There is indeed a market for VGF resale...

[stlrod]

I just sold a 100 point contract for $175 per point in 2 hours and 15 minutes after it appeared on the broker's website. I paid $180 for it 9 months ago, it came with 100 "free" 2020 points which I rented out at $21 per point along with the 2021 points. So, I actually came out ahead. Granted, it's a small contract but I'm thrilled. Now, on to buy 300 VGF2 points.

 

[erionm]

So, you sold VGF points only to turn around and buy VGF points?

 

[stwaldman]

So, you sold VGF points only to turn around and buy VGF points?

Possibly a "trade in" for blue card eligible points (especially considering the like for like price)

 

[erionm]

Possibly a "trade in" for blue card eligible points (especially considering the like for like price)

They could have just bought the difference of 200 points which would still give them a blue card.

 

[stwaldman]

They could have just bought the difference of 200 points which would still give them a blue card.

why have restricted points if its effectively the same price to have unrestricted points? I'm not going to relitigate the whole value/lack thereof of potential riviera/DLT stays, I dont even know that's what happened here, but that's the same line of logic.

 

[hhisc16]

deleted

 

[stlrod]

So, you sold VGF points only to turn around and buy VGF points?

I did! I have contracts across three use years and wanted more VGF points. VGF was my only September use year. I could sell this contract and replenish and add at the same time under a March use year where my other direct purchases are. I really didn't want more than 300 points and I'm getting a better price per point buying 300 instead of 200. I plan on splitting the 300 so I have two 150 point contracts. Another incentive for someone might be to get access to Riviera though that's not needed since my other use year is Riviera resale.

 

[RoseGold]

I'm more surprised by that buyer. Why???

 

[stlrod]

I'm more surprised by that buyer. Why???

The buyer may be new to DVC and want the VGF studios for occasional trips or may just want an add-on and there are no incentives for contracts under 125 points so direct would be $207.

 

[Marionnette]

I did! I have contracts across three use years and wanted more VGF points. VGF was my only September use year. I could sell this contract and replenish and add at the same time under a March use year where my other direct purchases are. I really didn't want more than 300 points and I'm getting a better price per point buying 300 instead of 200. I plan on splitting the 300 so I have two 150 point contracts. Another incentive for someone might be to get access to Riviera though that's not needed since my other use year is Riviera resale.

I would split it into 3 100-point contracts if I had intentions of stripping and flipping them down the road.. Like you said, anyone wanting to buy less than 125 points isn't getting any incentives and small contracts command a higher per-point price on the resale market.

 

[DKZB]

I would split it into 3 100-point contracts if I had intentions of stripping and flipping them down the road.. Like you said, anyone wanting to buy less than 125 points isn't getting any incentives and small contracts command a higher per-point price on the resale market.

I did something similar. 1 - 125 point contract to qualify for the luggage and then a 75 and 2 x 50. It seems that resale has not fallen apart as much as many predicted and if incentives disappear quickly, it may not be that bad for smaller contracts!

 

[stlrod]

I would split it into 3 100-point contracts if I had intentions of stripping and flipping them down the road.. Like you said, anyone wanting to buy less than 125 points isn't getting any incentives and small contracts command a higher per-point price on the resale market.

I thought about it but my thought is these may be for my adult kids (2) should they want them. I'm also not planning a strip and flip. On the other hand, I wasn't planning on doing that with the one I bought in July either. lol I bought it anticipating much higher initial introductory pricing.

 

[sethschroeder]

They could have just bought the difference of 200 points which would still give them a blue card.

Going from 200 to 300 points is a difference of $165/point for the extra 100. So you essentially turn the points in to direct points for $4/point or $400 after commission if they are paying 8% commission on the sale that is.

Its not a bad deal for opening up your points to future booking of Riviera or Disneyland Tower (most likely).

I will say I would have likely tried to transfer out the remainder of the points I could before selling to get more money out of the contract since typically buyers don't pay the premium on the points like you will find via transfers/rentals.

 

[stlrod]

Going from 200 to 300 points is a difference of $165/point for the extra 100. So you essentially turn the points in to direct points for $4/point or $400 after commission if they are paying 8% commission on the sale that is.

Its not a bad deal for opening up your points to future booking of Riviera or Disneyland Tower (most likely).

I will say I would have likely tried to transfer out the remainder of the points I could before selling to get more money out of the contract since typically buyers don't pay the premium on the points like you will find via transfers/rentals.

Would be curious to see how you came up with an $165 difference Seth. There's a difference of $7 per point from 200 to 300. That's $2100 on the total. I had already pretty much stripped the contract (only 36 points left to borrow in 2022) and figured for a fast sale, I should leave some in the contract. I also didn't want to use up a transfer on only 36 points or wait for the rental to be complete.