Pts resale bottom

rpk113

Earning My Ears
Joined
May 4, 2009
Messages
41
I just noticed that HHI points are getting approved at around $40 a point. Does anyone think this is the bottom? Could it go lower? I'm in the market for my first contract and my family loves HHI. Looking to fullfill the American Dream (i.e. Buy LOW!!) :)
 
HHI contracts expire in 2042, so i suspect they might be a little cheaper in 2040 or so but you never know.

or if the economy double dips and gas prices spike, you might be able to pick up a contract on ebay for next to nothing.

if the price works for you and you intend to book HHI at 11 months out with an HHI contract, don't get too hung up looking for an absolute bottom. just look for a contract that you can afford that works for how you like to vacation...
 
I agree with Charles' advice above -- if you want to buy in, don't take the risk of trying to time the market. The value of DVC is using the points, not bragging rights on your buyin price.

There is such a difference between direct and resale right now, I don't know how any knowledgeable consumer could purchase direct -- unless they were set on buying a resort where there isn't any resale market right now (GCV or Aulani).

When DVC is letting people buy in at 50 polints, they are really hurting for sales and eventually they are going to be forced to prop resale prices up.

Other timeshares can get away with not exercising ROFR, but I don't think DVC can for long. There are just too many great sources of information about DVC for consumers to be uninformed.
 
$40 pp for HHI is a great price! Maintenance fees there are reasonable. If your worry is buying at the absolute bottom, you may find the property gone by the time you decide to buy in. :thumbsup2
 

In my opinion we are in the the sweet spot for buying resale. It may last a while, but I don't think you can hope for much better than this if you are a buyer. Disney has more or less stopped exercising rofr except at bcv. Also given the state of the economy there are a lot more sellers than buyers. This leads to lower prices. If Disney decides to start exercising rofr more or the economy improves then prices will increase. To me, the most likely thing is that prices will stay the same for the near future, but that if prices do move it is more likely that they will increase rather than decrease. I am looking to add on now.
 
I personally would not purchase HHI or VB except to use those points for the 11-month booking window advantage at those resorts.

If you're going to use your points mostly to stay at HHI, fine. But not having a home resort at WDW and the high dues would steer me away from HHI otherwise.

The information above about dues being low at HHI is incorrect. I don't have the numbers in front of me, but HHI dues are among the highest (if not THE hignest) of any DVC resort.
 
I personally would not purchase HHI or VB except to use those points for the 11-month booking window advantage at those resorts.

If you're going to use your points mostly to stay at HHI, fine. But not having a home resort at WDW and the high dues would steer me away from HHI otherwise.

The information above about dues being low at HHI is incorrect. I don't have the numbers in front of me, but HHI dues are among the highest (if not THE hignest) of any DVC resort.

While I do agree that those wanting to primarily use their points at WDW would be best served to purchase a WDW resort rather than HH or VB (BWV recently passed ROFR at $33 per point)- there is a common misconception about the current dues for HH.

The HH dues comment is an oft repeated one and currently that is the case (they are $0.21 per point higher than BWV). However, until 2007 HH dues were still among the lowest in DVC - only OKW, VB (subsidized) and SSR were lower. Thru 2006 (and HH even saw a large increase that year) HH maintenance fees were still lower than BWV, VWL and BCV. BLT and VCG were not open until 2009.

In 2005 the HH resort found it necessary to advance the capital reserve schedule for some exterior structure repairs. This was already included in the capital reserve budget, but not for a few more years so the reserve fund was inadequate to cover the expense. DVD stepped in and provided a loan to the HH owners to cover the expense, the repairs were made and the owners saw their annual dues increased to pay back the loan (with interest) from 2006 until 2012 when DVD will be repaid. After that time the dues should return to a more normal level (we shall see).

Please note that this additional expense was not an assessment and the increase fell within the allowed % for an increase. The increase was $0.48 for 2006, $0.64 for 2007 but the subsequent increases have only been $0.18, $0.16 and $0.21. In 2005, the HH dues were only $0.03 more than SSR.

From 1996 when HH opened, thru 2005 the HH dues had a total increase of $0.70 for that 10 year period. In 2006/2007 (when the Cap. Reserve Budget was underfunded) the increase was $1.12 and 2008/09/10 saw an increase of $0.59.

Many on this board have suggested that the HH dues are higher due to hurricane related issues, higher staff costs, higher maintenance costs, etc - but the fact remains that the loan provided by DVD is the one single factor responsible for the majority of the increase over a 2 year period (2006/2007)and the dues should return to a more normal level after another 2 years. Actually, a decrease should be anticipated for the 2013 fees barring some other reason for an increase.

Stay tuned!

Here is the history of DVC annual fees over the years:

Year OKW VB(s) VB HH - BWV VWL -BCV SSR AKV -BLT VGC

2010 4.87 5.18 6.61 5.57 5.36 5.20 5.15 4.46 4.95 3.78 3.94
2009 4.73 4.97 6.41 5.36 5.21 5.04 5.00 4.34 4.85 3.67 3.82
2008 4.56 4.71 6.04 5.16 5.04 4.87 4.80 4.21 4.71
2007 4.40 4.39 5.63 4.98 4.85 4.73 4.63 4.12 4.62
2006 4.24 4.12 5.27 4.34 4.69 4.61 4.48 3.98
2005 3.86 3.84 4.87 3.86 4.41 4.35 4.27 3.83
2004 3.68 3.67 4.67 3.70 4.25 4.22 4.18 3.80
2003 3.49 3.37 4.37 3.69 4.11 4.05 3.97
2002 3.22 3.33 4.17 3.49 3.92 3.80 3.77
2001 3.13 2.70 3.98 3.32 3.83 3.63
2000 3.16 2.87 4.07 3.25 3.94 3.62
1999 3.16 2.82 3.99 3.18 4.02
1998 3.17 2.76 ---- 3.20 3.94
1997 3.14 2.90 ---- 3.16 3.84
1996 2.99 2.82 ---- 3.16 3.70
1995 2.84 2.76
1994 2.70
1993 2.63
1992 2.56
1991 2.51
 
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I personally would not purchase HHI or VB except to use those points for the 11-month booking window advantage at those resorts.

If you're going to use your points mostly to stay at HHI, fine. But not having a home resort at WDW and the high dues would steer me away from HHI otherwise.

The information above about dues being low at HHI is incorrect. I don't have the numbers in front of me, but HHI dues are among the highest (if not THE hignest) of any DVC resort.
HHI dues are right near the top curently:

Bay Lake Tower $3.78, Grand Californian $3.94, Saratoga Springs $4.46, Old Key West $4.87, Animal Kingdom $4.95, Beach Club $5.15, Wilderness Lodge $5.20, Boardwalk $5.36, Hilton Head $5.57 and Vero $6.61

This translates to $70.00/100 pts per year difference between HHI and say OKW.
 
The only downside I could imagine is if they change the ability to use points at non-home resorts in some fashion. And I can't imagine that happening for so long as dvc is doing direct resales.
 
The only downside I could imagine is if they change the ability to use points at non-home resorts in some fashion. And I can't imagine that happening for so long as dvc is doing direct resales.
The problem with owning any non-WDW resort and trying to get reservations at WDW is this:

If you own one of the WDW resorts and you want to go during a busy time, you can book at your home resort during your 11-month window. Then, when seven months rolls around, you can try to switch the the resort of your choice.

If you don't get it, you're still fine, because you have a WDW reservation for the time you wanted to go. That strategy is why many of us recommend that you "NOT buy where you would be disappointed to stay."
 
I just closed on a HHI contract that passed ROFR at $40/pt for 150 pts. I purchased a 50 pt contract in Feb 2009 and paid $62/pt. I personally don't think Disney will let HHI go for much lower (maybe a couple of dollars) but my deal was 50% of what Disney is offering at this point (I think). I am very happy with my purchase which will give us the 11 month window for planning our June vacations. We went this year for our first trip and loved the resort and the island. Already have vacation planned for June 2011.
 
HHI contracts expire in 2042, so i suspect they might be a little cheaper in 2040 or so but you never know.

or if the economy double dips and gas prices spike, you might be able to pick up a contract on ebay for next to nothing.

I just want to add to the list--- or if thousands of owners suddenly decide to put their property on the market causing a huge increase in supply which would lead to lowering the demand even more.

Jason
 
Thanks everyone.. I do plan to go to HHI every other year (only looking for 150 pts). maybe every fourth year go to WDW. I see all your pts, so now I guess I just have to wait for the right contract to go up for sale/and make sure the owner takes my offer..

Thanks
 
just to clarify, I do plan to use summers at HHI. My family is the kind of family that appreciates Disney quality and service, but just can't do WDW every year. We would get "disney'd" out (i know that hurts for some to hear) but we LOVE HHI, so we figured this is a good way to get the quality without sacrificing.
 
This could be misleading as i'm sure this rate is not available during the busy season.

That is true. We have booked at $81/night for a studio in November. We also have some difficulty in getting a reservation for cash.

I did not see that the OP wanted to stay only in the high season.

We have not pulled the trigger on Hilton Head because we can stay for so much less.

We currently have reservations for a 2 bedroom in late November for about $160/night. However, we are missing one night and have been frantically trying to get one last night in the middle of our trip.
 
That is true. We have booked at $81/night for a studio in November. We also have some difficulty in getting a reservation for cash.

I did not see that the OP wanted to stay only in the high season.

We have not pulled the trigger on Hilton Head because we can stay for so much less.

We currently have reservations for a 2 bedroom in late November for about $160/night. However, we are missing one night and have been frantically trying to get one last night in the middle of our trip.[/QUOTE]
yes what you said is right.

Christopher
 



















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