New $500 Resale DVC Transfer Fee

[MICKIMINI]

Irony of ironies, this is almost EXACTLY what I JUST did. Split my direct buy into three parts with the idea I might add one more in the future in Florida (if Florida get their act together…long story) and then I’d be able to potentially split the exact numbers of direct points between my 2 kids long down the road IF they wanted them.

I don’t really view a timeshare as an asset to hand off through generations, but I think my kids could enjoy it at least a few decades. But with devaluation like this additional fee, I’ll probably just consider resale if I want more, and tell my kids they can alternate years and decide between themselves. They are still young so any planning for the future is a long way off.

Our son and DIL are on our direct contract. We did not add them to the resales as it is a toss up if 2042 expires before we do LOL!

 

[Genie+]

Does anyone else wonder if this decision didn't get sparked because owners have been willing to pay an extra $250 in document fees to break up direct purchases into smaller contracts?

Maybe they realized they could add this CAF to cover all the costs of creating these new memberships from resale purchases? Assuming, of course that is what DVCMC LLC tells us it is for.

Yes I think this decision intends to address multiple things, including disincentivizing this practice and at least getting a piece of that pie for what now remains.

 

[juliebee]

Irony of ironies, this is almost EXACTLY what I JUST did. Split my direct buy into three parts with the idea I might add one more in the future in Florida (if Florida get their act together…long story) and then I’d be able to potentially split the exact numbers of direct points between my 2 kids long down the road IF they wanted them.

I don’t really view a timeshare as an asset to hand off through generations, but I think my kids could enjoy it at least a few decades. But with devaluation like this additional fee, I’ll probably just consider resale if I want more, and tell my kids they can alternate years and decide between themselves. They are still young so any planning for the future is a long way off.

I would likely do the same on a direct purchase. My comment was pertaining to resale purchases. I've seen plenty of people in other threads say they have purchased a few smaller resale contracts like 50-100 points each to get them to their goal of staying a week. And I just think the overall costs don't make sense on that. Typically higher prices on lower point contracts, plus closing costs on each resale contract, and now this extra fee on each contract. Nope... just buy a single contract in that 150-250 point range as a resale purchaser.

 

[Stank]

Which Disney attorney would that be the genius that cooked up the Disney + arbitration idea? Or would it be the rockstar that committed Discovery abuse (plaintiff requested sanctions) by introducing new evidence during a deposition - They just push the envelope until someone pushes back, it doesn’t make them right.

Exactly. People always argue this that companies can’t be sued because their contract lawyers are too smart.

Not bragging at all, but I caught a provision in a contract that both my company and the other company’s lawyers didn’t catch. It resulted in a multi-million dollar settlement. All because I didn’t take the “the lawyers already looked at it” mindset and spent a night shift looking at the contract myself. And I have zero hours of law school. It’s called the English language. A lot of people can read it. And lawyers are just people making their argument. The way you win cases is by making a better one.

Lawyers screw stuff up all the time. There’s a constant conveyer belt of lawsuits for breach of contract with many successful.

 

[Sandisw]

Exactly. People always argue this that companies can’t be sued because their contract lawyers are too smart.

Not bragging at all, but I caught a provision in a contract that both my company and the other company’s lawyers didn’t catch. It resulted in a multi-million dollar settlement. All because I didn’t take the “the lawyers already looked at it” mindset and spent a night shift looking at the contract myself. And I have zero hours of law school. It’s called the English language. A lot of people can read it. And lawyers are just people making their argument. The way you win cases is by making a better one.

Lawyers screw stuff up all the time. There’s a constant conveyer belt of lawsuits for breach of contract with many successful.

Of course these things can happen but in most cases with DVC since I have been an owner that have involved concerns, they at least had what they believe was a plausible way to interpret the contract and law.

In some cases, they reversed course because they obviously felt the ground was a bit shaky and other times that have not.

In this case, all we know is they are now instituting a CAF for resale transactions.

Not al actions require the same level of legal scrutiny either.

Given that it sounds like this is standard with other timeshare companies, my guess is this is going to turn out to be simply an addition to closing costs.

Good thing we do not have to wait too long to get details.

 

[eticketplease]

I would likely do the same on a direct purchase. My comment was pertaining to resale purchases. I've seen plenty of people in other threads say they have purchased a few smaller resale contracts like 50-100 points each to get them to their goal of staying a week. And I just think the overall costs don't make sense on that. Typically higher prices on lower point contracts, plus closing costs on each resale contract, and now this extra fee on each contract. Nope... just buy a single contract in that 150-250 point range as a resale purchaser.

I agree the costs don’t usually make sense but it helps get some families into the door and is a lot easier to pay cash or pay off a loan faster for 50 points even if it is more $ per point.
Once that family has a taste of DVC and doesn’t want to keep banking and borrowing they will look for another contract.

 

[Genie+]

It’s going to be an interesting meeting! Like every year

I was looking forward to how they’ll follow up last year’s “commercial renting… hopefully by this time next year… won’t be having the same conversation… blah blah.” Either there is a Part 2 to last year… or we will be having the same conversation. Will this new topic of $500 fee eclipse and distract from that?

I agree the costs don’t usually make sense but it helps get some families into the door and is a lot easier to pay cash or pay off a loan faster for 50 points even if it is more $ per point.
Once that family has a taste of DVC and doesn’t want to keep banking and borrowing they will look for another contract.

This is pretty much how we entered DVC. We hemmed and hawed while renting DVC until we felt comfortable getting our toes wet with a smaller less commitment 50pt BWV resale. That personal experience gave us the confidence to take it further with 150pts direct.

 

[Mikey15]

Every time I look at a small contract to dip my toes as it is, I realize what the closing costs would work out to per point and I balk at it.

Adding $500 on top of that… that’s $10/pt on an already premium-priced contract. Even at 100pts it’s still adding $5pp.

 

[eticketplease]

Every time I look at a small contract to dip my toes as it is, I realize what the closing costs would work out to per point and I balk at it.

Adding $500 on top of that… that’s $10/pt on an already premium-priced contract. Even at 100pts it’s still adding $5pp.

Disney is willing to waive the $500 fee for you however you will need to pay $235 a point….

 

[VGCgroupie]

Everyone talking about the upcoming meeting... when do the minutes from the last meetings get posted? It's almost as if those meetings didnt even happen.

 

[Sandisw]

Everyone talking about the upcoming meeting... when do the minutes from the last meetings get posted? It's almost as if those meetings didnt even happen.

Typically, the only thing they post is the official part when the board adopts the budget...but last year, not even that was posted.

For the Q & A, that has never been posted or shared....just reported on....but, if I get a chance, I will ask if the Q & A has to have minutes and if it does, how do owners get a copy of those.

I don't have any specific topics (other then to get info on this) to discuss with them, but have some thoughts and potential questions that I might want answers to based on what else is asked...

 

[VGCgroupie]

Typically, the only thing they post is the official part when the board adopts the budget...but last year, not even that was posted.

For the Q & A, that has never been posted or shared....just reported on....but, if I get a chance, I will ask if the Q & A has to have minutes and if it does, how do owners get a copy of those.

I don't have any specific topics (other then to get info on this) to discuss with them, but have some thoughts and potential questions that I might want answers to based on what else is asked...

Don't want to derail this thread, but those meetings took place right after the new personal use checkbox and we all had many questions about that.

 

[Cyberc1978]

Everyone talking about the upcoming meeting... when do the minutes from the last meetings get posted? It's almost as if those meetings didnt even happen.

Could this new fee be timed so that is all that is asked about at the meeting and not the checkbox, renting etc?

It’s sort of like the politicians if you have bad information you need to go public about all you need to do is break it when worse news is on everyone lips that way you bury it.

 

[VGCgroupie]

Could this new fee be timed so that is all that is asked about at the meeting and not the checkbox, renting etc?

It’s sort of like the politicians if you have bad information you need to go public about all you need to do is break it when worse news is on everyone lips that way you bury it.

Doesn’t sound too far fetched to me.

 

[JackosinDIS]

Typically, the only thing they post is the official part when the board adopts the budget...but last year, not even that was posted.

For the Q & A, that has never been posted or shared....just reported on....but, if I get a chance, I will ask if the Q & A has to have minutes and if it does, how do owners get a copy of those.

I don't have any specific topics (other then to get info on this) to discuss with them, but have some thoughts and potential questions that I might want answers to based on what else is asked...

Thanks for doing this!

 

[JackosinDIS]

Don't want to derail this thread, but those meetings took place right after the new personal use checkbox and we all had many questions about that.

I’m sure checkbox-gate was June, 6 months after the meetings.

 

[VGCgroupie]

I’m sure checkbox-gate was June, 6 months after the meetings.

I thought there were meetings right after, unless those were different meetings… I remember anxiously awaiting for an update from someone, on the inter webs and it was just crickets…

 

[HyperspaceMountainPilot]

Doesn’t sound too far fetched to me.

I also was wondering if they introduced a new fee to distract from the fact they’ve made zero effort to follow through on curbing large commercial renters.

Like @mkatsy said earlier, Disney rolling out new fees instead of curbing spec renting has been a super effective antibody against my chronic addonitis.

 

[mkatsy]

Like @mkatsy said earlier, Disney rolling out new fees instead of curbing spec renting has been a super effective antibody against my chronic addonitis.

There is one caveat … a direct point fire sale that rivals my beloved VGF purchase. I’ll drop what I’m doing, and run to call my guide.

 

[zavandor]

I don't have a strong opinion about the legality of this fee. I can see the argument that it's been done by others for decades and the statute forbids the association to impose a fee and this is a different company.
However, let's reason by absurd. If a $500 fee is legal, why not $1,000? And why not $10,000? A 10k fee would effectively kill the resale market once and for all. It would be an immense win for all timeshare companies. If they can impose any fee they like, then why not 10k? Is it just optics?
Is there a law that allows to impose a fee to recoup the expenses of setting up the membership for a resale buyer? Where is it? Does the process need to be audited to guarantee fairness like the budgets?

And the most important question: why doesn't the DVC management company handles new memberships? Like it has been said, resale buyers are not DVD clients, why is the process of setting them up is handled by DVD instead the DVCMC? I think this could easily be handled by MS CM, within the normal budget.