need help understanding dvc buying from another member

[disny45]

okay- i am sorry but i am a bit confused and hope that someone would be kind enough to answer me as i am sure it has been asked many times before.

if i buy the rest of a dvc contract from someone, do i have to pay a per point fee every year too?

for example ( this is by no means what i am looking at) but say i am buying the rest of a contract for $10,000 and gets 30 points a year. do i pay for 30 points every year at that $100 per point per point? so that would be the $10,000 initial payment for the contract, then $3000 a every year thereafter for the remainder of the contract along with the yearly maintenance fees?

or do you just automatically get those points "free" each year you own the contract and you can buy more points if you wish at the $100 a point value?

thanks ahead of time for anyone who can give me better clarification.

 

[Sandisw]

You pay an upfront fee for owning the contract. You are then billed for annual MF's. Those you pay based on the resort that you own.

For example, BLT's 2011 dues are around $3.90/pt. If this is where you owned, you would pay $390 for your 100 point contract.

MF's range between $4 and $6 for the WDW resorts.

 

[disny45]

For some reason while I was reading over everything I had it in my head you had to pay approx. $100 per point for every year and I just could not understand how so many people thought that was such a great deal shelling out so many thousands every year after buying the contractout/initial contract.
Thanks again for the quick reply- it is all making much better sense to me now

 

[chalee94]

if i buy the rest of a dvc contract from someone, do i have to pay a per point fee every year too?

after you buy a house, you still have to pay property taxes and insurance annually. you still have to do regular maintenance like mowing the lawn, painting and replacing old furniture over time.

same with a "home away from home." historical annual dues per pt by resort can be found in the DVC resource center:

http://www.disboards.com/showthread.php?t=2532406

as for upfront costs, here is an example:

Boardwalk Villas-December 50 $3,350.00
Notes: 50 points coming on 12/1/12 and 50 points coming on 12/1/13.

you would pay $3350 + closing costs of about $350 = $3700. after that you would start paying annual dues in 2012 (subject to negotiation). as noted in the link above, BWV annual dues are $5.46 per pt in 2011 and will likely be a little higher in 2012 - my guess would be around $5.60 per pt or about $280 for the year (or $23.33 per month).

in this example you would not get any pts until dec 2012, but you would get 50 pts a year with home resort priority at BWV until 2042 when the contract expires.

 

[disny45]

now i understand much better . now it sounds like something my family and i could do

 

[magicaldisney]

Do some research on how many points your family would need for your vacations. I know your example was hypothetical, but 30 points per year wouldn't get you much in lodging (if much of anything). We own 250 points, visit WDW annually and need to add on more points because it just doesn't get us what we want each year.