DIS Dads Talk DVC with the Dis Dads

[scott2997]

I've been on Fidelity's site quite a few times (as well as others). Many people on the DVC board have used them. $90pp is a very fair price for BLT from what I've seen. Did you negotiate with the seller of was that the listed price?

It was asking price. But I negotiated the closing costs. At the time $90 was the cheapest listing I had seen. And the RoFR was buying up a ton of contracts. So I thought for sure they'd snatch mine up. When it went through we were ecstatic. I very rarely see listings for $90 a point for Blt anymore. I think I got a good deal.

 

[AirGoofy]

Do you know what percentage of the dues are taxes?

I'll have to go get my print out, but it is not a big percentage.

If those prices are close to what they paid then, I should be close to a target price of $70-$73($75) dollars. I feel that would be a fair deal.

Well, a good deal is what two agree on. I got the Boardwalk contract at $67 a point for 100 points. Usually, larger contracts go for cheaper prices. But, sometimes people sell out of necessity and take lower amounts.

My favorite two DVC resorts (haven't been to Beach Club) are BLT & Wilderness Lodge. The number if points needed to stay at BLT for a week in October was 64 @ BWV compared to 92 @ BLT. DW hated WL so that was out. I wanted a monorail, boat, or walk to park. Ultimately, I got a great priced contract at my #3 resort, which I can get a third trip every other Spring banking/ borrowing.

 

[Goofy + 3]

It was asking price. But I negotiated the closing costs. At the time $90 was the cheapest listing I had seen. And the RoFR was buying up a ton of contracts. So I thought for sure they'd snatch mine up. When it went through we were ecstatic. I very rarely see listings for $90 a point for Blt anymore. I think I got a good deal.

You only paid $90/pt at BLT? Wow that was good. I think prices like that will come again, but to do it when you did is amazing. Right now saving up the money to avoid financing is the goal. Right now the DVC budget-o-meter is at about 9% of target. Every time I save up a good chunk of money, I go to Disney and spend it. The good news is that our next two trips have already been paid for, so now my savings can go untouched for a while. Also, while I save I think prices will come down so the target number will likely decrease over the next year.

 

[that's nice]

It was asking price. But I negotiated the closing costs. At the time $90 was the cheapest listing I had seen. And the RoFR was buying up a ton of contracts. So I thought for sure they'd snatch mine up. When it went through we were ecstatic. I very rarely see listings for $90 a point for Blt anymore. I think I got a good deal.

I'm sure you will be enjoying your DVC for years to come. Good job!

I'll have to go get my print out, but it is not a big percentage.

Is it the standard 6 or 6.5%?

Well, a good deal is what two agree on. I got the Boardwalk contract at $67 a point for 100 points. Usually, larger contracts go for cheaper prices. But, sometimes people sell out of necessity and take lower amounts.

True... I was figuring what I've seen the contacts selling for (if those are true prices) and bumped up a few dollars from the lowest sales.. $67pp. I'm not looking to throw money away and I'm not in a super rush so if I offer a price and the seller rejects it, no skin off my back.

My favorite two DVC resorts (haven't been to Beach Club) are BLT & Wilderness Lodge. The number if points needed to stay at BLT for a week in October was 64 @ BWV compared to 92 @ BLT. DW hated WL so that was out. I wanted a monorail, boat, or walk to park. Ultimately, I got a great priced contract at my #3 resort, which I can get a third trip every other Spring banking/ borrowing.

How many times have you tried to book a different resort @ 7months and haven't got it? Just wondering if I'd be better of buying SSR with the lowest annual dues and just take my chances booking a different resort at 7months? What is the worst that could happen? Stuck on Disney property at SSR?

You only paid $90/pt at BLT? Wow that was good. I think prices like that will come again, but to do it when you did is amazing. Right now saving up the money to avoid financing is the goal. Right now the DVC budget-o-meter is at about 9% of target. Every time I save up a good chunk of money, I go to Disney and spend it. The good news is that our next two trips have already been paid for, so now my savings can go untouched for a while. Also, while I save I think prices will come down so the target number will likely decrease over the next year.

Why do you think prices will come down? Do you feel the prices are inflated right now?

 

[Goofy + 3]

Why do you think prices will come down? Do you feel the prices are inflated right now?

Prices have come off of their highs from the summer, but yeah I still think they are inflated. There are a couple threads in the DVC forums on the topic and most people agree with that notion. ROFR activity drove prices up starting in March or April. Before that, it wasn't that uncommon to get loaded BWV contracts at around $60 or even lower. Don't remember what BLT was. ROFR made people offer up higher prices and that lasted through the summer. AKV contracts were in the mid 60's for the most part (that's based on the ROFR thread- not list prices). But if you see a contract you like, jump on it. The amount of money you might save by waiting isn't much when you consider this is something you'll have over the next 30+ years.

 

[AirGoofy]

You only paid $90/pt at BLT? Wow that was good. I think prices like that will come again, but to do it when you did is amazing. Right now saving up the money to avoid financing is the goal. Right now the DVC budget-o-meter is at about 9% of target. Every time I save up a good chunk of money, I go to Disney and spend it. The good news is that our next two trips have already been paid for, so now my savings can go untouched for a while. Also, while I save I think prices will come down so the target number will likely decrease over the next year.

You can always pick one resort, buy a small contract there and add another contract a few years later.

Is it the standard 6 or 6.5%?

How many times have you tried to book a different resort @ 7months and haven't got it? Just wondering if I'd be better of buying SSR with the lowest annual dues and just take my chances booking a different resort at 7months? What is the worst that could happen? Stuck on Disney property at SSR?

Why do you think prices will come down? Do you feel the prices are inflated right now?

The taxes were more like 20% of the annual dues bill. I think that was built into the points price. I'll need to pull the bill and see.

It depends on when you want to go to WDW. October thru Feb is the peak DVC time (other than Christmas and Easter). Lower points and warm weather for snow birds. If you want to try and get a resort at the 7 month time period, it will be difficult. I wasn't able to book BWV or BC at the 7 month mark for October. I did get WL one year in October, but couldn't another year.

We sold SSR because I wanted more in my resort. I don't think SSR is a bad resort, it is just not the style I like. I don't mind to stay there or OKW every now and then, but I prefer BWV, BLT, WL, & AKV.

From what I read, resale inventory is low which is why prices are high.

 

[Goofy + 3]

You can always pick one resort, buy a small contract there and add another contract a few years later.

Then I'd pay closing twice, wouldn't I? Plus the cost per point on a smaller contract is usually too high for my liking.

 

[that's nice]

Prices have come off of their highs from the summer, but yeah I still think they are inflated. There are a couple threads in the DVC forums on the topic and most people agree with that notion. ROFR activity drove prices up starting in March or April. Before that, it wasn't that uncommon to get loaded BWV contracts at around $60 or even lower. Don't remember what BLT was. ROFR made people offer up higher prices and that lasted through the summer. AKV contracts were in the mid 60's for the most part (that's based on the ROFR thread- not list prices). But if you see a contract you like, jump on it. The amount of money you might save by waiting isn't much when you consider this is something you'll have over the next 30+ years.

True but $10 on a 250 point contract isn't pocket change...

You can always pick one resort, buy a small contract there and add another contract a few years later.

This is what I'm trying to figure out. Is it better to just purchase small to get our feet wet and use the points every 2-3 years or purchase a contract that we can use 2 times a year.

The taxes were more like 20% of the annual dues bill. I think that was built into the points price. I'll need to pull the bill and see.

Don't go crazy. I was just wondering from a tax perspective.

It depends on when you want to go to WDW. October thru Feb is the peak DVC time (other than Christmas and Easter). Lower points and warm weather for snow birds. If you want to try and get a resort at the 7 month time period, it will be difficult. I wasn't able to book BWV or BC at the 7 month mark for October. I did get WL one year in October, but couldn't another year.

We've been going Oct-Nov &Feb-March but we have 4 days planned next September. So I guess we go during the peak DVC times.

We sold SSR because I wanted more in my resort. I don't think SSR is a bad resort, it is just not the style I like. I don't mind to stay there or OKW every now and then, but I prefer BWV, BLT, WL, & AKV.

See, I just saw SSR 250 point contract listed at $60pp. Opposed to a AKV 250 points priced at $75

$3750 difference. Add in the $5.68 dues for AKV -vs- $4.82 for SSR a $215 difference per year.

$215 x 30yrs = an extra $6500

That's why I was wondering about the ease of getting a different resort.

From what I read, resale inventory is low which is why prices are high.

I believe the inventory is on the rise, which I hope will drive prices down a bit.

Then I'd pay closing twice, wouldn't I? Plus the cost per point on a smaller contract is usually too high for my liking.

Closing doesn't seem all that much $400 or so on a smaller contract.

 

[AJRitz]

I'm just a lurker in this discussion for the time being, but a couple of speculative thoughts that may be relevant here:

1) It seems to me that the "sweet spot" time for buying DVC resales and getting through ROFR with a low price is in the late summer/early Fall. This is because, like every other Disney business unit, DVC has a budget to spend on exercising refusal rights. Their fiscal year is up in October. So the closer you get to the end of the fiscal year, the more conservative they have to be with their ROFR budget.

2) The biggest factor driving point costs is contract expiration dates. BLT contracts stay above $90/point because they (and VGF) contracts last the longest. It will likely be another 5 years (at least) before we start to see BLT contracts drop to the prices that we see now for AKL; 10 years and they'll drop to VWL/BWV levels; 15 years and they'll go to OKW levels. It's all about how long you have to amortize the capital cost of the investment.

 

[that's nice]

I'm just a lurker in this discussion for the time being, but a couple of speculative thoughts that may be relevant here:

1) It seems to me that the "sweet spot" time for buying DVC resales and getting through ROFR with a low price is in the late summer/early Fall. This is because, like every other Disney business unit, DVC has a budget to spend on exercising refusal rights. Their fiscal year is up in October. So the closer you get to the end of the fiscal year, the more conservative they have to be with their ROFR budget.

I was wondring when the ROFR 'year' was up. I didn't think it was December.

There has been speculation that the DVC resale market should be going down due to a) inventory levels are going up b) holiday season is upon us c) speculation that ROFR cutoffs are lower now than in the past.

Once again this is speculation by people here on these boards...

 

[AirGoofy]

Tim, from the 75 point BLT contract 2012 Dues

Operating Budget $191.98
Capital reserves budget $ 51.13
Property tax estimated $73.54
Property tax actual -$75.10

 

[that's nice]

Tim, from the 75 point BLT contract 2012 Dues

Operating Budget $191.98
Capital reserves budget $ 51.13
Property tax estimated $73.54
Property tax actual -$75.10

So it is about 23%...thanks for the numbers.

 

[AirGoofy]

Saw this posted on another thread.

If dates/ resort not particular or if only could make reservations at 7 months, someone recommended buying DVC at Vero Beach as resale contracts are in the $45 per point range.

Interesting thought. Anyone one done this?

 

[AJRitz]

Saw this posted on another thread.

If dates/ resort not particular or if only could make reservations at 7 months, someone recommended buying DVC at Vero Beach as resale contracts are in the $45 per point range.

Interesting thought. Anyone one done this?

The downsides to Vero are that maintenance fees are high (a quick search showed 2012 dues of about $7.12/point -hurricane insurance is expensive) and the points expire in 2042, so you get them for less than 30 years at this point. And, of course, if they only cost you $45/point, it means that their resale value if you decide to sell out of Vero is also sinking.

 

[that's nice]

Saw this posted on another thread.

If dates/ resort not particular or if only could make reservations at 7 months, someone recommended buying DVC at Vero Beach as resale contracts are in the $45 per point range.

Interesting thought. Anyone one done this?

There is a contract for 950 points for $38 a point right now… yearly dues $7040.

I've seen contracts around $40. I guess they are going through ROFR at those prices.

 

[AirGoofy]

The downsides to Vero are that maintenance fees are high (a quick search showed 2012 dues of about $7.12/point -hurricane insurance is expensive) and the points expire in 2042, so you get them for less than 30 years at this point. And, of course, if they only cost you $45/point, it means that their resale value if you decide to sell out of Vero is also sinking.

The high dues prices are a concern. As for the 2042, i am glad it ends. I don't want my dds on the hook for a dvc contract after i'm gone. If they want their own, they can make that decision to purchase. I'll be 70 & hopefully living in FL when my BWV contract ends and think I'll get my use out of it.

There is a contract for 950 points for $38 a point right now… yearly dues $7040.

I've seen contracts around $40. I guess they are going through ROFR at those prices.

Probably so. The other thread was looking at a smaller contract. But, .....

For 950 points, you can get a 1 BR for 5 weeks there. That would be a nice way for a snow bird to escape the winter.

950 points X $38 = $36,100
Yearly Dues = 7000 X 30 years = $210,000

For the same $256,000 could you buy a home in Vero Beach (with insurance & taxes) & have access to all year round for 30 years? Maybe not on the beach, but close enough. I know there are other variables in there.

 

[that's nice]

So we placed an offer on a property yesterday that was listed at $73. We offered $60. I just got an email that the seller countered at $72. Is it worth countering that again? I feel $65 is the highest I'll go on this property but with the seller only coming down $1 I don't feel they are going to go much further than that. Is this a waste of my time? Just wondering before I return the email….

 

[Goofy + 3]

So we placed an offer on a property yesterday that was listed at $73. We offered $60. I just got an email that the seller countered at $72. Is it worth countering that again? I feel $65 is the highest I'll go on this property but with the seller only coming down $1 I don't feel they are going to go much further than that. Is this a waste of my time? Just wondering before I return the email….

You've got nothing to lose. Which resort?

 

[that's nice]

You've got nothing to lose. Which resort?

SSR 250pts 2013 250 2114 250 2115 250

 

[that's nice]

From the DVC board on the DIS since September:

EEGRAM---$62.50-$11428-160-SSR-JUN-0/'11, 134/'12, 160/'13, 160/'14-sent 9/4, passed 10/02
DisneyMagic09---$58-$9347.00-150-SSR-Feb-0/'12-0/'13-187/'14-sent 9/16, passed 10/8
Sparkles816---$60, $13,289.75, 210, SSR, April, 210/'13, 210/'14, sent 9/16, passed 10/8
GiantsNiners11---$59.90-250-SSR-Dec-500/'13-250/'14-sent 9/9, passed 10/8
GiantsNiners11---$55-$9900-180-SSR-??-180/'13, 180/'14-sent 9/18, passed 10/14
DisneyDenis---$65.625-$11509-160-SSR-DEC-14/'12,160/'13,160/'14-sent 9/25, passed 10/14
6bowmans---$72-$14,600-200-SSR-Sep-111/'13, 200/'14, 200/'15-sent 10/27, passed 11/18
steelersforlife24---$70-$4100-50-SSR-??-??-sent 10/23, passed 11/18
Tabologist---$75-200-SSR-Dec-130/'13-200/'14 -sent 10/24, passed 11/19
SAMFSU-$60-$??-250-SSR-Mar-92/'12, 250/'13, 250/'14-sent 10/29, passed 11/25
Wbutter--$66.70-$8671-130-SSR-Aug-130/'13, 130/'14-sent 10/30, passed 11/25
SNYDERS---$60-$??-125-SSR-March-125/'13, 125/'14-sent 10/28, passed 11/25
forever681---$61-$7320-120-SSR-Aug-0/'13, 120/'14-sent 11/12, passed 12/10



I don't think I'm being out of line with my offer and was expecting a counter. It is the $1 off counter that is making me

I could always counter their counter with $61 LOL