Smaller (add-on) contract for a local resident?

[JohnK]

As someone local to Disney World, I am interested in DVC membership, but 150 or more points is much more than I would desire. While speaking several weeks ago with a DVC representative at Epcot, I inquired about the likelihood of DVC membership ever requiring a number of points smaller than 150 for the initial purchase. The representative mentioned that a used add-on contract can be purchased, separately from any other contract, and that having such a contract would, in effect, give me the "mini-DVC" membership I am looking for.

My questions are:

First of all, is this true? (This appears consistent with my knowledge of DVC.)

What is the minimum number of points that would be available in an add-on contract?

Because of the lower cost, are these more difficult to find on the market?

Thanks,

John

 

[RobDoc]

The smallest contract is 25 points and would have been made originally as an add-on to a main contract most likely. These small add-ons are typically higher in cost because they are less available and because the closing costs still apply- which will add expense compared to a direct purchase.

A purchase directly thru DVC will have a 150 point minimum. DVC will still have right-of-refusal on a small add-on and could block a minimal sale by purchasing it themselves.

There is no provision which would prevent a member from offering a small add-on to a non-member.

You might call one of the resale brokers and have your name added to a contact list if one of these small contracts should become available.

<a href="http://www.dvc-resales.com">The Timeshare Store</a> is the sponsor of this board and has assisted many members with such a purchase. Another broker is <a href="http://www.atimeshare.com">A Timeshare Broker</a> , who has also helped many on this forum.

Good Luck!

 

[JohnK]

Doc,

Thanks for the reply. Just one question, just to make sure I am understanding properly what you have said--does Disney have right-of-first-refusal on any resale, regardless of circumstance? My recollection from a couple of years ago is that they do, which would make the purchase of a small contract potentially an exercise in frustration.

Thanks,

John

 

[EROS]

John, you're correct. There is a DVC board which reviews ALL resales. I suspect that it insures that add-ons are purchased by existing DVC members, but I'm not sure. Certainly, one of the excellent resale brokers could share their experience with you regarding this issue.

I'm not sure that smaller point packages would meet your needs for week-long vacations, but they certainly could provide enough points for a few days/year. Why not just use the Rent board if your needs for now involve only a few points????

Doc's statement about cost is an important one. If closing costs are around $500 per resale, then they add $10/pt on a 50 point add-on. For that reason, we have always done our add-ons via Disney in spite of previously purchasing two BWV resales.

Good Luck,

 

[RobDoc]

Yes, Disney will review every resale offer before it may be closed and can exercise their RoR option at their discretion. This does not preclude a successful purchase by a non-member however.

Disney does not disclose at what level they will exercise their right, but at some $$ point, I expect, would allow the sale of a minimal purchase. Reportedly they are not allowing sales below $58 per point, but that is the rumored level only.

I would expect that the resale brokers can provide an accurate idea of what to expect and the likelyhood of any frustration from Disney.

Good Luck!

 

[Dean]

There is high likelihood that DVC will block the sale in this situation but I know of at least 2 they have let go. A smaller contract is more expensive per point. A 50 points resale at OKW will end up being around $69-74 per point because the closing costs will still be around $450. There are not many small packages available and they tend to be high. Few people sell separately because when selling, you must pay the minimul sales commission, usually around $1500 or so. A 50 points contract selling for $65 per point doesn't leave that much for the seller after the commission.

One other issue is why you want the small contract. Owning doesn't give you access to the facilities when you're not staying there, at least not at DVC. I know people who have bought a timeshare so they can use the facilities like a country club and DVC will not work that way. If you truly need that few points, you might consider buying a larger contract and renting the unused points. Or maybe just rent from a member.