Resale Questions - Add-ons, Waitlist, etc.

[DVCinderella]

My DH and I became DVC members in March 2001. At that time, our sales rep informed us that the only DVC resort available at WDW was the VWL (OKW and BWV were sold out). We love the BW, and we were disappointed that we could not purchase there, but we still wanted to join the DVC, so we purchased 300 points at VWL. Our sales rep never mentioned the option of a BWV resale.

After reading about the scramble for December reservations, I am concerned about getting BWV reservations during busy times (since VWL is our home resort).

1) Could we have made our initial purchase at BWV through a DVC resale (even if there was a waitlist), or are resales only available through outside brokers?
2) Are resales purchased directly from DVC only available as add-ons, not “new member” purchases?
3) For those of you who have purchased a resale through DVC, how long was the waitlist?
4) Is there a point minimum/maximum for resales purchased directly from DVC? I assume the more points you wish to purchase, the longer your wait could be.
5) What does DVC charge for resale points? Is it the going rate of points (currently $75)?

I am thinking of doing an add-on at BWV, so that we have home resort booking advantage for at least some of our points. Is it ludicrous for me to consider purchasing 300 points at BWV through a resale, and selling my 300 points at VWL, just to get home resort advantage at BWV?

I wish I knew about the Dis Boards a year ago…I would have been armed with more information and questions during our DVC purchase. Everyone is so helpful!

 

[drusba]

There are no real resales through DVC. All of them are in the resale market either through brokers or sellers without brokers.

Moreover, there are no points available now for OKW or BWV through DVC. Here is what will happen sometimes: Disney will excercise its right of first refusal on a resale that is being sold in the market and get some points back that way or a member defaults on a loan and the points end up back with Disney. That means Disney will have some points which it can sell at the regular Disney price as add-ons. That does not occur either often or for many points and it is highly unlikely you will be able to get any more than a low point add-on that way over a period of several years. Those type of points when sold go to members as add ons rather than to new purchasers.

You could purchase a 300 point (or close to it) contract for BWV in the resale market at a price less than Disney's and sell your VWL contract. However, you are looking at possibly losing a substantial amount of money. As the seller of the VWL interest you will incur a broker's fee (usually a minimum of $1,000 if you use a broker) and all the usual costs associated with selling a piece of real estate (taxes, lawyer and title insurance/closing company charges particularly if you decide to go without a broker whose fee often includes some of those services)

 

[newt1912]

Originally posted by DVCinderella
We love the BW, and we were disappointed that we could not purchase there, but we still wanted to join the DVC, so we purchased 300 points at VWL. Our sales rep never mentioned the option of a BWV resale.
After reading about the scramble for December reservations, I am concerned about getting BWV reservations during busy times (since VWL is our home resort).

I wish I knew about the Dis Boards a year ago…I would have been armed with more information and questions during our DVC purchase. Everyone is so helpful!

I believe I feel like you do, DVCinderella. I, too, wish I had known about these DisBoards prior to buying into DVC. Had I known about resales I might have purchased a resale at BWV instead of new at VWL because I know I prefer the location of BWV over VWL. But, I did understand about the 11 month, 7 month system and did buy VWL knowing that I could also be happy if VWL was what I had to take for a reservation. But, I love the BW location so much!!!!

But, after reading these boards for the past month, I have been wondering. What if there is someone with 200 points who would actually prefer to be an owner at VWL instead of BWV? I might "trade" if not too costly. Could 2 owners do an even official trade/sale with no monies for the points involved? Would Disney handle a transaction such as this? Would it be costly to both parties to handle the paperwork/legal work? Wouldn't it be nice if such an even trade could be done? Any thoughts.

 

[vacationman]

Another option would be to hook up with a BW owner who would like to stay at VWL and swap reservations. With the points being the same at both resorts, the only variable would be the season. Once I bought points, Iwas suprised to find out how many of my neighbors were DVC owners. This has led to some great swap situations. Once both owners have made reservations for the other's requested stay, we both get on the phone with member service and have the names changed on both reservations at the same time.

 

[drusba]

As to the suggestion above of having two owners basically switch ownerships, Disney will not aid in that transaction and since the contract would be a like-kind trade of properties rather than a sale, Disney would have no right of first refusal to excercise. Thus, it could be done.

HOWEVER...

It is still a real estate transaction; thus it will still require all the usual contract and closing transactions so deeds can be switched and recorded. In other words, each party would be facing closing and related costs (including probably hiring a lawyer). Also, if both have mortgages, the entire loan will likely have to be paid off at time of closing and new loans taken out and thus you have additional costs for those transactions. In other words each party would likely be facing costs of $500 to $900 to get the deal done.

Finding another owner to do swaps with is another option. However, you may find that many BWV owners are like us and have no real desire to stay at the other WDW DVC resorts.

 

[CRobin]

DVCCinderella - I would offer the following..

Drusba's points are well qualified. You can "take a bath" on commissions for selling your current contract to get one @ a preferred home resort.

IMHO, the advise of "buy where you want to stay" gets a little too much air time on this board, for the following reasons (and I'm not trying to start a debate):

My experience has been that the 7 vs. 11 month window is not a significant factor if you are flexible in your dates, if you are not hung up on a specific resort, and if you don't vacation to the resorts at "DVC prime time". Point in fact, I have made 8 ressies for DW and I as well as relatives in the past 18 months, all within the 7 month window. Yes, one time the IL's had to spend one night at ASM (where they had vacationed for several years), and once I had to waitlist.

I own at OKW and BWV. Would I stay @ VWL if the two were not available? Absolutely! Others may not, because they hate trees, or could not, given their schedules.

Bottom line, don't bag your ownership interest in a specific resort in favor of another until you deem it just doesn't work out for you, and don't forego buying at resort "A" unless all of the circumstances surrounding your future vacations would make that decision unwise.

 

[Dean]

You must redo the deeds for both accounts. I'm sure the Disney resale committee would still need to sign off but as noted, they should not have a problem. You could get the costs down to around $300-400 total without title insurance by getting someone like Prodox to do the deeds and both closings and recordings. If you much prefer a different resort than you own, it's worth a consideration. The other problem is adjusting for differences in available points as well as adjusting for minor differences in points package sizes.