Purchase questions!

[mitcam]

I got the info. in the mail, made the call to the resale groups and to Disney direct. We have decided to purchase Disney direct. We plan to put our deposit down, forfeit our first year points and take the special price (we already paid for our cruise for Dec. 2003)

Some questions I have however are:

I am confused at what the Concierge, Adventure etc. programs are? Is there a minimum point number and how do you enrool in one? The marketing info isn't very clear on that. Are we enrolled in them all?

Is there a minimum number of points you must have in order to trade for a non-disney resort? Or is it just point for point?

Right now and for the next 5 years we plan to pull our kids from school for our vacation! Assuming that neither one is having academic problems. But I am curious to know if my home resort is BCV - How difficult will it be to book a room (any room) for holiday weeks and vacations (school)?

Also, as far as tax benefits, I realize mortgage interest is deductible but how about (maintenance/tax fees?) Are there any parts of those charges that benefit annual taxes?

Thanks to all!!!!

 

[Dean]

I am confused at what the Concierge, Adventure etc. programs are? Is there a minimum point number and how do you enrool in one? The marketing info isn't very clear on that. Are we enrolled in them all?

Concierge Collection (CC) is a series of top notch hotels to include places like the Arizona Biltmore, Plaza in NY and the like. There is one Dude Ranch, Keystone resort in CO and the like. You pay a pretty penny in points but they are all expensive places to stay no matter what way you cover the costs. Adventurer collection includes things like Bikes Trips, Rafting trips, Safari and the Alaska Cruise, prices vary dramatically. Disney Collection (DC) includes other available on site Disney hotels and all are available that are not value resorts and do not have a DVC portion, points are again very high.

Is there a minimum number of points you must have in order to trade for a non-disney resort? Or is it just point for point?

You just need enough points to cover the cost but that usually means that 150-200 points won't work out well unless that's your only points trip for 2-3 years or you're just doing short trips.

How difficult will it be to book a room (any room) for holiday weeks and vacations (school)?

Not that difficult if you plan 11 months ahead and book day by day.

Also, as far as tax benefits, I realize mortgage interest is deductible but how about (maintenance/tax fees?) Are there any parts of those charges that benefit annual taxes?

Interest MAY be deductible as long as this is your only other deduction outside you're primary residence. Taxes are deductible but are a small part. My deduction last year was around $550 for over 800 points though I did only own one contract for part of the year.

 

[CGregoryJr]

Just to clarify Dean's posting regarding tax benefits, qualified residence interest is limited to interest paid on acquisition indebtedness or home equity indebtedness with respect to any qualified residence. The catch is that the definition of acquisition indebtedness is debt incurred in acquiring, constructing, or substantially improving a qualified residence AND SECURED BY SUCH RESIDENCE. Since our interests in DVC cannot be hypothecated, the taxpayer cannot offer the property as security to the lender. Naturally, home equity indebtedness is deductible to the extent that the debt does not exceed the value of the property or $100,000, whichever is less.

 

[mitcam]

Thanks! I "think" I understand what you both said.

Basicly, if we were to go to other resorts other than disney we would need to have a couple of years worth of points if we had around 200 points!

As far as tax benefits, that will vary. It is our "second" home and we will have to check with our tax guy about the specific details on this venture!

Another question I have is this!

If we purchase 200 pts. today! Disney is offering 2002 points (200) and our current year 2003 (200 + 200 = 400) We don't plan to go to Disney in 2003 (well we are but it is paid for) what are my options for using these points in 2004 without losing out? we can only bank 1 year (2002) is that banked if we don't use it in 2003?

How do you use 3 years worth of points?

 

[Mouse Ears]

If we purchase 200 pts. today! Disney is offering 2002 points (200) and our current year 2003 (200 + 200 = 400) We don't plan to go to Disney in 2003 (well we are but it is paid for) what are my options for using these points in 2004 without losing out? we can only bank 1 year (2002) is that banked if we don't use it in 2003?

Your use year determines when you can use your points. Also, there are banking deadlines related to your use year.

For example, let's say you get an August use year. Disney gives you 2002 points which are available for the period Aug 1, 2002, through July 31, 2003. If you were to bank these points, they could be used in the 2003 use year (Aug 1, 2003 through July 31, 2004). So, if you vacation by July 2004, you could use the 2002 points with an August use year.

I joined in July 2002 (Feb use year) and my guide was able to bank my points automatically for the first year since my banking deadline was approaching. I will now use the points in December 2003 (during my 2003 use year). My trip will be covered by a combination of those banked points and the current 2003 points. Buying ahead of time helps me to begin accruing points, start off with a bigger trip and still be banked ahead going into 2004 use year. Or, at least that's the plan.

Must fight the urge to take extra trips... Help!!!

 

[Mouse Ears]

Oh yeah, missed the '3 years worth of points' question. By adding banked points from the year before and borrowed points from the following year to your current year, you have 3 times your normal total to play with.

Fun, huh! Of course 1 trip in 3 years is the downside of that plan.