new vs re-sale

[josierac]

Can someone give me pros and cons on both a new purchase and a buying re-sale?
Thanks

 

[TnRobin]

There is no difference in the product you receive so go with the one with the best "total" price.

Resale total price is:

the Sales Price + Closing+ Maintenance Fees

Disney total price is

The Sales Price + Maintenance Fees - any incentive program discounts.


The only other thing to consider is the deductibility of interest.

Disney secures thier loans with a real estate interest, thus the interest can possibily be deducted.

If you do a resale, you will need a home equity loan to be able to possibily deduct interest.

 

[Granny]

You also need to keep a sharp eye out for the banked and borrowed position of a resale. Something may look good but you may find that the points have already been used, or are in a reserve account, or have already been borrowed for the next year. All this goes into determining the value of a resale.

Also, with a resale everything is negotiable. With Disney, no negotiating.

Most important. You will want to buy where you want to stay the most often. So while a particular resale may offer a good value, it's not worth it if that is not the "home" you want to stay at the most. This has to do with the 11 month/7 month reservation advantage for your home resort.

 

[Mary Ellen]

Since Disney pays the closing costs on their sales, if you are buying a small number of points (and at a resort Disney is still selling themselves) we found that the closing costs on a resale was a littles more $ than we would save by paying less per point.

If you want to mainly stay at OKW or BWV you'll need to buy re-sale.

Good luck!

 

[PKS44]

another difference-

The speed of closing is much faster with Disney...about 6weeks with a resale...

 

[pixiedustforever]

How long can it typically take to close with Disney?
Any great experiences out there?

 

[Richyams]

Actually, I believe the actual closing takes just as long, if not longer. But when buying from Disney, you are allowed to make reservations right away, you are even allowed to stay on your first points before the actual closing, you do have to sign a paper saying that if for any reason the closing does not happen and the deal falls through, you will be responsible to pay for your room.

 

[Ed T]

Nice thing about a resale is everything is negotiable. If you find a motivated seller and you can get a realistic offer accepted you can get yourself a good deal with a resale.
Our closing on our resale only took 4 weeks.

Good luck

Ed

 

[QueenAnne]

When we bought at Hilton Head through Disney, we signed the papers and sent them fed ex on 8/14/01 and closed on 09/05/01!

 

[pixiedustforever]

Ed,
Then about how long before you received your
DVC Guidebook & membership card (and most
important, the OK to make reservations!)????

Thanks!
MaryLee

 

[QueenAnne]

We were given the ok to make reservations the moment we walked out of the initial signing at the resort. We received our guidebook and temporary membership card (you get the plastic one after closing) within 3 or 4 days.

 

[QueenAnne]

Oops, sorry! You probably meant resale!

 

[PKS44]

We closed signed the resale papers July 31. We closed 8/29. We were not in the system to make reservations until 9/11.(easy day to remember)

Paul

 

[mep319]

I'm in the process of a re-sale and trust me I went nuts w/ this. We did the DVC walk thru in 12/01 while in disney for VWL. We put a deposit down. But I just loved the BWV so I called disney back & asked if it was available. They said no can do but could put us on a wait for BCV. I started doing research and looked into resales. I don't believe once you add in closing costs etc do you get a discount in cost. VWL was $65/pt when we looked. I checked w/ the better business bureau and various web sites and decide to go w/ the timeshare store, plus they were the fastest in getting back to me w/ my questions etc. We finally opted to do a BWV resale. Did we get a deal? No, w/ adding in closing costs we paid $64.50 per point. A great savings of $82.50 over doing it thru disney. I of course only cancelled my contract w/ disney last week in case this deal fell thru. Did I get where I wanted, YES! But I'm still waiting for everything to be finalized...that is the most difficult part and the only thing I can say if a draw back w/ disney you can make arrangments immediately. If interested contact the time share store, they did a great job! Or you can email me w/ any questions since I just did a resale!

 

[EROS]

Mep, the $65/point figure which you cited for VWL included the Magical Beginnings $10/point rebate. I would point out that with MB, you would have surrendered your 2001 points. With many available resales, they have both a FULL complement of 2001 points as well as banked points . I 'm not sure about the specifics of your deal, but I would guess that you got much more at $64.50/point than you would have with MB.

 

[Richyams]

I don't believe VWL was ever $65 per point.

If you mean that after giving up your first year's worth of points, you would have a net cost of $65, that is true now.

Comparing that $65 to a resale at $65 isn't a fair camparrison without more information. If that resale has all current and a few banked points, it suddenly becomes a MUCH beter deal than direct from Disney.