No DVC availability but and purchase on Disney.com???

[Mr. Baloo]

OK, explain this to me before I go nuts... when reserving through dvc MS nothing is available... but if I go to reserve a pay room... I cam pay 730 a night... HOW if they are no availabilties??????

AUUUGGHH!!!

 

[drusba]

Different inventories. Disney has rooms to rent because it retains a portion of the resort and gets them through members trading out. It very often is true that you can still rent through Disney even though DVC members have reserved all their available DVC time.

 

[erionm]

Points and Cash inventories are separate.

There are several reasons why there may be cash inventory available.
1. Disney Vacation Development (the Developer) retains ownership of a percentage of points at all resorts. They can turn these over to CRO for cash reservations if they so desire.

2. When members use their points for a cruise, adventures by disney, a resort hotel, etc., these points are converted to cash inventory so that DVC can cover the cost of the trade. These can not be pulled back for points use as the villa is technically reserved on points already.

3. Villas unreserved at 60 days from arrival are turned over for cash.

 

[Mr. Baloo]

That is what I thought... but is there a point where they turn the unsold units back over to the DVC owners?

 

[Sandisw]

That is what I thought... but is there a point where they turn the unsold units back over to the DVC owners?

The only time this might happen is if the inventory is the stuff sent over 60 days out...

The other units, no. Try to think of it as those units are already "booked" by other owners--DVD and the other DVC members who traded those rooms for another vacation.

 

[erionm]

That is what I thought... but is there a point where they turn the unsold units back over to the DVC owners?

Not if the cash room is because of a member using points for non-DVC reservation. That room is technically reserved for points even though it's available for cash.

 

[wdrl]

There are different inventories at all DVC resorts. DVC members can book accommodations using points at DVC resorts as long as that inventory has been declared for the DVC membership. At older resorts, such as OKW, HHI, VB, BWV, BCV, VWL, SSR, BLT, and VGC, 100% of the resort as been declared. At AKV, only 82.45% has been declared as of today.

Although, 100% of a resort may have been declared for the Members' inventory, Disney owns a percentage of each resort which it makes available to the general public for cash reservations. Disney's percentage of ownership comes from different sources. By regulation, Disney Vacation Development must retain at least 2% of the total points at each resort. For a resort like BWV, that accounts for over 97,000 points. DVD also reacquires points through foreclosure proceedings, exercising its right of first refusal on resale transactions, and other buyback reasons. In addition, at the newer resorts, such as BLT, AKV, SSR, and Aulani, there are points that have been declared for the DVC inventory but have not yet been sold to the public. Those points can also be used to support cash reservations.

In addition, when DVC members choose to exchange their points for access to the Disney Cruise Line, the Disney Collection, the Concierge Collection, or Adventures by Disney, those points are then rented out to the general public as cash reservation so that DVC can pay for the exchanges.

There is another source of DVC points that can be used to fund cash reservations: THe Breakage Inventory. In the DVC, the term "Breakage" has a specific meaning. All DVC accommodations that are not booked by the Membership within 60 days of the check-in date are made available to the general public to book using cash. DVC members can still book those accommodations using points, but they are now competing with non-DVC guests who are willing to pay cash for the villa. The logic behind this rule is simple: DVC Members have had since the 11-month mark to book a villa. If its still vacant at the 60-day mark, then DVC makes it available to the general public rather than letting it go empty.

If a breakage inventory villa is booked for cash by a non-member, the DVC membership at that resort gets a small percentage of the income from the cash reservation. At the end of the year, this accumulated income appears on each DVC resort's annual budget as Breakage Income. In 2012, BLT's annual maintenance fees were reduced by $0.0831 per point because of income derived from the Breakage Inventory.

Let me stress something that people tend to forget about the Breakage Inventory. DVC Members can still book a villa using points within 60 days of check-in. The ONLY difference with these villas is that the Membership is now competing with the general public who can book the room through Disney Central Reservation Operation. At 60 days and under, its first come-first served.

 

[CarolMN]

The vast majority of rooms available to the general public for cash are a result of members using points for something other than a DVC resort or an exchange through RCI or LBVTC.

Mr. Baloo - Just think of it as though other members booked those room before you tried to do so. DVC is a first come, first served point system. It's really no different than someone who wants a TPV at BLT and tries to book at 6 months. He/She will often find that no rooms are available because those who booked earlier have already reserved them.

Still, it's so disappointing when you can't book what you want when you want. Most of us have been there. We get it.

If you waitlist, hope it works for you.

 

[Deb & Bill]

By the way, do you really expect ROFR to take nearly 11 months?

 

[Dean]

That is what I thought... but is there a point where they turn the unsold units back over to the DVC owners?

I don't believe there's ever been a point where CRO has actively turned inventory back over to DVC, at least not that we've heard about. What appears to have happened in rare cases is that late reservations were able to be secured when initially no inventory was available. There's been speculation at times that this might have come from reclaimed breakage inventory (generally turned over to CRO at 60 days or less) but I don't believe there's ever been a confirmation that this is what's actually happened. The difference, even if that's what happened, is that DVC took the initiative to make contacts with either the resort or CRO management to reclaim inventory they actually owned and would have been available for points reservations otherwise.