VB = Good Deal For Us?

[dotcomguy]

I must be overlooking something because this looks took good to be true. Here's our situation:

• Purchase 300 VB Points from DVC-Resales for $49 per point (cash no interest)
• We go to WDW every year for at least one week (past 4 years)
• We have no preference for resort type (GF Club Level last year, value the year before) It just depends on what's available.
• We NEVER plan more than 7 months in advance
• We have 3 kids (youngest is 12 months) and may have more so we'll need a way to stay in larger rooms for less money
• We never visit during summer, spring break, etc... and that won't change as our kids get older (story for another day). Our favorite time is the week before Christmas break (early December)
• Even when I assume the annual fees are $8 (currently $6.41) I'm still ahead in 7 years, 5 at current rate
• If in 10 years we are done, we could give the contract as a gift to someone and and be done without worry of lost money
• At that price, even if we convert points to a regular resort some years, this would save us money when comparing apples to apples (1 or 2 bedroom DVC to cash).

Can someone tell me if I'm overlooking something? Is the availability I see for DVC rooms online different from what's available to DVC members?

If there's a thread that covers any of this, please provide links. No need to rehash something that's already been discussed.

Thanks in advance!

 

[CarolMN]

(edit that should read Good Deal for Us)

You can edit your title - just use the GO ADVANCED button to see it.

I must be overlooking something because this looks took good to be true. Here's our situation:
....(snip).....
Can someone tell me if I'm overlooking something? Is the availability I see for DVC rooms online different from what's available to DVC members?

Yes, CRO & DVC are two separate inventories. You cannot make any valid assumptions for DVC availability based on online (CRO) inventory. FWIW, the whole month of December is very popular with DVC members. You will probably be able to get something if you call as soon as the 7 month window opens. If you wait too much after that, you could be shut out of WDW or forced to change rooms/resorts to get your whole stay at WDW ........

 

[CarolMN]

Additonal considerations / risks if you buy VB and do not intend to stay there:

1. DVC could sell off VB. In that case, your points would only be good at VB. No more access to WDW DVC resorts.

2. VB could be destroyed by a hurricane and Disney could decide not to rebuild. Again, no more access to WDW DVC resorts - you would get your share of the insurance proceeds if that happened.

3. There could be special assessments for VB owners due to storm damage.

I personally think all of those risks are very small, but they are possbile. You just need to know to make an informed decision. VB is a very nice resort, IMO.

 

[dotcomguy]

Excellent points about the VB risks. I agree the risks may be small but something to consider.

 

[missycj96]

While it may be a good deal, if you want to stay at WDW but don't care where, look at Saratoga Springs resales. The point costs are higher but still very reasonable and the maintenance is much cheaper.

Do you need to plan flights or transportation? If you want to go to Disney at a certain time of the year, even if its not the busiest time, you'll be assured of having a room at the world. I read over and over that December before the holidays is popular for dvc members. You can always move your room inside 7 months. I also think the cost difference in points between SSR and VB (say $15-$20 pp) on a 300 point contract around about $5-6000 depending on your particular deal will quickly be made up in maintenance costs. Anyway, I was thinking along the lines you are and ended up going with SSR - I'm happy with the contract I got and its working out great so far.

On the other hand, if you don't mind the higher dues and are very flexible in travel dates, the point price you mentioned for VB sounds great.

 

[Dean]

Excellent points about the VB risks. I agree the risks may be small but something to consider.

If you can't plan at least 7 months out, you likely should reconsider buying. You should know that early to mid Dec is one of the more difficult times to book DVC even though it's slower for non DVC. For this time you need to own at WDW and book at or near the 11 month window.

You're looking at about $1 a point more in yearly fees compared to say OKW or SSR unless you can find a subsidized contract and you won't for that price. You'll eat through any savings in maybe 10-15 years. Your points will expire 2042 but if you buy at SSR it's 2054. IMO SSR, and even OKW, are better choices for your situation so you can book something at 11 months out and then try to change at 7 months using the wait list if necessary so you can get some variety.

 

[dotcomguy]

Good ideas. I'll have to take a 2nd look at SSR. If we don't care about view (boardwalk, MK, etc..) does that make it a lot easier to book at another DVC resort or just a little? Also, is it safe to assume "magical upgrades" won't happen if you're saying with points?

Thank you again for providing such helpful feedback!

 

[CarolMN]

Good ideas. I'll have to take a 2nd look at SSR. If we don't care about view (boardwalk, MK, etc..) does that make it a lot easier to book at another DVC resort or just a little?

It helps a little, but I wouldn't say a lot. There are lots of members who try to get into one of the smaller resorts at 7 months. The resorts located within walking distance of one of the theme parks tend to fill up the quickest. The rooms with a view are limited and tend to book before the 7 month window opens.

Also, is it safe to assume "magical upgrades" won't happen if you're saying with points?

Very safe, LOL. Upgrades for members staying on points are very, very few and far between. In fact, they generally only happenif there is a last minute problem with the room category you reserved.

Thank you again for providing such helpful feedback!

You're welcome.

 

[Deb & Bill]

...Also, is it safe to assume "magical upgrades" won't happen if you're saying with points?

Thank you again for providing such helpful feedback!

You get what you book. Unless a maintenance disaster prevents you from staying in that room.

 

[kristenrice]

If we don't care about view (boardwalk, MK, etc..) does that make it a lot easier to book at another DVC resort or just a little?

It depends...

You cannot assume that the lowest point rooms are the poorest view or the least desirable. Someone correct me if I am wrong, but I believe the "lesser views" (BWV std, AKV value and BLT std) comprise the smallest percentage of their particular resort. I think I read somewhere that the savanna view units at AKV comprise about 75% of the resort. That means that the "better view" rooms may be the easiest to get simply because of their quantity.

I think what I am trying to tell you is do not look at the points charts for, say AKV, and think, "I don't care what I am looking at so I will just book a value room". If you only buy enough points for a value room, you may find yourself shut out at 7 months because there are only a handful of 2BR lockoffs available in the value category. You could say the same for BLT std and BWV std too...the standard views have the fewest available units and may be gone at the 7-month window.

We bought at AKV with the intention of booking std or value rooms, but we selected enough points to cover the savanna view too. This way, we have the option to take a shorter trip with a savanna view, or stretch it out if we can snag a value or standard.

 

[Sandisw]

First, I think that the $49.00 per point is low and doubt it would pass ROFR with Disney (although only Disney knows for sure).

Second, if it were me, and this is only my opinion, I would not buy at VB for the sole purpose of visiting at WDW, especially if you want to visit in December.

As PP mentioned, SSR is a great deal and it is passing ROFR right now around $68 - $70 per point. That is only $15 - 20 more per point than VB. But, you get a contract that lasts an additional 12 years, and has lower MF's than VB. In about 10 years, the upfront savings of VB would be lost.

Plus, by owning at SSR, you know that you own at WDW. While booking more than 7 months out is a long shot for you, owning at WDW would allow you to book up to 11 months in advance if things or circumstances changed for you down the road.

Good luck!!

 

[wdrl]

I noticed the same $49/point Vero Beach resale contract and also wondered if it was a good deal. Here is some simple math that I used to compare the VB contract to an equivalent 300 point Old Key West contract for $70/point.

Purchase price: $70 (OKW) - $49 (VB) = $21

OKW contract costs ($21 * 300) = $6,300 more than VB

Maintenance Fees: $6.41 (VB) - $4.73 (OKW) = $1.68

Yearly Fee Difference: ($1.68 * 300) = $504.00

Since OKW MFs are $504.00 less each year, then it would take ($6,300/$504) 12.5 years to recover the initial cost of the OKW contract.

If a person kept either contract until expiration in 2042, the VB would end up costing much more than the OKW contract. If you plan on holding the contract for just 10 years, you would still be ahead with the VB contract, but not by much.

The initial savings of $6,300 are significant, but those savings seem to dwindle rather quickly. In my opinion, this simple math shows that the VB contract is not that much "cheaper" than a $70/point OKW or SSR contract.

I hope this helps you in making your decision.

 

[Dean]

I noticed the same $49/point Vero Beach resale contract and also wondered if it was a good deal. Here is some simple math that I used to compare the VB contract to an equivalent 300 point Old Key West contract for $70/point.

Purchase price: $70 (OKW) - $49 (VB) = $21

OKW contract costs ($21 * 300) = $6,300 more than VB

Maintenance Fees: $6.41 (VB) - $4.73 (OKW) = $1.68

Yearly Fee Difference: ($1.68 * 300) = $504.00

Since OKW MFs are $504.00 less each year, then it would take ($6,300/$504) 12.5 years to recover the initial cost of the OKW contract.

If a person kept either contract until expiration in 2042, the VB would end up costing much more than the OKW contract. If you plan on holding the contract for just 10 years, you would still be ahead with the VB contract, but not by much.

The initial savings of $6,300 are significant, but those savings seem to dwindle rather quickly. In my opinion, this simple math shows that the VB contract is not that much "cheaper" than a $70/point OKW or SSR contract.

I hope this helps you in making your decision.

And one should be able to get OKW or even SSR for less than $70 a point right now for a larger contract making fees even more exaggerated. Don't get me wrong, I love VB and for one who will stay there periodically, it can be a good choice. Of course if you can find a subsidized contract, the difference is much less.

 

[Mtnman44]

Just to add to the others' comments. DVC is a long term purchase. As has already been pointed out. The initial costs savings with VB are lost over time with the higher dues. If you want DVC points to use at WDW, it is simply not a good choice. You may not plan further out than 7 months, but even 7 months plus 1 day could make a difference during some peak demand times. 8 months much more so. You want that ownership advantage.

If you want cheap DVC points for WDW, find a nice OKW or SSR contract. It's a buyers market right now.

 

[dotcomguy]

Thank you so much for the excellent information. I think that for us (not for everyone) we're better off not purchasing DVC. For example, just this week I surprised my wife with a trip to WDW in three weeks. It's only two nights but it's her first break from our daughters (4, 2.5, and 1). We're going in December but she wanted to go without the kids.

Again thank you so much for helping explain DVC. You have all been a really big help.

 

[robinb]

Thank you so much for the excellent information. I think that for us (not for everyone) we're better off not purchasing DVC. For example, just this week I surprised my wife with a trip to WDW in three weeks. It's only two nights but it's her first break from our daughters (4, 2.5, and 1). We're going in December but she wanted to go without the kids.

Enjoy your trip! I want to point out a couple of other things. Your kids are young yet and unless you plan to home school, you WILL be taking vacations during school breaks. I bought DVC before I had my DD and my vacation schedule changed a lot once she started school No more May and October trips for me! Secondly, you have 3 kids already and in 2 short years (when your youngest is 3) you will have to stay at a Deluxe resort, Port Orleans or book two rooms. That can add up pretty quickly. Resale prices are really low now and it's a buyer's market. If you plan on going to WDW once or twice a year then DVC might be right for you after all. PS: You would need a 2BR which sleeps 8 or stay in a 1BR at AKV or BLT which sleeps 5.