You will not get VGF routinely owning elsewhere. IF you decide that the Poly is your best choice, I'd suggest you buy a fixed week even if it's not a week you plan to use routinely. You really lose nothing in doing so and gain both some flexibility and possibly a resale advantage later. OTOH, if you just want to try all of the resorts, both the Poly and VGF are poor and expensive choices for that option.

 

[disneynutz]

Lets face it, you got suckered in. Rescind your contract following the instructions that you will receive in your pile of papers that you will receive from Disney.

Buy at your favorite resort, problem is how do you know which resort that is if you have not stayed at all of the resorts? I see that you have two ways to find that out, take you best guess and buy there or buy a less expensive resort like SSR and use those points to experience the resorts and system. After a few years of Disney vacations, if you have difficulty getting your now favorite resort, sell SSR and buy your favorite.

Bill

 

[suebeelin]

Everyone is giving you very good advice.

If you want to stay at grand Floridian, buying poly is a not the best idea.

No, you CANNOT sell back to Disney at the same price. I think one poly resale just came on the market and was purchased for $140? 145? Per point. GFV resales are about 140-145 as well, I believe.

You would be looking at a loss (if you resell now) of $20-25 per point PLUS the 10% broker commission. Will it go up in the future? Who knows.

Like everyone said, you can cancel within 10 days of signing. I would. Poly will be selling for at least another year. You can alwaya repurchase it for the same terms after much research... They didn't give you anything special (100 "free" points at the end of the year is standard.. You didn't really get "free" points).

Good luck!

 

[Allison]

I will try to talk you out of it. You made a very expensive purchase without being fully informed. Cancel now.

 

[crisi]

2. The Maintenance value is uncontrollable. So no reason to stress over? Even though it could be tens of thousands 40-50 years down the line?

Dues are capped at a 15% increase - and tend to be 3-4% year after year. But at 4% a year the dues on $100 Poly points will be over $4k at the end of the contract.

For us, with fifteen years of ownership behind us, a bigger deal has been the rate of inflation on park tickets. What used to be a few hundred in park tickets is now well over $1000 for our family.

 

[Dean]

Dues are capped at a 15% increase - and tend to be 3-4% year after year. But at 4% a year the dues on $100 Poly points will be over $4k at the end of the contract.

For us, with fifteen years of ownership behind us, a bigger deal has been the rate of inflation on park tickets. What used to be a few hundred in park tickets is now well over $1000 for our family.

Crisi, technically that's true but it's only dues, not taxes that are capped. Plus, as the reallocation history has already proven, it's not really a cap anyway other than a cap on going up 15% every year.

 

[Dentiphile]

Is there a way to figure out the break even calc. I've been at gf for the past three years and end up spending around 6 grand each time for us 4. Basically thought dvc would be more cost effective. Thank you so much all!

 

[ToddyLu]

They gave you your current use year points (2014) and 2015 points. So you see, it "seems like" you got something for free but you didn't. We also purchased direct and thought that those were "special" points too. Eh, no...just a way for the Guide to "make" you feel like they are free. Now, I do not have a problem with the fact that we bought direct at AKV for $93 a point. I didn't know as much then as I do now and would now only add to our contract via resale. We have been very happy with DVC but your trips will change over the years just like ours did. Now the amenities matter more and the parks less. You need to be sure you purchase where you really want to stay.

Please cancel and research for a few months. I think I read where 2 poly resales have already hit the market. I would take some time to view a couple of the resorts today. You already know about Poly and VGF. Check out SSR and AKV if you have time. I promise you it matters. We would never stay at BLT again. We spent the night there and that was enough...just meh, IMHO. DH hated it and I was so thankful we only booked one night. Many people do not like the decor of AKV, the fact they have to ride a bus everywhere and the distance from MK. Some people hate the clown pool at BWV, some do not need sand under their feet while swimming at BCV, I could go on and on.

I would say "WELCOME HOME" but think I need to say " COME BACK SOON FOR A VISIT"

 

[ToddyLu]

I am on the DIS alot...I am still learning the ins and outs of DVC. I need to know how difficult it is going to be for me to get the value studio I want next Oct. research matters for you to ge the best use from your timeshare. DVC was the only way I could see that a nurse and fireman could stay in a deluxe resort at WDW once or twice a year for our trips. I manage it wisely and squeeze as much out of our 210 points I can. So it is an expensive playground for us we realize that. We use our Disney Visa rewards, the TIW card and then try to make our annual passes last for 2-3 trips. So we are still mindful of our vacation money and realize that owning DVC is a luxury.

 

[suebeelin]

Is there a way to figure out the break even calc. I've been at gf for the past three years and end up spending around 6 grand each time for us 4. Basically thought dvc would be more cost effective. Thank you so much all!

We save with dvc bc we bought at the resort we would normally stay at, and figured after dues, our savings for the room would take us 7-8 years to break even.

We stay in 1bds instead of studios.

We also bought during the recession, and resale prices are 30-50% higher but MUCH less than current direct prices.

Price out the room you would normally stay in,

Then look at resales and the cost savings after maintenance fees. That should give you an idea on "how long" it will take before you save by buying dvc.

Look at the other properties on the resale market. Try to decide with resort you would not mind staying at, should you not be able to get into your first choice.

We ended up loving BWV for the location and proximity to Epcot and Hollywood. We bought BLT for location. We are happy.

We spend about $5k/trip for a family of 4 (one infant) including airfare, using the dvc maint fee as our housing cost. We stay for 7 days. I'm assuming the price would be an extra 1500-2k for our housing for a studio (note we stay in 1bds!) but if not for dvc.

 

[Dean]

Is there a way to figure out the break even calc. I've been at gf for the past three years and end up spending around 6 grand each time for us 4. Basically thought dvc would be more cost effective. Thank you so much all!

The total you spend is not particularly relevant. What you spend on the room only at GF is. Assuming GF is where you want, I'd look at resales and compare a studio to a hotel room. For that situation I think you can assume the increase for dues for DVC and for the room for GF will be around the same. What I do for that situation is a little more complicated than some but it takes into account variables I feel are important. I also feel that one should see return on investment in more like 10 yrs instead of the life of the RTU. Since I don't believe anyone should do this on money they don't have, I would not suggest financing. Since you have 3 yrs of experience, assume the same numbers and discounts.

So I'd take the up front price and think as if you invested it with a return of around 6% after taxes (I'll spare you how I got there in this situation). Then take the dues currently. So a week in summer discounted 10% (minimum for most situations) might be $5000 in a standard hotel room. For a studio for a week for the same time maybe 200 points at $30K up front and yearly fees around $1100. So DVC would tie up $30K and cost you yearly $1100 in dues. Year one a recoup of $3K/yr plus dues plus lost investment potential is roughly $6K.

So I'd say it won't necessarily save you money but it might (or might not) give you things you want such as the mini kitchen and different configuration. Just using quick math it does lock in your costs to a degree but it also gives you a far greater long term risk. Personally if you plan to go yearly to VGF and stay there almost exclusively, I'd seriously consider it.

 

[crisi]

Is there a way to figure out the break even calc. I've been at gf for the past three years and end up spending around 6 grand each time for us 4. Basically thought dvc would be more cost effective. Thank you so much all!

There are lots of ways, and if you are set on getting break even numbers, you can do it. And if you are set on getting not break even numbers, you can do that as well. It just depends on what assumptions you make.

My best piece of advice - if you need to break even to make it work - don't do it. You might save money - and if you vacation the same way you do now (stay in studios, same number of nights) you probably will. But most of us seem to see our vacation patterns change - we end up with "addonitis" - needing more points to support a bigger room or more trips or bringing friends or relatives to share our love of Disney. Or with the hotel room "paid for" we find ourself with Cirque tickets or dining signature or doing other speciality events. (And that or is inclusive - a lot of us have discovered we do both - bigger rooms, family trips, and the spend more when we are there). All of those things add value and are great - but they are costly, and they are so much easier for us to justify psychologically when the capital is sunk.

But if you have enough financial security to not care if you break even or not, DVC might be a good deal for you - do be aware of the differences between being a GF hotel guest and being a timeshare member - because there ARE differences. Some good, some not so good.

Now, if you are the frugal type - and there are definitely DVCers that are - they save money cooking in the room, they don't go into the parks every trip and save money there - sometimes its a pool sort of vacation. They stay in a OKW studio at 8 or 9 points a weeknight in low season with points bought at SSR for low dues and low buy in cost - ending up with a room at Disney for around $100 a night.

Or you could buy Poly points retail, stay in bungalows, treat your brother and his family - and end up spending way more money on Disney than you imagined possible.

 

[crisi]

Crisi, technically that's true but it's only dues, not taxes that are capped. Plus, as the reallocation history has already proven, it's not really a cap anyway other than a cap on going up 15% every year.

Yeah, the point I was getting at was that compounded inflation isn't your friend over 50 years - even if the rate of increase is fairly low.

Way back when companies used to hand out cost of living increases every year, that sort of thing wasn't a big deal. I haven't seen cost of living increases being a normal part of business for years. For most people, their real wage is going down every year - DVC dues (and tickets and food) are going up - making it harder to be able to look in a crystal ball and be assured that you'll be able to afford this in 20 or 30 years.