Several newbie questions

[DrChuck23]

I'm sure this gets old, and I've got a lot of answers by searching already, but admittedly there's so many posts here that the "search" feature seems impractical. Perhaps a "FAQ sticky" to answer the usual questions could be developed?
Things I haven't found good answers for yet:
1) a DVC interest can be willed, kids can be added at 18yo and interests can be resold as long as the price is essentially fixed by Disney; my question is, can an interest be given away to a non-family member (ie not just add someone, but add them and remove my name)?
2) annual dues appear to be based upon "maintenance costs" of each person's main resort; is this truly the case, or will dues increase as hotel rental rates go up (even if true maintenance costs remain flat)?
3) can points be used to purchase other things like park tickets?
4) how far out does a ressie have to be canceled in order to preserve all of the points? is it the same time period as if paying cash/credit card?
5) can one make a usual ressie (with credit card) then later decide to apply points instead? any penalty?
6) if I buy 2 contracts (say 100pts each) with the same UY month, they're linked, etc but they're at different resorts, can I schedule 11mths out at either place with the full 200pts or just 100pts? if only 100, can I purchase additional nights with cash then apply my other 100pts at the 7mth mark? (in other words, how can I maximize the benefit of having contracts at multiple resort locations as far as scheduling at 11mths?)
7) any problems with reserving at the home base at 11mths out, then calling at 7mths to change to another resort (if available obviously)
8) is there any perk to buying into DVC by attending a formal presentation (while on a WDW vacation) versus just calling them up on the phone now?
9) I have a DCL trip scheduled in January. If I buy into DVC now, can I apply my points to this trip?
10) Is there still a discount for having a DVC member refer you (I think I read 15%)? If so, how long do you think this will last and does anyone want to refer me?
11) I'm sure the price fixing that is going on with resales (through DVC's ROFR) is legal, but I'm wondering if in past years this has ever even been questioned/challenged? My concern is that right now, people are able to sell their interests (that they might have enjoyed for the past 10 years) for essentially more than what they paid. As 2042 approaches, the ability to do this will obviously plummet. This means that those of us who are purchasing resales (or new) now will essentially realize the total devaluation of these interests. It bothers me that resales cannot be better "prorated" and that the resale market is essentially non-competetive except for # of pts and UY month (both of which are fixed variables). Anyone know the history as to any legal challenges?

Thanks for your time and assistance

 

[Chuck S]

1)DVC ownership ca be gifted to anyone you wish. In all cases, you must contact Disney to waive their right of first refusal.

2)Legally, dues are based upon actual costs of running the resort, a management fee by Disney, a capital reserve fund for scheduled maitenance, rtc. They may not be based on the current rental rates of comparable resorts. But expect actual operatioal costs to climb because of increases in salaries, benefits, utilities, insurance, etc.

3)No, points can currently only be used to reserve accomodations.

4)Point reservations cancelled at least 31 days prior to scheduled check-in return to normal status within the current use year. Ressies canceled 1 to 30 days prior to arrival go into a "olding status" ad can only be used for reservations mafde within a 60 day window. Holding points can not be banked. Same day cancellatins are lost, the entire amount of points used by the reservation are considered spent n the first day of the reservation.

5)No, Disney cash reservations and point reservatoins are from two seperate room inventories. If there is availability in DVC inventory, you can make a new ressie with points and cancel the cash ressie with Disney, but availability can not be assumes and ressies can not actually be transferred from a Disney cash ressie to point ressie.

6)No, the 11 month priority is for the actual points owned at each resort.

7)If available, there is no problem in doing so. Availability varies greatly depending upon season and the desired resort.

8)Not really, but it is nice to meet your guide, go through the entire presentations, ad have your questions answered in person. But, buying mail is the same as buying buying in person as far as perks, etc. It simply saves the hassle of finding a notary, etc.

9)It depends on availability.

10)No, that promotion ended.

11)It is perfectly legal for Disney to exercise ROFR, it is contained in many non-Disney real estate contracts. Speaking of plummeting, have you looked at the resale prices of other timeshares vs. the DVC new purchase to resale ratio? Most other timeshare are lucky to get 30% of the original price immediately after the original purchase is completed. The rare exceptions seem to be the higher end (Marriott, Hilton, etc) companies, but even they lose resale value.

 

[DrChuck23]

11)It is perfectly legal for Disney to exercise ROFR, it is contained in many non-Disney real estate contracts. Speaking of plummeting, have you looked at the resale prices of other timeshares vs. the DVC new purchase to resale ratio? Most other timeshare are lucky to get 30% of the original price immediately after the original purchase is completed. The rare exceptions seem to be the higher end (Marriott, Hilton, etc) companies, but even they lose resale value.

Thanks for all your help. As for the resale issue, I'm not looking to preserve my value, just annoyed that I can't find one of those 30% (or even 75%) deals through DVC members now.
It seems though that if you can "give" your interest away (by changing the name), as you suggested by answering my first question, that there could be a whole black market out there of people willing to do "fire sales" of say $50/pt if they need to sell in a hurry. Each party would just have to be willing to lie to Disney (I'm not condoning this of course, just pointing it out).
Thanks again

 

[Chuck S]

Thanks for all your help. As for the resale issue, I'm not looking to preserve my value, just annoyed that I can't find one of those 30% (or even 75%) deals through DVC members now.
It seems though that if you can "give" your interest away (by changing the name), as you suggested by answering my first question, that there could be a whole black market out there of people willing to do "fire sales" of say $50/pt if they need to sell in a hurry. Each party would just have to be willing to lie to Disney (I'm not condoning this of course, just pointing it out).
Thanks again

There is no advantage to doing so for the seller. Anyone currently selling would get more than $50 per point going through the standard resale process. In the future, if resale market values go below $50, then there would be no advantage to the buyer to pay more than current market value.

 

[*elaine*]

If someone needed money in a hurry, they could rent their points.

I, too, see no reason why someone would want to sell their points for $50 per point when they are pretty much guaranteed at least $75 per point, depending on the resort.

I'm sorry that you aren't finding the "deal" that you want, but, if you decide to buy, as an owner, you might find that you gain a new appreciation of the process.

 

[CarolMN]

Thanks for all your help. As for the resale issue, I'm not looking to preserve my value, just annoyed that I can't find one of those 30% (or even 75%) deals through DVC members now.
It seems though that if you can "give" your interest away (by changing the name), as you suggested by answering my first question, that there could be a whole black market out there of people willing to do "fire sales" of say $50/pt if they need to sell in a hurry. Each party would just have to be willing to lie to Disney (I'm not condoning this of course, just pointing it out).
Thanks again

Members can't just "give" a contract to someone else. They must go through Disney's ROFR. Unless there are very special circumstances, Disney will exercise its ROFR and not provide a waiver. Members cannot change or add names to a contract without a ROFR waiver. Special circumstances will include things like the owner died and transferred his/her interest via will, or an owner established a living trust for himself and wants to transfer the contract to the trust.

It's very unikely that Disney will allow a member to just "give" a contract away. Instead, it will just substitute itself for the recipient and take the contract via ROFR. JMHO, but I think it would even be hard to lie sucessfully and get through this process - and if someone did and got caught, he/she would be subject to criminal charges.

Best wishes -