So many huge contracts for sale

[DoubleBaconBLT]

Like any normal addonitis victim, I like browsing DVC listings just to numb the itch. In the last month, I've noticed a massive surge in listings that are 300+ points. It used to be rare to see contracts over about 300, but DVC for less currently has 36 listings with 400 points or higher. I guess this is due to commercial owners who have rented points out for years who are looking to unload now with the crack down on commercial renting.

Has anyone heard anything about actual enforcement since that big announcement a few weeks ago? Do you think there would be a large enough "fire sale" to make it worth unloading my smaller contract to try to snag a bigger one at a much lower price per point?

 

[SteveAZee]

Like any normal addonitis victim, I like browsing DVC listings just to numb the itch. In the last month, I've noticed a massive surge in listings that are 300+ points. It used to be rare to see contracts over about 300, but DVC for less currently has 36 listings with 400 points or higher. I guess this is due to commercial owners who have rented points out for years who are looking to unload now with the crack down on commercial renting.

Has anyone heard anything about actual enforcement since that big announcement a few weeks ago? Do you think there would be a large enough "fire sale" to make it worth unloading my smaller contract to try to snag a bigger one at a much lower price per point?

That's an interesting possibility, the reason there's flood of large contracts.

 

[sticker231]

I don't think this is really out of the ordinary. I haven't verified it , but 36 out of over 900 isn't really that mind blowing personally.

 

[Chili327]

I don't think this is really out of the ordinary. I haven't verified it , but 36 out of over 900 isn't really that mind blowing personally.

Yea, 36 doesn’t sound like that big of a number, if we don’t know how many there were last year or a different time.
I remember dreaming when I first got interested in D\/C and I would see a lot of huge contracts, but no idea if more than 36 or not.
Either way, it is nice to dream about owning one. lol

 

[HyperspaceMountainPilot]

I’ve always filtered out over 200, sometimes will go as high as 250 if I’m feeling desperate, so not sure if 36 is high or not.

If they are stripped I’d say it’s more likely they are commercial and if they are loaded I’d say it’s less likely.

 

[Brian Noble]

DVC for less currently has 36 listings with 400 points or higher.

Most of those are more than a month old. Quite a few are much older than that.

Including the listings marked as sold, there were 21 such contracts listed in the last 30 days. If I go back a year (so 366-395 days) I get 30. That doesn't support "a massive surge". Now they might be selling more slowly---I can't tell that---but there are a bunch of reasons why someone might not want to drop $40,000 on a DVC contract right now.

 

[airjay75]

From my quick perusal, it doesn't look like many of them are stripped which, as @HyperspaceMountainPilot points out, is what you'd expect to see if these were commercial renters looking to offload some contracts. But, TBH, I think that is good because I think you could potentially get a much better deal on a larger contract if it is another owner who is simply done with their contract. You never know when someone might be willing to part with it for significantly less than average resale prices. The pool of buyers interested in larger contracts is simply smaller.

That said, although I've occasionally toyed with making offers on contracts larger than 200 points, I think I've only done it one time, and that was on a VB contract that would have had a very cheap buy in price. I don't think I'd do it unless I was very sure I wanted that many points at a specific resort and was prepared to have a more difficult time selling it should I ever want to do so. Generally speaking, I think I'd much rather have smaller contracts for flexibility, even if that means you have the added transaction costs for each purchase.

 

[HyperspaceMountainPilot]

From my quick perusal, it doesn't look like many of them are stripped which, as @HyperspaceMountainPilot points out, is what you'd expect to see if these were commercial renters looking to offload some contracts. But, TBH, I think that is good because I think you could potentially get a much better deal on a larger contract if it is another owner who is simply done with their contract. You never know when someone might be willing to part with it for significantly less than average resale prices. The pool of buyers interested in larger contracts is simply smaller.

That said, although I've occasionally toyed with making offers on contracts larger than 200 points, I think I've only done it one time, and that was on a VB contract that would have had a very cheap buy in price. I don't think I'd do it unless I was very sure I wanted that many points at a specific resort and was prepared to have a more difficult time selling it should I ever want to do so. Generally speaking, I think I'd much rather have smaller contracts for flexibility, even if that means you have the added transaction costs for each purchase.

I used to think 75-100 was the sweet spot for flexibility v transaction costs…but the new $500 fee (and the risk that it will keep climbing in the future!) makes me think around 100-160 is best.

 

[atthebeachclub]

I used to think 75-100 was the sweet spot for flexibility v transaction costs…but the new $500 fee (and the risk that it will keep climbing in the future!) makes me think around 100-160 is best.

I still like 75 if the price is right. But 100 is good too!

 

[cheryl.UK]

I look out for 100 to 150 contracts. The one I was watching was snapped up before I could convince my DH it was the way to go but hey ho, there will be others. I read somewhere a few years ago that the average contract is between 100 and 150 points which sounded right given that's been the cut off at different times for the old blue cards.

 

[TheThousandthSoul]

Not so long ago I stumbled upon a 600 point contract at RIV. I can only feel bad for the sellers. They should have had 3 x 200 contracts.

 

[TheThousandthSoul]

I used to think 75-100 was the sweet spot for flexibility v transaction costs…but the new $500 fee (and the risk that it will keep climbing in the future!) makes me think around 100-160 is best.

It all depends what you are looking for. The additional dues per point can rack off over time vs a one-time $500 fee.

 

[matt_in_nh]

I why have the amount of contracts for sale decreased so much? They sure I use to track the number is cut in half since last year.

 

[mrjack5]

I why have the amount of contracts for sale decreased so much? They sure I use to track the number is cut in half since last year.

IMO a lot of sales and purchases were "stolen" from the future in December when the new $500 fee was announced and a lot of people rushed to sell AND buy before the new fee kicked in.

 

[cheryl.UK]

I've been checking contracts and haven't noticed a big increase in numbers. The 2 or 3 contracts that I'v had any interest in sold within a week

 

[Cfabar1]

well priced contracts continue to move well... the ones that are staying on the market are small contracts that still want a high premium...

 

[DVC Doctor]

I just searched for 300+ point contracts and it does not look that unusual to me, and in fact, the prices are rather high in my opinion, especially for stripped contracts.

 

[kboo]

Not so long ago I stumbled upon a 600 point contract at RIV. I can only feel bad for the sellers. They should have had 3 x 200 contracts.

That is sad... we bought 250 direct there (up from our original plan of 200) and in retrospect we probably should have gotten 300 - but we split our purchase into 2x125.

 

[Klinger13]

The two 1500 point contracts out there are blowing my mind.

 

[AstroBlasters]

now run the numbers of trying to sell one 1500 point contract vs 15 x100 point contracts and the extra closing costs would have been worth it in resale value retention.

I predict a 1500pt contract at a restricted resort could go for less than $100pp

(I’m making sure not to reference a specific property as we are now allowed to discuss active listing)