Saratoga springs

[panny2727]

Not everyone may be in this position, but I would argue if you have the cash to pay for DVC, you might be better putting that cash towards your mortgage or investing it, and then borrowing it via a 5 year HEL at 2.49%. That HEL will be tax deductible and you can likely get a better return on your own.

good points chuck %3.24 at 8 years is like 355 a month, 7 years at $399...IF I MAKE 4 ONE TIME PAYMENTS EVERY YEAR OF $3000 DOLLARS IT WILL TAKE ME 57 PAYMENTS TO PAY OFF 30K. at 355 a month for those 57 months...

I'm not dumb enough to foreclose. I would rather pay it off and rent than, go and foreclose on the timeshare and still owe on my house. If I couldn't afford it.. I would sell it. Its not that we are broke... but I am not depletting our savings for a timeshare. a Heloc is flexible so I can pay it in 6 years or 30 years, which ever I choose.. yes more interest but vacations are sure to double or triple in the next 20 years from todays rates...dues go up... I get that ... its the price to pay for deluxe over the value and moderate resorts

 

[chukdotcom]

good points chuck %3.24 at 8 years is like 355 a month, 7 years at $399...IF I MAKE 4 ONE TIME PAYMENTS EVERY YEAR OF $3000 DOLLARS IT WILL TAKE ME 57 PAYMENTS TO PAY OFF 30K. at 355 a month for those 57 months...

If you can do it in 60 months, I highly recommend Penfed. Anyone can join.

https://www.penfed.org/Home-Equity-Loan/?WT.ac=1230

They have fixed HEL for 2.49% up to 60 months.

 

[disneynutz]

I like the variety option.... don't need to be in the same resort so that's why I am choosing SSR. IF you buy 400 points must you sell them at 400 or can you split it up?? assuming I can't by your previous post

What you buy is what you sell, you can't split up a contract.

I know that you don't need to be in the same resort but what happens in a few years when you decide that BWV feels like home, you find yourself wanting to stay there more than other resorts and you can't always get the reservation you want, when you want. You are spending a ton of money to own a contract and even more to vacation at WDW. Not being able to get your favorite resort may be a bummer.

Some people buy a car just to get them to work, for others the model of the car makes a difference and they enjoy their car enough to spend a little more to get what they want.

Bill

 

[chukdotcom]

I like the variety option.... don't need to be in the same resort so that's why I am choosing SSR. IF you buy 400 points must you sell them at 400 or can you split it up?? assuming I can't by your previous post

With that many points, rather that trying to absolutely minimize costs, I would choose to spread it over 2 or 3 different home resorts. You might get 100 BLT and 100 BWV (If those are your top 2), and then 200 SSR. This way you can use the 200 SSR points for the <7 month reservations, and you can use the other ones to book something 11 months out for those times when you want to make sure you get what you want.

 

[panny2727]

What you buy is what you sell, you can't split up a contract.

I know that you don't need to be in the same resort but what happens in a few years when you decide that BWV feels like home, you find yourself wanting to stay there more than other resorts and you can't always get the reservation you want, when you want. You are spending a ton of money to own a contract and even more to vacation at WDW. Not being able to get your favorite resort may be a bummer.

Some people buy a car just to get them to work, for others the model of the car makes a difference and they enjoy their car enough to spend a little more to get what they want.

Bill

thanks I may go the route of 2 160-200 pointers over the next couple years...
we liked AKV....stayed at a couple of the moderates and they were homey enough for me...I probably would go for the lodge but I live in a log cabin already... I think everything else is out of my budget for my vacationing needs IE buying at BLT or VGF or poly for that.. The mid deluxe pricing is attractive to me...trying to buy in the 60-80 pp range for 2054 and above dated resorts, ie AKV..SSR but might go for a real attractive lodge price.. My goal we be to try and get other family members to join us but realize that its a personal family decision and would just hope they would want to join us during a couple weeks of cold winter months

 

[panny2727]

With that many points, rather that trying to absolutely minimize costs, I would choose to spread it over 2 or 3 different home resorts. You might get 100 BLT and 100 BWV (If those are your top 2), and then 200 SSR. This way you can use the 200 SSR points for the <7 month reservations, and you can use the other ones to book something 11 months out for those times when you want to make sure you get what you want.

good plan maybe I go with a 200 pointer for 1/2, 1 or 2 years than add some spots on...meanwhile paying more principal and less interest on the 200 pointer

thanks guys....kids are waking up... gotta go to the library to get out of the house

 

[LisaS]

I like the variety option.... don't need to be in the same resort so that's why I am choosing SSR. IF you buy 400 points must you sell them at 400 or can you split it up?? assuming I can't by your previous post

You cannot split it up. If you purchase a 400-point contract and later want to sell it, it will take much longer to find a buyer. Also, having two 200-pt contracts rather than one 400-point contract allows you to downsize if at some point you find yourself not wanting to go to WDW as often.

I would suggest starting with a smaller contract and take a few trips first. Then add on if you decide DVC is really for you. That also gives you the option to see if you would prefer to add on points at a different resort to get the 11-month booking priority at a second resort.

When booking more than 7 months out only home resort points are accepted for reservations. In other words, if you want to book BLT more than 7 months out you need BLT points. If you own at both SSR and BLT you cannot use your SSR points to book BLT until you are 7 months or less from check-in. But even a small-ish add-on at a second resort can be useful if you bank your points every other year to accumulate enough points to stay there in alternate years.

 

[nalajms]

unfortunately don't have the cash for that but we can afford a monthly payment of say $350 for 8 years without killing our vacation habits

Don't forget annual dues that come along with the contracts. And I total agree with multiple smaller contracts. If you know you'll have income coming, why not consider an interest free CC. There are several offering 18 months no interest. Then you can switch over if you haven't paid it off.

And I would read more about the different resorts and availability before looking at AKV contracts. Looking back, I would not have picked AKV as my first add-on. The high dues and difficulty in getting the value/concierge rooms make it my most "expensive" contract.

 

[chukdotcom]

thanks I may go the route of 2 160-200 pointers over the next couple years...
we liked AKV....stayed at a couple of the moderates and they were homey enough for me...I probably would go for the lodge but I live in a log cabin already... I think everything else is out of my budget for my vacationing needs IE buying at BLT or VGF or poly for that.. The mid deluxe pricing is attractive to me...trying to buy in the 60-80 pp range for 2054 and above dated resorts, ie AKV..SSR but might go for a real attractive lodge price.. My goal we be to try and get other family members to join us but realize that its a personal family decision and would just hope they would want to join us during a couple weeks of cold winter months

You may find that even though you may pay more per point at BLT than AKV, it may actually be cheaper in the long run due to the lower MF. Basically, price per point shouldn't be your primary driver. It can be misleading.

 

[Deb & Bill]

unfortunately don't have the cash for that but we can afford a monthly payment of say $350 for 8 years without killing our vacation habits
don't talk me out of it. lol... I am the stay at home dad till September this year than I can part time work and pay it off extremely fast cause my income will be bonus income or fulltime as super bonus money, but daycare costs etc will climb...

Don't forget about the annual member fees on your points. Maybe about another $200 a month. Then you have to add on park admission and that just went up again.

 

[panny2727]

Don't forget about the annual member fees on your points. Maybe about another $200 a month. Then you have to add on park admission and that just went up again.

I got ya all......... been to Disney about 10 times so I know the ropes..... its not cheap......dues, tickets, meal plan no plan etc.....we stay at the moderates when we go so I figured why not just set up a payment system monthly instead of throwing 6000 down all at once..

18 month zero is a good idea as well, need to have a backup to the zero percent though. I think we'll only qualify for about 15000 on a zero so I will need to throw some on something else for the time being... I have other cards but 12.99 is getting paid off on month by month basis.... ill probably go with a 200-225-300 to start depending on the deal.

Thanks for the looking out all...maybe we can hook up down there when we are DVC owners....dinner with us is fun...along with the 2 and 5 year olds climbing under the table.....

 

[panny2727]

You may find that even though you may pay more per point at BLT than AKV, it may actually be cheaper in the long run due to the lower MF. Basically, price per point shouldn't be your primary driver. It can be misleading.

good point on the AKV/ BLT debate, Saratoga makes the most financial sense for length and purchase price and dues. I am going to start with Saratoga to get a feel of the system...and resort and maybe a few other resorts when there available

 

[disneynutz]

good point on the AKV/ BLT debate, Saratoga makes the most financial sense for length and purchase price and dues. I am going to start with Saratoga to get a feel of the system...and resort and maybe a few other resorts when there available

Many feel that the BLT dues were set incorrectly low by the former DVC president. We have had a couple years of 6% plus increases, the normal rate was around 3%. Who knows where BLT will level out.

Bill

 

[chukdotcom]

good point on the AKV/ BLT debate, Saratoga makes the most financial sense for length and purchase price and dues. I am going to start with Saratoga to get a feel of the system...and resort and maybe a few other resorts when there available

That is what I would do. Buy 160-200 SSR and try as many different resorts possible. Once you find which one(s) you like, get a smaller (100-160) add-on there.

 

[panny2727]

thanks Men,
sounds like a real good plan. better than just grabbing 300-400 at SSR. Now its time to bank the coin pre buy and determine how much I am willing to go with on a first deal.

 

[Dean]

I like the variety option.... don't need to be in the same resort so that's why I am choosing SSR. IF you buy 400 points must you sell them at 400 or can you split it up?? assuming I can't by your previous post

While I agree that those who have their heart set on a given resort most trips or for a specialty room view (like 3 BR) should generally own where they want to stay, I felt that most just want in the system and want to try multiple things over time. In this case buying the least that will give you an 11 month priority for WDW (assuming that's the goal) will almost always be the best option.

unfortunately don't have the cash for that but we can afford a monthly payment of say $350 for 8 years without killing our vacation habits
don't talk me out of it. lol... I am the stay at home dad till September this year than I can part time work and pay it off extremely fast cause my income will be bonus income or fulltime as super bonus money, but daycare costs etc will climb...

You're choice of course but personally I don't think people should borrow money for luxury purchases or timeshares (DVC is both).

Not everyone may be in this position, but I would argue if you have the cash to pay for DVC, you might be better putting that cash towards your mortgage or investing it, and then borrowing it via a 5 year HEL at 2.49%. That HEL will be tax deductible and you can likely get a better return on your own.

It doesn't make sense to pay on one's mortgage then borrow against the home for a timeshare purchase. Unless the mortgage has a significantly lower interest rate you're just moving money around.

good plan maybe I go with a 200 pointer for 1/2, 1 or 2 years than add some spots on...meanwhile paying more principal and less interest on the 200 pointer

thanks guys....kids are waking up... gotta go to the library to get out of the house

IF you decide to buy now I'd definitely agree with going much lower and seeing how it goes while you get your other obligations taken care of.

You may find that even though you may pay more per point at BLT than AKV, it may actually be cheaper in the long run due to the lower MF. Basically, price per point shouldn't be your primary driver. It can be misleading.

For others reading now or in the future, it really depends on the spread of each. IMO those who say dues are the large component and buy in small are incorrect when one considers the time value of money. From what I can see for resale they are roughly the same depending on specifics and for retail, the buy in is generally larger than the dues with appropriate assumptions. For this exact example it may work out to be true related to the size of he dues spread of roughly $1.75. It's certainly not accurate for say BLT vs SSR assuming current market prices of each.

Many feel that the BLT dues were set incorrectly low by the former DVC president. We have had a couple years of 6% plus increases, the normal rate was around 3%. Who knows where BLT will level out.

Bill

Personally I think they were set purposefully low and have risen for that reason and the simple fact that there isn't as much maint for a new resort.

 

[panny2727]

FWIW this topic has gotten way skewed into thinking I was an immature person financing something... BTW I have an 800 credit score and have never missed a payment on anything in my credit report.....I own two nice cars have 140000k in equity in a 350000 home. don't feel like remortgaging the first mortgage because its already at 4% with 20 years left.....I know what I can and cannot afford today.....the wife has an annual salary of 130000k plus bonuses....profit sharing etc.....

need not worry financially about this cat....I am just being Frugal....and am willing to research and wait a little to get the absolute best price.....I started following prices around two months ago and in my research saw prices were 10-15 per point less last april than they are now....More Rofrs but better prices. 15x300 = 4500 dollars up front ... I don't mind saving money on anything

I do realize that the prices may not come down for the next 10-15 years... I may purchase some soon or I may wait out the spring break rush and get prices better in the summer....than again I may get the same price.....

thanks all for there feedback on size of contracts smaller seems better and more adjustable...thanks for financing ideas as well. I like ideas.....

chuck and I are on the same page...pay the banks as little as you can. if you can find a really low interest rate than go for it.. if you can use zero for a little while than why not

 

[Dean]

FWIW this topic has gotten way skewed into thinking I was an immature person financing something... BTW I have an 800 credit score and have never missed a payment on anything in my credit report.....I own two nice cars have 140000k in equity in a 350000 home. don't feel like remortgaging the first mortgage because its already at 4% with 20 years left.....I know what I can and cannot afford today.....the wife has an annual salary of 130000k plus bonuses....profit sharing etc.....

need not worry financially about this cat....I am just being Frugal....and am willing to research and wait a little to get the absolute best price.....I started following prices around two months ago and in my research saw prices were 10-15 per point less last april than they are now....More Rofrs but better prices. 15x300 = 4500 dollars up front ... I don't mind saving money on anything

I do realize that the prices may not come down for the next 10-15 years... I may purchase some soon or I may wait out the spring break rush and get prices better in the summer....than again I may get the same price.....

thanks all for there feedback on size of contracts smaller seems better and more adjustable...thanks for financing ideas as well. I like ideas.....

chuck and I are on the same page...pay the banks as little as you can. if you can find a really low interest rate than go for it.. if you can use zero for a little while than why not

Only you know your situation and can make decisions for yourself. However, IMO, financing a timeshare is a poor choice no matter the financial situation but obviously the risk is more for some than others and it sounds like it's less for you than most. Good luck with your choices.