Tell me how crazy my logic is

[djohn06]

Not sure if you want to call it an investment or not. All I know is that I have been to Disney 3 times in the past 15 months and I have stayed for free due to buying multiple contracts in cash that were fully loaded and having the seller pay the majority of the closing cost and half of the maint fees. This is very similar to what the OP was asking.

Here is what I paid for my contracts:

HHI 150points at $44
BLT 200 points at $85
AKL 200 points at $67
AKL 100 points at $73

I am very confident that if I put all up for sale, I would walk away with a profit on my principle, along with cash from selling points thorough my 18 months in DVC. Although I don't plan on selling My DVC, I would certainly calculate a significant return above the return of the S&P 500 during the same period.

 

[dvcdream4fld]

Here's the deal even with an non-dvc investment, you can still lose money, but unlike an investment in stocks or even your home, your dvc contract is a fixed amount of points that is worth a certain amount of nights at a dvc timeshare, which to me has a value, and because I spent the time to research, waited until I could afford dvc, and plan to stay with disney in the future, I find the dvc contract worth it to me personally.

 

[Dean]

Here's the deal even with an non-dvc investment, you can still lose money, but unlike an investment in stocks or even your home, your dvc contract is a fixed amount of points that is worth a certain amount of nights at a dvc timeshare, which to me has a value, and because I spent the time to research, waited until I could afford dvc, and plan to stay with disney in the future, I find the dvc contract worth it to me personally.

And that's c/w what we are all saying. My point is that many who buy in decide it's not an "investment" so they quit thinking about the value, costs and affordability. The fact it's a timeshare does not relieve one from the necessity to do math. One point to your post is that it's not truly a fixed cost, no one knows what will happen long term related to dues, other than they will go up in a compounded fashion. We all hope they remain stable but there's no way to know that. Assuming it will be OK because it's Disney is a very dangerous stance IMO.

 

[dvcdream4fld]

While nothing is certain, I am pretty certain that disney will continue to be popular long after I'm dead and gone, and I agree with your assessment that annual dues will increase just like similar disney accommodations will increase. At some point, dvc resales will go down as the contracts run out (overall that hasn't happened yet) but I suspect by then I will have already more than paid my initial investment through accommodation savings. It comes back to doing your research and buying what you can afford.