SSR maintenance fees: predictions on increase?

bezoar

Earning My Ears
Joined
Apr 14, 2005
Messages
7
After going on an open house a few weeks ago, we were showed a pie chart of how maintenance fees are used, including a "negative" slice which reflected DVD subsidy on the fees while construction was still underway.

Once SSR is complete, does this mean that the MF will suddenly increase substantially? The way I see it, SSR has the advantage of 12 extra years, and (for now), lower MF.

DW and I are still on the fence about DVC, and having concerns about SSR or elsewhere via resale.

Sorry if this question has been answered elsewhere -- I did a brief search without luck.
 
bezoar said:
Once SSR is complete, does this mean that the MF will suddenly increase substantially? The way I see it, SSR has the advantage of 12 extra years, and (for now), lower MF.

There shouldn't be any increase. The "susbsidy" will theoretically be paid by the members who bought the units that were under construction.

In the past, there have been years when DVC had no increase or only a slight up or down. In the past 3-4 years most of the resorts are seeing about a 5% increase (some more some less). This is in part due to the lower return on monies DVC has invested and the increases in insurances costs. I would expect things to evntually get back on an even keel.

The jump you are concerned about would only happen if SSR did not sell and/or build all the planned units. At Vero, this did happen but everyone was clearly advised of the possibility from the time we signed on the dotted-line. Disney cut back on the actual size of the resort versus what was originally planned. Since the budgets were based on a much larger resort per-point-costs were lower. When the subsidy ended, there was a jump because the units were never built.
 



















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