Splitting Add-On

[InstImpres]

I am considering an add-on and wondering if anyone has experience with multiple at one time. My thought is you can not sell part of a contract, so if the need should arrise down the road I would rather have 3 50 point add-ons than a 150 point add-on.

Does anyone have any plus/minus to suggest?

Will Disney write me three adds ons at the same time for the same resort?

 

[CaptainMidnight]

Your reasoning is good, but my advice is that I'd be cautious of making your numbers too small. Perhaps two 75 point contracts might make sense. The roadblock I think you'll run into is that there is a $495 fee as the part of a resale exchange in the majority of the cases (I think some have identified a process to get around it, I might be wrong). So when you you add an additional $495 onto the cost of a 50 point contract, you drive the cost up per point pretty significantly. Perhaps the $495 title and transfer fees on a 75 point contract are a little less of a hit in a per point basis. Maybe it's some other combination that might off you options, 80 point and 60 point, a 100 point and a 50 point. If you were going to sell 2 that would be 100 points anyway. Just a thought as you requested.

 

[Dean]

The other costsof selling will eat away any advantage of owning multiple small ad ons. The accounting aspects could be a problem in some cases as well. Besides, you actuallylimit your market to those with the use year in question and who want an ad on of around that size at that resort. I'd recommend you go with the single 150 point contract if you will buy that many points. If you wanted 250, I"d say 150 + 100. If you wanted 300, I'd say two 150 pt contracts.

If you simply want ad ons at different resorts for the 11 mo priority, I'd be supportive of ONE per each location for that reason.

 

[CaptainMidnight]

I just saw in another thread where someone paid $375 for title transfer and closing fees.

 

[Caskbill]

I agree with Dean. Contracts around 150 points will do pretty well in the resale market if you ever need to sell.

The general advice around here is to split up large contracts (say 600 points or so) because eventually if you want to sell there are not many buyers around wanting that many points.

Breaking up into too small of a contract decreases the value to you as a seller due to the closing costs issues. On a 50 point contract those costs are about $7.50/point.

150 points seems to be just about right when you're looking at a resale.