Seller paying dues for future year

[Albee]

So we bought an add on resale contract for Aulani. We close in November or end of October. The seller is to pay the dues for 2021. My husband brought up a good point that the dues go up every year. So does anyone know if they add on the standard percentage of the dues increase? I am going to email the brokers tomorrow; But I thought someone may know on the threads.
If they have bought a contract similarly to ours with seller paying future dues. I sure hope they consider the increase. We really don't want to pay for something we don't get to use that year.

 

[SG131]

They pay what the 2020 maintenance fees were, no extra added on. I purposely waited to close on my contract last year until December when they released the amount for the following year dues.

 

[Albee]

You would think the broker would tell you that, wouldn't you? Thanks

 

[sethschroeder]

You would think the broker would tell you that, wouldn't you? Thanks

What they said is incorrect.

If you had future dues paid as a negotiation point it will depend on the broker.

When I had it, it was a slight extra % of I think 4%. Check see and ask for it to be changed if needed.

Some of these brokers say "this is how it works". Ya no that's how you do it but it's not the only way. Like banked points not having the buyer pay, all a negotiating point on total cost.

 

[Deb & Bill]

They won't "pay" the annual fees. They will reduce the money you pay at purchase for you to pay the annual fees. So plan on having that cash on hand in January (or do the monthly deduct from a US bank account).

 

[Great3]

Once the contract closed and transfer to your name, you are 100% responsible for the dues owed DVC when the time comes, whatever they end up being.

If seller is paying future UY dues, than I would ask that current 2020 dues be padded by 5% and credited at closing. If not specify in the contract, most brokers will just use current 2020 dues, and you will end up paying the difference, which the dues go up. If you are within the 10 days cancellation period, I would definitely bring it up back for negotiation while you have a chance to cancel without penalty. If already after the 10 days, just take it as a lesson learn, especially if you got a "good" deal on the contract that you wouldn't want to cancel anyways.

Good Luck working with the broker, hopefully they can help out on this. Your main leverage will be if you can still cancel without penalty. Again, good luck!

Great3

 

[davidl81]

At some point though how much money are we really talking about? A 300 point contract will have $2500 of dues. If they go up 3% next year that is $75. So the OP is buying a 25k-30k contract (depending on points of course) and worried about $75 at closing. I get trying to save every dollar, but I honestly would not worry about something that small.

 

[Sandisw]

At some point though how much money are we really talking about? A 300 point contract will have $2500 of dues. If they go up 3% next year that is $75. So the OP is buying a 25k-30k contract (depending on points of course) and worried about $75 at closing. I get trying to save every dollar, but I honestly would not worry about something that small.

I’m going to add that there is also a chance that we see an offset in 2021 from any savings 2020 produces due to closure.

I agree, I dont think I’d worry about it if I already offered.

 

[Great3]

I’m going to add that there is also a chance that we see an offset in 2021 from any savings 2020 produces due to closure.

I agree, I dont think I’d worry about it if I already offered.

Right, well said. I agree, I would just take it as lesson learned, and just add it to the cost of ownership purchase.

Great3