Thinking about buying DVC....again

[katriscari]

I wasn't trying to discourage you from buying the small contract - I just wanted to warn you of the pitfalls of the small contract, specially that you may find yourself almost immediately wanting more points. The small contract can still save you money on your vacations versus renting, though - and allow you to save faster for another contract.

I didnt take it that way at all! No worries! I just know how much I hated not going this year because of the baby. I know if I could take a break from vacations for a couple of years, I would easily have the cash. My kids are little now though, and I cannot imagine not seeing them enjoy these years! A lot of it is for me too.

 

[katriscari]

Disney does let you pay your MF in monthly installments without charging you interest. I pay I think around $85 a month for my 160 point AKV contract, so for a 50 point contract you'd be looking at about $25-30 a month.

That is good to know. I could even do the $85 or so a month. I just would not love paying a lump all at once!

 

[Dean]

We have no plans on moving,so I might look into the equity loan. That is why I thought paying cash for small was better because although the small point amount costs more, I would be paying A LOT in finanacing for even 2 years to buy $10k worth of points. That is what I would be comfortable with financing. I am so risk averse!!!

I would recommend against putting ones house at risk for a luxury vacation purchase no matter the interest rate. Otherwise the cheapest interest is likely to be light stream or a personal loan at your local bank or credit union. In general I recommend against buying with debt or even with other consumer debt because to me, if one can't pay for it they can't afford it but you'll have to make your own decision here. Just skipping one trip or cutting back a couple would give you enough to pay cash for 150 if you could pay cash for 50 currently. Then you'd have some savings going forward but realize it's not a dramatic savings per trip, it just adds up over time as well as locking in a portion of your rooms costs.

 

[mustinjourney]

Exactly! I would just make work what we had...and if we wanted to go more, I would rent or add on eventually, or book through Disney. If I love it a lot when my school loan is paid off I can save that $400+ a month, and buy a larger contract in no time if it fits for us then

One other option once you are an owner is that you can get points transferred into your account rather than renting points.