Paying too much?

[wisconsinmom]

So I'm afraid I'm paying too much. What are your thoughts on a 120 point SSR contract with 2012, 2013, and 2014 points? If all goes according to schedule there will be about 2 months to use the banked 2012 points. We don't plan to use them so we'd rent them out knowing we will likely have to take a reduced price. The contract is $80 per point. I know this is on the high end for SSR but I'm hoping the fact that it isn't stripped balances out the higher price.

Maybe I'm just convincing myself because I don't have the patience to watch for the use year and points we need at a bargain price

 

[Minniesgal]

Ouch that's a really high price per point. I would wait and keep looking. Have a good read of the ROFR thread to see what rates people are paying and make an offer if you wish but I'd go a fair bit lower.

 

[wisconsinmom]

Ok tell me if my math is flawed.

We are getting the 2012 and 2013 points, we don't plan to use them. We'll rent them. The 2012 points will have a 2 month window of use so those will go cheap, maybe $6 a point, the banked 2013 points should hopefully rent for $11. So if I take off roughly $2000 then the contract comes down to $64 a point. Yes I realize that we'll be doing some legwork to get the points rented but hopefully it won't be too bad! Our next trip isn't until 2015 so we'll bank the 2014 points and use them ourselves in 2015.

I'm so not patient, that is apparently a problem in situations like this

 

[dbs1228]

Ok tell me if my math is flawed.

We are getting the 2012 and 2013 points, we don't plan to use them. We'll rent them. The 2012 points will have a 2 month window of use so those will go cheap, maybe $6 a point, the banked 2013 points should hopefully rent for $11. So if I take off roughly $2000 then the contract comes down to $64 a point. Yes I realize that we'll be doing some legwork to get the points rented but hopefully it won't be too bad! Our next trip isn't until 2015 so we'll bank the 2014 points and use them ourselves in 2015.

I'm so not patient, that is apparently a problem in situations like this

If your next trip is not until 2015 I would either offer 70.00 PP for this contract (still high though) or wait until something better comes along. Trust me something will come along new listings everyday! Good luck

 

[wisconsinmom]

If your next trip is not until 2015 I would either offer 70.00 PP for this contract (still high though) or wait until something better comes along. Trust me something will come along new listings everyday! Good luck

Thanks. This is just the logic I needed to read. Our next trip isn't until summer 2015. We have tons of time.

 

[MiramarQE]

If all goes according to schedule there will be about 2 months to use the banked 2012 points.

You are now relying on Disney for that "according to schedule" - they MUST answer ROFR in 30 days (we just heard back on our contract - 29 days) but if you read the boards you see that sometimes there are significant delays in actually getting the points - you may want to just write off those banked points - so why pay for them? Why should YOU take that risk.

We watched the listings for 4 straight months - THEN contacted the brokers to get the up-to-date postings and began to seriously make offers - took us 5 or 6 different sellers/contracts before we could finally agree on price. BE PATIENT - there are always more contracts.

One caveat - Disney did just announce AKV is "sold out" - which I would assume means they still have inventory - just not very much. If you check the ROFR thread you'll see there haven't been many contracts taken in the last 6 months - that may change if Disney is really low on inventory - VGF is a small (and expensive) resort and Poly won't be ready for 12-18 months - Disney will have to get inventory to sell from SOMEWHERE - maybe we'll see more contracts taken in the next 12 months.

 

[wisconsinmom]

Thanks. We've decided to pass. Hopefully the perfect contract will appear.

Any advice on on what a decent rate would be for a smallish 50-100 pt contact be at SSR , AKV, or 2042 OKW be?

We already own at SSR and AKV.

 

[Minniesgal]

Ok tell me if my math is flawed. We are getting the 2012 and 2013 points, we don't plan to use them. We'll rent them. The 2012 points will have a 2 month window of use so those will go cheap, maybe $6 a point, the banked 2013 points should hopefully rent for $11. So if I take off roughly $2000 then the contract comes down to $64 a point. Yes I realize that we'll be doing some legwork to get the points rented but hopefully it won't be too bad! Our next trip isn't until 2015 so we'll bank the 2014 points and use them ourselves in 2015. I'm so not patient, that is apparently a problem in situations like this

It is likely to be extremely difficult to rent the 2012 points,

 

[MoreTravels]

Also you should let the sellers worry about the unused points. They can rent or transfer themselves to reduce the asking price accordingly. If they want you do that by dumping those points to you, you should rate them at 50 cents on the dollar and not full value. Why should you buy then immediately rent just to 'break even' with the fair market value? Right? I say this seller is lazy but smart, almost had you hooked there.

 

[Andyman33]

also don't forget that an ASKING price is just that...an ASKING price. you can offer anything...

 

[wisconsinmom]

Also you should let the sellers worry about the unused points. They can rent or transfer themselves to reduce the asking price accordingly. If they want you do that by dumping those points to you, you should rate them at 50 cents on the dollar and not full value. Why should you buy then immediately rent just to 'break even' with the fair market value? Right? I say this seller is lazy but smart, almost had you hooked there.

Exactly, the more I thought about it I realized I don't have time to deal with renting points. I'm just going to be patient

 

[dbs1228]

Good luck to you and just keep checking the 3 major brokers get there email blasts if you are not already getting them. You will find something for sure but I know how "long" it can feel when you are ready to buy been there done that but I am always glad I wait for the right contract!

 

[Dean]

Thanks. We've decided to pass. Hopefully the perfect contract will appear.

Any advice on on what a decent rate would be for a smallish 50-100 pt contact be at SSR , AKV, or 2042 OKW be?

We already own at SSR and AKV.

Price will be a moving target and I believe prices will come down the next 2-3 years. Smaller contracts will be more difficult to find and more expensive but should be better than the one you were looking at. As for the contract in question it really depended on what you would have been doing for dues reimbursement and in renting the extra points. You should be able to get that basic contract for $60-65 within the year. However, realize that on such a small contract a $10 per point difference is only around or less $1000 total, enough to pay attention to but maybe not enough to pass on if it's perfect otherwise, esp for small contracts.

 

[twinsouvenirs]

I feel your impatience!!! We paid $62 a pt for a loaded contract to SSR this Aug so I would really encourage you to hold out. I am going to start a DVC fund to prevent me from going too crazy since I now want to add another 50 points or so since we are having a third kid and will likely want 2 bedrooms

 

[SamSam]

Good luck to you and just keep checking the 3 major brokers get there email blasts if you are not already getting them. You will find something for sure but I know how "long" it can feel when you are ready to buy been there done that but I am always glad I wait for the right contract!

We've only used the Timeshare Store that advertises here for our resales, could you please let me know the other 2. If you're not allowed to post that information on this site, please message me. TIA