Resale v Direct : First DVC Contract

[BWV Dreamin]

I wouldn't buy stripped resale. I'd buy loaded. The loaded points (usually) come without dues, so they flip the math. On the resale market, they have never gotten what the points would have cost to rent. On a contract of this size, this is a four figure discussion. Maybe this requires waiting and watching, but it sounds like you aren't in a hurry.

I think AKL is currently overpriced for what it is, but if you love AKL, then of course go for it! If availability post-2042 matters to you, then resort choice is especially important. If that's AKL for you, then do it! It's not far off the best value math.

https://www.dvcresalemarket.com/blog/best-economical-dvc-resorts-to-purchase-spring-2021/

Only problem with buying loaded contracts is the availability to use those loaded points. I would buy stripped but go low on that offer. IMO it’s not worth the extra money purchasing banked points.

 

[BWV Dreamin]

To elaborate on this: the market seems to under-value loaded contracts, but over-value stripped ones.

Absolutely! Plus you have the brokers as an additional obstacle in pricing the stripped contracts.

 

[Katie2]

At the moment, the DVC resale market is the hottest it has ever been. As a result, the price differential between direct and resale is just about as small as it has ever been.

This is a seller's market, meaning it's a terrible time to buy resale.

Based on the numbers you quote, you're talking about only a 20% savings (i.e. 180 points is 20% more than 150 points).

If you buy direct and pick the correct Use Year, you will get 2 years of points (2020 and 2021). The 2020 points will be free. The 2021 points will cost you only what's left in the current year. This means that if you close on June 30, you'll only pay half price for your 2021 points.

If you want to, you can then rent out your 2020 and 2021 points. As a result, the net cost of the direct contract will be close to the cost of the resale contract.

Seriously, with today's resale prices being so close to direct prices, very few should be buying resale.

Don't buy the stripped 180-point AKV resale contract.

Buy a fully loaded 150-point AKV direct contract and rent the 2020 and 2021 points to someone else.

When you net everything out, these probably will cost similar amounts.

Thank you! This is very helpful. What use years would entitle me to 2020 points?

 

[Nabas]

Thank you! This is very helpful. What use years would entitle me to 2020 points?

We are in the month of June.

If you bought (for example) an April Use Year, it’s my understanding that you only get 2021 points.

But if you (for example) buy a December Use Year, you get 2020 and 2021 points.

 

[KAT4DISNEY]

Thank you! This is very helpful. What use years would entitle me to 2020 points?

DVC sells contracts with current points. Since we are in 2021 it means that June and earlier are in their 2021 UY and anything later is still in their 2020 UY. You pay dues on the calendar year so the pro-rated amount you are charged is identical no matter what the UY is.

 

[Katie2]

Thanks all! After taking all your comments and tips into consideration, we went ahead and purchased a direct contract. Figure it’s our first foray into DVC might as well get all the perks to membership. If we want to add on we can also go to resale. Thanks for all the help!

 

[jimmymc]

I bought resale because the direct benefits are not worth it for me. You already get the Florida pass, and if I want to stay at Riviera then I'll just rent/trade points.

I might buy direct at the new Disneyland DVC tower, just because I see the resale price of those skyrocketing.

 

[Katie2]

I bought resale because the direct benefits are not worth it for me. You already get the Florida pass, and if I want to stay at Riviera then I'll just rent/trade points.

I might buy direct at the new Disneyland DVC tower, just because I see the resale price of those skyrocketing.

Makes sense. For us, we enjoy the option to engage in member activities such as mixology classes, etc. I remember renting points to go to Aulani and it was a pain if you didn’t have the Blue Card. We just didn’t want to deal with the hassle of being a “second class” citizen after paying so much for the interest.

 

[jimmymc]

Makes sense. For us, we enjoy the option to engage in member activities such as mixology classes, etc. I remember renting points to go to Aulani and it was a pain if you didn’t have the Blue Card. We just didn’t want to deal with the hassle of being a “second class” citizen after paying so much for the interest.

Are there daily activities for only members? I know about things like the parties and special dinner events, and I don't live near Florida so I normally don't plan around last minute things like that.

 

[Katie2]

Are there daily activities for only members? I know about things like the parties and special dinner events, and I don't live near Florida so I normally don't plan around last minute things like that.

Not sure about offerings in Florida, but when we went to Aulani in 2019 they had mixology classes, a macaroon class, and then the whole wrist band and parking debacle. Honestly, just didn’t want to deal with the headache for the next 36 years (we bought AKL). All it takes is one misunderstanding with a misinformed cm to ruin a vacation. I caved because of that, and the fact that the contract we had was stripped till 2022. Doesn’t make sense when I got a promotion deal with direct, and full points from 2020.

 

[Where'sPiglet?]

Thanks all! After taking all your comments and tips into consideration, we went ahead and purchased a direct contract. Figure it’s our first foray into DVC might as well get all the perks to membership. If we want to add on we can also go to resale. Thanks for all the help!

Did you buy at AKL?

 

[Katie2]

Did you buy at AKL?

Yes. We did.

 

[Where'sPiglet?]

Yes. We did.

I think we posted at the same time just before this. I see your post now where you mentioned it.

Congratulations!