Resale after March 20th or buy from Disney?

[Joolish1313]

Hi! My DH and I have talked about this for about a year. We know how many points we want and where. But the announcement about resales getting less benefits than if you buy through Disney has us thinking. We shouldn't purcahse it before 3/20, so I'd like to get your thoughts bout what we can do.

On one hand, I'm ok buying resale after 3/20. I'm not convinced we'd use it for a cruise, the Adventures by Disney or the other perks that are leaving. (We've booked a few cross-country, local and international trips so we'd probably use RCI for those.) If we wait until after 3/20, the prices could drop since less people would want to buy.

On the other hand, would we be better off paying the extra money to buy from Disney directly so we'd have those perks. Since we want VWL, I'm guessing Disney wouldn't have it to sell (unless we're really lucky), so we'd have to pick another home resort. And, from the other thread I read here, someone posted that if you buy thru Disney & have your loan through them, then it doesn't get reported on your credit. I'm not sure if this is true or not but it is interesting since we're in the market for a house in a year or 2.

What are your thoughts? Are there things I didn't think of? Any help would be appreciated. Thanks!

 

[ELKHUNTER]

If your are in the market for a house and want to keep it off of your credit report, then i would buy through Disney. The price will be twice as much but you will get more benefits and it will not ruin your chance for a home loan. JMHO

 

[Joolish1313]

I agree. It seems "too good to be true" that Disney doesn't report to any agencies. Can anyone confirm that?

 

[Sandisw]

Disney loans do not show up on your credit report. They choose not to report it.

As far as what to do, here is my take on it. What they are currently eliminating from resales is something that could, at some point, be taken away from all owners.

The difference in VWL (which you can get through Disney, but at full price--they offer no incentives) is around $30/ppt. Not sure that is worth it for something you may or may not use.

Remember, you can always add on down the road through Disney. Maybe start with a bit less in points via resale now and if you want points that come with the benefits, add on through them.

Again, it is going to cost you more to buy VWL through Disney than resale, but starting small saves you some upfront but still gives you the option to add through Disney if you are missing those perks.

 

[sscriver]

I'm a Disney Vacation Club member who purchased through a resale about 8 years ago. Can you tell me more about the announcement about resales getting less benefits than if you buy through Disney. Do you know if this affects previous buyers like myself too? What is "VWL" from Joolish1313's post. Thanks for any info. I just joined the site.

 

[Sammie]

I'm a Disney Vacation Club member who purchased through a resale about 8 years ago. Can you tell me more about the announcement about resales getting less benefits than if you buy through Disney. Do you know if this affects previous buyers like myself too? What is "VWL" from Joolish1313's post. Thanks for any info. I just joined the site.

VWL is Villas at Wilderness Lodge.

here is the discussion about resale versus direct buy.

http://www.disboards.com/showthread.php?t=2636666

 

[hsattler]

We bought a 100 points from Disney at VWL last year. They might have resale for VWL.

 

[chalee94]

The difference in VWL (which you can get through Disney, but at full price--they offer no incentives) is around $30/ppt. Not sure that is worth it for something you may or may not use.

i agree.

and i would add that whether you use the perk or not, if/when you go to sell it, you will be getting exactly the same price as the guy who paid $30+ per pt less on his resale contract.

 

[PirateMel]

We bought a 100 points from Disney at VWL last year. They might have resale for VWL.

Did you ask you DVC advisor?
We ar looking at adding on at VWL and though we could only buy through resale.
Ty
Melanie

 

[JimMIA]

I don't think resale vs. direct is the question you need to answer.

I think the first question you need to settle is which is your main priority -- buying a house, or buying DVC? If buying a house is your most important priority, I'd delay DVC until you have the house and are settled in a bit with the new financial burden of the house.

I think that's particularly important if you need to finance DVC. Whether your loan is reported to credit reporting agencies is the least of your problems -- the real problem is that you have to pay the loan, and the annual dues for DVC, and that is going to adversely affect your ability to afford to purchase a home.

There are lots of alternatives to owning DVC, especially for the short term (2-3 years). There are many offsite accommodations that are far less expensive; you can rent DVC reservations from owners; you can even pay cash scared1 for lodging directly from Disney, and tailor where you stay (value, mod, deluxe, DVC) to your budget for that vacation.

 

[Bangerang]

The common advice for most questions like this is "buy where you want to stay". After last weeks announcement it is even more true. If you are willing to wade through the 38+ pages in the thread Sammie posted, the common message is the only guarantee you have is to be able to stay at your home resort. And that is regardless of whether you bought direct or resale. Everything else is a perk that can be taken away.

As for showing up on your credit, most mortgage lenders way over estimate how much debt to income a person can carry and still qualify for a loan. This is part of what has lead to our current lending fiasco. If a DVC loan will throw you over the edge for a mortgage loan you may want to reconsider a purchase right now. Disney isn't going anywhere.

 

[Brian Noble]

If buying a house is your most important priority, I'd delay DVC until you have the house and are settled in a bit with the new financial burden of the house.

This is a good point. There are a lot of non-obvious costs that crop up once you are a homeowner: new paint here, repairing the sink there, etc. etc.

However, after that, I would not think twice about going resale. The "options" that will no longer be available to the resale buyer are poor uses of points. There may be other differences down the road, but I'm not very good at predicting the future, so I wouldn't personally worry about it.