Newbie Considering DVC "promo"

[bom_noite]

The other thing you must consider if you are buying resale is this: How many points are available now?

Some contracts on the resale site may have all of their current points used. Other contracts may have all of their current points available PLUS points from last year which have been "banked".

This fact will influence price!

 

[whiles]

First, let me thank many of you for the posts I have already read. They have been informative (though figuring out some of the abbreviations still has my head a bit foggy) and useful. With that said, I have a few comments and questions and would appreciate any help and/or words of wisdom.

Today we came back from a 5 day trip to the Boardwalk, which was AWESOME. We have two children (1 yr and 2.5 yrs old). We took the tour because we thought it would save us money in the long run to have a time share here. I don't quite understand the "home base" situation, but was told by the person at Disney that it should be at the Saratoga. We would likely stay at the Boardwalk Villas, because it was such a great trip for us. I noticed most people were not very thrilled about paying $101/point. They are currently offering us $13 or $8 off, depending on what we do with the points. I think if we do not plan to use the points this year, we get $13 off....we do plan on making a trip in December (first or second week with any luck).....So, would you think it much better value at $93/point? If so, should we buy all the points from Disney....200-300? Can we buy the minimum from Disney and the rest from a reseller? Would we be penalized by Disney? e.g. no Magical Express? Btw, we have 72 hours to take advantage of this offer. The only thing that bothers me is making vacation plans so far in advance. We made this trip with two weeks notice. Can I still do that with Disney Vacation Club? Also, I was told that the dues would be (rounded up) $4 per point per year, so 300 points would be just under $1200. Are there any other fees I might expect?

The one good thing, we did get a very nice extended check out by going on the tour, which took about an hour and fifteen minutes. (They gave us a 3 hour extension).

I hope I placed this in the right forum. If not, my apologies. I hope I made sense, it was quite a flight and I am almost falling asleep.

Many thanks for your anticipated reply.

Got to agree with rinkwide on this one - make sure to check out the resales especially if you are interested in another resort other than Saratoga Springs.

You will get a better deal for the points can search around for something close to your "USE Year" and most importantly save some dollars.

Once those points are in your account - they are treated just the same going forward.

I personally have not had luck making last minute ressies - especially at my home resort but was bale to get SSR for our upcoming trip next week within 5 months of our travel date - and this is a premier season booking.

Bottom guideline for purchasing,
1. what accomodation did you like - Studio, 1 BR , 2 BR - Grand Villa?
2. What time of the year are you going to travel? - Adventure, Premier? Magic or Dream?
3. Purchase the minimum from Disney Directly - say 50 points for a small add on trade in the points - you are only using them to establish your "account".
4. Purchase the remainder of your point usually with say 10 - 30 point "pad" from a reseller-

So if you will always want an accomodation no matter the "season" purchase at the "Premier" season point total for the accomodation you most like.

For us we purchased 200 points in 2001 at Beach Club Villas $ 82 PP We have been looking for add on's ever since but purchasing these from Disney did not make a lot of sense as the price keep escalating.

Just remember don't be fooled by the "rental" crowd - the renters are making money off the points transfers. it costs $6.72 per point for the life time of the contract (inc. Maintenance Fees - which by the way is where Disney makes the serious cash).
*You will pay double the cost of the unit in Maintenance fees over the life of the contract*

The renters "sell" there points out at 10 PP and 11 - 12 PP is becoming more common - that is a profit! plus your just covering the "Renters" maintenance fees for a couple of years which means they get to stay for "free" because there annual maintenance is paid for.

Thanks,
whiles

 

[dvc-NE]

Dr, ty for the abbr. link, it was very helpful, and though I am not a VIP on the DISB, I hope to pick up the lingo ASAP.

Looks like you already got those down!

 

[TammyAlphabet]

I just want to chime in and say that the 72 hour incentive might actually go away after 72 hours. Keep that in mind.

If you are going to be locked in by school schedules, then planning trips in advance may be easier in the future than you think at this point.

You can buy BWV from Disney, will a fully loaded contract, (i.e. points available now that can be used or banked if you are not going to use them) almost as easily as SSR. The current price for new members is either 92 or 95 per point. You can save some money by buying resale, but if you are like me and a really bad waiter, paying a little extra (that is spread over many many years) may be worth it. Just tell your guide that you want to buy BWV, you love it and that is what you want to buy. Now, if you do want BWV, the 72 hour incentive at SSR is not going to be important because you wouldn't be buying SSR. KWIM?

You can still take impromtu last minute trips as many members on the board have done and reported here in the past. But, you must be flexible about where you stay, which would, most likely be SSR.

The home resort advantage is more valuable at the smaller resorts. At the larger resorts, like OKW and especially at SSR, because of their size, you will be more likely to obtain a reservation on short notice.

The MF at BWV is 4.69 vs. 3.98 at SSR. This is a real difference. But if the location and accommodations at BWV are preferrred by you, then it may be worth it. And of course, the SSR points are 12 years longer in the contract.

So, I had this same decision to make last year. I chose the BWV and had never stayed there. I just knew that the location to the parks was important to me. I also like the advantage of the lower point standard view point rooms at the BWV. I also like the option of the boardwalk view room. I have reservations at both type rooms this year.

I think if you are going to buy more than the minumum # of points (150) You should break it up into more than one contract, for ease of sale later, as has been pointed out. As a matter of fact, you could buy one BWV contract from Disney at 150 points, and then turn around and buy another 150 from SSR and get SSR for 90 per point and two Annual passes as a bonus! Then you could have the BWV points for the home resort advantage for 150 of your points and then use the 150 at SSR for the impromptu trips at short notice where you would most likely find availability at SSR anyway.

 

[dvc-NE]

I just want to chime in and say that the 72 hour incentive might actually go away after 72 hours. Keep that in mind.

Morley, this is very good advice from a Dis Veteran. You snooze, you loose.

 

[rinkwide]

...My best advice would be to try not to overthink things and listen to what your guide has to offer...

This advice also works very well down at your local car dealership.

 

[dvc-NE]

This advice also works very well down at your local car dealership.

Yes, it can. But it helps if the stars are alligned correctly.

 

[LIFERBABE]

Bottom guideline for purchasing,
1. what accomodation did you like - Studio, 1 BR , 2 BR - Grand Villa?
2. What time of the year are you going to travel? - Adventure, Premier? Magic or Dream?
3. Purchase the minimum from Disney Directly - say 50 points for a small add on trade in the points - you are only using them to establish your "account".
4. Purchase the remainder of your point usually with say 10 - 30 point "pad" from a reseller-

Sorry, but #3 and #4 are totally inaccurate.

#3 The Minimum to purchase directly is 150 points for non members. Since Whiles just took the tour, they would be required to purchase 150 points direct from Disney. They can buy small contracts from the resale market with ROFR approval from Disney.


#4 If you try to build a DVC portfolio thru resale, the minimum that will be available is 25 points. Resales have closing costs. The smaller contracts will cost around $300-$400 in closing costs. On a 25 point contract, that will add $12 per point! That and it will be literally impossible to put together any DVC portfolio of size with like UY's going the 25 point resale route. You do not want to have a bunch of small contracts with different UY's.

Whiles, if you are a short term planner, then SSR or an OKW either direct or resale will be your best options. If you want BWV and can Book at least 8 months in advance and will do so, then talk to your guide about purchasing BWV directly or look at the resales if financing is not an issue.

Also, your guide was serious about the 72 hours. Your offer will expire and you will have to move mountains to get it back.

Good Luck with your decision!

 

[mamatojon]

150 points would end up costing me about $895 per year for 48 years.....about $40K ish.

I briefly scanned the replies so I apologize if this has been mentioned already and I missed it, but I just wanted to make sure you are aware that maint fees fluctuate yearly depending on the real costs of operating the resort. Your statement here makes it sound like you think they are static. Good luck with your decision!

 

[sagwanamu]

150 points would end up costing me about $895 per year for 48 years.....about $40K ish.

With about 3.5% annual increase in maintenance cost will be about $89K ish for about 48 years, of course add your initial cost and the interest if you finance.

DVC is a luxury item but, IMHO, it is worth every penny so far.

 

[Boas]

like many people spent months doing the math of renting vs. buying.

one path to consider is how often will you go? I bough enough to visit everyother year (and will suppliment w/ rental if I need more). That took my needs down from 200-250 to 100-125. Big savings in annual maint & purchase price.

then i purchased at a "hot" property BCV... that way if my needs change I can sell it easily.

good luck. Private Message me if you would like more info.

PS> I talked to Disney direct and The Timeshare Store (TSS). TSS ended up finding me the ideal package (100 points @ DVC for a fair price). Their service was great... I just completed Right of First Refusal (10 days to complete), and now waiting for closing docs.... FYI Disney doesn't sell anything less than 150 pnts.

In the end, it is a personal decision about your vacation needs (advance planning, type of accomidation, locations, and convenience.)

Cheers.

 

[tomandrobin]

Disney doesn't sell anything less than 150 pnts.

DVC minimum membership is 150 points. However, once you are a member you can buy 25 and 50 point contracts. 25 is paid in cash, 50 if financed.

 

[Morley Dotes]

Wow, you all are really great. Again, many thanks.

I am certain the offer expires as was said, because it was presented to me as a kind of partial reimbursement promotion for having stayed there. It ends tomorrow at midnight. But with the news of 3.5% increase/year in dues, that skews everything for me. I have to get back on to the calculator. $89k for maint. puts the total cost over $100K for 150 points at SSR for 48 years. Now I don't think that is worth it. Okay, the math comes out to $2112.50 per year. Yikes. I think I am off the fence, unless I am miscalculating. It seems that renting would be the way to go. Also, at what point will the value of these points start to drop? I mean, if there are only 48 years left, at some point, closer to the end of he contract, I would expect for the value to drop until they are worthless (2054).

Man, now I am so confused. I think I smell smoke, and I think it's coming from my ears. I probably sound like a nut, but in the end $100+K is a lot of money for me. Back to the calculator and the Disney booking site.....I will try to read more posts as well....I can only hope I don't spontaneously combust.

Thank you for all of your patience!!!

 

[bom_noite]

I have to get back on to the calculator. $89k for maint. puts the total cost over $100K for 150 points at SSR for 48 years. Now I don't think that is worth it. Okay, the math comes out to $2112.50 per year.

What do you think you will be paying for a 5 day stay at Port Orleans 5 years from now? 10 Years from now? 20 Years from now?

I think I am 100% correct when I say that our dues has increased at a rate lower then what the average WDW hotel room has. I say this because I paid the outrageous sum of $49 dollars a night to stay at the Caribbean 2 weeks after it opened! Now, rooms go for $150?

Also, some of the people on the board think as I do: Once you make the commitment you really forget about the initial investment. This year my $650 in dues will be getting me 5 days in a OKW Grand Villa that comes with a rack rate of $1100 per night!

Also, I bought my 150 Beach Club points for about $77 a point (through a DVC special) and can now sell them for $94 a point!

KEEP IN MIND: We were blessed - and got lucky at the right resort at the right time! And, in no way can you expect an increase like that - no matter what resort you buy!

Regardless I do feel safe in saying that barring any international disaster or economic nightmare - your points will hold their own in the near term. If you search their is a post on these boards which will tell you what people paid per point at the different resorts over the years. This has to be factored in as well.

My personal opinion is that the calculater needs chucked out the window! The way you cost justify this purchase is by saying: "I love WDW, I want to go there every year and when I go I want to stay in a nice room with a kitchen!"

Well, let me also say that me and everyone else on this board are not only Disney freaks - but - DVC Freaks! While I may sound like a salesmen for the product - I am not! But, my only regret regarding DVC is that we did not join 10 years earlier - and many share that sentiment!

I would expect for the value to drop until they are worthless (2054).

I guess I do not share that concern as in 2054 I will either be dead or saying:

"DVC? - Knew a guy named DVC once - met him in the Army I think! No, no, no, I wasn't in the Army! Met him at a horse track - in Saratoga New York! Had a wife named Mickey if I remember correctly and a mess of kids! Everytime I saw him kids were all over the place!"

 

[Morley Dotes]

Thanks Bom, and my apologies if I upset or offended anyone. That was certainly not my intent. I did not mean to knock the idea, etc., I just meant to voice my opinion for my situation. Let me try again, and I will attempt to verbalize my concern better.

I would probably stay at BWV (if available) at off peak times 6-7 days every two years. I love Disney, and so does my wife, but the reality is that this is probably the most time we would have to spend at WDW. So, with that in mind, I feel that it may not be worth it (for us) to buy in. I have gone over the paperwork I was given and 150 points at SSR comes out to $13,950 (with their rebate/promo/incentive/don't know what to call it). Having just had our second child last year, we try to be careful with our money. Again, I apologize if my previous post came off in a negative way.

 

[bom_noite]

Thanks Bom, and my apologies if I upset or offended anyone. {QUOTE]

Apologies to me? I am the one who probably owes the apology! I love the product and go in to sell mode (perhaps when I grow up I should be a guide!).

If I came across as too much the salesman - I apologize! But, what I am saying is honest and I how I fell about the product - it is FANTASTIC! And, I know that 14K is 14K! It is a bunch of jack!

 

[Sha]

I am still reading this thread and its many reply posts... LOTS of info! and I am glad to see this info. I am on the DVC fence myself. I live maybe 1 1/2 hours away from WDW and go often. I have an AP and love it! Matter of fact am taking some first timers with me (friend and her girls) in a month and I would like the idea of being able to stay at a DVC resort so I could get a better idea of some of it (but dont want to sell out extra money just to have that as a room if I am going to buy). My neighbor is a DVC member, and have stayed with her at BWV and have rented OKW. I really liked them. Plus being able to go other places with the points. This is where I get confused, BUT will get it figured out. In my reading on here, I am reading about buying into other resorts vs. SSR. I have heard that SSR rooms are very dark and also, my friend wasnt that impressed when she was there. She said the room she was in wasnt finished yet and seemed much smaller than at other DVC rooms of the same classification (studio=studio or 1 bedroom=1 bedroom). Someone said, where do you see yourself at at the different DVC resorts?? I know from staying where I have, that I like them. The BCV and VWL would be my other favorites. So I guess what I am getting around to is... when I get off the fence and go to buy, I would ask about getting into these other resorts vs SSR??? And Morley Dotes... you said that you got an extended check out when you stayed there??? how did you book the stay etc to do that? Bom Noite & tomandrobin seem to have a lot of good info... thanks... I may have more questions as I read more... and maybe make better sense of what I want to know also. THANKS ya'll and have a magical day!

 

[tomandrobin]

I am still reading this thread and its many reply posts... LOTS of info! and I am glad to see this info. I am on the DVC fence myself. I live maybe 1 1/2 hours away from WDW and go often. I have an AP and love it!

FYI, as a DVC member you get $100 off AP price, $120 if a renewal.(My renewal price may be off by $%)

Matter of fact am taking some first timers with me (friend and her girls) in a month and I would like the idea of being able to stay at a DVC resort so I could get a better idea of some of it (but dont want to sell out extra money just to have that as a room if I am going to buy). My neighbor is a DVC member, and have stayed with her at BWV and have rented OKW. I really liked them. Plus being able to go other places with the points. This is where I get confused, BUT will get it figured out. In my reading on here, I am reading about buying into other resorts vs. SSR. I have heard that SSR rooms are very dark and also, my friend wasnt that impressed when she was there. She said the room she was in wasnt finished yet and seemed much smaller than at other DVC rooms of the same classification (studio=studio or 1 bedroom=1 bedroom).

I think most of the resorts have similar size rooms except OKW, which are 20% larger compared to the other resorts.

Someone said, where do you see yourself at at the different DVC resorts?? I know from staying where I have, that I like them. The BCV and VWL would be my other favorites.

I would really recommend taking the time to visit the different resorts to see what you like. We toured all of them but OKW. We actually like them all. Since for us it did not matter which resort, we bought SSR for the incentives, extra contract time and cheaper costs.

So I guess what I am getting around to is... when I get off the fence and go to buy, I would ask about getting into these other resorts vs SSR???

Just ask your guide, they will sell you any resort. You might have to wait for availability at some of the resorts, but its not a problem.

And Morley Dotes... you said that you got an extended check out when you stayed there??? how did you book the stay etc to do that? Bom Noite & tomandrobin seem to have a lot of good info... thanks... I may have more questions as I read more... and maybe make better sense of what I want to know also. THANKS ya'll and have a magical day!

You need to forget about trying to add inflation to cost of maintenance fees. Pretend there is no inflation.. When you try to add that 3.5% it really skews the numbers. In reality the cost of everything is going to be higher. Thirty years ago my Parents house cost $9000. Now $9000 wouldn't even be close for a minimum down payment for a house. My kid made that much on his part time job. So my point is, just look at the real numbers in todays terms. The value of everything will only get more expensive, but its across the board.

 

[Slakk]

I am still reading this thread and its many reply posts... LOTS of info! and I am glad to see this info. I am on the DVC fence myself. I live maybe 1 1/2 hours away from WDW and go often. I have an AP and love it! Matter of fact am taking some first timers with me (friend and her girls) in a month and I would like the idea of being able to stay at a DVC resort so I could get a better idea of some of it (but dont want to sell out extra money just to have that as a room if I am going to buy). My neighbor is a DVC member, and have stayed with her at BWV and have rented OKW. I really liked them. Plus being able to go other places with the points. This is where I get confused, BUT will get it figured out. In my reading on here, I am reading about buying into other resorts vs. SSR. I have heard that SSR rooms are very dark and also, my friend wasnt that impressed when she was there. She said the room she was in wasnt finished yet and seemed much smaller than at other DVC rooms of the same classification (studio=studio or 1 bedroom=1 bedroom). Someone said, where do you see yourself at at the different DVC resorts?? I know from staying where I have, that I like them. The BCV and VWL would be my other favorites. So I guess what I am getting around to is... when I get off the fence and go to buy, I would ask about getting into these other resorts vs SSR??? And Morley Dotes... you said that you got an extended check out when you stayed there??? how did you book the stay etc to do that? Bom Noite & tomandrobin seem to have a lot of good info... thanks... I may have more questions as I read more... and maybe make better sense of what I want to know also. THANKS ya'll and have a magical day!

The only time my SSR room has been dark is at night without any lights on.

My only complaint about DVC is we did not buy in 2000 when we first heard about it. We bought points at SSR which has paid for us to spend 5 nights in deluxe resorts with my parents right now I am financing and so my *cost* is around that $2000 mentioned and to know I am staying in a 2BR villa this year and next year we are going to bring my brother and his family as well.

For me it is worth the money in fact we are so happy we are waitlisting for 50 pts each at VWL and BCV so we have three options. As for renting points - yep in the short term it IS cheaper but as more and more people have paid more for their points you will see point rental costs go up (even now 11-12 is being seen more and more)

 

[ajksmom]

Morley,
As I haven't purchased yet myself but have been seriously considering a purchase for just over a year let me throw a few things at you.

When figuring out the costs make sure you compare apples to apples. If you are adding inflation to the maintenance fees, also add inflation to room rates. (and for ha-ha's add it to a gallon of milk, it's scary) Also add it to your salary. Now you're looking at a more realistic scenario. For the last year, the only guaranteed discount on room only has been if you are an AP holder or belong to AAA. And those discounts are not always available. So either use rack rate or a slightly discounted $$ to reflect what you might pay for a regular room if you do want to throw in inflation.
As another suggested you can also throw inflation out the window.

My use of DVC would amount to 7-10 days in a 1 BR during summer every other year. My calculations showed after year 12 we broke even. Now that was when we considered financing, which we've decided against. I haven't yet done the calculations for a cash purchase but obviously we'll break even sooner. And to be honest, with the cash for DVC coming soon from the sale of some rental properties, I haven't called disney or TSS because I'm still trying to think it through. It is a luxury purchase, not to be done on a whim.

It's a hard decision, made harder I'm sure by your love of disney. Good luck deciding whats right for you and your family.