The New Norm in Resales

[MouseOfCards]

In the past, most brokers were quoting 60-90 days for the resale process from beginning to end. However, more recently, we have been seeing and hearing of the process shortening to 30-45 days on average with numerous buyers saying they passed ROFR in 2-3 days(!). In the past, it seems Disney/DVC made a conscious effort to delay the resale process, but they have definitely improved recently. We're thinking there are several possible reasons for this: (1) a seasonal slowdown and DVC being less busy, (2) less resales going on due to the penalizing of new resale buyers (some have mentioned Disney DVC marketing really pushing the fact that resale buyers will not get member cards and benefits, which has resulted in noticeably more activity on the direct sales side), and (3) potential litigation - a few months ago, an unscrupulous seller transferred points out of their DVC account after closing and during the period buyer was waiting for the points, and some people raised the issue of whether Disney has the right to delay resale closing and points transfers (which previously averaged 2-4 weeks after recording); maybe some attorneys have presented this question (and the issue of ROFR delays) to Disney, and this is their response.

Is this the new normal? And what do you think is the reason for this new and improved DVC resale process?

 

[KAT4DISNEY]

It actually used to be more like the 45 days to 60 tops. And erhaps they decided to stop holding things up - at least for now just as they almost certainly seemed to make a decision to slow down the process.

Approx 6 years ago I had an ROFR pass in a day and was closed in around 20-25 days. It was actually faster than my guide managed on one of my direct purchases.

I don't know that I'd count on this being the new normal but then it's also been a bit questionable their holding up on the estoppel and closing process so perhaps your speculation is correct about issues encouraging them to stop delaying.

 

[wdw4rfam]

Our contracts were crazy fast. We put our bid in on December 1, and we closed on the 22end and the deed has already been recorded as of Tuesday the 27th. We passed ROFR In 6 days. Our other contract we put the bid in on November 14, and we already had our member ID and booked a trip on December 20. That one took 7 days to pass ROFR.

 

[MouseOfCards]

Our contracts were crazy fast. We put our bid in on December 1, and we closed on the 22end and the deed has already been recorded as of Tuesday the 27th. We passed ROFR In 6 days. Our other contract we put the bid in on November 14, and we already had our member ID and booked a trip on December 20. That one took 7 days to pass ROFR.

Yes, that is crazy fast. And seemingly becoming more common. Congratulations! Bet you didn't think you would be able to score that December trip when you placed the offer.

 

[MouseOfCards]

It actually used to be more like the 45 days to 60 tops. And erhaps they decided to stop holding things up - at least for now just as they almost certainly seemed to make a decision to slow down the process.

Approx 6 years ago I had an ROFR pass in a day and was closed in around 20-25 days. It was actually faster than my guide managed on one of my direct purchases.

I don't know that I'd count on this being the new normal but then it's also been a bit questionable their holding up on the estoppel and closing process so perhaps your speculation is correct about issues encouraging them to stop delaying.

That's crazy fast, too! Maybe Disney/DVC gets threatened with litigation every few years, promises to do better and improves for a while, then slowly drops back to their delaying tactics?!

 

[pangyal]

Honestly, it speeds up a lot around this time every year, and slows down again starting in the new year and beyond. I certainly wouldn't get my hopes up about this becoming the norm if I were buying a contract come January. If you look at the old ROFR threads, you'll see it's a seasonal pattern, presumably because they need to clear their desks and such for year end.

 

[pangyal]

Also, the reason that they have those significant estoppel slowdowns is really only that they have so few people working on them, not for any nefarious reasons. This is a very non-busy time for sales, around the holidays, so they can keep on top of them. Come spring, they will be underwater again with contracts to manage, and it will go back to 2-4 weeks for closing documents. It honestly cycles like this every year!

 

[crisi]

It also has waxed and waned over the years. When Disney is busy with their own stuff, the ROFR falls to the background. When Disney is busy with their own stuff and the resale market it hot, it takes a while. Right now, Disney doesn't have a new resort to sell, they can put people on the resale process.