Right of First Refusal on VWL

[jcf]

What price does Disney usually buy back? <$75??

 

[twinklebug]

It'll depend on the number of points (more pts can go for less) and DVC's demand for resales with the use year/pts that you're looking at. There's an ROFR thread here somewhere to give you an idea of what's passing and what's being ROFR'd ... let me see if I can find it...

Edit JaxFLBear beat me to it! Thanks

 

[JaxFLBear]

Check out this thread:
Anyone made it through (or not made it through) ROFR recently? - Section III

 

[lapeter]

I just recently found out that the size of the contract does NOT make a difference in regards to ROFR. Disney will take let's say a 500 pt. contract and split it up as needed. The only difference a large contract makes is in regards to what the seller will get for it. Larger contracts are selling for less but ROFR is the same.

It'll depend on the number of points (more pts can go for less) and DVC's demand for resales with the use year/pts that you're looking at. There's an ROFR thread here somewhere to give you an idea of what's passing and what's being ROFR'd ... let me see if I can find it...

Edit JaxFLBear beat me to it! Thanks

 

[twinklebug]

I just recently found out that the size of the contract does NOT make a difference in regards to ROFR. Disney will take let's say a 500 pt. contract and split it up as needed. The only difference a large contract makes is in regards to what the seller will get for it. Larger contracts are selling for less but ROFR is the same.

Can they really do that? I was under the impression that contracts are legal units registered with the state of FL. To break one up they'd have to destroy the first unit (such as unit 44B ) and re-register new smaller point contracts ...

Someone clarify for me if possible I'd love to know more.

 

[DebbieB]

I just recently found out that the size of the contract does NOT make a difference in regards to ROFR. Disney will take let's say a 500 pt. contract and split it up as needed. The only difference a large contract makes is in regards to what the seller will get for it. Larger contracts are selling for less but ROFR is the same.

I think DVC is more likely to ROFR a small contract for a new member. Their costs to service that member with a low number of points is the same as a member with a large number of points. They would rather have a member with 150 points than 3 members with 50.

Can they really do that? I was under the impression that contracts are legal units registered with the state of FL. To break one up they'd have to destroy the first unit (such as unit 44B ) and re-register new smaller point contracts ...

Someone clarify for me if possible I'd love to know more.

As far as I know, DVC can do it. The contracts are percentages of a unit. So if someone is selling 5% of unit 44B, they can break it up into 5 contracts of 1%. The unit itself is the same.

 

[twinklebug]

I think DVC is more likely to ROFR a small contract for a new member. Their costs to service that member with a low number of points is the same as a member with a large number of points. They would rather have a member with 150 points than 3 members with 50.



As far as I know, DVC can do it. The contracts are percentages of a unit. So if someone is selling 5% of unit 44B, they can break it up into 5 contracts of 1%. The unit itself is the same.

Ah, you're right...

So it would make more sense for them to ROFR the larger contracts at the lower asking price, split them up and make $$ off them, and allow the 100 or so pt contracts to slip by. Hm... a resale 100 pt contract sounds pretty good about now... If I had the cash