New Purchase Scenario

[KEEP TRAVELING]

I currently live in Orlando and would like to occasionally visit and stay in the DVC resorts. My first preference would be AK, but would ultimately like to try all the other resorts as well including Vero Beach.

So here is my thought for this scenario. Please tell me if this make sense or not.

I would purchase around 40pts (on resale market) so its a small investment on my part.

When I would want to go and stay in a resort. I would have another member transfer their points to me (rent their points). I would rent whatever amount of points I need for the specific reservation that year.

I would only be using during the off season as I really just want to hang out at the resorts and maybe visit Disney for a couple of hours.

So I am trying to decide on what propertly to buy in to.

The points that I have seen available in the lower point range are AK, SSR and Vero Beach. I think the maint fees are lowest in SSR, then AK, then Vero Beach.

Would there be an advantage to purchasing one or the other properties. I am extremely flexible when and where to go. 6-7 months out would work fine for me for booking.

This way I could try it out for a few years and if I really like it but the new BLV location from Disney

Any help or suggestions would be greatly be appreciated.
Thanks,
KT

 

[tjkraz]

Here are a few random comments:

* Living in Orlando, are you really sure that you will be able to plan these getaways 6-7 months in advance? DVC doesn't work great for short-notice trips so don't buy thinking that you will consistently be able to book on a week or two's notice.

* If you would never book more than 7 months out, there is no value to owning at any specific resort. Go with the cheapest option.

* You can only do one transfer per year.

* Off season times tend to be more popular among DVC members. For instance, if you wanted to book during the first 3 weeks of December, I doubt you would have much success finding ANYTHING on just 7 months notice.

 

[Dean]

If you're looking at weekends you have no advantage in buying in just for that, just use cash and you'll end up better off in the long run. Regardless, I would not buy with the idea of getting a transfer for each and every trip. I think buying with the idea of doing transfers routinely is a poor and risky choice. I do think owning DVC can be a great option for many in the area due to the other perks including free valet at DVC resorts that have valet, discounts, etc. As to whether you should buy depends on your specific situaiton and is ultimately, your choice no matter what any of us think.

 

[RobDoc]

An additional thought would be to point out that the annual fees for VB are actually the highest of all. With only a 40 point contract that may not be an issue, but might be worth considering. VB was $6.04 per point for 2008.

 

[samples78]

I have thought about doing the same thing. The issues I run into in deciding what resort to buy are: 1) Is there somewhere that I want to stay that will require 11 month booking window (for me AKL concierge and HHI during spring break)? If so, I might want to buy my small amount of points at that resort so that, with banking and borrowing, I could stay on my own points every three years in those accommodations. 2) For the OP I guess this isn't a big issue, but for me, will I always want to keep going down to Disney World for the next 40-50 years? For me, this makes me lean towards HHI, since we have a relatively short drive there and with so few points the higher MF doesn't really bother me. 3) Am I willing to go through the hassle of finding someone to transfer me their points every year (and if I want a hard to get reservation, am I willing to get these points 11+ months out)?

For me, the answer to these questions is yes, I just need to get to a point where I shouldn't be spending the original outlay of money on something more financially responsible for our family (paying down our car payment, etc...). So for now I will just rent.

One other point, if the OP finds they really like all that DVC has to offer, they can always add on another contract.

 

[Dean]

An additional thought would be to point out that the annual fees for VB are actually the highest of all. With only a 40 point contract that may not be an issue, but might be worth considering. VB was $6.04 per point for 2008.

I would agree that for a smaller contract, the dues don't matter. And if owning some DVC points work for them, owning an off site option like VB or HH might be a better choice for this type of potential buyer anyway assuming they would use the home resort prt of the time. However I think the first and most important question is whether they should buy in at all. This is such a different situation and thought process for those that live close enough for a day trip. Do they want to use it for guests, for weekend getaways or just an overnight here and there non weekend or even just as a place to rest and crash for the day trip and access to a pool. IMO it totally depends on the mental approach and personal situation of the individual.

As some know, I have been downsizing my DVC holdings for a number of reasons, none of which my dissatisfaction of DVC itself or the DVC resorts. One of our considerations was to simply keep 25 points to use the perks and for the occasional points stay every few years. I was not specifically looking at points transfers but had I gone that route, likely would have done so as private exchanges for my other timeshares. I may still do that in the future.

 

[RobDoc]

I agree. For those who live in the WDW area, it would be wise to identify how they will use DVC. If it's primarily for weekends, then DVC would not be an economical purchase. If it's just for a couple of weeknights in off-season on occasion, it could still work especially if a studio will suffice.

As for depending on finding point transfers, IMO that is not a dependable consideration - especially on short notice. If the plan is to have points transferred on an annual basis it would likely be better just to purchase more points via an add-on to the original contract.

 

[disneynutz]

A couple of things to consider.

You and your friend that is transferring you the points, (under current rules you can't transfer for money), are limited to 1 transfer each per UY.

You are under the assumption that DVD will continue to allow rentals and transfers.

Who knows what the rules will be in the future?

 

[KEEP TRAVELING]

Thanks for all the comments.

I guess here is a further part of my story. I would only be staying Sun-Thursday. But I don't need to necessarily need to go every year.

I could buy 50 points and bank or borrow and that should be enough for want I want.

I am not too concerned about being able to transfer or rent points. But its a nice option if needed for longer stays.

I think Animal Kingdom would probably be the resort for me, I like the animals.

Thanks for all your help and I welcome other suggestions.
KT

 

[Dean]

Thanks for all the comments.

I guess here is a further part of my story. I would only be staying Sun-Thursday. But I don't need to necessarily need to go every year.

I could buy 50 points and bank or borrow and that should be enough for want I want.

I am not too concerned about being able to transfer or rent points. But its a nice option if needed for longer stays.

I think Animal Kingdom would probably be the resort for me, I like the animals.

Thanks for all your help and I welcome other suggestions.
KT

Used that way, DVC would be a great option, esp if you can take advantage of some of the other perks like valet parking and discounts. Still, it's not the only choice available to you. You could also look at other timeshares both for Orlando use and for possibly trading to DVC. Some also offer day use for owners, something you could use much like a country club. There are many variables to that approach as well that I won't go into unless you express an interest in truly learning more about other options. IF you would like to look at non Orlando options, a non DVC timeshare would offer some advantages.

 

[KEEP TRAVELING]

Dean,

Could you please expand on those options. I am really committed to buy in a timeshare but I am truly trying to find what fits best for my family and we like Disney a lot.

KT

 

[Dean]

Dean,

Could you please expand on those options. I am really committed to buy in a timeshare but I am truly trying to find what fits best for my family and we like Disney a lot.

KT

Remember, you asked. Buying a timeshare, any timeshare including DVC, is such a personal decision with infinite variables that include location, preference, personal situation and family size. There's no way I can hit every variable or make a single recommendation but hopefully I can give you an idea of some of the choices involved and hopefully get you to think a little bit. I'm going to set up a few scenarios both including DVC and other options. I'll only deal with timeshares and assume 2 BR units unless noted otherwise.

1. DVC alone - works well for on property stays and reasonable priced for Sun-Fri stays. Very high fees, very POOR and expensive trade options. Around $24-30K for a week in a 2 BR with yearly fees around $1750 or more a year, S-F would cut those numbers to around 60% of those costs. Cost varies with home resort and retail vs resale.

2. Marriott week. Lets assume Grande Vista (in Orlando), 2 BR lockoff and resale purchase. $10K or less with yearly fees around $900 a year. Committed to full week stay but MUCH better trade options. A few extra fees including yearly II membership and lockoff fee if that options is used, somewhere around $175 a year at the tops currently. Internal trading preference to other Marriott’s, much better trade power, direct access to II.

3. Marriott week none Orlando. Lets assume Manor Club, 2 BR lockoff and resale purchase. $10K or less with yearly fees around $800 a year. Committed to full week stay but MUCH better trade options. The same extra fees issues. Internal trading preference to other Marriott’s, much better trade power, direct access to II. Plus the option of trading in to DVC for full week stays. This options is available to DVC studios and 1 BR and off season (about half the year).

4. Bluegreen Points – 20,000 points qualified about $8-10K, non qualified about half that. Yearly fees about $1000. Direct access to about 50 resorts and the option of exchanges within both II and RCI with RCI dues included. Not limited to full weeks for the 50 resorts but you are for exchanges. 20K points will give you a 2 BR every year or slightly more or less depending on the resort in questions. Potential to trade to Orlando and similar locations for up to 7 weeks a year with RCI, can likely do 3 trades a year with II.

5. Other points systems have similar plusses and minuses but they are all different. Wyndham, Hyatt, Starwood, Hilton, RCI points are 5 other points systems that come to mind.

6. Cheap timeshare in say Daytona, Gatlinburg, NC mountains, etc; Purchase price as low as a few hundred dollars and fees as low as $500 a year. The above II info still applies, the potential to trade to DVC if it’s an II resort and not in Orlando.


Here are a few examples of what I’ve done for exchanges.

1. Daughter’s Honeymoon to HI for 2007. Used a Marriott studio and an II bonus week. Got a 1 BR at the Maui Ocean Club and a studio at Marriott’s Ko’Olina on Oahu. Total cost around $650 plus prorated purchase price raising the total to a little under $1000 with an appropriate return of the purchase principle included.
2. 2 weeks in HI in Jan using BG points with one through II and one through RCI. Got a 1 BR at the Wyndham Beach Walk in Waikiki and a 1 BR at the Westin on Maui. Used 16K Bluegreen points which had a negligible purchase price (long story). Total cost about $1150 with maint fees and exchange costs.
3. 2 Weeks in HI several years ago with a 2 BR on Kauai and two 1 BR on Kaanapali Beach (Kaanapali Beach Club). About $1200 total.
4. 3 two BR weeks at Marriott’s Grande Ocean (2 I own, 1 exchange). Total cost about $2700 in maint fees and the one exchange fee. Add in for return of purchase principle maybe another $1500
5. Nine 2 BR units for family trip this past summer for Gatlinburg using BG points. Total cost around $3K.
6. 2 BR at Marriott’s Grande Vista for May Holiday. Only stayed 4 nights but used a Marriott studio to trade, total cost maybe $350.
7. I’m in Orlando right now at one of the Hilton’s in a 2 BR. Used 3K BG points (studio) to get it through RCI, total cost maybe $300.
8. Two 2 BR Marriott Horizon’s units in Orlando for 2009 as a gift for my nurses using two free weeks from BG, total cost just the exchange fee and guest certificate, less than $200 a week.
9. Upcoming trip to Aruba for 12 nights. Exchange to the Marriott Surf Club for a 1 BR plus nights before and after at the Bluegreen resort there. Used my Marriott trading 1 BR and BG points. Total cost some $900.
10. 6 nights Myrtle Beach in a 1 BR BG resort for $300
11. 7 nights Gatlinburg Fall Colors about $400 in a large 1 BR.
12. I’ve also had a number of exchanges to DVC in 1 & 2 BR units over the last few years. Total cost variable but likely an average of around $400 including exchange fees and the $95 resort services fee that DVC charges extra.

IMO, DVC can be a great choice for the right situation and a horrible choice for the wrong situation. The right number of DVC points plus one or more other timeshare options can be a wonderful combo for many. I’d suggest you take this info and formulate what YOU want from timeshare ownership. Consider where you want to go, how flexible you are, whether you can go off season, what unit size and what your current and likely future financial issues may be. Spend 6 months investigating what’s best for you. This is likely the best place for DVC, the Timeshare Users Group (www.tug2.net) is likely the best single place for other timeshares.

 

[KEEP TRAVELING]

Dean,

First of all let me say thanks for all your information. The information you provide is forcing me to look at other options as well to see what fits best for my family.

We would prefer a 2-bedroom for our vacations. We like to have the room even if only for a few days.

The Bluegreen points sound interesting. I googled them but didn't find much useful information. How many BG points to you have or is there a chart somewhere to see what the points will buy you?

I am also checking out Tug to see what else I need to learn. Apparently I need to make sure I learn most of this before purchase.

KT

 

[Dean]

Dean,

First of all let me say thanks for all your information. The information you provide is forcing me to look at other options as well to see what fits best for my family.

We would prefer a 2-bedroom for our vacations. We like to have the room even if only for a few days.

The Bluegreen points sound interesting. I googled them but didn't find much useful information. How many BG points to you have or is there a chart somewhere to see what the points will buy you?

I am also checking out Tug to see what else I need to learn. Apparently I need to make sure I learn most of this before purchase.

KT

It sounds like you are thinking along the right lines. If I've given you something to think about that will ultimately help you make the best decision for your family, mission accomplished. If you end up buying DVC, at least you will have known the options prior to doing so. For Disney, you need to decide what your priorities are. Is it worth the extra costs of staying on property, will you go enough to justify owning or will you be just as happy with a very nice resort off property. Some off the off property resorts are as nice as the DVC resorts and some are nicer in some ways. Certainly no one matches Disney for theming. But you can get 2 BR top resorts in Orlando for literally a few hundred dollars a week as I noted above.

Bluegreen and Wyndham are likely the best single value of any systems out there. The resorts I'd put on par with DVC that are close to Disney are Marriott's Grande Vista, Marriott's Cypress Harbour, the 2 Hilton Grand resorts, Bluegreen's Fountains and Vistana Villages. I think the new Marriott will be a nicer resort than anything else I've seen in Orlando. It will have direct access to the JW Marriott facilities and be more in line with the Ritz. Still, it is not on property and does not have the overt theming of DVC. Marriott's Horizon's, Orange Lake, Vacation Village at Parkway, Liki Tiki and Summer Bay are certainly very nice options as well worth staying at. The new Hilton on Palm Parkway should be very nice as well and closer than most of the rest. Don't forget it's also possible to trade in to DVC in many situations but not as much for 2 BR.

You can go to bluegreenonline.com and look at their resorts and a lot of information. They don't list the points for non members but you can join the bluegreen yahoo group and in their files is a pdf that includes all but the newest ones. As a generalization I'd say assume 10K points for a 1 BR higher season and about 18K for a 2 BR. But one can spends more or less depending on the resort, unit size and time of year. For trading, one can get functional weeks that will trade in RCI for 3-6K and 7K for II. Overall BG resorts do not measure up to DVC but a few do including Fountains in Orlando and Big Cedar near Branson. When you join TUG, you can look at their ratings systems which will help you with these decision as well. How many points you would want if you go this route depends on how you're use it. Even 7K every other year (EOY) would get you into Orlando in a 2 BR EY and still allow you to do some other type of vacation directly with points or as an exchange. One of the big benefits is the ability to reserve on cash within 48 days for $49 for a studio to $69 for a 2 BR as a set price for all resorts.

To reiterate, this is a personal decision. You should factor in your situation and preferences and see what you'll be happy with. Certainly something like a smaller BG or Wyndham package will be the best value for the price IMO. Something else to look at for someone who will reserve on short notice would be the RCI points system where at 45 days it's very cheap to exchange. While I like II better overall, RCI is an easier system to uptrade in.

 

[np4gp]

For OP, I can see what you are interested in doing and makes sense. But, for how you plan on vacationing, just renting may make sense too...
I am about 40 min. from the parks and we just bought at AKV, but we plan on doing yearly trips to the parks or cruises with DS2 so we wanted a decent sized contract.
I would say this, don't do it just for the perks. The AP discount is the same for DVC as it is for Fla. residents. Free valet isn't really "free" if you tip like you should - $2 or so on the way in and out. And with the middle level AP (forget, but not seasonal and not premium...lol), you get real free parking. Tack on a AAA Diamond Parking pass and you get free parking that is sometimes much closer than it would be if you didn't use it (unless, of course, you are there bright and early then I find regular parking to be better anyway). Tickets for special events for Fla residents have the same discount as DVC as well. Keeping track of where you get discounts with the AP and DVC is too much of a hassle so I just ask everywhere I go...lol. "Do you do DVC, Annual Pass or Disney Visa discounts?" More often than not, I hear "no, not here". I always wonder, "well, where then??"
Anyway, just my two cents - if it's even worth that