Question on dues

[DisneyFamily7]

Newbie question, trying to learn the ropes If I am looking at listings, and it says buyer pays 2020 dues, (October use year) are those the dues that would normally be due next January? In other words, if we pay them as part of closing, we don’t owe dues again in January, correct?

 

[LilyJC]

2020 dues were paid January 2020. If you are getting 2020 points, it’s fair to reimburse the seller for those points. January 2021 you will need to pay 2021 dues.

 

[Cyberc1978]

as @LilyJC says 2020 dues are due by 15th of January 2020, and considered late by 15th of February.

The same goes for 2021 dues they have to be paid by 15th of January and are late by 15th of February.

In terms what is fair and not fair. When you buy a contract ANYTHING that is payable is up for discussion. I recently bought a VGF contract which is now under ROFR, and I reimbursed for the 2020 dues. The contract also had 2019 points but seller pays the dues on those, which is normal as that is last years dues. On top I had the seller pay the closing costs too.

If you buy a contract which is set to close during December, then you or the seller need to pay the dues for the upcoming year during closing.

 

[Lorana]

Dues are based on calendar year, not UY. It doesn’t matter when your UY is.

There’s been a lot of discussion about paying current dues. My philosophy is, if you have 2019 points (either current or banked), it is reasonable to pay the 2020 dues. If you only have 2020 points, it’s also reasonable to split the dues with the seller. With an Oct UY, I might request they pay 9 months of dues and I pay 3 months.

That said, my experience has often been in buying 6 contracts that sellers seem less willing to negotiate around dues than they are price per point. (Go figure; they’ve already paid their 2020 dues; I would’ve thought this would be the easiest to negotiate!) so I actually tend to factor in the dues to reduce the price per point I offer and pay the dues.

 

[ukeemom]

Dues are based on calendar year, not UY. It doesn’t matter when your UY is.

There’s been a lot of discussion about paying current dues. My philosophy is, if you have 2019 points (either current or banked), it is reasonable to pay the 2020 dues. If you only have 2020 points, it’s also reasonable to split the dues with the seller. With an Oct UY, I might request they pay 9 months of dues and I pay 3 months.

That said, my experience has often been in buying 6 contracts that sellers seem less willing to negotiate around dues than they are price per point. (Go figure; they’ve already paid their 2020 dues; I would’ve thought this would be the easiest to negotiate!) so I actually tend to factor in the dues to reduce the price per point I offer and pay the dues.

Some sellers will negotiate on dues - but I agree it is usually easier to negotiate on price point. That said, everything is negotiable.

 

[DisneyFamily7]

Thank you all!