To Buy 2042 or not to buy 2042

[njcoach24]

Partially true, partially a fallacy.
It's like saying, "dollars go a lot further at Motel 6 compared to Grand Floridian!"

It's not exactly that points go further, it's just that the resort is cheaper. For $50, you can get 1 real steak at a steakhouse, or you can get 25 hamburgers at McDonalds. So does $50 go further at McDonalds than at a steakhouse?

Add in the fact that, you can use your points across resorts at 7 months. So if you want your GFV points to "go as far" as BWV points, you can just use them at BWV, subject to 7 month availability.

I think this becomes more of a noticeable difference when you are working a set budget. Say I only have 10K to spend....assuming expiration dates are the same and no other factors...how many points can I get at X Resort vs Y Resort...I'm going with more points for same money.

In my case, I only want 30 points so the difference is minimal...even buying direct at VGF isn't that much more than resale for a small contract.

 

[RamblinWreck]

Partially true, partially a fallacy.
It's like saying, "dollars go a lot further at Motel 6 compared to Grand Floridian!"

It's not exactly that points go further, it's just that the resort is cheaper. For $50, you can get 1 real steak at a steakhouse, or you can get 25 hamburgers at McDonalds. So does $50 go further at McDonalds than at a steakhouse?

Add in the fact that, you can use your points across resorts at 7 months. So if you want your GFV points to "go as far" as BWV points, you can just use them at BWV, subject to 7 month availability.

If all you care about is filling your belly, $50 goes further at McD’s.

If you don’t care about being on the monorail or you prefer being in walking distance of EPCOT and HS, points may go a lot further at BWV for you.

And depending on what type of room you want to book, you may be forced to spend up in room categories to book into BWV using non-BWV points for the dates you want to travel.

All things to consider.

Yes, VGF is nicer. Not everyone is going to like it better though. And it’s still more or less the same product.

 

[hglenn]

Partially true, partially a fallacy.
It's like saying, "dollars go a lot further at Motel 6 compared to Grand Floridian!"

It's not exactly that points go further, it's just that the resort is cheaper. For $50, you can get 1 real steak at a steakhouse, or you can get 25 hamburgers at McDonalds. So does $50 go further at McDonalds than at a steakhouse?

Add in the fact that, you can use your points across resorts at 7 months. So if you want your GFV points to "go as far" as BWV points, you can just use them at BWV, subject to 7 month availability.

Maybe for a 1BR. But if you are wanting a standard view studio, you likely will not be able to get that at 7 months, requiring you to spend more points on either an upgrade to 1BR or upgrade the view.

 

[njcoach24]

Here's the things I am thinking about...

Let's say BWV for $110 a point for 25 points ($2750). VGF for $180 a point for 25 points ($4,500). It is $1,000 cheaper to go with VGF for double the length of time.

I would probably try to use the points at BWV but paying the extra now gives me savings in the long run it seems. Although...having to only front about 3K is enticing. But if I want another 20 years in 20 years...for sure it will cost more than 1K.

 

[Matty B13]

Partially true, partially a fallacy.
It's like saying, "dollars go a lot further at Motel 6 compared to Grand Floridian!"

It's not exactly that points go further, it's just that the resort is cheaper. For $50, you can get 1 real steak at a steakhouse, or you can get 25 hamburgers at McDonalds. So does $50 go further at McDonalds than at a steakhouse?

Add in the fact that, you can use your points across resorts at 7 months. So if you want your GFV points to "go as far" as BWV points, you can just use them at BWV, subject to 7 month availability.

I was mostly referencing the big discount for units like the very low per night "Standard" Views at BWV compared to the "Standard" Views at VGF. You have to have 11 month priority at BWV to get these rooms, but they save you a lot of points.

For us during the same April Vacation Trip the BWV 2 bedroom Standard view is 313 points versus 475 at VGF, so 162 points more. So you would have to buy 162 more points, plus the maintenance fees on these points.

I wish we had understood this back in 2016 when we bought our AKV points, possible our VGF points, and bought in at BWV back then. Unfortunately we had never stayed at BWV or AKV in 2016 and didn't realize we like BWV a lot more than AKV and most of AKV rooms can be reserved at the 7 month mark......... Oh well, we still have made full use of our AKV points, but have only stayed there once.

 

[havoc315]

If all you care about is filling your belly, $50 goes further at McD’s.

If you don’t care about being on the monorail or you prefer being in walking distance of EPCOT and HS, points may go a lot further at BWV for you.

And depending on what type of room you want to book, you may be forced to spend up in room categories to book into BWV using non-BWV points for the dates you want to travel.

All things to consider.

Yes, VGF is nicer. Not everyone is going to like it better though. And it’s still more or less the same product.

Absolutely agree. Location, cost per room, themes: these are all differences that can impact which resort you pick.

But objectively, VGF is about half the cost of BWV. I'm not suggesting that VGF is subjectively "better" only that objectively half the price.

Now add in one other factor-- Buying DVC is not required in order to stay at Boardwalk or Grand Floridian. For both resorts, there are many other ways to stay there: Renting points, booking DVC villas at cash rates, booking cash rooms at the hotel side.

And this becomes an important part of the equation:
Buying at VGF would "save" the buyer maybe 40%+ vs the other options.
Buying at BWV will cost the buyer pretty close to the same amount as the other options.

Now, if for all the subjective reasons, BWV is worth paying twice as much as VGF, and if you still prefer the idea of "DVC ownership" vs the alternatives, then it makes total sense to buy BWV.
For those that want to stay solely at BWV and are most concerned with cost, it's a bit of a wash between buying DVC vs just booking as you go.
For those that want to stay at VGF and other resorts and save money, buying DVC at VGF is pretty sensible.

 

[havoc315]

I was mostly referencing the big discount for units like the very low per night "Standard" Views at BWV compared to the "Standard" Views at VGF. You have to have 11 month priority at BWV to get these rooms, but they save you a lot of points.

For us during the same April Vacation Trip the BWV 2 bedroom Standard view is 313 points versus 475 at VGF, so 162 points more. So you would have to buy 162 more points, plus the maintenance fees on these points.

And for someone who believes the unit at BWV is just as nice (room itself, resort amenities, location) as VGF -- that makes BWV a great value.
But the overall market sets a higher price for VGF. This isn't a matter of right or wrong -- There are lots of people who would not have a preference for VGF, and they aren't "wrong."

But just like -- If someone prefers a $2 McDonalds hamburger over a $50 steak -- They aren't wrong. That person should spend their money on the hamburger and they will be much happier than if they had purchased the steak.
But the steak and hamburger are not equal. For the total market of restaurant patrons, the steak is worth more than the burger.

 

[theplanets14]

There are several ways to do the "math"

1. Calculate current rack rate for the room you want at your home resort and multiply every year from now until 2041. Compare to the price you would pay now per point and maintenance fees. This will get you an approximate savings assuming maintenance and rack rate increases at the same rate.

2. Do the same with rental cost at the 11 month mark (you pay more per point to rent at most resorts* from 7-11 months)

Ask yourself is it worthwhile to commit this much time for x amount of savings.

The offer I have in (if it passes- who knows) would break even in 2 trips vs rack rate- so I'm happy with a 2042 at that price. It's also why it would take a much bigger drop in the market for me to consider beach club.


Obviously the savings cost will be a lot better for newer resorts. The best "math" is probably for a Riveria resale- but thats maintenance fees until 2070 and you can only stay there

 

[RoseGold]

Unlike the terrible VB example earlier in this thread, the BW chart does a lot of work for you.

Picking a random weekend in August, GF cheapest room is 21 points, Poly 23. SSR is 16, and so is BW standard view. That's why BW standard is SO hard to book.

16 to 21 is a huge difference, 31%.

Sure, I can use my SSR points on BW 1BRs or SSR, or pricier view categories. But if you want the standard view and really want to stretch your points, you're going to need BW points.

 

[Cfabar1]

I personally would go VGF all the way. Especially if you are thinking studios. Given the closeness of 2042, high dues, etc. if I were doing studios I would just buy rooms at the Swan or Dolphin and skip DVC entirely.

Our plan for ownership is:
Beach resorts Points for going to the beach
VGF points for MK
AK points for AK (or use remaining VGF points there at 7 months)
Swan and Dolphin for HS and EP

But our use case is lots of 2-3 night stays. Not long stays that would necessitate 2 bedroom units. Even then I don’t know if you might be ahead just doing two rooms at the swan dolphin. Especially if you’re not using the kitchen or laundry machine.

 

[Brian Noble]

Buy 2042 at "discount" vs more money to have more time?

I think that depends almost entirely on how long you expect to use it, and what your circumstances are likely to be when you are done.

I'm in my early/mid-50s. In 2042, I'll be in my early/mid 70s. That's plenty of time---and that's assuming that I have that much time left! I'd just as soon invest the difference in price and leave that as part of my estate than have some DVC contract that has to be sold as part of the estate wind-down. Would the DVC contract be worth more? Probably. But probably not enough to change anyone's life---either mine in retirement or my kids via inheritance.

If I were in my 30s I might feel differently about it.

Either way, I think the more important question is which resorts would I be willing to have as my home resort? I'm not a buy-where-you-want-to-stay person, because there isn't just one resort that I'd have to return to time and again. But, if there were resorts I'd genuinely be disappointed to be stuck with, I would not consider them. That for me eliminates the non-Orlando choices. It also eliminates the Poly, because we don't do studios (or queen beds).

[Yes, I am aware that bungalows exist. No, I am not a Rockefeller.]

After that, it's a mix of point cost, point charts, dues, and secondary considerations. I happen to really (really) like Wilderness Lodge, would seriously consider BRV, and would do so in preference to CCV. The point charts are almost the same, dues are within 10% of one another, BRV listing prices are discounted in the 27% range, and BRV availability is slightly more forgiving without the Cabin points chasing smaller units.

 

[Red Dog Run]

I'm good with 2042 dates. I'm going to go 14-21 days in a deluxe every year. That still makes value for me a-ok.

 

[RuntheMouse]

We signed a contract on a 2042 yesterday. Is it the wisest financial decision??? Definitely not BUT it’s my very favorite resort. We are also near 50 and have staggered expiration years for the resorts we decided on. So this one (if it passes ROFR) will be expiring when we are nearing 70 and then we will have 2 more resorts to enjoy as we age further. We thought this out and it is all part of a greater plan.

 

[Jimmy Geppetto]

Also need to consider with VB, besides being locked out of WDW until 7 months, is the special assessment that could happen if a hurricane or other weather event hits..

And, depending on severity or timing, they could decide, especially with 19 years left, not to rebuild.

With SSR passing at lower levels these days, which could mean ROFR is subsiding, the difference may be worth it because in 2042, if you are done, SSR would still be worth more than VB,

And, you are on property and don’t have to worry about potential changes they might do as the 2042 as it gets closer to expiration

Interesting…

… not rebuilding if the damage is too great is a scenario I never thought about before… So what would owners be entitled to? What obligations does DVC have to VB owners.

 

[Sandisw]

Interesting…

… not rebuilding if the damage is too great is a scenario I never thought about before… So what would owners be entitled to? What obligations does DVC have to VB owners.

They would get their share of the insurance money.

 

[Cfabar1]

Does the contract with Disney speak to:
1. Disney’s obligation to “operate“ and/or “maintain” the resort?
2. What would happen in the event of sale/dissolution of the property?

In a typical timeshare, my understanding is the “owners” own the building. But, I believe Disney is the majority owner here - correct? How does that work?

 

[Red Dog Run]

We signed a contract on a 2042 yesterday. Is it the wisest financial decision??? Definitely not BUT it’s my very favorite resort. We are also near 50 and have staggered expiration years for the resorts we decided on. So this one (if it passes ROFR) will be expiring when we are nearing 70 and then we will have 2 more resorts to enjoy as we age further. We thought this out and it is all part of a greater plan.

We think alike! Have 550 at OKW where 100 are extended points. Then AK, BLT, and VGF. Staggered exits. The largest chunk is because of the grand villa at OKW (and the $92 a point for 210 pts that had 420 for March of this year. I could not resist!) I will, though, place my two 70 pt OKW contracts for sale this summer. I can't justify so many points, and the price for 70 pointers hopefully will bring them to a decent price so I can come out about the same for the 210.)

 

[Sandisw]

Does the contract with Disney speak to:
1. Disney’s obligation to “operate“ and/or “maintain” the resort?
2. What would happen in the event of sale/dissolution of the property?

In a typical timeshare, my understanding is the “owners” own the building. But, I believe Disney is the majority owner here - correct? How does that work?

We have a ground lease with Disney but the owners maintain the building. DVD must retain around 2% of the points, so other than what is not sold or reaquired via forclosure/ROFR, they are not the major owner.

As owners, our property management agreement is with Disney. So, yes, there is an agreement with them to do that.

 

[Cfabar1]

We have a ground lease with Disney but the owners maintain the building. DVD must retain around 2% of the points, so other than what is not sold or reaquired via forclosure/ROFR, they are not the major owner.

As owners, our property management agreement is with Disney. So, yes, there is an agreement with them to do that.

So if that is the case, could the owners insist on certain things to change at the property, or, insist on a different property management agreement and say that, for example, Westgate (not that anyone would want that) has to run the DVC?

 

[Sandisw]

So if that is the case, could the owners insist on certain things to change at the property, or, insist on a different property management agreement and say that, for example, Westgate (not that anyone would want that) has to run the DVC?

We have hired DVCMC to manage our program and they are the ones who get to decide who are in charge of hiring the property manager.

To get rid of DVCMC would be near impossible with the way the contract is set up in terms of owners getting an actual vote on something like that.

Each unit..which typically consists of multiple rooms..is given a representative on the board to vote. In order for owners of that one unit to even influence thst vote for their unit, 60% of all owners in that unit must agree to what the representative should vote.

So, trying to get rid of DVCMC as the manager of our program isn’t going to ever happen. Which means, Disney will always be the property manager.