New $500 Resale DVC Transfer Fee

[disneylandtour]

If Im already paying $10k on a contract is $500 really going to be a big thing? Will just negotiate it on the price of the contract.

Other things will hurt the resale market more than this.

Well, demand is being depleted right now because--from a slightly different perspective--everyone has, essentially, a $500 off coupon for resale that expires on Dec 31. Will most people be complaining about the $500 fee come next December? Probably not. Will people complain for the next few months to the point where some will hold off on buying a subsequent contract? Probably.

 

[Brianstl]

If Im already paying $10k on a contract is $500 really going to be a big thing? Will just negotiate it on the price of the contract.

Other things will hurt the resale market more than this.

A 5% cost increase is a big thing.

 

[McCrae]

A 5% cost increase is a big thing.

In the grand scheme this is a marginal cost when comparing buying direct over resale. For people new to resale I don’t expect it to be an issue, for more established owners who use resale to add points I can see how this new charge may result in some people holding back from buying.

 

[Girlstar30]

So just to be clear, if two people are on a deed and then you decide to retitle and take one person off, you do not have to pay the $500 fee?

 

[Sandisw]

So just to be clear, if two people are on a deed and then you decide to retitle and take one person off, you do not have to pay the $500 fee?

It seems that this would be considered under the gratuitous transfer rules and no fee will apply.

 

[Girlstar30]

It seems that this would be considered under the gratuitous transfer rules and no fee will apply.

Thank you

 

[ChipTheRescueRanger]

I must of missed that the $500 is on top of the estoppel.

So basically it's money for nothing.

 

[Genie+]

A stripped 50pt VB going for $50pp would work out to:

$2500 (minus $250 for broker, plus seller paying $150 estoppel) - seller ends up with $2,100.

Buyer pays $2500 for the points (plus $450 closing, $300 title, and $500 CAF) - buyer pays $3,750.

Buyer doesn’t want to pay 2026’s $750 dues since points don’t load until Sept 2027. Seller accepts to pay.

Dues and points cost $3,250

Seller gets $1,350

Buyer pays $4,120

Buyer pays $3,750 (oops, originally I had them splitting the dues and forgot to correct this)

Transaction expenses $1,650

 

[Sandisw]

I must of missed that the $500 is on top of the estoppel.

So basically it's money for nothing.

Well it’s money to offset the costs DVCMC incurs setting up buyers accounts once they close on a contract.

 

[airjay75]

A stripped 50pt VB going for $50pp would work out to:

$2500 (minus $250 for broker, plus seller paying $150 estoppel) - seller ends up with $2,100.

Buyer pays $2500 for the points (plus $450 closing, $300 title, and $500 CAF) - buyer pays $3,750.

Buyer doesn’t want to pay 2026’s $750 dues since points don’t load until Sept 2027. Seller accepts to pay.

Dues and points cost $3,250

Seller gets $1,350

Buyer pays $4,120

Transaction expenses $1,650

That is a rough example. Of course, my mind immediately goes to, well, anyone selling a stripped VB contract should be grateful to be getting anything at this point. I'm not sure I could be talked into taking a stripped VB contact of any size even if it were free.

 

[Genie+]

That is a rough example. Of course, my mind immediately goes to, well, anyone selling a stripped VB contract should be grateful to be getting anything at this point. I'm not sure I could be talked into taking a stripped VB contact of any size even if it were free.

Maybe what’s keeping VB afloat is at least enough entry level interest? It is the lowest entry cost to sample DVC.

I’ve seen many people rationalizing the purchase on reddit -if VB means they can pay 100% without a loan, they might be better off dealing with the higher dues in the future. Look how many resale loans Monera says they’ve secured. People are financing resale.

The going point cost on 150pts VB resale is $6-7k. Compared to $12-15k SSR? They say well it would take me almost 10 years before the SSR dues savings mean anything. Not to mention having to finance some of SSR. As John Lennon sings, ‘We’re all doing what we can.’

 

[muppets3d]

Maybe what’s keeping VB afloat is at least enough entry level interest? It is the lowest entry cost to sample DVC.

I’ve seen many people rationalizing the purchase on reddit -if VB means they can pay 100% without a loan, they might be better off dealing with the higher dues in the future. Look how many resale loans Monera says they’ve secured. People are financing resale.

The going point cost on 150pts VB resale is $6-7k. Compared to $12-15k SSR? They say well it would take me almost 10 years before the SSR dues savings mean anything. Not to mention having to finance some of SSR. As John Lennon sings, ‘We’re all doing what we can.’

Yeah VB will be reasonably popular for a while because of the low buy-in. HHI as well, although it is still priced a little higher than VB (probably because dues are still a good bit lower).

 

[airjay75]

Maybe what’s keeping VB afloat is at least enough entry level interest? It is the lowest entry cost to sample DVC.

I’ve seen many people rationalizing the purchase on reddit -if VB means they can pay 100% without a loan, they might be better off dealing with the higher dues in the future. Look how many resale loans Monera says they’ve secured. People are financing resale.

The going point cost on 150pts VB resale is $6-7k. Compared to $12-15k SSR? They say well it would take me almost 10 years before the SSR dues savings mean anything. Not to mention having to finance some of SSR. As John Lennon sings, ‘We’re all doing what we can.’

Agreed. VB is a good example of where, if it were a restricted resort, it would probably be near worthless by now. The ability to exchange it allows people to justify the low buy in price. VB resale price per point might be a pretty good proxy for how people value the ability to exchange into the O14 resorts. Maybe about $40/point.