Renting DVC points vs. buying in

[lowe@massed.net]

In 1992, we started taking WDW vacations every-other year and have always stayed at deluxe resorts. For our last three trips, we rented a DVC member's points and stayed in BCV and BWV studios for much less than those same rooms would have cost if we had rented them from Disney. As renters, we have paid between $130-$175/night for DVC studios. Since I discovered this option in 2003, we have gone to WDW every year, with another trip already booked for 2006.

Now that yearly visits seem to be a given, I've been wondering which is cheaper over the long-haul - continuing to rent points or buying in ourselves. We are a couple in our 50's with a grown son who is not interested in vacationng at WDW and parents who are too old to travel. Why would we buy in if we can continue to get such a great deal renting points?

 

[Granny]

If you are in your 50's, and have no offspring who enjoy WDW, I could see why a 37 or 49 year DVC contract would hold little in the way of enticement.

Yes, if you purchase DVC you would have more direct control over your reservations. You would have no chance of getting "burned" by a someone renting their points. And you would own a piece of the magic.

But in your case, I think continuing to rent points might make more sense. After 10-15 years, you might not want to be going to WDW every year.

When you rent, you are paying 2-3 times the annual dues figure for those points. But you have no "downpayment" represented by ownership.

Think of it as leasing a car. It is not the most economical way to own a vehicle for most people, but it does provide a lot of flexibility and avoidance of the big "ownership" cost.

Others opinions may vary, but I think I'd rent points too in your situation. The key is that you don't have any offspring interested in WDW.

 

[CarolMN]

The short answer is for control of your own reservations and because there is no guarantee that the rental price will stay the same (or rise more slowly than resort prices).

If you don't think your current pattern will continue past the next 5- 7 years, renting might actually be better for you, IMHO. I think the rental price will remain relatively stable until at least SSR sells out (supply and demand). If you are fairly flexible in your choice of resort / dates and willing to plan more than 7 months in advance, renting for a reasonable price should not be a problem. Again, JMHO. YMMV.

Best wishes-

 

[mikesmom]

For one thing, as the price of hotels goes up, one would assume that the price of rental points will go up. They will probably always be less than Disney is charging for rooms, but if you own your own points the price is locked in for many years.

The 2nd reason would be that if you own you will have more control over when and where you stay. If you decide to go down for the holidays for instance, or on short notice, or some time when the DVC resorts tend to fill with owners (first weeks of December, October & November for Food & Wine, Spring break, etc) you will have more probability that you actually will get a reservation. Yes, there are some folks that make ressies at those times purely for the purpose of renting them out, but they are few and far between and you are competing with many people for those reservations. If you own points you just call Member Services!

 

[DVCconvert]

You may be doing what's best for you. The only thing I can think of is basically if you owned your own contract, then for the next 10-20 years of vacationing at WDW you'd only be paying the MF's (currently about $4 per point) as "rent", then in later years you could rent out your points to recapture the purchase price while paying the MF's.

 

[JimC]

If you can afford the upfront cost it might work well for you to buy. As others have said you gain more control over your vacation plans. Also your point cost if you purchase will be $5-6 per point (including annual fees) rather than $10-12 per point as a rental.

 

[jarestel]

Why would we buy in if we can continue to get such a great deal renting points?

If it's not broke, don't fix it. Sounds like you're very happy with things the way they are, so keep doing that until something changes that makes you less happy with renting. Good luck!

 

[Beach_Bound9]

Given current prices for points, I think renting is a great option and certainly worth considering.

 

[WDWorld2003]

You may want to buy a small resale contract of 25 to 50 points. Then when you want to go to WDW and need more points you can rent them and have them transferred to your account. This way you would have control of your points and enjoy the member discounts offered. We have 2 contracts and have considered selling one to finance a home improvement project and keeping the small one for transferring points and discounts.

Anyone else have thoughts on owning a small contract and just transferring rental points in?

 

[Beach_Bound9]

You may want to buy a small resale contract of 25 to 50 points. Then when you want to go to WDW and need more points you can rent them and have them transferred to your account. This way you would have control of your points and enjoy the member discounts offered. We have 2 contracts and have considered selling one to finance a home improvement project and keeping the small one for transferring points and discounts.

Anyone else have thoughts on owning a small contract and just transferring rental points in?

Great idea.

 

[Laurabearz]

I too was going to suggest a small resale.... Then you would 1) have control over your reservation and no chance of being burned by a rentee 2) get all the perks (such as they are) for being a DVC member 3) discover the pleasure of addonitis, a quick spreading virus, that feels good all over.

 

[bluedoggy]

... and feel very comfortable with that decision. We rented points twice, in fact DD, DSIL, DgrD and SIL's parents just returned last night from a week at OKW on rented points (as our contract just closed end of April) We wanted the peace of mind to know that WE have control over the points, can bank, borrow or rent out our points if we wish. We bought a 100 pt contract which gives us the ability to go once a year (which works great for us) and stay in a studio. Whatever you do will be the "right" decision. As you have to be comfortable with it. Check out the smaller point contracts, or call someone like the Timeshare Store, tell them what you're interested in, and they can let you know if something becomes available. ENJOY!!

 

[lowe@massed.net]

Thanks everyone for your advice. I think we'll keep on doing what we have been doing. We have found a DVCer who always makes ressies for the week we visit the World in anticipation of renting them (President's Week, as I'm a teacher in Massachusetts). Now, as soon as I know we'll be going, I contact Jerry and he takes care of us. Maybe once I'm retired and we have flexibility in when we can take our vacations, things will change, but for now, renting points seems to be the ideal solution for us.

 

[sjnlkm]

You may be doing what's best for you. The only thing I can think of is basically if you owned your own contract, then for the next 10-20 years of vacationing at WDW you'd only be paying the MF's (currently about $4 per point) as "rent", then in later years you could rent out your points to recapture the purchase price while paying the MF's.

Hi. I am new to this, and am looking to see if a DVC owner has a 2-bedroom unit at either Boardwalk or Beach Club to rent for 5 or 6 nights (March 29th - April 3rd or 4th). How do I go about that? Thanks for the help and education.

 

[keys2kingdom]

Thanks everyone for your advice. I think we'll keep on doing what we have been doing. We have found a DVCer who always makes ressies for the week we visit the World in anticipation of renting them (President's Week, as I'm a teacher in Massachusetts). Now, as soon as I know we'll be going, I contact Jerry and he takes care of us. Maybe once I'm retired and we have flexibility in when we can take our vacations, things will change, but for now, renting points seems to be the ideal solution for us.

Sounds like "Jerry" is a real peach, snapping up prime weeks at BCV and BWV on speculation, just what we love to see. Sigh.....

 

[Starr W.]

Sounds like "Jerry" is a real peach, snapping up prime weeks at BCV and BWV on speculation, just what we love to see. Sigh.....

Another big sigh here too! Maybe I'll check "Jerry" for what he has available. BCV/BWV for F&W or maybe VWL for Xmas week?

 

[DVC Dude]

I think a small point contract (50-100) via resale is the best option. It is cheap, flexible, and safe. You will always be able to sell in the future to get your money back, thus your only cost is the MF.

 

[crisi]

Sounds like "Jerry" is a real peach, snapping up prime weeks at BCV and BWV on speculation, just what we love to see. Sigh.....

And if that is the case, the biggest risk the OP may face is the "Jerry" is discouraged from doing business as a "commercial renter" by Disney and she'll have to find a new owner she can trust.

 

[MrsNick]

Hi. I am new to this, and am looking to see if a DVC owner has a 2-bedroom unit at either Boardwalk or Beach Club to rent for 5 or 6 nights (March 29th - April 3rd or 4th). How do I go about that? Thanks for the help and education.

Check the Rent/Trade Board

 

[Deb & Bill]

Hi. I am new to this, and am looking to see if a DVC owner has a 2-bedroom unit at either Boardwalk or Beach Club to rent for 5 or 6 nights (March 29th - April 3rd or 4th). How do I go about that? Thanks for the help and education.

I doubt if you will find anything available at this late date. However, you need to post a thread on the Rent/Trade Board after you have read all the "stickies" at the top of that page.