Renting Points - Too risky?

[jcf]

What if the people trash the room and/or run up a bill?
Do you think a simple indemnify clause in some agreement is going to matter?

Though it may after you chase them down with a lawyer.

No matter what math you use, I think it may be too risky .

 

[Deb & Bill]

If a non-member on a member reservation trashes the room or runs up a bill, the member could get stuck with it.

 

[Sammie]

Unless the non-member offers to pay for the damages, then the member is held responsible and yes this has happened before.

 

[beccawes7471]

As a renter (really just a DVC owner wanna-be, I thought I would chime in to say that we have always rented from either people we know directly or through friends of friends sort of situations. Maybe that would make you feel more comfortable? Just an idea. Good Luck-Rebecca

 

[ANIMO]

I'm not sure I understand if the reservation is in their name and they check in under their name and they trash room why is DVC member responsible for the cost???

 

[Sammie]

I'm not sure I understand if the reservation is in their name and they check in under their name and they trash room why is DVC member responsible for the cost???

Because the member made the reservation using their membership. It is listed in the POS members receive. Same with if they charge to their room and skip out on the charges, member is responsible for the payment.

 

[ArRzrbk]

I've rented out Points two or three times, and I actually didn't even think about the renter trashing the room, etc. I certainly didn't know I would be responsible for any damages. I am a worrier by nature, but I think you have to learn to trust and reach out, even when society tells you not to. I would rent out Points again, if I was unable to use them. I say go for it

 

[Boardwalker]

Because the DVC member took the money in exchange for the points. The person renting the points has no contract with DVC, the contract is with the member.. When DVC is looking for compensation, it will be from the member.

 

[JimMIA]

Your question about room-trashing has been amply answered, but I'm not at all sure that's the major risk in renting.

To me, the biggest risk to an owner in renting is not understanding what you are doing. That can cause you to make promises you can't keep, and it can also cause you to make agreements and adjustments you shouldn't make.

The second biggest risk is a renter who doesn't know what they are doing. Put the two together and you have the "Perfect Storm" of DVC renting.

Other than letting a reservation stand without having been paid in full crazy: ), I think the biggest and most common risk to an owner is to have the renter try to cancel the ressie in a circumstance that puts your account in a mess. Those situations are self-inflicted, but many owners make them.

 

[childsplay]

When DVC is looking for compensation, it will be from the member.

Which is exactly as it should be. I see no reason why if a person/renter trashes a room DVC should have to waste their time and my money to try and track them down and get the money, it should fall squarely on the owners shoulders...and it should never be written off and added to the maintainance fees...which I have no doubt happens all the time with damage done not only by renters, but also owners.

 

[Boardwalker]

Oooh. I think JimMIA hit it on the head.
And with the increase in exposure that renting points is getting by the travel tips media, you are going to see more and more people wanting points who really have no idea how DVC works, and who frankly, won't care. They are simply looking for accomodations at a discounted price, and you are no different to them than a hotel.
Should they cancel last minute, for weather, family emergency, or whatever reason, they won't care about use years and holding accounts and lost points.
So the honus will be even more strongly on you, the owner, to be sure that you understand the system well enough to limit your vulnerability.

 

[rinkwide]

I've rented out Points two or three times, and I actually didn't even think about the renter trashing the room, etc...

Promising start...

...I certainly didn't know I would be responsible for any damages...

...perfect so far...

...I am a worrier by nature...

BINGO, we spooked another renter off the market!

...but...

Sorry, no buts.

...I think you have to learn to trust and reach out, even when society tells you not to...

Oh no...

...I would rent out Points again, if I was unable to use them...

This can't be happening.

...I say go for it

I feel like I've just been punched in the stomach.

 

[JimMIA]

As if the newbie owner/newbie renter I described above weren't bad enough, I've recently seen an even scarier scenario. I haven't seen it here (yet), because the folks are just gathering info, but I have seen it several times over on the DDP board.

This has GOT to be the ultimate Risky Business Scenario -- the newbie renter planning a family reunion using rented DVC accommodations!

Take all of the angst threads we've ever read about OWNER's problems with our own relatives...and then add the ingredient of all of that in one rental. Or a series of rentals from multiple owners because no one owner had enough points (or better sense) to accommodate everyone.

I've seen the early warning signs of those catastrophes on the DDP board, with early planners trying to figure out how to satisfy Aunt Sally -- who can't make up her mind if she wants DDP or not, or wants it but doesn't want to pay for it, etc, etc, etc. They, of course, are telling her she can afford it because of all the money they're going to be saving by renting DVC. The possibilities eekare endless!

 

[Deb & Bill]

...This has GOT to be the ultimate Risky Business Scenario -- the newbie renter planning a family reunion using rented DVC accommodations! ...

I've seen those, too, Jim and thought do these novices really know what they are getting into? And does the member making the reservation know what they are getting into? And then you get the message about the member trying to talk the non-member out of wanting a studio to jam 5 people in the room. What's so hard about that? Do the members renting out reservation really know how many people the non-members are putting in the room? Plus then you have the non-member who want to put XYZ people in the room for two days, WUV people in the room for two more days....

Not for me.

 

[mikesmom]

Yeah, I suspect sometimes we really don't know. A couple of years ago I had to rent out holding points because illness had caused a cancellation. Anyway, I traded several emails with someone wanting a really cheap deal because her sister was having her nephews birthday at WDW and they really wanted to join them and they really had to stretch their little money, etc. After several emails about price, room size etc, said renter emails me that she is backing out (no money had changed hands yet) because another "lovely" DVCer had offered her a 1 bedroom for the price I was charging for a studio.(She had already gotten me down to $8/point).

Aside from me being really ticked about the rudeness and wasted time, I checked back on her other posts later on. She not only was going to Disney about every 60 days (usually by renting), she had her sister cancel her ressies at Contemporary and stuffed all 7 of them into the 1 bdrm at BWV. Nice!

 

[childsplay]

she had her sister cancel her ressies at Contemporary and stuffed all 7 of them into the 1 bdrm at BWV. Nice!

Now I feel like I've been punched in the gut!

 

[Sammie]

Now I feel like I've been punched in the gut!

Definitely punched in the Dues pocket if you own at the resort. That is major wear and tear.

 

[rinkwide]

...stuffed all 7 of them into the 1 bdrm at BWV...

...plus, we saved big on breakfast by bringing our own hogs and hens.

 

[ArRzrbk]

Wow. Kind-of harsh. Are you all against renting out Points period? I do not believe people should go into DVC or any other timeshare to make money by renting out Points, but it is possible that someone might "need" to do it someday, and it is nice we have that option.

It did take me a bit of watching and learning, before I was able to rent out my Points, but I "had" to do it. I was careful and wrote up good contracts, based on models others provided me, and it went OK.

I am just saying that if it comes to that, having to rent out Points for financial reasons or just so you don't loose everything when you had circumstances that cause you to be unable to go on a trip yourself, it is OK to do this. There is a little risk, but life is a risk. But you have to live it.

I'm sorry if I upset anyone.

P.S. The two or three times I mentioned renting out Points in my first post was with one year's worth of Points. I only had to do it that one year. Haven't had to since, and hope I don't have to again. I want to go on vacation!!!

 

[Krazy]

It would be nice if DVC would rent the pts back from us, and they could use the pts to reserve a room and sell it for cash.