Price Firm?

[KAT4DISNEY]

That doesn't doesn't sound like a neutral party to me... They seem to work on behalf of the sellers/themselves. The thing is, they only charge the seller 7.5% commission. Guess they have to make sure somehow that 7.5% is worthwhile.

Yet other brokers have given discounts to repeat customers and also managed to work for both buyer and seller.

 

[DisneyKeepsUsYoung]

We made an offer with a different broker for full price but seller pay closing. It was presented to seller but seller responded with "price is firm". The next day the price was increased on the listing. From $84 to $85/point for 100 SSR. It sold only a week later. So I don't think it's rare for sellers in current market to be firm on their price and get it, especially for smaller contracts.

 

[bibbidi_bobbidi_boo]

Im trying to work out a deal..trying to get something for a fair price and they are not even writing me back not even submitting my offer to the seller. I'm $4.00 off of asking on this property. After I put a bid on 2 other contracts and they fell through he just has this attitude. He replied with thank you for your time and good luck? I'm trying to buy here aren't they suppose to help me buy something?? Awful service so far!! If I was the seller I would not be happy!

 

[suebeelin]

Im trying to work out a deal..trying to get something for a fair price and they are not even writing me back not even submitting my offer to the seller. I'm $4.00 off of asking on this property. After I put a bid on 2 other contracts and they fell through he just has this attitude. He replied with thank you for your time and good luck? I'm trying to buy here aren't they suppose to help me buy something?? Awful service so far!! If I was the seller I would not be happy!

I just saw a Okw with current UY points go for 70pp. It was a 350pt contract tho.

 

[Mflaherty]

Omg !!!!!!! Same thing happened to me!!!! Thank you and good luck on a reasonable offer. This is crazy. And fyi, it felt rude to me too. Good luck!

 

[DWorldOrBust]

I purchased a VGF contract from them a couple months ago, also made an offer or two on a couple others (BLT) before the one that was accepted. The first couple offers were to Kevin - he essentially told me my per was too low. He referenced/compared my offer to the current listed prices. I referred to actual prices, not listing, I had seen shared on sites like the Dis. I think that irritated him - that I didn't know what I was taking about.

Then I made an offer through Nick on a VGF contract. Either the sellers counted or stuck to their listing price. Nick tried selling me on the higher price, but I stuck to my guns and said that was my price and if it didn't work out - no biggie, it just wasn't meant to be and I'd wait for another one. Got a call back the next day that the seller accepted my price. I will say that Nick was always pleasant/nice - didn't have any friction at all.

So in my small experience I wouldn't be surprised if they're siding with/advising sellers to list high and hold out for a high price. After all, the higher the price the higher the commission.

I ran into two issues with that brokerage as well. I tried to buy two different contracts through them. The first they said my bid was too low and they weren't going to forward it to the owner. They finally agreed to do so and shortly thereafter responded back saying it had been rejected because it was the "first day of the listing and the owner is going to wait to see what other offers came in." Which I would totally understand if it were true, but I had been watching that listing on their website for about a week so it certainly wasn't the first day of the listing.

Similar scenario for the second offer I made. It was below asking and he responded shortly after that the "owner accepted a full-price offer" that same day. So I watched the listing for another five or six days, and it was still listed as available when several other contracts I had been watching had their status changed to reflect pending sales.

Not to say they lied to me in both cases, but sure seems shady and what they said sure didn't match what they showed, so I bought elsewhere and am ecstatic with the service I got from the different brokerage.

I had a similar experience recently. They had a 50 pt VGF contract listed at a price that I felt was too high. I stalk prices for the heck of it so I knew what I would pay. I offered a fair price and the broker countered halfway between the listed price and my offer. I fully expected that, it's normal but was still more than I was willing to pay so I thanked the broker and advised them that my initial offer was my "best and final". I really didn't need the contract so I wasn't in a position to negotiate. I got a reply later that it was my "lucky day", the broker was "really surprised" and the owner said "ok" to my offer... Hmm probably because my offer was fair to begin with lol. It took the broker several days to send me the sales contract and several more to send the contract to Disney for ROFR. I have been less than impressed. My first resale was with with TSS and they were amazing! This broker.. not so much.

 

[To the honeypots]

I had similar experiences. I tried to offer on a small contract and got a response of price is firm and here is a link to the listing where it says that.

 

[supersnoop]

Every now and then a small contract will be listed at a reasonable price. I picked up a 40 point SSR at $68/point (I managed to talk them out of half the Fidelity fee), and I'm about to close on a 25 point BWV that was listed at $80/point, for which I made a full-price offer.

 

[CMNJ]

Every now and then a small contract will be listed at a reasonable price. I picked up a 40 point SSR at $68/point (I managed to talk them out of half the Fidelity fee), and I'm about to close on a 25 point BWV that was listed at $80/point, for which I made a full-price offer.

That 25 point bwv contract was a steal at $80 esp if it had current/banked points
I've been watching since the fall and typically they are listed for $90-$100

 

[disBOBney]

For those who seem indigent that an agent isn't "helping" enough to get them a great price, please remember that they work for the seller and are obligated to get the seller the best deal. Interestingly, when I offered one of my contracts, the agent tried to suggest that I was asking more than the going rate, I insisted on my asking price, within an hour of it making it on the public list it was sold at the full asking price, which was $10 higher than my original Disney direct buy.

So when I see people asking for reasonable or good prices, I say anything less than what you can buy it off of Disney for is a good and reasonable price.
just my 2 cents

 

[ColinBlair]

For those who seem indigent that an agent isn't "helping" enough to get them a great price, please remember that they work for the seller and are obligated to get the seller the best deal.

The agent is a transactional broker and is legally obligated to be neutral. They do not work for the seller. The complaint is that some of the brokers don't seem to be meeting that neutral standard. The broker really shouldn't be indicating to the buyer what offers a specific seller will accept unless the seller has given written permission. The reverse is also true.

 

[KAT4DISNEY]

For those who seem indigent that an agent isn't "helping" enough to get them a great price, please remember that they work for the seller and are obligated to get the seller the best deal. Interestingly, when I offered one of my contracts, the agent tried to suggest that I was asking more than the going rate, I insisted on my asking price, within an hour of it making it on the public list it was sold at the full asking price, which was $10 higher than my original Disney direct buy.

So when I see people asking for reasonable or good prices, I say anything less than what you can buy it off of Disney for is a good and reasonable price.
just my 2 cents

This is incorrect. They are transactional brokers and need to work for both. Personally I think it sounds more like they have just moved their experience with DVC being price fixed to their new resale business. But that isn't appropriate.

 

[jnjhuddle]

For those who seem indigent that an agent isn't "helping" enough to get them a great price, please remember that they work for the seller and are obligated to get the seller the best deal. Interestingly, when I offered one of my contracts, the agent tried to suggest that I was asking more than the going rate, I insisted on my asking price, within an hour of it making it on the public list it was sold at the full asking price, which was $10 higher than my original Disney direct buy.

So when I see people asking for reasonable or good prices, I say anything less than what you can buy it off of Disney for is a good and reasonable price.
just my 2 cents

I think the word you were looking for is indignant. Congrats to you for selling a contract for more than what you paid for it. I was looking for replies from a sellers perspective as far as listing as "price firm".
As for my 2 cents, if you are buying into a DVC contract resale, it's sort of like buying something half used (as places like OKW where I am purchasing are) I wouldn't pay full price from disney for the contract as the total number of points left on the contract is half of what was originally sold. The same would hold true if I used 10 years worth of points and then decided to sell down the road, my expectation would be that the contract has a lower value. I'm fairly certain I would be put in the crazy category to purchase these resorts or add ons at full retail disney price or anything close to that.

The agent is a transactional broker and is legally obligated to be neutral. They do not work for the seller. The complaint is that some of the brokers don't seem to be meeting that neutral standard. The broker really shouldn't be indicating to the buyer what offers a specific seller will accept unless the seller has given written permission. The reverse is also true.

Totally agree!

 

[disBOBney]

Darn spell check. Good catch. As far as a transactional broker, I have never heard of this, however DVC Agents are required to have a Florida Real Estate Lisc. and I would presume the same would be true of the resale brokers. Having previously held a Real Estate Lisc in Ohio, our Law required us as the listing broker to work for the seller as they were the ones required to pay the fees. I presumed that Florida Law would be similar. In Ohio there are such people who act as buyer agents, but they are required to be paid via the buyer, and I believe that they can not work for the same broker as the listing agent. I would presume that a transactional broker as you describe, being truly neutral, would still be obligated to proceed under the seller's instruction, and if the sellers don't want to receive less than list offers or less than a specified amount offers, then anything that would come in less than the amount stated would not be presented.

RE the used status of contracts, I agree they are proportionately used and you should not expect to pay the same for a contract that has 26 years left that you would pay for a contract that has 49 years left. That is why, I always look at the price per available use year point. Currently, Disney is selling PVB points for about $3.30, BCV in comparison is, likewise, being sold by Disney for $165 per point which figures to be $6.34 per available use year points. So, paying resale $85.80 pp for BCV is the equivalent to buying PVB direct. However I have seen, BCV go in the $100 range which would be $3.85 per use point. While higher than what the brand new resort is selling for it is considerably less than what Disney is selling it for. To hear the price of $165 pp sounds very expensive, but it is very close to the going rate regardless if you are buying new or used and that is good news because that means DVC while not a great "investment" it is also not a great depreciating asset either.

While no one wants to may more than they need to, I am thankful when sellers hold firm and push the price points, it is good for all owners.

 

[Shamus]

Darn spell check. Good catch. As far as a transactional broker, I have never heard of this, however DVC Agents are required to have a Florida Real Estate Lisc. and I would presume the same would be true of the resale brokers. Having previously held a Real Estate Lisc in Ohio, our Law required us as the listing broker to work for the seller as they were the ones required to pay the fees. I presumed that Florida Law would be similar.........

Here is the link to (and a snippet of) the Florida Statute for Transaction Broker -

http://www.leg.state.fl.us/Statutes...ute&URL=0400-0499/0475/Sections/0475.278.html

475.278 Authorized brokerage relationships; presumption of transaction brokerage; required disclosures.—

(1) BROKERAGE RELATIONSHIPS.—
(a) Authorized brokerage relationships.—A real estate licensee in this state may enter into a brokerage relationship as either a transaction broker or as a single agent with potential buyers and sellers. A real estate licensee may not operate as a disclosed or nondisclosed dual agent. As used in this section, the term “dual agent” means a broker who represents as a fiduciary both the prospective buyer and the prospective seller in a real estate transaction. This part does not prevent a licensee from changing from one brokerage relationship to the other as long as the buyer or the seller, or both, gives consent as required by subparagraph (3)(c)2. before the change and the appropriate disclosure of duties as provided in this part is made to the buyer or seller. This part does not require a customer to enter into a brokerage relationship with any real estate licensee.
(b) Presumption of transaction brokerage.—It shall be presumed that all licensees are operating as transaction brokers unless a single agent or no brokerage relationship is established, in writing, with a customer.

2) TRANSACTION BROKER RELATIONSHIP.—A transaction broker provides a limited form of representation to a buyer, a seller, or both in a real estate transaction but does not represent either in a fiduciary capacity or as a single agent. The duties of the real estate licensee in this limited form of representation include the following:
(a) Dealing honestly and fairly;
(b) Accounting for all funds;
(c) Using skill, care, and diligence in the transaction;
(d) Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the buyer;
(e) Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing;
(f) Limited confidentiality, unless waived in writing by a party. This limited confidentiality will prevent disclosure that the seller will accept a price less than the asking or listed price, that the buyer will pay a price greater than the price submitted in a written offer, of the motivation of any party for selling or buying property, that a seller or buyer will agree to financing terms other than those offered, or of any other information requested by a party to remain confidential; and
(g) Any additional duties that are mutually agreed to with a party.
...........

 

[ColinBlair]

Darn spell check. Good catch. As far as a transactional broker, I have never heard of this, however DVC Agents are required to have a Florida Real Estate Lisc. and I would presume the same would be true of the resale brokers. Having previously held a Real Estate Lisc in Ohio, our Law required us as the listing broker to work for the seller as they were the ones required to pay the fees. I presumed that Florida Law would be similar.

That is understandable. Only a few states have transactional brokers and, according to the Ohio Realtor website, Ohio is one of the states that have decided not to allow it.

 

[jnjhuddle]

RE the used status of contracts, I agree they are proportionately used and you should not expect to pay the same for a contract that has 26 years left that you would pay for a contract that has 49 years left. That is why, I always look at the price per available use year point. Currently, Disney is selling PVB points for about $3.30, BCV in comparison is, likewise, being sold by Disney for $165 per point which figures to be $6.34 per available use year points. So, paying resale $85.80 pp for BCV is the equivalent to buying PVB direct. However I have seen, BCV go in the $100 range which would be $3.85 per use point. While higher than what the brand new resort is selling for it is considerably less than what Disney is selling it for. To hear the price of $165 pp sounds very expensive, but it is very close to the going rate regardless if you are buying new or used and that is good news because that means DVC while not a great "investment" it is also not a great depreciating asset either.

While no one wants to may more than they need to, I am thankful when sellers hold firm and push the price points, it is good for all owners.

I definitely agree that buying into one of the newer resorts at disney prices still makes ok financial sense (if I had the cash to do it,which unfortunately, I don't, and I'm certainly not financing a vacation). Thanks for crunching the numbers, totally not my forte, but it puts prices into perspective. Just curious what the price per point changes to if you were to finance at the poly?

I'm definitely still looking at things from a buyers perspective since I would like to purchase another small contract in the near future. I hadn't seen the price firm thing before recently and hopefully the brokers are doing it the full legal way as described in Shamus' post. It would be a shame for sellers to also miss out on potential offers if that isn't what they truly have in the agreement with the listing agent.

 

[michelleiada]

I can't believe how much the prices have gone up since I bought my BCV contract 3 years ago. I could sell it now for several thousand more than I paid and Ive taken several vacations already. It's crazy...in a good way. But, I would also like to buy more points and hate today's pricing.

 

[tararoo]

Wow it never eve occurred to me to offer less than the list price! But the 50 point contracts I was looking at were selling the same day they were listed (with a backup already waiting), I'm assuming OP is talking about a larger contract? Then I could see offering less, if those aren't selling the same day they are listed...

 

[Crystal824]

That happened to us a few times too. We kept trying and finally got a contract for the amount we were willing to pay.