Resale contracts, UY and annual dues

[holyrita]

I'm looking at Sept UY resale contracts and had a question about annual dues. From what I've found, if a contract has 2020 points the seller expects the buyer to pay the 2020 dues. Dues are tied to the calendar year while points are tied to the UY. So in this example, Jan 1-Dec 31 2020 vs Sep 1 2020-Aug 31 2021, a 4 month overlap.

If I close on a Sept UY contract, it wouldn't likely complete until sometime in July, and a reservation won't likely be made until some time in 2021. If this contract has 0 points for 2019 and some amount of points for 2020, am I wrong in believing the seller should pay 2020 dues? I totally understand I can ask the seller to pay 2020 dues in the offer, but I wanted to see if my thougts/understanding makes sense to anyone else, before I start making offers.

Thanks!

 

[Sandisw]

Resale brokers usually go with the notion that if you are getting points for the UY that matches the calendar year, then buyer pays,

But, as you mention, points are based on calendar year, and when you buy from Disney, you pay by date of purchase, and not based on getting points.

So, if you were buying today from Disney, you would pay 9 months of dues,

Since resale is negotiable, offer what you feel is appropriate,

 

[4luv2cdisney]

Resale brokers usually go with the notion that if you are getting points for the UY that matches the calendar year, then buyer pays,

But, as you mention, points are based on calendar year, and when you buy from Disney, you pay by date of purchase, and not based on getting points.

So, if you were buying today from Disney, you would pay 9 months of dues,

Since resale is negotiable, offer what you feel is appropriate,

Correct.

Remember that buying direct you would get all 2019 and 2020 points.

So, you have to factor that into what you are comfortable paying for the contract.

There's a contract out there right now that is the right size / UY / resort I've been looking for at $45 less per point than direct (small contract). No 2019 or 2020 points. That's crazy. I'd rather buy direct even though I already have a blue card.

 

[D-Trick]

If I close on a Sept UY contract, it wouldn't likely complete until sometime in July, and a reservation won't likely be made until some time in 2021. If this contract has 0 points for 2019 and some amount of points for 2020, am I wrong in believing the seller should pay 2020 dues? I totally understand I can ask the seller to pay 2020 dues in the offer, but I wanted to see if my thougts/understanding makes sense to anyone else, before I start making offers.

You should be paying MFs for only the 2020 points that you receive. You are correct in that the dues are calendar year, not UY. So the current owner has already paid the 2020 dues for the full allotment and should be reimbursed for those points that they do not use and sell to you, unless otherwise agreed.

Though you may not be able to make a reservation until 2021, you're still receiving and using 2020 points, and buying in 2020. What if after you close you book a last minute trip in the Fall of 2020?

 

[AaronEuth]

Given that the Sept 2020 use year points wont even be distributed until after you own the contract, I would expect the buyer to pay 2020 dues (to the seller). Ultimately it comes down to what you offer. You could put in your offer that the seller pays 2020 dues. You could offer to pay the dues, but lower the price per point by that amount (same total). You could do both and do a true lowball. As the buyer, you decide your offer. People have got some great deals low balling the offer.