Super-newbie , probably stupid questions

[jsmla]

I'm trying to figure out how DVC works. I know absolutely nothing about timeshares and I have a few questions.

When you pay $X for Y number of points is this the number of points you have purchased yearly?
If I by 220 points at a set price do I get to use these 220 points each year with no other costs other than maintenance fees? My initial cost (plus manitenance)would then buy 220 points per year til 2042?

How are the time periods during which your points are valid determined? Do they expire each year and when?

Is there any advantage in purchasing directly from Disney? I am interested in a sold-out resort but am open to something different if there is an advantage in purchasing from Disney.

I'm sorry if these questions sound stupid but I have read as many FAQ's as I can find and I'm still confused. I want to be much better informed by November when I am planning on taking a DVC tour.

If you don't mind I have a hard time with most DVC abbreviations. I know the different resorts but thats about it. Anything else I would have to look up. Thanks for your patience

Jennifer

 

[TnRobin]

Hi Jennifer, Welcome to the DIS and the DVC Board. I will try to answer your questions.

<BLOCKQUOTE><font size="-1">quote:</font><HR> When you pay $X for Y number of points is this the number of points you have purchased yearly?
If I by 220 points at a set price do I get to use these 220 points each year with no other costs other than maintenance fees? My initial cost (plus manitenance)would then buy 220 points per year til 2042? [/quote]

That is the basic concept. You buy the points, they are renwed each year on the first day of you "use year". Mine is February. In addition to the purchase price, you will pay an annual fee that covers maintenance and taxes.

<BLOCKQUOTE><font size="-1">quote:</font><HR>How are the time periods during which your points are valid determined? Do they expire each year and when? [/quote]

Using my use year. On February 1, 2000, I received my allotment of points. I will have until January 31, 2001 to use them or bank them into my 2001 use year (There are deadlines for banking, but I won't confuse you with them just yet). Those 2000 year points banked into 2001 must be used by January 31, 2002 or be lost, they can not be banked again. In addition, I can borrow points from the next year, if I wish.

<BLOCKQUOTE><font size="-1">quote:</font><HR>Is there any advantage in purchasing directly from Disney? I am interested in a sold-out resort but am open to something different if there is an advantage in purchasing from Disney.[/quote]

One advantage to purchasing through Disney - If you finance, the loan is a mortgage and the interest can be deductible on your taxes (If you buy a resale and use a home equity loan, this is true too).
Another advantage - Disney pays closing cost. (This may or may not be an advantage since resales usually have a lower per point price, but they do charge a closing cost - Compare total prices when deciding)
Other advantage - Magical Beginings is a slight advantage, but you would have to compare it to the price of a resale to determine if it is an advantage in a case by case senario.
Finally - Disney makes the purchase very easy.

Do not rule out a resale - check all available sources.

<BLOCKQUOTE><font size="-1">quote:</font><HR>I'm sorry if these questions sound stupid but I have read as many FAQ's as I can find and I'm still confused. I want to be much better informed by November when I am planning on taking a DVC tour.[/quote]

No they are not stupid, we all were confused and lost before we found the DIS. Glad you stopped by.

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<font size=4 color=blue font face="Comic Sans MS">Robin