My Head is Spinning with Questions! Please HELP!

[qanita92]

Well we just came back from our second trip to WDW and we got to stay for 12 days. During our trip my sister and I attended a DVC Tour and it really got us interested in buying DVC (most preferably BLT) however there is the money issue.

I was thinking of maybe purchasing Saratoga Springs through resale to save us lots of money. SSR isn't my favorite resort but since I am only 18 and my sister is 22 we wanted a resort that won't near is 50 year mark soon and we could be saving thousands of dollars.

My parents are thinking of helping us (my sister and I that is) finance now and in a few years we will start paying and eventually add on more points that way when we start our families we both have enough points for our separate family vacations.

Now do you think it is a good idea to start with resale or should I go through Disney first. There are some incentives available but not as nice of a savings as resale offers.

What do you think?

Another question: do you think it is a good idea for our family if we are a group that always stays at POP and tries to get free dining? Will it provide us any savings? My guess is that after seven years or so we will start saving money than if we just payed for a visit to WDW and stayed at POP.

THANK YOU VERY MUCH!!!!!!!!!!!

Forgot to mention:

We are a family of 8 that always stay at value resorts during the last two weeks of August (but I am expecting things to change after 7 years or so once I finish college and hopefully have a full time job of my own)

 

[Sammie]

Seriously...... my advice would be finish college and get a job, save and then consider a luxury vacation purchase such as DVC.

 

[LuvLDM]

Seriously...... my advice would be finish college and get a job, save and then consider a luxury vacation purchase such as DVC.

Excellent advice

 

[Mom B]

I hate to burst the bubble, but I think the others are right...you could end up getting in "over your heads" too easily at this stage of the game. Although you're never "too young" to purchase DVC, it's probably something you shouldn't jump into right now. I know it looks exciting, but give it a little time before making such a big commitment of money (and the time it will take to pay it off!) Unless of course you have a lump sum or inheritance just sitting around and you don't need it for college...but I would definitely pay cash and not finance at your stage of the game. Even then, you'd have to budget for your maintenance fees. Give it some time...a long time, maybe 6 months or more...before you make a big decision like DVC! Although it's a wonderful dream, it's not a very practical thing and you don't want to have any regrets. Good luck with your decision!

 

[MrShiny]

If you happily stay at POP, it would take years for DVC to save money. Over the life of the deed it might (depending on fees) but not right away.

You would be much better off if you want to stay at DVC renting points for now.

Later, after you have purchased a home, you could use the equity after a few years of ownership to buy DVC. It'll cost more then, but probaby not that much more that it is worth it to invest now.

I definitely though would not suggest buying a vacation home until you buy a real home!

Rent DVC now - it'll be having your cake and eating it too. Keep in mind that although DVC points have gone up over the recent years, the cost of renting has remained around $10 per point...

 

[mdsd8700]

I completely agree with all the other posters. Now is not the time for a luxury purchase. Things are never a guaranee but in this economy, you can be sure of nothing. It is best to graduate from college, get a job and be as financially settled with money including saving for your retirment, before you think of such a expensive purchase. Of course that is the mom in me, since I have a 17 year old son myself. However I give you a lot of credit for thinking the purchase through and looking for advice from others. Good luck to you.

 

[vicki_c]

Notwithstanding what was said above, it's not really a good fit for a family that likes to stay at values and get free dining offers. Definitely not relative to saving money.

 

[Lynne M]

Another question: do you think it is a good idea for our family if we are a group that always stays at POP and tries to get free dining? Will it provide us any savings? My guess is that after seven years or so we will start saving money than if we just payed for a visit to WDW and stayed at POP.

THANK YOU VERY MUCH!!!!!!!!!!!

Forgot to mention:

We are a family of 8 that always stay at value resorts during the last two weeks of August (but I am expecting things to change after 7 years or so once I finish college and hopefully have a full time job of my own)

Will it save you money as compared to stays at Pop on free dining? No, it won't. In fact it's going to be significantly more expensive. DVC isn't a discount program, it's a way to pre pay for luxury accommodations, and it's very far from being an inexpensive way to stay at WDW. If you compare it to the cost of staying in the same villas on a cash reservation, yes, over time you'll likely save money. But it's always going to be much more expensive than what you're paying now at values. And it just covers your hotel stays. You still have to pay for travel, park tickets and food (no more free dining if you're staying on DVC points).

Don't forget the annual fees, too. Depending on how many points you buy, that's hundreds or more per year on top of the loan payments.

I think it's great that you're planning ahead, and thinking about moving up from the values when you're out of college and working. But I think that's the time to think about buying DVC, not now. There's just no need to burden yourselves with additional debt now, plus the maintenance fees. If you want to stay in DVC villas in the meantime, just rent points.

 

[Swayhoover90]

I would suggest renting points for now. They regularly rent for around $10 pp but if you sign up for daddio's email alerts and your travel dates are flexible you can find real bargains. Just this week he was offer points at $6 pp with limited travel dates which is a SUPER bargain!

My second advise is as you grow older, hold on to the magic. Once you are in the real world life has a way of sucking that sense of wonderment from some. You will meet many folks on this board that have held on. My wish and prayer is that will be the same for you!

 

[crisi]

Renting points won't get you free dining.

DVC ownership is an "affordable" way to upgrade your accomodations if you've been staying in a value - that doesn't, however, mean its a cheap way to go to Disney. I don't think you'll save money over free dining and value resorts.

 

[Crystal_27]

Forgot to mention:

We are a family of 8 that always stay at value resorts during the last two weeks of August (but I am expecting things to change after 7 years or so once I finish college and hopefully have a full time job of my own)

Well, something that I don't believe has been mentioned yet is the fact that for a family of 8 you would need to purchase a ridiculous amount of points, costing probably upwards of $30,000+. And, the maintenance fees on those points would be well more than you are paying for the POP right now for your family of 8. I would say that if you are happy at the POP right now and are able to take advantage of free dining, keep doing it until DVC makes more financial sense. Good luck!

 

[snubie]

Seriously...... my advice would be finish college and get a job, save and then consider a luxury vacation purchase such as DVC.

This.

 

[TisBit]

There is some good advice already given. Here is my two cents, you will most likely be dissapointed with DVC, you won't get free dining and the savings you will see over the POP are minimal.

As for where you are in your life or finances, that is your choice, but until you see a need to upgrade from the POP to at least the moderates, I don't see DVC being a good idea.

 

[MELSMICE]

Seriously...... my advice would be finish college and get a job, save and then consider a luxury vacation purchase such as DVC.

This......but even before the luxury vacation purchase, purchase yourself a home.

 

[Jason@dvcstore]

Seriously...... my advice would be finish college and get a job, save and then consider a luxury vacation purchase such as DVC.

I would agree and I would also suggest that when you do buy that you purchase your own points and that your sister purchases her own points.

Jason

 

[wendyinoc]

I disagree and think you should purchase.I went to look at DVC when I was in college and did not buy. I bought 10 years later at double the price. I don't know your situation but I had a good job in college so I could afford to have done it. Its a great time to buy DVC for price. I agree buy separate. Why don't you buy a small contract and slowly add more over your lifetime? I love SSR. I own at this resort and would not change it. The resale price is amazing right now. The resort is very large and beautiful. I love having Downtown Disney right across.
Good luck in your decision.

 

[PoohNFriends]

Don't have anything new to say than what has already been posted, just wanted to put in my suggestion for you to wait.
*College is expensive, unless your family is able to help you with most of it or you have a lot of scholarships. Even if this is the case, costs will continue to increase, especially if you plan to get a degree beyond a bachelors. You don't want to have to make a decision whether to pay your yearly MF's or buy books. Wait until you are done then wait a little longer until you are stable: job, car, and also agree smarter to get a house before a timeshare.
*When you are ready, buy your points separate from family. Too many things can change over the next 10, 20, 30, 40 years and you may find they are not easy to share anymore. Plus, while you travel with your family now this may become difficult to organize once people get older, have kids, etc.
*DVC is not usually a good fit for those that stay at values and like to take advantage of free dining. Like a PP said, you may end up paying more in yearly MF's than what you would have paid for a stay at a value. While DVC rooms are more "deluxe" your time to break even in with what you would have paid for values and what you paid into DVC will take a lot longer that 7 years. And as said before, no more free dining.
I would probably tell the same thing to a person of any age looking to go to college for the 1st time or back to college for further schooling. It sounds like someday DVC may be right for you someday, but I would wait until you can put in your payments (whether buying "cash" or getting a loan) and MF's into your budget without sacrificing something else.

 

[cush1]

Wait until you have cash to pay for it. It is too dangerous to get into debt when you are 18.

I would take a "test drive" and rent some points from someone for your next trip. If you say to yourself "this is too expensive for the room" or "but I won't get the free dining if I rent points" then these are good reasons not to buy into the program. You will feel the same way in the future.

As many have said DVC is a pre-paid luxury vacation program. It isn't a discount program.

Go to college, graduate debt free, get a great job, get married, then pay cash for DVC!

 

[RumpleMom]

I'm not sure I understand who would actually be buying the DVC contract.

You said your parents would help with financing and in later years you and your sister would be adding on contracts. Who are the other 4 of the 8? younger siblings? grandparents? Who would be responsible for paying for the contract and the 50 years or so of maintenance fees? Are you a family with 6 kids, and you and your sister are the oldest kids?

At 18, your first priority is to pay for your education and graduate in a field where you can find employment. Your college years might not allow you time to take vacations. I know our kids couldn't miss classes during the school year, holiday airfare was too expensive and they were too busy working a summer job to go anywhere. But they graduated and got jobs in their field, so now they can afford to go to WDW. They still love it.

My advice is to let your parents buy into DVC and take on the responsibility of the maintenance fees for the family. If you have all of your college expenses covered for the future and have extra money you could help the family by buying everyone's park ticket or food. Your education comes first.

 

[mcmeekin]

Staying at a value resort is what convinced me to buy DVC. I hated value resorts. We are a family of 6 and we take inlaws some too. DVC is the way to go for large families, IMHO. But if you LIKE value resorts AND you like free dining... DVC is not the place for you because with DVC you get neither of those.

msm