point rental prices....

[Happy Birthday Cat]

I just did the same as Nick. Booked two rooms for an Eastern Cruise next April and then rented out our points to cover the cost. Makes a lot more sense than giving away a ton of points and/or cash for the same reservation to DVC. I will do the same next year if we decide to cruise again in 2006, which I get the feeling we will.

This works out for my family and some other families who get a trip at a reasonable price.

I think that some of the smaller resorts that are in high demand will have higher rental prices in the near future. Many more people were looking for my VWL points than I had available.

HBC

 

[DSNY FN]

When we rent our points we won't tae anything less than 12.00 a point and when we have rented them we never have a problem getting rid of them. We have gotten upwards of 15-18 a point a couple times but that was ony a couple times the 10 dollars a point is far to low.

 

[pumpkinboy]

Originally posted by DSNY FN
When we rent our points we won't tae anything less than 12.00 a point and when we have rented them we never have a problem getting rid of them. We have gotten upwards of 15-18 a point a couple times but that was ony a couple times the 10 dollars a point is far to low.

Good for you (assuming that's us$ and not C$); our points are worth more than $10 each, given what they buy, at least on weeknights. I think $12-$15 for long-dated points is a fair price, and if I wanted to rent BCV during February break reserving now (or Boardwalk view for that matter), that's I should expect to pay. Now if I am taking points off you hands bcs they are about to expire, well maybe the $8-$10 range would be more fair.

I think the whole Magical Beginnings offer of $10 per pt for the 1st yr's points has given us a starting point that has stuck in folks' minds.

Just my $0.02 here (oh, wait, these one have little maple leaves on the back of them...).

 

[doubletrouble_vb]

Soooo...let me get this straight...because I have VWL with a December Use Year it would be reasonable for me to advertise that at $12 per point next November or December if for some reason I can't use my next year's allocation? Truthfully if it comes to that I'll probably sell the thing. Bad enough I couldn't go this year. I rented most of my points figuring I could borrow if it turns out I can actually go to Disney in October.

 

[ripleysmom]

I hate these threads. Sorry guys but I do.


It's funny but I would much rather bank my points or go to HHI in August. HHI is drivable so I don't have to worry about the additional costs of airfare. I also save money on the park tix.

 

[chips]

I watch the rental boards because a liquid rental market supports the price of dvc. If disney pulls rofr or lowers rofr the rental income will support the price. I have no intention of renting my points. In fact we are borrowed out with additional vacations planned. I felt comfortable with purchasing dvc in part because I could rent the points if needed. The liquid rental market effected my decision to buy. People theorize on rofr no rofr and rtu depreciation. If prices declined in the short term for either of the above reasons I would buy based on rental yield alone. If the price goes to 50 per point and Ican net 6, that is a 12 percent yield. If I could rent for net 8 that is a 16 percent yield. With ten year notes under 4 percent it is better than junk bonds.

It is unique that we have a liquid rental market without having to pay listing fees or broker commissions. Disboards deserves a lot of credit for this benefit.

 

[DSNY FN]

Hey pumpkinboy the prices are in US funds that is what I pay for my vacations in so they should pay me in US funds. I agree that $12-$15 a point is where the market should be it is hard though when you have people selling off unused or about to expire points people begin to expect all points should be that price. I for one will just transfer my points to one of our friends in the US if I know they are going and we can't make another trip and I have points about to expire I let them use them they do pay me for them just as I have paid them for their points albeit at a discounted rate because the points are due to expire.

 

[pumpkinboy]

Originally posted by chips
I watch the rental boards because a liquid rental market supports the price of dvc. If disney pulls rofr or lowers rofr the rental income will support the price. I have no intention of renting my points. In fact we are borrowed out with additional vacations planned. I felt comfortable with purchasing dvc in part because I could rent the points if needed. The liquid rental market effected my decision to buy...snip
...It is unique that we have a liquid rental market without having to pay listing fees or broker commissions. Disboards deserves a lot of credit for this benefit.

True, that is a really valuable service isn't it. Perhaps those of us who get such value out of it should become sponsors (starting with me, I guess).

Originally posted by doubletrouble_vb Soooo...let me get this straight...because I have VWL with a December Use Year it would be reasonable for me to advertise that at $12 per point next November or December if for some reason I can't use my next year's allocation? Truthfully if it comes to that I'll probably sell the thing. Bad enough I couldn't go this year. I rented most of my points figuring I could borrow if it turns out I can actually go to Disney in October.

Given that we are between the 11 and 7 month windows, yes, I think it would be reasonable to rent out your points at $12, as the longer term and reservation priority policy gives them additional value, provided anyone is willing to pay $12 (I don't think I would advertise $12 per point, but rather give that price to anyone who inquires, and if they balk, they can always rent form someone else). In your shoes I would also avoid renting a Nov ressie as your UY is Dec, to avoid the hassles of potential cancellations. The buyer is still saving plenty over rack rate or even an AP rate, so a higher price is not unfair to anyone. IMO, any transaction that makes both buyer and seller happy is a good and fair one. Plus, as chips points out, point rental is a decent return on investment anyway, plus you can use any proceeds to vacation elsewhere (or at a non-DVC resort).

 

[KANSAS]

I sometimes wonder if BCV rental prices per point, could be 50 cents or 75 cents more per point, than OKW rental prices per point

If renter values 11 month BCV booking window

 

[tjkraz]

Originally posted by KANSAS
I sometimes wonder if BCV rental prices per point, could be 50 cents or 75 cents more per point, than OKW rental prices per point

If renter values 11 month BCV booking window

Only problem with that is I don't think the typical renter knows enough about the program to understand or appreciate the intricacies of the 11/7 month windows. I'd be surprised to hear that any significant number of rentals happen farther than 7 months out.

And, if you really tried to explain to the renter the logic behind charging a premium for BCV, he/she would probably get bored/frustrated and look for someone else renting for $10.

 

[pumpkinboy]

Originally posted by tjkraz
Only problem with that is I don't think the typical renter knows enough about the program to understand or appreciate the intricacies of the 11/7 month windows. I'd be surprised to hear that any significant number of rentals happen farther than 7 months out....

I have a rental for folks who were looking 10 months out, and I have seen a number who already know about the 11 vs 7 difference. There is a post from one woman who is working to line something up for April 2005 right now (good for her!). Yeah, most renters who haven't used the board before don't know the difference, but some do (mine do). And those that don't know the difference are also not gonna know that we used to price points at $10 each but have boosted that to $12 (or whatever) .