Renting vs resale

[TeeterTots]

I'm 99.99% ready to purchase. Question? Has anybody considered that renting is nearly the same amount as your MF? This only dawned on me when DH and I were looking for the right contract and knowing that we would not get our desired location for April. Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV. So why not rent? I guess only we can determine what works for us (we will pay cash to purchase) but I'm curious your thoughts. I hope I'm not confused or missing something. I'm starting to obsess a bit.

 

[com_op_2000]

As a renter you do NOT control your reservation. For that reason some want to own and some are willing to risk that the owner does not cancel the trip on them. It is completely your decision and you have to decide if you are willing to accept the risks involved in renting.

 

[Dawn68PA]

It also depends on how often you want to go, where you buy and spend for it. What I paid to rent once will be the same as now being able to go several times a year

 

[chalee94]

I'm 99.99% ready to purchase. Question? Has anybody considered that renting is nearly the same amount as your MF? Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV.

you can get a standard view studio in early december or in sept for 81 pts for a week. so don't buy a 160 pt contract if you don't need that many pts...look for something in the 80-100 pt range instead. but it doesn't make sense to price a wrong-sized contract and say it's too expensive.

MFs at AKV are $6 per pt. if you can really rent for that, then you should stick with renting.

it was worth it to me to pay the upfront cost for a small contract so that i controlled the reservation. but if you are not really sure about making a long-term commitment to the Mouse (which is reasonable with some of the decisions they have made over the last year or so particularly), then renting is a better option that makes it easier to opt out...

 

[DizBub]

MFs at AKV are $6 per pt. if you can really rent for that, then you should stick with renting.

I agree. If I could find deals like that I wouldn't have bought either.

We are staying at one of our home resorts BCV the 1st week of Dec, a very desirable location and time. Had to reserve at 11 months. MFs at BCV are $5.79 X 107 points used = $619.53. And I have full control over my reservation. Plus I have 53 BCV points left over to use at a later date.

Most owners wanting to rent at that season and location can and do command $14 or $15 per point. $14 X 107 = $1,498. We won't even go into how much it would cost to go cash rental direct.

I choose owning.

 

[RSWA2]

Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV. So why not rent? I guess only we can determine what works for us (we will pay cash to purchase) but I'm curious your thoughts. I hope I'm not confused or missing something. I'm starting to obsess a bit.

Hmm...MF for AKV for 2014 is $5.97/pt.
For 160 points, that could cost you $955.20.

1 week at the Adventure Season for a Value studio is 69 points, renting at $13.84/pt is a cost of $955.20

1 week at the Premiere Season for a Value studio is 118 points, renting at $8.09/pt is a cost of $955.20.

So, yes, I guess technically you can rent for the cost of the yearly MF. How practical it is, I don't know. I believe David's Rentals rents somewhere between $14-$16/pt.

 

[Dean]

I'm 99.99% ready to purchase. Question? Has anybody considered that renting is nearly the same amount as your MF? This only dawned on me when DH and I were looking for the right contract and knowing that we would not get our desired location for April. Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV. So why not rent? I guess only we can determine what works for us (we will pay cash to purchase) but I'm curious your thoughts. I hope I'm not confused or missing something. I'm starting to obsess a bit.

I'm confident you'll find that renting is more expensive than buying in long term assuming once a year and not renting RCI exchanges. It all comes down to how committed one is to DVC over the long term.

 

[supersnoop]

Maintenance fees are $5-$7, while rental rates are $12-$15 per point. Therefore, renting is 2x-3x more than maintenance fees. You could rent out half your points to pay for all you fees.

 

[crisi]

Renting is more expensive over the long term than resale, but does have some advantages as well as the disadvantages mentioned.

You have no "home" resort - so as long as you can find an owner 11+ months out, you get the home resort advantage where ever you want to stay (they "so as long as" might be tricky if you want something in demand - but you still have a better chance than an owner at seven months).

You have no capital tied up in the purchase. Lose a job? Get divorced? Get tired of Disney? Walk away.

Likewise, if you decide not to go to Disney this year, you don't have points to figure out how to use up.

Now, the downsides of not controlling your reservation (as an owner, if you do have to cancel you probably get at least a little more flexibility than as a renter) and the additional expense are significant. But for some people, its a good trade.

 

[skier_pete]

Question? Has anybody considered that renting is nearly the same amount as your MF?

Like others said, I don't know where you are renting. Typically renting points will run you $11-$15 / pt depending on where and when you rent them. MF are $5-$7 / pt. That doesn't seem to me to be "the same". Even when I factor in my buy-in cost across the life of my contract, I still see that I'm paying about $8 / point right now, versus a $11-15 rental cost.

Another problem with renting is the cancellation policy - i.e. there is none.

 

[dankil13]

I'm 99.99% ready to purchase. Question? Has anybody considered that renting is nearly the same amount as your MF? This only dawned on me when DH and I were looking for the right contract and knowing that we would not get our desired location for April. Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV. So why not rent? I guess only we can determine what works for us (we will pay cash to purchase) but I'm curious your thoughts. I hope I'm not confused or missing something. I'm starting to obsess a bit.

If you only use 80 of your 160 points, you always can rent out the points you don't use and cover most of your MF's. My sister does this (except on years when I rent from her at the "family" rate which is slightly above her MF rate).

I plan on buying next year - but I have been debating whether to buy 1/2 the points (around 160 per trip) I need since I go every other year or buying the points I need and rent out what I don't use. 80 point contracts tend to cost more than 160 point contracts, and by renting the points I don't use every other year I could cover most of my MF's provided renting is allowed to continue over the life of the contract and the rental price continues to rise along with MFs.

 

[myxdvz]

I'm 99.99% ready to purchase. Question? Has anybody considered that renting is nearly the same amount as your MF? This only dawned on me when DH and I were looking for the right contract and knowing that we would not get our desired location for April. Renting a studio for 1week AKV is practically the same as MF for 160 point at AKV. So why not rent? I guess only we can determine what works for us (we will pay cash to purchase) but I'm curious your thoughts. I hope I'm not confused or missing something. I'm starting to obsess a bit.

I would like to know where one can rent at just the cost of MF / point. If there was one, I would rent there for my reservations AND give my BLT points to David for him to rent at $13/pt (plus any potential premium)

If special occasions and holidays, I'd like to know where one can get a guaranteed reservation outside of the home booking period. And if you do rent, I'd like to know who will rent to me and agree that I can cancel up to 30 days before my check in, and not lose any points.

 

[TeeterTots]

Thank you all!!! Resale it is!! Just had my first offer accepted!!!! Wish me luck that everything goes smoothly!

 

[jmassey1samchi]

good luck, TeeterTots!

 

[TeeterTots]

Thank you!!

 

[krazy4crusing]

You can rent from TSS for $8 per point but its only for very last minute reservations (points that will expire in a month or so) and there is no guarantee that the resorts will have inventory available for your travel dates. That being said, we have always had good luck with this strategy over the past few years. We have stayed in a studio at Animal Kingdom and Saratoga Springs on $8 rental points.

If you are not picky about resorts and your travel dates are flexible then this is a viable option for you and is only marginally more expensive than the MFs.