Owning Less than 150 pts...can you use them?

[BedKnobbery2]

Hi folks!

I know that ownership through DVC starts at 150 points. However, what if you are able to buy less than that via resale--can you use the points, or are you not considered a member until you own at least 150 points? Thanks!

BK

 

[CRobin]

Disney will not sell you less than 150 points as a new member, but you are free to purchase as few as you'd like via the resale market, understanding that Disney's ROFR may preclude the resale of a small contract.

 

[nuthut]

I don't believe a person can own less than 150 points. They are not a member until they own the minimum of 150 points and thus and agreement to sell less than 150 to a non member would not be a legal binding but/sell agreement. What is other's opinions on this?

 

[CRobin]

Nuthut, all I can tell you is what I got first hand from a resale broker. He said that they can sell any number of points to anyone, period. According to him, if Disney wants to quelch the deal on a small contract, they need to execute their ROFR.

 

[drusba]

The 150 minimum rule applies only to new purchasers from Disney. There is no rule prohibiting you from buying less in the resale market and then using them. There is the risk that Disney may exercise its right of first refusal to purchase that particular resale if you try to buy it. If it does not do so and you purchase, they will treat you the same as other members and allow you to reserve.

 

[dtheboys]

Does anyone know 100% that you can sell a small contract to a non-DVC member?
I have a 60pt. add on at WLV. Can I sell those points to a non-DVC member?
Let's say that I sell them for $70.00 a point.
Will they have the same rights as a member?
Will DVC buy the small contract from me, so to controll this sale?

Is anyone 100% sure on this subject?

Also, if I sell the points to a friend...do I have to use a closing service? Or can I just call MS, and pay the $75.00 transfer fee?

Thanks
Doug

I have a friend who can't afford 150pts, but would like to buy my 60 points from me!???

 

[CarolA]

All I know is that when I first purchased my contract I asked a DVC guide about the option of purchasing a small resale. He indicated that Disney would excerise it's right of first refusal on those sales and that basically they would not do the ownership paperwork for less than 150 points. Now I suppose you could sell them to your friend, but... I don't know if Disney would recoginze it. I think you had best call MS and ask before you do it.

 

[kem330]

You have to do a legal transfer of some kind be it a lawyer or title company. Disney does not get involved in the transaction other than their rofr and approving the deed transfer. Papers need to be filed, etc. So no you can not just call Disney and ask them to transfer the contract . Closing costs for 60 points would be $350 or more, adding $6/point bringing the sale up to $76/point!

 

[RobDoc]

Does anyone know 100% that you can sell a small contract to a non-DVC member?

There ia a BIG unknown in that question- namely no one really knows what Disney may do.

Once you have an offer, the sale MUST be approved by DVC. For a small number of points, they may buy back the contract themselves.

They will NOT assist with the sale however. If they allow the sale to go through, you and/or your buyer will have to handle the costs of transferring and registering the deed and any other legal necessities for the transaction.

Your buyer should be aware that the closing costs will likely be in the $450 range- even without a broker. That will put his costs up to about $78 per point for that $70 bargain he's getting on a those 60 points.

Good Luck!

 

[rosewells]

I bought a 100 point contract at OKW last summer through the timeshare store. I did not have any problem, what so ever. I might buy more points eventually, but we go off season and stay in hotels on the weekend so 100 is enough for a 1-bedroom for now.

 

[JPerry]

I, too, bought a 50 pt resale at BW (for the 11 month window). We now have two membership #'s, two use years, two separate contracts, and get two copies of everything! The timeshare store, nor Disney had any knowledge that we were already members. Frankly, I don't think they cared because it had nothing to do with our new purchase.

So, I guess to answer your question, yes, they will get "normal" member treatment.

As for another one of your questions, I spoke to my guide recently about Disney using it's FROR (We were thinking of reselling that 50 pts and getting BCV instead) He said that doesn't happen very often. So, we bought 150 at BCV anyway!

 

[Dean]

I know for certain you can buy and sell points of less than 150 including to otherwise non members. It is speculated that DVC will be far more likely to buy it back but all you can do is try, no harm done. The fees really eat you up though since closing is the same or about the same amount (about $450). If you own the points, DVC must allow you to use them within the rules of DVC. Now the question is what will happen when one owns less than 150 points and then wants to do an add on. My suspciion is they will revert back to "must own 150 points at one resort" but I don't know that has come up, at least not to my knowledge. Frankly, I'd be leary of buying less than or at least much less than 150 points.

BTW, it looks like my BW resale at $54.50 per point may be back on. DVC gave a verbal they would likely buy it back but haven't followed that up with a written process and the broker thinks it still may go through. We will see.