Newbie questions regarding MF

[hoosiermike]

So, I'm getting closer and closer to purchasing my first DVC contract, but I have some questions regarding maintenance fees.

First, when is the MF due? Is it on the 1st day of the month of your contract?

I've noticed that many contracts have sold with the buyer paying closing costs and the seller paying for the MF. If you already paid for your MF for that year, would the seller owe anything at closing? For example, I buy an Aug contract. Would the seller or buyer have to pay a prorated portion of the MF? Also, what happens in a DVC sale if the seller is paying their MF monthly?

Finally, if I buy a DVC contract, how do I switch to monthly payments instead of annual payments for the MF?

Just confused regarding the MF due at time of sale and why a contract would sell with the seller paying MF. Please help DISboards, you're my only hope.

 

[chalee94]

First, when is the MF due? Is it on the 1st day of the month of your contract?

MFs are based on calendar year, not UY.

so they are due mid-jan with a grace period to mid-feb. (you can also choose to pay them monthly if you let disney draft your US-based checking account.)

I've noticed that many contracts have sold with the buyer paying closing costs and the seller paying for the MF.

MFs are always completely negotiable.

pretty sure disney has to get paid before the contract can change hands, but who pays is an open question.

Finally, if I buy a DVC contract, how do I switch to monthly payments instead of annual payments for the MF?

call member accounting (same number as member services, different extension).

 

[lions1995]

Finally, if I buy a DVC contract, how do I switch to monthly payments instead of annual payments for the MF?

If you buy resale and the seller has not paid the current year in full (either early in the year or they are on a monthly payment) then that year's MFs are due at closing. If you want to go to monthly, it would start in January the following year and needs to be set up by mid December.

AS you stated, if the seller alreayd paid the MF in total for that year, then that would be water under the bridge, but they may want you to pay it especially if it is a loaded contract (previous UY and current UY with full points).