Purchasing Direct Add-on - Just want to make sure I have it right..

[fearthisinc]

So we finally finished the resale process for our Animal Kingdom Resale purchase... We have now been talking about doing the 25 point direct add on for the blue card discounts.. Our current annual passes are not up until June 2018, but we want to get the most bang for our buck during the direct purchase.. Just had a few questions..

1) We currently have a December Use Year for our Animal Kingdom contract.. If purchasing the 25 point add-on direct through Disney, am I right to assume that waiting until November 2017 would be the "perfect" time to make the purchase? Reasons being that 1) I would get the 25 points from 2016 banked (a DVC "one time value" of $375 or rental value of $350) and 2) would not have to pay any prorated dues on the points.

2) Does using the 6 month special financing through the Disney Visa card put you in the cash paying category (25+ points) or the financing category (50+ points)?

3) Would member services have an actual numbers list of what is available for add-on at any given resort? For example, could I call member services during normal business hours and ask how many points are available for add-on at Animal Kingdom with a December Use Year? Or do they simply tell you that the number requested is currently available?

4) Curious if anyone has called recently for Animal Kingdom add-on points and had difficulty in getting them.

 

[Cyberc1978]

Hi

1. if you buy in november, you still need to pay the MF for november and December. You pay the MF by calender year not use year. You are correct that if you buy in November you will get points for 2016 (current use year) and 2017 use year. This is assuming that the points are available at the resort you wish to buy at. If you buy Poly or aulani then its no problem, but other resort might not have the points available when you want/need them.

2. Can't answer that one.

3. Member services dont know what is available to buy you need to call the sales office.

4. Can't answer that one as I own other resorts.

 

[JamesA1]

2. Cash payment category.

 

[Nie0214]

2. Credit cards = cash, not finance.

3. You'll need to contact your guide to get on a list.

4. I bought 25 AK points two weeks ago. We have an Oct UY so I called my guide during the first week of August because I wasn't sure how long it'd take to get them. Three days later, he called back and said they had the points available. I gave a credit card and the 2016/2017 points were loaded on my account that night. I called MS the next day to get the 2016 banked and she adjusted our February reservations to use our new AK points.


December is the most popular UY for AK. I think something like 15-20% of contracts are Dec, so you shouldn't have much trouble getting it if you wait until October.

 

[jmw33]

2. Credit cards = cash, not finance

Disney Visa allows you to finance Disney vacations for 6 months interest free.

 

[ktmo]

One thing to consider - they might not have December points, in November. You are not the only one who plans to buy points right before the end of the use year. AK may be different, but I didn't have luck with this strategy at BLT. I tried to buy June UY points in April at BLT and they didn't have any available. They finally got points in June (They had the contracts they had ROFRed, but they didn't have 2016 points, so had to wait until 2017 to sell them to me). So, I would call well in advance to try to get a feel as to if they have ample points.

 

[disneynutz]

For the Visa do you still need to get a number from your guide to get the deferred payment?

Bill

 

[RKS03]

Hope you don't mind but I also am considering adding on too and didn't make think it made sense to add another thread.

What's the whole process for adding the 25 direct add on? Just call up and give a credit card? I'm thinking the best plan for us is to just add to the boardwalk resale we just bought for simplicity. We may add another resort later but seems that managing separate 25 point contract may be a bit of a hassle. I wonder if finding boardwalk points direct is difficult. I left a message with the guide but haven't heard back yet.

 

[disneynutz]

Hope you don't mind but I also am considering adding on too and didn't make think it made sense to add another thread.

What's the whole process for adding the 25 direct add on? Just call up and give a credit card? I'm thinking the best plan for us is to just add to the boardwalk resale we just bought for simplicity. We may add another resort later but seems that managing separate 25 point contract may be a bit of a hassle. I wonder if finding boardwalk points direct is difficult. I left a message with the guide but haven't heard back yet.

Your guide should walk you through the process.

Bill

 

[RKS03]

Your guide should walk you through the process.

Bill

I was able to get in touch with my guide.

If it's any help to those looking I asked about February use month 25 point add-ons. BWV had 3 people on the list with large purchase requests. Bay Lake Towers has 10 people on the list. And she said they will not waitlist for either BCV or GFV. Of course she said I could get points right away for any of the current ones for sale (though Copper creek had 50 point minimum). I went on the BWV waitlist for 25 points.

By the way, if it's true that there were 3 largish requests for Feb use year contracts at BWV I'm a little surprised they didn't excercize ROFR on my loaded contract last month at $95/point. Not complaining of course!

 

[beweller6306]

We just added 30 BCV points (Feb UY) on Saturday

Points were in our account Sunday AM). They had them available when we called. I think there was 75 BCV and 49 BWV (our top two choices to add on at). We own 200 pts at Ssr (resale). So buying the 30 direct got us the direct perks and enough to book at least 2 nights at BCV every other year to do land and sea or to get there a day or two before a cruise since we cruise in the winter and live in Pennsylvania. We were so happy!!

Be patient, if you are willing to wait you'll get what you want.

We only bought at a 2nd resort to get that 11 month window at BCV since it fits perfect for us since we book our cruises 2 years in advance while on board (10% discount and on board credit, when you book on board).

Best of luck

 

[fearthisinc]

Took the advice and contacted DVC Sales so I could get an idea.. Spoke with a guide and they told me there are currently no points available for Animal Kingdom with a December Use Year.. Put me on the wait list but didn't give any idea how far down I was.. At first he seemed to think it was going to be no problem, but after contacting the contracts department he said there was nothing available..... So I assume anyone putting contracts for Animal Kingdom through ROFR with a December Use Year may be having them taken since they have 0 inventory.. That is if they base their current inventory when choosing to exercise ROFR or not.. My guess would be that they would use this ability on resorts with a waitlist.. They pretty much have buyers lined up and are essentially guaranteed to make a profit.. As an example.. They exercise ROFR and take your 160 point contract at $85 per point.. That costs them $13600 plus closing costs of around $600 (estimated).. That means they walk away with 160 points for $14,200.. Now.. They sell those points for $165 per point which banks them $26,400.. The guide told me closing costs for 25 point contract would be a littler under $200.. So let's say for every 25 points they charge $160 as closing costs.. That means total profit is in the range of $27,000 - $28,000... Pretty much double their investment by exercising ROFR..

** Just read in another thread that a posters Animal Kingdom resale with December Use Year was taken yesterday during ROFR.. And the price per point was above what others have gotten through.. This makes me believe that one of Disney's methods is to grab contracts that they currently have a waiting list for.. My guess is that they go through the waiting list when a contract comes in to confirm if they will be able to sell them right away.. At that point they exercise ROFR...

 

[Nie0214]

Disney Visa allows you to finance Disney vacations for 6 months interest free.

True, but we're talking about adding on DVC points and whether they view it as a finance (min. 50 points) or cash (min. 25 points), hence my answer. I'm not sure if they classify an add-on purchase as a vacation package. (There are better credit cards rewards out there.)

 

[Nie0214]

They most definitely factor in demand (a waitlist, in this case) with ROFR.

 

[fearthisinc]

True, but we're talking about adding on DVC points and whether they view it as a finance (min. 50 points) or cash (min. 25 points), hence my answer. I'm not sure if they classify an add-on purchase as a vacation package. (There are better credit cards rewards out there.)

From what I am understanding the use of the Disney Chase card will count as a cash purchase.. They offer 0% for 6 months on BOTH a Disney Vacation purchase and a Disney Vacation Club purchase.. Basically the 0% is a benefit of the credit card so it is the same as paying cash..

 

[mustinjourney]

They most definitely factor in demand (a waitlist, in this case) with ROFR.

Not so sure -- otherwise they would ROFR VGF and BCV non-stop...and they almost never ROFR VGF. I've seen some go for less than $120 a point at VGF.

 

[Dean]

Took the advice and contacted DVC Sales so I could get an idea.. Spoke with a guide and they told me there are currently no points available for Animal Kingdom with a December Use Year.. Put me on the wait list but didn't give any idea how far down I was.. At first he seemed to think it was going to be no problem, but after contacting the contracts department he said there was nothing available..... So I assume anyone putting contracts for Animal Kingdom through ROFR with a December Use Year may be having them taken since they have 0 inventory.. That is if they base their current inventory when choosing to exercise ROFR or not.. My guess would be that they would use this ability on resorts with a waitlist.. They pretty much have buyers lined up and are essentially guaranteed to make a profit.. As an example.. They exercise ROFR and take your 160 point contract at $85 per point.. That costs them $13600 plus closing costs of around $600 (estimated).. That means they walk away with 160 points for $14,200.. Now.. They sell those points for $165 per point which banks them $26,400.. The guide told me closing costs for 25 point contract would be a littler under $200.. So let's say for every 25 points they charge $160 as closing costs.. That means total profit is in the range of $27,000 - $28,000... Pretty much double their investment by exercising ROFR..

** Just read in another thread that a posters Animal Kingdom resale with December Use Year was taken yesterday during ROFR.. And the price per point was above what others have gotten through.. This makes me believe that one of Disney's methods is to grab contracts that they currently have a waiting list for.. My guess is that they go through the waiting list when a contract comes in to confirm if they will be able to sell them right away.. At that point they exercise ROFR...

There's no significant profit in this situation compared to retail sales. In a sense they're actually l losing money. And while some wouldn't buy unless they got that exact option, many would. At most it's a secondary benefit to them for the minor profit they'd make.

 

[Nie0214]

Not so sure -- otherwise they would ROFR VGF and BCV non-stop...and they almost never ROFR VGF. I've seen some go for less than $120 a point at VGF.

A factor doesn't mean the sole reason. I think there's a theory out there about unit number.

 

[Nie0214]

From what I am understanding the use of the Disney Chase card will count as a cash purchase.. They offer 0% for 6 months on BOTH a Disney Vacation purchase and a Disney Vacation Club purchase.. Basically the 0% is a benefit of the credit card so it is the same as paying cash..

Right. A credit card is the same as paying cash to Disney Vacation Development.

How that credit card applies charges to you is financing between you and the credit card company, Chase.

 

[mustinjourney]

A factor doesn't mean the sole reason. I think there's a theory out there about unit number.

You're right. I misinterpreted your statement.