Poll: do you plan next DVC purchase resale

[DVC Dude]

I have happily bought most of my points direct from Disney, but just recently completed a resale buy and the process was painless and I saved a lot of money vs buying direct.

 

[ssawka]

I think you need a few more choices. I am currently looking @ HHI contracts, and when I decide to buy I would love to buy resale. Unfortunately, HHI contracts are hard to come by, especially under 150 points. So, I may be forced to purchase directly from Disney.

 

[nunzia]

I am currently on a 5 month and counting waiting list for direct points at VGC. The reasons for me buying direct are that it is nearly impossible to find specific contract size and year in the resale market for this resort, and I want all my points being 'equal' for inheritance purposes.

 

[DVC Dude]

I think you need a few more choices. I am currently looking @ HHI contracts, and when I decide to buy I would love to buy resale. Unfortunately, HHI contracts are hard to come by, especially under 150 points. So, I may be forced to purchase directly from Disney.

If you consider resale for HHI is 1/2 the price of buying direct, they choice is do you buy 100 points from Disney or 200 points from resale as the price will be the same, but the annual dues will be higher, obviously.

I am currently on a 5 month and counting waiting list for direct points at VGC. The reasons for me buying direct are that it is nearly impossible to find specific contract size and year in the resale market for this resort, and I want all my points being 'equal' for inheritance purposes.

I would ignore use year as that is not too important, but will be in a different membership number. I would also not worry about an exact match for inheritance purposes as that (hopefully) will be a long time from now. But if you want to keep the exact use year and points and location, you may have to buy direct.

I personally think people should NOT think of DVC as something to pass to their kids or grandkids as this is actually a DEBT, not an asset as it requires annual dues. Although currently is is a nice gesture, there are thousands of people that die each year and had the intention of passing down their old Branson or Daytona beach timeshare to kids that really did not want it.

 

[montrealdisneylovers]

I would never compare DVC to a Branson or Daytona Beach Timeshare!!

We made wonderful lasting family memories with our daughters by coming to Disney every year with them. They love Disney and both have told us that they hope to do the same with their children in the future. This is where DVC will be appreciated. If things change, they can sell.

 

[htmlkid]

My first purchase was resale and I just closed on my second resale contract. Buying direct is crazy when you can purchase a resale for a fraction of what you would direct

 

[ssawka]

If you consider resale for HHI is 1/2 the price of buying direct, they choice is do you buy 100 points from Disney or 200 points from resale as the price will be the same, but the annual dues will be higher, obviously.

Exactly! Actually, I think Disney is selling HHI at $80 per point. The asking price I've seen for most contracts is about $55 per point. So, a 100 point direct purchase would be $8000. A 150 point resale would be $8250. Granted, I would get an extra 50 points per year, however I'd also be paying and extra $250 per year (at today's amount) in MFs. Over 30 years, that's an extra $7500. I'm only planning on going every other year, so each trip would cost me an extra $500 for what would amount to one extra weekend night. Not worth it! I am interested in buying a contract, but I do not want to pay MFs on points that I do not need.

 

[nunzia]

If you consider resale for HHI is 1/2 the price of buying direct, they choice is do you buy 100 points from Disney or 200 points from resale as the price will be the same, but the annual dues will be higher, obviously.



I would ignore use year as that is not too important, but will be in a different membership number. I would also not worry about an exact match for inheritance purposes as that (hopefully) will be a long time from now. But if you want to keep the exact use year and points and location, you may have to buy direct.

I personally think people should NOT think of DVC as something to pass to their kids or grandkids as this is actually a DEBT, not an asset as it requires annual dues. Although currently is is a nice gesture, there are thousands of people that die each year and had the intention of passing down their old Branson or Daytona beach timeshare to kids that really did not want it.

My kids have all screamed loudly about wanting it. As for use year, I really like to get all my points at the same time just to make it easier on me. I have 225 now and will have 290 when all is said and done

 

[Kidanifan08]

I voted resale. Our initial purchase was direct in 2008. Last year, we did a small pre-3/21/11 resale at our home resort followed by another small resale a few months later. Just this year, we did another home resort resale. We feel like we have enough points now to do what we want with our home resort.

I can't think of a good reason, at this point, to purchase direct. The savings are just too good in the resale market right now.

If we do another DVC purchase, it will be a small contract at BWV. We would really love to have home resort advantage at BWV for F&W. We did a 1BR BW-view in March and we are hooked. Of course, with a 1st grader, we are a few years from taking an occasional "date-trip" to WDW for F&W, so it will probably be a few years before we buy Unless something really good pops up

 

[Andrew015]

As much as I would like to add another 75 points @ BWV, I just can't justify it at the moment. I'm about 2 years away from getting the extra week of vacation from work that I will need to use it. So for the time being, I will be sitting on the sidelines. When I am ready to purchase, it will be resale for sure.

It is unwise to purchase more points than you "need" just because you are trying to justify a good deal. Those un-needed points just translate into recurring, annual dues, which over the life of the contract means thousands of dollars. Accurate point purchases are very important to getting the most value out of your DVC experience, and to ensure the contract is best suited to meet your vacation needs. The exception here is obviously getting 5-10 additional points to account for annual fluctuations in point requirements.

 

[DisWitt]

I think this discussion hinges more on two aspects APART from sales price of the initial points: 1) home resort and 2) MF's.

For home resort, if you love one place over another, it vastly changes the "direct vs resale" argument. Aulani is my home resort and I want that 11-month window for crucial dates, vacations, and such. For me, Aulani is selling for a difference of about 25% on the resale market. Not that big of a difference in the grand scheme of things. (See MF argument below.) If the argument is about HHI or somewhere with a 40-50% difference, I could se the value of resale. Also, keeping in mind the "second class" issue (no DCL, ABD, etc) resale points has a built-in value of at least 10-15% lower to me.

In the grand scheme of vacations, whether I spend $13000 on 100 AUL points direct or $10000 resale, it's the MF's at $5/pt x 50 years ($25000 in today's dollars not adjusted) that makes the $3000 look like a pittance. Again, if you're only looking at 25 years left on the contract, it skews your math.

I submit that for AUL, BLT, and VGC, this math might favor direct while at other resorts where the resale/direct price difference is greater, the life left on contract is less, and if you have more DVC room density (at WDW) favors resale. It depends on your audience.

 

[AnnaS]

I actually just did buy direct from Disney a few weeks ago - for my son and dil. We have owned for 12 years and always said someday my points would be split among my three kids.

Well I am not ready to give up my points yet even though two of my sons have started to use a week each the past few years. My son just got married and he and my dil (more my son) have become not disney addicts but I call them disney monsters, lol. Last minute thought sort of a wedding gift (among many other gifts), I made a quick call and purchased 100 SSR points April UY - did not want to wait - as much as he LOVES BCV for F & W - he is only 26 so would rather have the longer contract expiration. That leaves SSR and AKV - he had no interest in BLT.

Who knows - resale could be in the future for him for an add-on. Still no regrets.

So I voted - direct.

 

[ELMC]

In the grand scheme of vacations, whether I spend $13000 on 100 AUL points direct or $10000 resale, it's the MF's at $5/pt x 50 years ($25000 in today's dollars not adjusted) that makes the $3000 look like a pittance. Again, if you're only looking at 25 years left on the contract, it skews your math.

While I agree with your statement that the maintenance fees make up the majority of the expense of DVC, I think your referring to the extra $3,000 as a "pittance" is poor justification to purchase direct vs. resale. Although maintenance fees are spread out over 30+ years, purchase price is in today's dollars. So unless there is a real value to you in the perks offered to direct purchasers, that is $3,000 spent that could have been avoided. While I agree that $3,000 over 30 years is not a lot of money relatively speaking, $3,000 right now is, and shouldn't be so easily dismissed IMO.

 

[DougEMG]

Any future DVC pruchases would be resale only. $50-$60 per point is about all I want to pay so that eliminates any possiblity of ever buying direct.

 

[bighoo93]

Any future DVC pruchases would be resale only. $50-$60 per point is about all I want to pay so that eliminates any possiblity of ever buying direct.

I have to agree. Unless the value proposition changes substantially, I can't imagine purchasing direct. If there were some factor that precluded buying resale (e.g., only interested in the new GF villas when they hit the market), it probably means I just wouldn't make that purchase at all. The cost doesn't make economic sense, and I'm unwilling to take the 50% depreciation hit when they do drop on the resale market.

Of course, I only just passed ROFR on my first DVC purchase, so I can't really imagine making a "next" purchase at all right now...

 

[Andrew015]

Of course, I only just passed ROFR on my first DVC purchase, so I can't really imagine making a "next" purchase at all right now...

Give it a few months

 

[ssawka]

I fear Disney will see this thread and will further restrict the uses of resale points

 

[DJ45cal]

I am thinking about buying into DVC. Do I lose anything by not purchasing directly from Disney?

 

[dvcterry]

I fear Disney will see this thread and will further restrict the uses of resale points

Don't say that. I picked buy direct because of gfv. but then of course my resale offer was just accepted a little while after the poll. so i'm torn between the 2. sometimes it takes a long time for the right resale to come around.

 

[DisWitt]

While I agree with your statement that the maintenance fees make up the majority of the expense of DVC, I think your referring to the extra $3,000 as a "pittance" is poor justification to purchase direct vs. resale. Although maintenance fees are spread out over 30+ years, purchase price is in today's dollars.

I calculated the MF's all in today's dollars, not adjusting for increases and inflation (which we KNOW) happens. So I was being overly generous toward the resale side in the math. More to my point, that $3000 difference represents less than a 10% difference over the whole contract.