Resale or Direct from Disney? Help!

[lochbox1]

Hi!

We are interested in purchasing a DVC membership. I am very familiar with how it all works, however, I need advice on pricing.

Saratoga is selling for $89pp with a 50 year lease vs a remaining 38 years for current resorts.

If there are any Saratoga resales within the next 2 years or so, what price can they be expected to sell for? How much were the current resorts when they were sold. I have heard people paying $50 pp and now they are up to $65 for say...OKW.

Is it unheard of paying $58pp for Vero or should I pay more at $65pp for Boardwalk ( I know about Disney buying it if it goes too low and I understand the 11/7 window for ressies). Why is there alot of Vero (pushing the price lower)?

I know I have asked alot but I have so many pricing questions. Thanks for your patience and any answers will do.

 

[tjkraz]

Start by deciding which resort you LIKE the most. The best advice anyone will give you is to buy where you want to stay. As DVC continues to add members, it will only get more and more difficult to book a stay at resorts that are not your home. That's not to say that you CANNOT book a non-home stay, but the easiest resort to book will always be your home.

General comments:

DVC is currently giving $5 off per point at SSR, making the net cost $84 pp.

Nobody know what SSR resales will do. Best guess--mid to upper 70s, plus the buyer usually pays closing costs.

One of the reasons that Vero Beach resales are priced so low are the very high Annual Dues.

OKW was the first DVC property, and I believe points originally sold for under $50 each. As you noted, resales are now going for more than those original prices. I wouldn't count on that scenario playing out again. DVC is NOT an investment. It is a prepaid vacation. Don't buy into DVC now thinking you can get a dozen years of cheap vacations and then sell your points and make a profit on top.

 

[Granny]

lochbox1...don't worry about asking a lot of questions. It's a huge investment, and it's natural to want full knowledge before "taking the leap".

As tjkraz indicated, Vero Beach has a lower resale value because of the higher dues and the non-WDW location. It's a great resort, by all accounts, but it has a lot more competition in the "staying at the beach" timeshare business. The WDW locations, on the other hand, have no competition on-site.

As for the SSR resales, I think they will stay very close (including closing costs) to the SSR selling price from Disney. Disney doesn't want an active resale market undermining its sales of new contracts, so they'll probably keep the ROFR pretty high until it is sold out. My guess is that it will stay a few dollars under whatever price Disney is charging for SSR (which will probably go up in a year or so).

And again, I agree wholeheartedly with the great point made by tjkraz....DVC works much better if thought of as a pre-paid vacation. Or the way I think of it is a way to afford much nicer accommodations than I could ever afford otherwise.

Good luck!

 

[poohnpiglet3]

Good question. How about the increase in per-point charges for SSR?? How often does Disney raise their prices?

DH and I have made the decision to buy in - probably 200 points or a bit more maybe, but financially, it would be better for us to wait a few more months.

Is there a chance that the per-point charge will go up before then?

Thanks!

Sherri

 

[tjkraz]

Originally posted by poohnpiglet3
Good question. How about the increase in per-point charges for SSR?? How often does Disney raise their prices?

Unknown. They are currently offering $5 off per point, but I've seen no concrete info to indicate when this promotion will be removed.

If I remember correctly, base prices were around $74-76 per point back in the fall of 2002. Now the base for SSR is $89.

 

[Cruelladeville]

OKW was offered at $47.50 pp briefly, I think, but was up to $50 when it opened in 91, and was $54.50 by 92-93. Prices seem to go up on a regular basis. I don't think you can get a contract less than about $71 unless the points have been stripped, and Disney regularly exercises their ROFR right around $71, sometimes higher. If you can get BWV or OKW for $65 with current points, and Disney doesn't take it, I want to know about it!

 

[belle3]

We purchased 2 x 150 points at SSR in late October. While mindful of the selling speech...buy for a prepaid vacation and NOT an investment, I did question pricing if I needed to liquidate one of the contracts. I specifically asked what the lowest selling price was at SSR and was told 79.00/point (actually 89.00/point with a 10.00 incentive), and that is what we paid. I understand that the price has remained the same at 89.00/point, but the incentive has been cut to 5.00/point. I can only believe that at some point in time the 89.00 will be the selling price, and this may go higher based on sales, which do seem brisk at the moment. Resales of SSR....I believe there was one a few weeks back at 78.00/point through one of the resale sites. I agree that Disney will most likely keep the pricing up until they sell out SSR.
Good luck with your decision!

 

[poohnpiglet3]

thank you! Maybe I should consider putting that tax refund toward SSR instead of paying off our credit card...

On second thought, it would make for much nicer vacations if we're debt free.

Sherri

 

[Dean]

Don't expect to get DVC for under about $68 per point, some of those are old listings or information. For some resorts, you might not get it through the ROFR at under $72 pp.

I believe the presales at OKW was $48 and the opening price was $51 but that's just from what I've been told as we came a little later than that. I do have a friend who is a charter member and that's her story.