Rental Rates

[paults]

don't forget more than 2 in the room and over age 18 there is a added cost per night too for a Disney room.

 

[RivShore]

I was talking about renting my own points, I'll never use a broker after what happened during covid. Also, most contracts put out by brokers now for DVC points are a lose-lose for most owners, I would never accept their terms. But I also don't rent out a lot of points, just what I have extra after my family's vacations.

Had some great experiences with DVC Rental Store pre-Covid but haven't thought about renting post-Covid.

What do you see as the lose-lose for owners under the new terms? Is it just a lose if another pandemic happens or are there now other onerous terms that would apply to much more common occurrences?

 

[BWV Dreamin]

Had some great experiences with DVC Rental Store pre-Covid but haven't thought about renting post-Covid.

What do you see as the lose-lose for owners under the new terms? Is it just a lose if another pandemic happens or are there now other onerous terms that would apply to much more common occurrences?

One issue is most all of the brokers are inundated with points to rent. So up until now, points have not been renting as quickly as in the past. With WDW fully open, that may change. But the glut of points has put pressure on the brokers and many had to drop their rates, some had to fire sale reservations.

 

[Disneypapa]

I rented my extra points this year at about $15-16 a point. Looks like I may have left some money on the the table, if the going rate is nearly $20.

 

[BWV Dreamin]

I rented my extra points this year at about $15-16 a point. Looks like I may have left some money on the the table, if the going rate is nearly $20.

Definitely. But without knowing the circumstances around those points it’s hard to tell. If they were distressed points then you got a good deal renting at those prices.

 

[RivShore]

One issue is most all of the brokers are inundated with points to rent. So up until now, points have not been renting as quickly as in the past. With WDW fully open, that may change. But the glut of points has put pressure on the brokers and many had to drop their rates, some had to fire sale reservations.

That's an understandable supply and demand issue which should work itself out at some point.

Matty B13 was saying the new terms and conditions are a lose-lose and I was looking for details on why? If owners lose under a once in a century pandemic, that's one thing but if they lose under more common things, it would be helpful to have the details.

 

[CarolMN]

That's an understandable supply and demand issue which should work itself out at some point.

Matty B13 was saying the new terms and conditions are a lose-lose and I was looking for details on why? If owners lose under a once in a century pandemic, that's one thing but if they lose under more common things, it would be helpful to have the details.

He was probably talking about 'Force Majeure' policies.

As an example, here are the relevant contract clauses from sample contracts of www.dvcrequest.com for owners & renters:

Owner: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has paid 70% of the funds collected for the reservation from Guest to DVC Owner pursuant to 4(f) of this Agreement, DVC Owner will return to Intermediary the full amount it has already received from Intermediary, as soon as is reasonably possible after the conditions(s) constituting the Force Majeure event is/are notified by Intermediary to DVC Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to DVC Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

Renter: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has collected 100% of the funds for the reservation from Renter, Intermediary will provide to Renter a Credit which is limited in value to the amount paid for the reservation which is _______________ US Dollars on such terms and conditions as determined by Intermediary in its sole discretion, as soon as is reasonably possible after the condition(s) constituting the Force Majeure event is/are notified by Intermediary to Renter and Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

You would need to check each broker as policies differ.

 

[RivShore]

He was probably talking about 'Force Majeure' policies.

As an example, here are the relevant contract clauses from sample contracts of www.dvcrequest.com for owners & renters:

Owner: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has paid 70% of the funds collected for the reservation from Guest to DVC Owner pursuant to 4(f) of this Agreement, DVC Owner will return to Intermediary the full amount it has already received from Intermediary, as soon as is reasonably possible after the conditions(s) constituting the Force Majeure event is/are notified by Intermediary to DVC Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to DVC Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

Renter: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has collected 100% of the funds for the reservation from Renter, Intermediary will provide to Renter a Credit which is limited in value to the amount paid for the reservation which is _______________ US Dollars on such terms and conditions as determined by Intermediary in its sole discretion, as soon as is reasonably possible after the condition(s) constituting the Force Majeure event is/are notified by Intermediary to Renter and Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

You would need to check each broker as policies differ.

Thanks for taking the time to dig that out, Carol.

So it does look like it is only for highly unusual events that shut DVC down. Not sure I see it as a lose-lose for the average post-covid rental.

 

[dclpluto]

I was talking about renting my own points, I'll never use a broker after what happened during covid. Also, most contracts put out by brokers now for DVC points are a lose-lose for most owners, I would never accept their terms. But I also don't rent out a lot of points, just what I have extra after my family's vacations.

David has been great to me. I got every penny I had coming. Got one more reservation coming in July that I will get the 30 percent. Got over 25 thousand dollars from renting points through David most of it been since covid. He has put a lot of money in my pocket. Also I put a lot in his. They have been nothing but great.

 

[Doberge]

Increasingly often I've found DVC renting to cost more than Disney direct. It's still not predominant but it's closer to Disney discounted rates (with tax and parking) than rental brokers will lead renters to believe they are saving. It's especially misleading when brokers compare the rack rate to show savings.

I've found more savings in direct one bedrooms than studios. While renting often requires double the points to go from studio to one bedroom, the direct cash rates might only be a 30% increase from studio. So especially if looking for a one bedroom it's worth price comparing.

 

[Twohsieh]

I’ve used David’s DVC rental in the past but I’m curious to try to rent out my points direct on Disboards this year. I’ve seen a lot of people make successful reservations here.

 

[Matty B13]

He was probably talking about 'Force Majeure' policies.

As an example, here are the relevant contract clauses from sample contracts of www.dvcrequest.com for owners & renters:

Owner: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has paid 70% of the funds collected for the reservation from Guest to DVC Owner pursuant to 4(f) of this Agreement, DVC Owner will return to Intermediary the full amount it has already received from Intermediary, as soon as is reasonably possible after the conditions(s) constituting the Force Majeure event is/are notified by Intermediary to DVC Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to DVC Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

Renter: In the event of a Force Majeure (as defined in this paragraph), each party shall be excused from any future performance of obligations under this agreement; provided, however that if Intermediary has collected 100% of the funds for the reservation from Renter, Intermediary will provide to Renter a Credit which is limited in value to the amount paid for the reservation which is _______________ US Dollars on such terms and conditions as determined by Intermediary in its sole discretion, as soon as is reasonably possible after the condition(s) constituting the Force Majeure event is/are notified by Intermediary to Renter and Owner. A Force Majeure is an event beyond the Intermediary’s reasonable control which renders performance of a rental reservation with respect to Owner’s rented points impossible or substantially impaired, including without limitation, acts of God, acts of government, embargoes, war, riot, epidemic, pandemic, natural disaster, governmental order restrictions and Disney Vacation Club closures or cancellation of reservations.

You would need to check each broker as policies differ.

Yes, this is what I was talking about there was a whole thread on what was happening with David's rentals, and a few other brokers.

 

[LSchrow]

I rented my extra points this year at about $15-16 a point. Looks like I may have left some money on the the table, if the going rate is nearly $20.

I recently rented some Riviera points for $21pp (& was inundated with requests).
From what I've been told, 11 month points at certain resorts (Riviera, BWV/BCV, VGF) are very difficult to get through brokers.

 

[gisele2]

I tried 3 times to rent at BCV , never was able to get it at 11 months . We stayed at AKL and BWV .

 

[Yinn]

I recently rented some Riviera points for $21pp (& was inundated with requests).
From what I've been told, 11 month points at certain resorts (Riviera, BWV/BCV, VGF) are very difficult to get through brokers.

Poly is on that list as well. I get at least one email a week seeking poly points. I rented them out on this board for $18/pt and they went fast. So it sounds like I might have been able to get more. I do generally try to stay under the broker's price though

 

[Phatscott25]

David’s handled the Covid issues extremely poorly, but the DVC Rental Store, in my experience as an owner renting out points and where some reservations were canceled due to Covid, acted with consummate professionalism.

Same for me. Nothing but a positive outcome for me with several rentals. Thank goodness I worked with them and not David's after hearing all those horror stories.

 

[Heather07438]

Increasingly often I've found DVC renting to cost more than Disney direct. It's still not predominant but it's closer to Disney discounted rates (with tax and parking) than rental brokers will lead renters to believe they are saving. It's especially misleading when brokers compare the rack rate to show savings.

I've found more savings in direct one bedrooms than studios. While renting often requires double the points to go from studio to one bedroom, the direct cash rates might only be a 30% increase from studio. So especially if looking for a one bedroom it's worth price comparing.

1br is definitely a category to check other options than renting points. We stayed OKW 1BR in early Dec ‘19 cash with free food. Weeknights with tax cost $550, weekends $700. But we were 4ppl getting DDP valued at $300/nite. Our avg cash cost per night was $600, minus the food was $300. Rental cost was ~$18pp, our 5 nights were 115pts, renting would’ve cost $2070. Subtracting the DDP credit from our cash price we paid $1525. $500 savings thru WDW package over rental and we had much better terms to cancel or for refund. Our cash expense equaled $13.25pp.

Rental would’ve needed to be well below $13pp to be competitive and compensate for the harsher terms. We buy DDP when not included so would’ve paid regardless.

 

[Walker TR]

Does anyone know if brokers pay more per point if you have a confirmed reservation?

 

[Nabas]

Does anyone know if brokers pay more per point if you have a confirmed reservation?

It's my understanding that confirmed reservations generally are less desirable. People have specific travel dates in mind and are looking for lodging that matches those travel dates.

I'm sure there are exceptions.

 

[Yinn]

Does anyone know if brokers pay more per point if you have a confirmed reservation?

Its less in almost all situations. I have a guaranteed week for Christmas and its generally offered for 20% less