Pondering a purchase

[crock]

Hi all,
My husband have played around with the idea a couple of times over the years...we thought we were done with it, but here we are 5 years from the last time and the question comes up again. In the those 5 yrs, we've done 2 Disney trips and one non Disney vacation.
Now, I've never done the presentation to fully understand the DVC option, I ordered the DVD yesterday. (I should say this has come up again as a friend had a timeshare near WDW for sale, but it didn't seem to "work" for us)
At any rate, I have a couple of questions to truly get a handle on it until I get the DVD. I hope some one will help. We are a family of 3 but MIL and FIL tend to enjoy vacationing with us (not necessarily every year) So figure we could do puts for 3-4 one year 5-6 the next by borrowing points from the previous year right? (DS is 14 so I am figuring that a friend will be travelling with us from time to time) So I'm trying to work out the points that we would want to purchase for that, but will those requirements change from year to year. By that I mean will 200 points suffice this year and in 5 yrs not be enough? How can I see what the annual costs will be?
Thanks for any assistance.

 

[AllieV]

Here's a link to the 2012 and 2013 point charts. It's helpful in planning out points for future trips, especially when borrowing. This is PER ROOM, and PER NIGHT (unless marked "weekly in which case it's any consecutive 7 days), not per person. You pay these points whether you have 1 person or the maximum capacity -- which varies per room and is marked on this link page.

Animal Kingdom has 1-br villas with 2 full baths, really nice. With a lot of people, you may want to look at a a grand villa (2 floors, 3 bedrooms, sleeps 12 full kitchen, full dining area, living room). But you'll get the idea once you haunt around here bit.

Good luck.

p.s. when using that chart in the link, it can be confusing (to me anyway). It's not linear. Everything in the yellow box is just a list, and it applies to everything listed in the white box and blue box, etc.

 

[AJA]

This is a rough estimate, simple examples and math just to help you with a quick compare.

"if" you purchase 200 points, right now your annual fee's on those points would be $1000.00 +/- a few dollars (this is a yearly fee, it will increase each year) if that same one thousand dollars goes a long way toward your onsite stay with immediate family OR an off site rental condo so everyone traveling has more space, then the overall cost of DVC may not save you any money.

The set number of yearly points for the entire property cannot change, but as an example, next year they may increase 1 point per night for stays in a STUDIO if they do that they would have to decrease points in another category, maybe decrease 1 point per night needed to reserve a 1 BEDROOM. (they can do this with seasonal rates too, increase the points needed to stay in October, and balance it out by decreasing the points needed to stay in January kwim?).

If you will be traveling to Disney every couple of years for the next 10-15 years and staying in deluxe accommodations DVC can be a huge savings.

Make sure you understand Use Year, the yearly fee's, and the points system before you start running your numbers.

 

[chalee94]

So I'm trying to work out the points that we would want to purchase for that, but will those requirements change from year to year. By that I mean will 200 points suffice this year and in 5 yrs not be enough? How can I see what the annual costs will be?
Thanks for any assistance.

the simple answer is that the total number of pts for each resort for all their rooms for the whole year is fixed. they cannot simply increase pt costs at BLT by 5% across the board for 2014. if you buy 150 BLT pts and there were 1.5 million total BLT pts (for example), then your .01% interest in BLT will stay the same until 2060.

BUT DVC can reallocate the pts, so if they decide that weekend nights...or early december nights...or studios....are too cheap, they can raise the cost for those items (which will hurt some people's feelings.) in order to do that, they would have to lower the cost for other items...maybe decrease the pt costs for weeknights...or the month of may...or 1BRs...(which will make some people happier.)

 

[DisneynBison]

This board is a wealth of knowledge if you take the time to read through everything. We have also been considering a DVC purchase and have been lurking here for awhile and just reading. I give the board props for sometimes answering the same questions over and over but someone is always willing to step up and answer the question.

 

[DenLo]

I would definitely read as much as you can here on the DISboards.

One item that is often confusing to potential members is Use Year. One of the mods here on the DISboards has a thread with good information regarding UY.

http://www.disboards.com/showthread.php?t=1942668&highlight=understand+uy

Another issue is whether to buy resale or direct from Disney. There are many threads that discuss this issue.

Another website, dvcnews.com has some tips for beginners that are considering buying into the DVC. http://dvcnews.com/index.php/dvc-program/dvc-for-beginners

As to how to deal with the fact that some years you will use less points than other years, some of us have more than one contract (sometimes for different resorts and sometimes for the same resort). You could use your base contract for your immediate family's use and the second contract to be used every other year for when your extended family joins you.

So your original contract would cover the cost of staying at your home resort for regular vacation days when you need to get a larger villa the second contract could be used to add to your points to reserve a larger unit. Keep in mind that there are restrictions on when you can combine points for the same reservation. It's explained elsewhere here on the Disboards and on the DVCNews website too. Sometimes it's referred to as the Home Resort Advantange.

 

[ELMC]

Hi all,

Now, I've never done the presentation to fully understand the DVC option, I ordered the DVD yesterday.

The DVD is helpful, as are these message boards. But it seems like you have yet to form an understanding of the nuts and bolts of DVC and how it works. The best way to learn this is from a sales presentation. Just know that you won't know everything that there is to know after two hours with your salesperson. it will give you a great overview and provide answers to many of your questions (some of which you should come on here to verify, as there are different levels to the truthiness of DVC salespeople).

My point is, it doesn't hurt to go on the tour, just don't buy right then and there. Afterwards take some time to do further research, examine your vacation patterns and learn about the resale market. At that point if you decide a direct purchase is for you, your salesperson will be there. Good luck!

 

[crock]

Thank you all so much for your replies, they are always so insightful. I know it's difficult for avid posters when the same questions get answered time and time again. For me, I get so lost in the long threads and often cannot find "the answer". I've been researching far more then I should be today, the weather in TO is gorgeous and I should be outside....however I was able to see (if I've read it right) that in order to take advantage of the Disney Cruise, I would have to purchase direct from DVC as opposed to a reseller. So if that is the case, in order to take advantage of cruising AND WDW, direct may be the away to go for us.
Thanks again all.

 

[princessaloha]

Thank you all so much for your replies, they are always so insightful. I know it's difficult for avid posters when the same questions get answered time and time again. For me, I get so lost in the long threads and often cannot find "the answer". I've been researching far more then I should be today, the weather in TO is gorgeous and I should be outside....however I was able to see (if I've read it right) that in order to take advantage of the Disney Cruise, I would have to purchase direct from DVC as opposed to a reseller. So if that is the case, in order to take advantage of cruising AND WDW, direct may be the away to go for us.
Thanks again all.

A couple of thoughts. 1. The money you would save on a resale would get you several really nice cruises. 2. If you go through resale (or direct) you can rent out your points for that year, take the money and book the cruise direct, possibly for less than a direct trade from DVC to Disney Cruiseline.

 

[crock]

princessaloha, thanks for that tip too. That's definately something that I wouldn't have thought of. I did come across some sites when I was looking at generic timeshares that were "renting" points....I guess that's what I came across then.

 

[ELMC]

however I was able to see (if I've read it right) that in order to take advantage of the Disney Cruise, I would have to purchase direct from DVC as opposed to a reseller. So if that is the case, in order to take advantage of cruising AND WDW, direct may be the away to go for us.
Thanks again all.

If convenience is your main motivator, then by all means go ahead and buy direct and use it for cruises. Just know that you will be paying anywhere up to 60% more for your points on the purchase side as well as up to 40% more each time you use your points to cruise instead of paying cash.

Bottom line, depending on the size of the contract you purchase and how often you cruise, it could cost you an extra $10,000 or more to choose this option. But like I said, it is pretty convenient. Only you can decide what means more to you. Good luck!

 

[AllieV]

the other thing that's helpful when planning out points is to use David's DVC rental page (click on his sponsor banner here or google him as "davids dvc"). They have a "Points Calculator". It won't give you per night, but it lets you punch in dates and choose resorts, then it tells you the total number of points needed. It's very convenient. Thanks, David's!

 

[crock]

Thanks AllieV, just perusing that David's site. It seems very user friendly too.
ELMC, I gotta say, I am liking the prices at this reseller then the mark up from direct, for sure! I like money in my pocket then some one else's I think the just of it is... If I stay at WDW, the new Hawaii, or Cali my points can be applied, if I buy through a reseller. To stay elsewhere it would be out of pocket (or I can rent my points out to help cover the cost) but they can also be applied to many other places if I buy direct (but that initial purchase is at a significantly higher price point, therefore potentially losing some of it's value.)

 

[Missyrose]

Thanks AllieV, just perusing that David's site. It seems very user friendly too.
ELMC, I gotta say, I am liking the prices at this reseller then the mark up from direct, for sure! I like money in my pocket then some one else's I think the just of it is... If I stay at WDW, the new Hawaii, or Cali my points can be applied, if I buy through a reseller. To stay elsewhere it would be out of pocket (or I can rent my points out to help cover the cost) but they can also be applied to many other places if I buy direct (but that initial purchase is at a significantly higher price point, therefore potentially losing some of it's value.)

Resale points can be used at any DVC property at Disney World, Disneyland and also at Hilton Head, Vero Beach and Aulani in Hawaii.

You can also use your points to trade into the RCI system.

What you cannot do with resale points is us the points to pay for stays in the Disney Collection, on Disney Cruiselines or Adventures By Disney.

 

[AJA]

Remember it takes a lot of points to cruise. Another way to look at it (depends on if you want to save money or need convenience) you could rent out your points the year you want to cruise, take that money and apply it to your cruise. I believe Davids rental will pay $10 per point to you for renting them out.

As another pp said, points purchased resale can exchange with RCI.

 

[GOOFY D]

Remember it takes a lot of points to cruise. Another way to look at it (depends on if you want to save money or need convenience) you could rent out your points the year you want to cruise, take that money and apply it to your cruise. I believe Davids rental will pay $10 per point to you for renting them out.

As another pp said, points purchased resale can exchange with RCI.

Is there a risk with renting out points? What if the user of the points damages the room or does something detrimental. Are you, as the point holder/owner, liable for the costs?

 

[crock]

I'm hoping some one will help with my next question, now that I've done more research and the DVC package has arrived. It's so nicely packaged but wow those direct prices are well pricey. (not that I had any doubt in the slightest)
So we're going to go resale (the extra perks of the cruise and the collection, I can't see us using points for that anyways, as a few people have said)....so my next question is based on some of the rumours I've read on these boards, and Disney potentially limiting resales to their home resort and RCI. If that were to be the case, would it be better for people like us to opt for smaller resales to equal out to the original points decided upon? As it stands we are a family of 3 - DH (40 or soon to be), myself (39) and DS (14). While we all currently love Disney and every year we can not wait to return. I suspect at some point DS is going to change that thought process, I'm sure even later in life he will come around again. But my thought is during those years it will DH and I and perhaps we may want to do Vero Beach or Hilton Head to change it up. So for arguments sake if we got 3 -50 resale points for those and something WDW, what does that mean for now? Can I use all 150 points each year? Would it be making ressies at the 7th month mark?
Ok so its a little more then one question, but I'm hoping some one will be kind enough to share their knowledge.
Thanks again

 

[chalee94]

So for arguments sake if we got 3 -50 resale points for those and something WDW, what does that mean for now? Can I use all 150 points each year? Would it be making ressies at the 7th month mark?

yes, assuming they are all under the same membership number (have to be titled the same and the same UY month). and yes, you cannot combine pts from different home resorts until the 7 month mark. at the 11 month mark, each contract would have different home resort booking windows.

if you have different member numbers (i.e. if they are different UYs), then pts cannot be combined to book a single night's stay - but you can book 3 nights with one contract and 3 nights with the other and ask MS to link the separate reservations.

i would add that i'm not super concerned about DVC restricting you to your home resort (but it's true that they do have a lot of options in changing things.)

 

[chalee94]

Is there a risk with renting out points? What if the user of the points damages the room or does something detrimental. Are you, as the point holder/owner, liable for the costs?

here is more information for you:

http://www.disboards.com/showthread.php?t=2053297

http://www.disboards.com/showthread.php?t=2574086

 

[crock]

Charles, if we decide to go that route, is it best to use the same reseller? We aren't in any rush though we would like a WDW vacation in August next year....I say we're in no rush but maybe that is with an 11 month window