Resale purchase advice please!

[golant]

Hi all,
First time posting but long time lurking and hopefully learning! At the point of committing to a resale contract and just wondering what people think or any red flags from you experienced resale buyers!
Going through dvcsales site and looking at 150 points dec UY with 150 banked from 2023 so 2024 has 300 points and then 150 going forward.
Buyer pays closing which are listed as $743, is this a negotiable amount or set by contract cost?
The deposit is 10% which is forfeit should we back out after 10 days, dues for 2025 which buyer pays are listed as same for 2024( which seller is paying) but I thought the dues for 2025 aren’t known yet?
I don’t know who they use for title and any advice or does that not matter?
Also doing this from uk.
Thanks in advance wise people!

 

[JackosinDIS]

Hello and welcome!
No particular red flags from what you’ve said.
The closing costs depend on the title company you are using and vary by contract cost. You can pick the closing company so have a look at which are available. Some are better than others. I recommend dvcclosings.com
The dues for 2025 will be know in the next few days, and will be paid direct to Disney on closing (if after 1 December).
Good luck with your offer!

 

[D-Trick]

No red flags, though if this is the listing I think it is, I would definitely negotiate the price down.

 

[golant]

Thanks so much for advice! I’ll have a look at the closing company you suggest.
Yes have thought about negotiating but I’m just not much of a haggler , my loss I know! Otherwise is a perfect loaded contract with the use year we want and maybe will be able to get it through in time to book next summer before 7 month window free for all!

 

[VGCgroupie]

You can use whatever closing company you want, but it’s often just easier to use who they recommend, providing you can verify they are reputable. That’s easy enough to do here.

Yes you will lose deposit if you back out unless the seller fails to perform and that’s why you back out.

 

[disneylandtour]

Hi all,
First time posting but long time lurking and hopefully learning! At the point of committing to a resale contract and just wondering what people think or any red flags from you experienced resale buyers!
Going through dvcsales site and looking at 150 points dec UY with 150 banked from 2023 so 2024 has 300 points and then 150 going forward.
Buyer pays closing which are listed as $743, is this a negotiable amount or set by contract cost?
The deposit is 10% which is forfeit should we back out after 10 days, dues for 2025 which buyer pays are listed as same for 2024( which seller is paying) but I thought the dues for 2025 aren’t known yet?
I don’t know who they use for title and any advice or does that not matter?
Also doing this from uk.
Thanks in advance wise people!

That is on the high end of closing costs. Certain brokers try to "guide" (i.e. force) you into a certain title company. For contracts at 150 points or less, I've found that Mason tends to be the least expensive and also has a generous deposit limits, which allow you to receive hefty CC (or airline mileage) rewards.

 

[MICKIMINI]

If you want the contract and those "free" 2023 and 2024 points, make your best offer ASAP IMO. Mason is great. I've done many closings (buying and selling) with them. Those 2023 points are a true bonus!

In deciding if you want to negotiate, think of it this way. Take the $ amount you want to save on the purchase and divide it by the number of years left on the contract. It may be an eye opener!

Good luck!

 

[VGCgroupie]

Also to add make sure you clarify if closing costs include title insurance or not, often some seem much more expensive but it’s because they are including title insurance and another is not.

 

[golant]

Thanks everyone! All super helpful and knowledgeable as ever. What would us newbies do without the wise old owls of the Dvc world!!

 

[MerlinandtheMouse]

You can kind of negotiate the closing by asking the seller to pay for it or pay for half. Worth a shot if you’re not negotiating on price/pt!

 

[D-Trick]

Yes have thought about negotiating but I’m just not much of a haggler

Neither am I, but you might be surprised. You'll notice the asking prices are all inflated compared to the ROFR threads. A fortnight ago I offered -$20 from asking for a contract, and the sellers countered with -$15. No brainer acceptance!

 

[AstroBlasters]

I will also throw out there that you can get “too cute” on a great contract and lose out to another offer.

So, be mindful of the overall level of inventory based on which resort, contract size, use year, loaded/full/stripped points, delayed closing, etc.

I got a 55 point BW with 23/24/25 points for $135 (full asking) and beat out someone else who bid $134…. they lost a sweetheart contract for $55….

Now if it’s a 150 point or higher SSR or a stripped to the bone Aulani….. green light…. low ball to your hearts content!

 

[Genie+]

Personally I’d try offering $9 less per point as the considerable savings would be worth the slightly higher risk of losing the contract over full price. That’s seems the mid-ground to me, where you’re still very likely to get it. I realize buying from the UK changes some things, but at that pricing I’d also seriously consider Poly2 Direct.

 

[MICKIMINI]

I will also throw out there that you can get “too cute” on a great contract and lose out to another offer.

So, be mindful of the overall level of inventory based on which resort, contract size, use year, loaded/full/stripped points, delayed closing, etc.

I got a 55 point BW with 23/24/25 points for $135 (full asking) and beat out someone else who bid $134…. they lost a sweetheart contract for $55….

Now if it’s a 150 point or higher SSR or a stripped to the bone Aulani….. green light…. low ball to your hearts content!

Great example here!! It's why you need to run the numbers and get the bottom line. Great buy!!

 

[skier_pete]

It's important to remember there's always another contract out there that will work for you, so don't pay significantly more than value and don't be afraid to counter.

On the dues, the 2025 dues won't be the same at 2024 regardless what the post says, it will likely be higher but you will know this soon enough as it usually comes out late November.

 

[GrumpyInPhilly]

I will also throw out there that you can get “too cute” on a great contract and lose out to another offer.

So, be mindful of the overall level of inventory based on which resort, contract size, use year, loaded/full/stripped points, delayed closing, etc.

I got a 55 point BW with 23/24/25 points for $135 (full asking) and beat out someone else who bid $134…. they lost a sweetheart contract for $55….

Now if it’s a 150 point or higher SSR or a stripped to the bone Aulani….. green light…. low ball to your hearts content!

For reference, a year ago, I offered $27 pp below asking on a 200 pt. fully loaded SSR contract and it was accepted.

 

[golant]

Wow, talk about sooo many helpful people, you are all such a fabulous resource and community, makes me want to join you all even more being an owner!
So update, we offered the full price but then got an update to say the sellers had forgotten to bank the unused 2023 points so it’s just full points going forward from this December.
With all the wonderful examples above I’ve now got my big girl negotiating pants on and have gone back with a counter offer given changed circumstances. Fingers crossed for me!

 

[VGCgroupie]

Wow, talk about sooo many helpful people, you are all such a fabulous resource and community, makes me want to join you all even more being an owner!
So update, we offered the full price but then got an update to say the sellers had forgotten to bank the unused 2023 points so it’s just full points going forward from this December.
With all the wonderful examples above I’ve now got my big girl negotiating pants on and have gone back with a counter offer given changed circumstances. Fingers crossed for me!

Id value those points at $15-$20 per point when negotiating.

 

[disneylandtour]

Unless the contract was some amazing deal upfront, I'd start with an offer that was about 15% (maybe a bit more) of asking. Brokers inflate prices because buyers haggle down.