Not quite understanding Resale?

[cajunprincess]

Hi all! I've been looking into DVC for a while, and just recently (aka yesterday) realized you could buy "resale." I guess I have a lot more studying to do. I've been reading the threads today, and I guess I still don't understand completely. I realize this would probably be the way to go for my DH and I. We do not have kids yet but will soon, and the highlights of my vacations growing up were in DW... so my kids better love it too!

Where would I go to find places that resale?
Is there any disadvantages I would face at WDW for buying resale?
After you buy resale do you still get to book your rooms the same way as those that buy direct?

Thanks

 

[disneynutz]

I suggest that you keep reading. There is a lot to learn about the DVC and the benefits of buying either direct or resale. Your questions are discussed at length here in the DVC section.

Bill

 

[jel0511]

The main issues when you buy resale now is that you're no longer allowed to use your points for non-DVC resorts, i.e. DCL and concierge collection. Most here on the boards don't see that as an issue as it's a poor use of points anyway. Yes, you do get to make reservations the same as every other DVC member. I bought an add-on through resale and the points are treated no different to my other points (except for the reason above). As long as you intend to use your points for the DVC resorts or RCI, you'll be fine purchasing resale. One thing if you're intending to finance your purchase, direct is really the best way, as the financing options on the resale market are few and far between.

 

[AJA]

Keep reading! There are 4 main resale companies, it's pretty easy to figure out the names if you do some research.

As the pp said, there are few limitations on resale. For us, since we would always use our points for DVC hotels or RCI trade (if we were in danger of losing our points from not being able to bank them) we found resale was the best choice.

In your research don't forget over the years the yearly maintenance fee's will be the most expensive part, not the upfront cost to buy in.

 

[disneynutz]

Keep reading! There are 4 main resale companies, it's pretty easy to figure out the names if you do some research.

As the pp said, there are few limitations on resale. For us, since we would always use our points for DVC hotels or RCI trade (if we were in danger of losing our points from not being able to bank them) we found resale was the best choice.

In your research don't forget over the years the yearly maintenance fee's will be the most expensive part, not the upfront cost to buy in.

Going to Disney every year is also a very expensive luxury vacation. Travel, admission, food, and all of the Disney extras increase in price each year and can cost a few thousand dollars in addition to ownership.

Bill

 

[sonofasailor]

You can search for "major" DVC resalers...there are probably 4 that will pop to the top of your search. I have used two resalers and purchased direct from Disney once. I used the resalers for "large" purchases..260 and 210 points and Disney for a small point purchase..25 points. Once you are in Disney's system..you will be treated like any one else who has purchased points. Resale points have some restrictions and you should understand them before you purchase resale. For me...I just wanted points so I could take my kids and their kids to WDW once a year at Christmas...nothing fancy...just once a year...after looking at the options...DVC made sense to me and we purchased at OKW...have not looked back...was right decison for me...might not be right for you...do your research...ask questions here...and enjoy...Cheers.

 

[cajunprincess]

Thanks for the help. I know that going to WDW every year is an expensive luxury to be able to do. I know we probably won't go every year, but I know that we could definitely do every other year to make the points worth it. We may keep looking into it for another year or so and make sure the timing is right before we buy in. That way I have plenty of time to research and save $$. I'm nothing if not rational about money. My parent's pick on me all the time

Thanks again for the insight!

 

[Mtnman44]

owning a contract that was purchased via resale vs one that was purchased directly is nearly identical. Up until about last year some time, it was exactly identical. Now, the only differences are that DVC witholds a few trading options from those who did not purchase directly from them. Everything else is exactly the same, as owners are owners. Note that none of the trading options are contractually guaranteed to ANY owner and aren't really part of the ownership. The trading options not currently available to resale owners include the Disney Collection, Disney Cruises, Concierge Collection, and Adventures by Disney

The current premium in price you pay Direct vs. the market price of nearly all of the DVC properties is so large that I personally can't see any advantage in going direct.

The "benefits" retained by direct purchasers are small and frankly, offer no actual financial value, only a marketing angle for DVC to sell direct. In fact, these trading perks have long been considered by most to be a waste of value to use DVC points on.

I beleive the distinction of "resale" contracts vs direct at DVC is a complete sales and emotional gimick designed to help DVC compete with the drastic fall in resale prices for the last few years. They are getting desparate to keep up demand for their very high prices.

 

[disneynutz]

Thanks for the help. I know that going to WDW every year is an expensive luxury to be able to do. I know we probably won't go every year, but I know that we could definitely do every other year to make the points worth it. We may keep looking into it for another year or so and make sure the timing is right before we buy in. That way I have plenty of time to research and save $$. I'm nothing if not rational about money. My parent's pick on me all the time

Thanks again for the insight!

It sounds like you are falling into the Disney DVC trap. You wrote above that you will "go to Disney every other year to make the points worth it". IMO that is the biggest expense and trap that most don't consider or like to admit. Owning a DVC interest can cause you to change your vacation plans to make owning DVC justifiable. Owning is a no brainier if you vacation at Disney every year or two anyway, but to change your lifestyle because you bought a timeshare is a different matter.

Bill

 

[princesslayla]

We JUST purchased our first DVC contract. We purchased direct for a number of reasons:

1) We wanted a specific amount of points at a popular resort....75 points at Beach Club. These do NOT come up very often and, when they do, you have to be ON it FAST! We started looking a few months ago and just could not catch the "right" contract.

2) We wanted to use the points to book our trip next June...if we went resale, there is no guarantee I would make the 11 month booking window at the end of this July.

3) Going direct I had the opportunity to put it on a 0% credit card and spread the payments out over 15 months, if I so choose. I also put the down payment on flight miles credit card for that bonus, which I will pay off immediately.

4) Disney has been claiming a lot of Beach Club contracts lately through ROFR. I did not want to go through the waiting game, not was time on my side for that.

5) Sure, I paid probably $30-35 more per point than resale, but the above reasons (mostly #1 and 4) outweighed the savings for me I probably could have purchased more points for that extra money through resale, but I dont need them and then would be saddled with the yearly maintenance fees on them just to save some bucks in the beginning.

SO, my advice to you is think about your individual needs. The disboards are very pro-resale, and should be as it is the most affordable option, but it might not work for YOUR needs.

 

[cajunprincess]

It sounds like you are falling into the Disney DVC trap. You wrote above that you will "go to Disney every other year to make the points worth it". IMO that is the biggest expense and trap that most don't consider or like to admit. Owning a DVC interest can cause you to change your vacation plans to make owning DVC justifiable. Owning is a no brainier if you vacation at Disney every year or two anyway, but to change your lifestyle because you bought a timeshare is a different matter.

Bill

Actually, I'm not. Like I said, I'm nothing if not rational. I know what I would love to do and that is go to WDW every year with my kids. But my husband wants to do other things too, so we would comprise on doing other things every few years. I'm not changing my lifestyle, I'm just trying to make the best decision for my lifestyle.

 

[cajunprincess]

We JUST purchased our first DVC contract. We purchased direct for a number of reasons:

1) We wanted a specific amount of points at a popular resort....75 points at Beach Club. These do NOT come up very often and, when they do, you have to be ON it FAST! We started looking a few months ago and just could not catch the "right" contract.

2) We wanted to use the points to book our trip next June...if we went resale, there is no guarantee I would make the 11 month booking window at the end of this July.

3) Going direct I had the opportunity to put it on a 0% credit card and spread the payments out over 15 months, if I so choose. I also put the down payment on flight miles credit card for that bonus, which I will pay off immediately.

4) Disney has been claiming a lot of Beach Club contracts lately through ROFR. I did not want to go through the waiting game, not was time on my side for that.

5) Sure, I paid probably $30-35 more per point than resale, but the above reasons (mostly #1 and 4) outweighed the savings for me I probably could have purchased more points for that extra money through resale, but I dont need them and then would be saddled with the yearly maintenance fees on them just to save some bucks in the beginning.

SO, my advice to you is think about your individual needs. The disboards are very pro-resale, and should be as it is the most affordable option, but it might not work for YOUR needs.

Thanks for the friendly advice.

 

[disneynutz]

Actually, I'm not. Like I said, I'm nothing if not rational. I know what I would love to do and that is go to WDW every year with my kids. But my husband wants to do other things too, so we would comprise on doing other things every few years. I'm not changing my lifestyle, I'm just trying to make the best decision for my lifestyle.

That's good to hear because DVC has changed our vacations. I expect that we would not do Disney every year if we didn't have points to burn.

Bill

 

[CaoilinnsMom]

I just made my first resale purchase, I am currently waiting for Disney to record the change of ownership and give me access to my member points. I also am pretty rational when it comes to money, but I am making a planned change in lifestyle by buying DVC. I am making quite a few changes right now, but those changes are what spurred me on into actually purchasing a contract. I budgeted and budgeted and decided that that this was worth it, I want to start a family tradition for myself and my DD. I bought enough points that we can go to Disney every year in a studio, in a resort I love and have good memories of, but I can still have other vacations. I don't want my daughter to think the only vacation possible is at Disney. Just a thought about changing your lifestyle for a timeshare, some changes are good