Making a resale offer

[Bjaiken77]

So, we all know it’s an art of negotiation. I was wondering how you all handle making an offer for a contract that has sat for awhile or even been reduced in price. We see overpriced listings all the time. For some of them, I think they are $20-$25 per point overvalued.

Do you still think it’s worth making an offer for what you think it’s worth, or do you just chalk that large of a gap up to a difference of opinion on value? Also, knowing that it’s usually a negotiation, do you think it’s worth offering even lower (ex. $30-35 per point) so you have some room to come up to what you think it’s worth?

I’m just curious about people’s experiences when there is a wide gap between asking price and where you think the contract should be priced. Obviously, other people agree, which is why the contract has not sold for an extended period and/or had to be lowered in price. Note: Coming down even $30-$35 still should easily clear the ROFR bar.

 

[KAT4DISNEY]

I think if a contract has sat for a long time and is very over priced and no reductions it's unlikely they'll negotiate. They're just fishing and if they get what they ask they'll sell and if not they don't really mind. If there's been a reduction then they are actually looking to sell and have realized they're going to have to come down to get some interest. Of course you never know until you try an offer.

I think I've tried two times on very over priced contracts. One just countered at the same asking price. The other came down $5 and then I countered at what was my top price which I think was $25 below their asking. I got a thanks but no. Approx 4-5 weeks later I got an email from the broker that they were willing to accept my offer if I was still interested but I had moved on by that point. It sat for quite awhile again after that before I noticed it had sold and they had to drop their price before it did. I've also done the $20-$25 point less offer a couple of times on contracts I considered moderately over priced and had mixed results of negotiating to a purchase or else receiving the counter of $1-$2 less.

 

[princesscinderella]

I’m of the belief to always offer a few bucks lower than you are willing to pay even if you are in no rush and are specifically looking for a deal. The worst they can say is no. If you are bidding on a loaded hard to find UY “unicorn” contract then you go full steam to get the deal before others snatch it up.

Just today I got an email from Fidelity with a great smaller (120pts) loaded SSR contract for $110 pp. the email came in 45 minutes before I saw it and when I called to offer full price it was already gone.

 

[DebbieB]

I bought a VGC resale about a year ago. I have an April use year, which seems pretty rare for VGC. They asked $183 on a stripped contract and I debated going down to $175. I was afraid I’d lose it so I offered $180, which they accepted that night. Seller paid 2020 dues (and I ended up with the 2020 credit). The fact it only had 1 2020 point turned out to be a blessing, who knows when I’ll get there. I have a reservation for December, hoping they allow non CA residents and we can get tickets. Otherwise I will have to postpone to next year.

 

[Noodlez]

If I thought a contract was $20 over the price I wanted to pay I would offer $40 less with the aim to meet in the middle. They may think you're offering a bit too low but you think they're asking too high so that's fine. The worst they can say is no.

 

[Bjaiken77]

If I thought a contract was $20 over the price I wanted to pay I would offer $40 less with the aim to meet in the middle. They may think you're offering a bit too low but you think they're asking too high so that's fine. The worst they can say is no.

Yeah, that’s kind of the way I look at it. I’ve been told no many times in my life. I’m good with it. But what if someone wants to sell but they just aren’t getting offers because they are priced too high. Maybe they’d take my offer because it’d be one of the few rolling in.

 

[MICKIMINI]

Just like a car or house, some sellers overprice what they are selling. Offer what you feel is a fair price and go from there. I suggest giving them 24 hours to make a decision so you are not waiting forever. If they turn you down just move on. Good luck!

 

[CraigInPA]

What's the worst that could happen? The seller could say no, and not give you a counter-offer.

A lot of overpriced contracts are sitting waiting for the market to catch up with their pricing, or they are underwater in the contract and need to get out. In the second case, you may find a seller who will be a lot more negotiable on a contract that is aging without any previous offers.

 

[Bjaiken77]

What's the worst that could happen? The seller could say no, and not give you a counter-offer.

A lot of overpriced contracts are sitting waiting for the market to catch up with their pricing, or they are underwater in the contract and need to get out. In the second case, you may find a seller who will be a lot more negotiable on a contract that is aging without any previous offers.

Good advise...thanks!

 

[bless7ings]

I am new to all this. I just came back from WDW. After talking my husband said he was interested in buying BC. BC from Disney is $245/pp. Are you all saying to not buy the contracts through Disney. But directly or a middleman?

What is the going rate for BC not going directly through Disney?

 

[KAT4DISNEY]

I am new to all this. I just came back from WDW. After talking my husband said he was interested in buying BC. BC from Disney is $245/pp. Are you all saying to not buy the contracts through Disney. But directly or a middleman?

What is the going rate for BC not going directly through Disney?

The contracts are the same length of time whether you purchase from DVC or a resale contract from an existing owner who is selling. BC itself is not DVC but Beach Club Villas is. Resale price for BCV right now can be found in the $135-$150 range. Some a bit lower and some a bit higher.

 

[Sunnyore]

I am new to all this. I just came back from WDW. After talking my husband said he was interested in buying BC. BC from Disney is $245/pp. Are you all saying to not buy the contracts through Disney. But directly or a middleman?

What is the going rate for BC not going directly through Disney?

The sponsors of this board has a website with some data. They listed the current resale price for BCV is around $150pp. So buying resale would roughly save you $95pp. Purchasing direct from Disney gives you the full use of your points at all the resorts and resale will allow you to book at the legacy 14 resorts but not Riviera and any future resort. If you're just starting your research, it's definitely worth buying resale if you're looking at BCV since there's like only like 21 years left on the deed.

 

[Ruttangel]

There was a great thread last year about lowball offers, ROFR was paused for 3 months so some great deals went through.
Right now really low offers are getting snagged by Disney so that is a downside.
However, it depends on the resort, active sales are not ROFR’d so CCV,RIV,AUL basically any accepted bid will pass (CCV nearly sold out).
I’ve seen CCV go through at $130 so any listing at $150, why not bid $125 or lower to start?
However, not much point lowballing high demand listings as competition is fierce.
Also, look out for international sellers they don’t usually get taken from Disney so you can try and get that below the usual ROFR floor

good luck