"Pays for itself in 5-7 years"

[sgtpet]

I would venture to say with the variables that Dean is in the ballpark. I figure 10-15 years.

 

[Richyams]

I still say one year.

My first trip would have cost the same as buying in, my second trip would have cost about the same as my add on.

I guess that since my first two trips were in OKW GVs before the only seasonal point adjustment ever, its not possible to match that. I am still surprised to see my one year break even turn into 4-15 years.

Another way to look at it for those that bought early, is that I pre=paid my park passes till 2000 and actually got DVC for free!!!!

 

[living la vida mickey]

For us it was close to 3 years, but those park passes and some wonderful 2 week trips early on during peak seasons and we broke even quickly. It helped that we bought in 93 and not today. Best thing our family ever did.

 

[llp479]

I also think you need to take into consideration the type of room required. In our case, we are a family of 5. That means we are severely limited in our choice of accomodations. For us, a room at AS, or most of the other resorts, isn't an option, it would be two rooms. Given those statistics, DVC became a very economical choice.

We figure we broke even on our initial investment two years ago, which was year three. It is very difficult to get any discounts on a two bdrm at BWV, so using rack rate of roughly $1000/night including taxes our breakeven point was on our 17th night stay. Now, I look at it as I'm staying in a room that would cost me about 6K for a little over $1000 that I pay in dues.

This doesn't even take into consideration that many times we have left-over points that have been used on shorter stays at OKW, or have been used to exted our stay to 7 nights, instead of our normal 6.

 

[timC]

If we compare apples to apples, ie. same room size, same season, of a rack rate vs. points+maintenance, then a 5-7 B/E point is pretty accurate.

I did up a quick spreadsheet over lunch, looking at the BCV Studio, 1BR, and 2BR, across 4 seasons, against the points required for same. They all came out to between 5 and 8 years.

HOWEVER: If prior to enjoying the life of splender on DVC, you tended to opt for a low cost cash vacation, say a studio during low season, then the number change dramatically.... Compare rack rate of BCV studio in value season, against the points needed to stay that 2BR Dream...and the breakeven point becomes 35 years!!!

You can drive to WDW in a Toyota Corolla you rented from AVIS or a Mercedes Benz you purchased. It's a lifestyle choice, and a financial one. If you can live your life in style, and can cross a B/E line somewhere along the way...bonus!

 

[FriendsOfEeyore]

For us it was like 22 years. Taking into consideration that we usually stay at moderates (to compare dvc to the moderates is not fair, but it was what we knew), interest on the investment, and annual dues (for all 39 years). What I did not take into consideration was the lost investement opportunities of the loan (we would just spent the extra money each month on miscellaneous items) or the time value of money.

Being an accountant and financial analyst, I do my "computes" on everything. But in the end, it did not matter (just like it never does when I do my "computes"), we wanted in buy into to DVC so we did.

Now, we have yet to have our first trip home, but I think that it has almost paid for itself just in the knowledge that we will be vacationing for the next 38 years in the happiest place on earth.

 

[erikthewise]

When I bought at $75/pt, I figured 10-13 years depending on several factors. Everybody has their own way of figuring this, which is fine, but many methods would not qualify as "generally accepted accounting practices". Using my method, the only way to break even after 5-7 years would have been to compare with rack rates either at DVC or at Deluxe resorts.

As others have mentioned, it is not a matter of getting the same product for less, but of getting a superior product by paying up front. So comparisons with what you would have paid otherwise (such as "pays for itself in N years") are only part of the story.

 

[TDC Nala]

It will break even for me eventually because I go to WDW often. I'm not even really concerned with the room sizes; as a single traveler, I am always in studios. But even if I were to stay at the All-Stars on all my trips, I'd spend more over one year than I'm spending per month on dues and to pay for my original contract.

I don't even have enough points to use them to book ALL my trips, but I still think it was worth it. I'm traveling at some times I normally would not have, too - using points for New Years and spring break times.

I am enjoying some of the sigs on this thread...

 

[nezy]

ncligs-as usual your pictur is worth a thousand words!

I agree with llp479 re; family of 5. we are a family of 5 and I tried today to book something in the carribean-or even a cruise-nothing available for 5!! We would need 2 rooms. Plus, I need my kitchen and laundry facilities.(DH likes to do the wash-God Bless him!). Unlike many of our friends here-I actually use the stove. We don't eat out all that much. So for my calculations you would have to figure out what I am saving on meals by not using Disney's fine dining every night.

Additionally, as someone else mentioned, we are staying in accomadations that we would otherwise never stay in-The Sagamore in Lake George or The Plaza in NYC. Beach Club, Boardwalk and Wilderness Lodge, too.

We have been members since 1995-so I guess my membership has "paid for itself"!!!
So how come I keep paying each month? Ha! Ha!

 

[WDWguruDH]

As most have said, DVC is more than a pre-paid hotel room. But, being a CPA, I did all kinds of analysis including lost interest, interest paid on loan, inflation on dues, etc. We had 10 trips of history at deluxes never paying rack rate. I found the best case scenario was about 6.5 years, the worst was about 9 years, after this, we will be vacationing on the cost of dues alone. For us it will probably be a little longer(closer to 10) because we now stay 2 people in a one bedroom and have traded out for a cruise. Obviously the accomodations are better and we vacation more, so the actual pay-back vs break even is far better.

 

[Dean]

Originally posted by TDC Nala
It will break even for me eventually because I go to WDW often. I'm not even really concerned with the room sizes; as a single traveler, I am always in studios. But even if I were to stay at the All-Stars on all my trips, I'd spend more over one year than I'm spending per month on dues and to pay for my original contract.

I don't even have enough points to use them to book ALL my trips, but I still think it was worth it. I'm traveling at some times I normally would not have, too - using points for New Years and spring break times.

I am enjoying some of the sigs on this thread...

DVC is usually about a break even compared to the moderates if you include discounts. I don't think a sinlge person could ever break even from a financial standpoint compared to the All Stars, even if you include meal issues. Of course DVC is much better than the AS or even the moderates so you'd be getting much better for not that much more, well worth it in my book.

 

[kathleena]

When I think of something that "pays for itself" my mind goes to "I'm not out any money in the end". So I always hate to see this statement because in terms of pure cash outlay - how can it "pay for itself", if you are still in the cash minus column at the end of 2042?

For the number of times I go to WDW (2-3 times per year) being a DVC member has more options for my money and better benefits than going the hotel route year after year. So - I don't think it "pays for itself" but over time, but the value of the use of my money is better than if I was paying for hotels. I think, actually, I would not go so many times if I paid for hotels, and therefore would SAVE money for all the other costs.

Maybe I'm just too much of an accountant - but this term always smacks to me of a sales pitch and I don't like it.

JMHO

 

[DemoBri1]

Originally posted by Richyams
We came out even on our first trip. $14,000 for 230 points, had two years worth for our first trip, GV for twelve nights. Rack rate was over $1100. Add in the free passes and we more than broke even during that first trip.

During that first trip, we added 200 points so that we would have enough for the GV every year. Another twelve night trip the second year and we broke even on our add on.

By my calculations, break even time is about one year.

Richyams,

How many people really pay rack rate for any room at WDW these days. Granted the discount rates shouldn't last forever, but...you never know.

Does anyone know what non-dvc members are being charged for cash ressies at BCV?

Brian