Small contract and points renting

[JPKnapp]

Hi all. So I am thinking of buying in at BLT, but doing so over a period of a couple years by accumulating smaller contracts - exhibiting patience finding the perfect contracts. Because I am living overseas, I know I wont be able to use the points until 2021. Unless I find a stripped contract, I'll want to rent out my points in the meantime. But here's where I start to misunderstand the process.

When I rented points for a week stay through a broker site, the reservation was placed in it's entirety by someone else on my behalf - arranged by the broker. If all I have are 25 or 50 points to rent, that doesn't cover enough for even a couple nights stay at places. So I can't imagine I'd find a market to rent the few points I'd have available if I was on the side of the person making the reservations on someones behalf.

Do people really rent just 25 or 50 points? If so, are they just adding a night or two onto their stay and would I need to book a couple days on their behalf and they have separate reservations? Or do I just need to look for stripped contracts into 2021?

Thanks all.

 

[_auroraborealis_]

Yes, people rent small amounts. Think "night or two before a cruise" and similar.

 

[HickoryDickory]

Absolutely you can rent out small amounts of points, but you'll do better transferring than renting. Then you can transfer the entire small block of points and not have stray points leftover from renting. There's probably also a bigger market of owners who would like to 'top off' their accounts with transfer points than renters looking for a short stay.

 

[Cyberc1978]

If you buy a contract with 50 points you are able to bank and borrow to make an even longer reservation (up to 150 points).

I know that you expect to go in 2021 but after that you can bank and borrow.

 

[JPKnapp]

Absolutely you can rent out small amounts of points, but you'll do better transferring than renting. Then you can transfer the entire small block of points and not have stray points leftover from renting. There's probably also a bigger market of owners who would like to 'top off' their accounts with transfer points than renters looking for a short stay.

Thanks. Do I have this right..? So a transfer would be to someone else, would have to be a member then (?), and they then would use to add to their pile so to make a reservation. Example would be needing 160 points but only having 110, they “buy” the 50 points from me, then they can make a single larger reservation rather than me having to book something for them which may or may not add up to 50 points exactly. Thanks.

 

[CraigInPA]

There is a market for small numbers of points. Keep in mind, however, that most brokers aren't interested in renting less than 75-100 points. So, if you do rent or offer the points for transfer, you're likely doing it on facebook or here on disboards rental section.

 

[RamblinWreck]

I managed to rent out 13 points or something like that. And this was in a matter of hours my first time trying to rent out points.

I think I undercut myself too much, I just didn't want to deal with the hassle.

If you put out some number of points as available for rent, and say that you need to use them all...... SOMEONE will find the right dates that work for it.

 

[Deb & Bill]

Thanks. Do I have this right..? So a transfer would be to someone else, would have to be a member then (?), and they then would use to add to their pile so to make a reservation. Example would be needing 160 points but only having 110, they “buy” the 50 points from me, then they can make a single larger reservation rather than me having to book something for them which may or may not add up to 50 points exactly. Thanks.

Basically, yes. You can only do one transfer in or out each year. So if you have 50 points and someone only wants 40, you'd either have to turn them down or transfer them 40 leaving you with 10 to bank and maybe or maybe not using the next year. You cannot transfer banked or borrowed points. You can bank transferred points, but not borrow them. Transferred points maintain their UY and resort.

 

[Jenniebee]

Consider carefully the use years you buy and when you will actually be able to use points for the stay you are anticipating in 2021. It sounds like far away but in DVC time it's not that far if you do not even own a contract yet.

For example when in 2021 do you plan to go? Early in the year or later? Say you get a December use year, it is possible that you may not find a contract at this point with 2019 points, and will only have points allocated in Dec of 2020, 11 months from now. Just food for thought...

 

[montreid]

Considering buying a larger contract and renting some vs smaller contract and borrowing on larger vacation years. How do we know the actual demand of resorts for renting? I tried looking at Dave's but it requires ownership to get onto the request lists.

 

[Cyberc1978]

Considering buying a larger contract and renting some vs smaller contract and borrowing on larger vacation years. How do we know the actual demand of resorts for renting? I tried looking at Dave's but it requires ownership to get onto the request lists.

If you look at the booking predictions from @skier_pete then you can see which resorts book up the fastest and also when they do.

It sounds like you are thinking about purchasing a contract at a resort with more demand than others just to rent out? - if so I would recommend against that. You should rather purchase at a resort that you want to stay at. If that resort then have a high demand then great but dont buy just because of the demand.

 

[montreid]

Thanks for the reference. He does a great job on the predictions and appreciate his efforts on this. -- Aulani is our goal.
Plan to go consistently, but will want to have flexibility and economy of scale if the opportunity affords it. So wondering what is the transfer/renting demand for Aulani and the ease of doing that on a 200+ point contract. We'll use 160-200 points relatively easy for the timing and frequency. I'm just looking at a few 400 point contracts that are a bit lower due to their size and ability to float additional points out while anticipating expanding of our use over coming years and the tendency of folk all reporting point creep on lifestyle adoption of DVC

 

[CraigInPA]

Be aware that Aulani's dues being on the high side may significantly lower any potential profit you may believe you would gain by buying twice as many points as you need, with the goal of renting them out.

 

[montreid]

True---but this is a subsidized one

 

[Pek Chee Kian]

I am an international owner with 50 points of VGC. I bank and borrow my points to make a longer reservation to stay a week in the studio every 3 years. It doesn’t make sense for me to travel that far just to stay 2-3 days and have to move again.