VGF1 resale now or wait for VGF2?

[kandlsutton]

Curious what others are thinking. I WANT more points. I don’t NEED more points (yet) but I will in 3-5 years when bigger accommodations are needed for extended family visits. Direct and resale prices continue to rise. So buy now or wait and see?

 

[RoseGold]

VGF is going to be heavy on studios now, so maybe not a great choice at all for bigger units.

I would not be buying now for a need 3-5 years from now. I would be watching resale in a year or two for a good loaded contract that flips the math. Resale is very tight right now, so you wait and watch.

 

[kandlsutton]

VGF is going to be heavy on studios now, so maybe not a great choice at all for bigger units.

I would not be buying now for a need 3-5 years from now. I would be watching resale in a year or two for a good loaded contract that flips the math. Resale is very tight right now, so you wait and watch.

VGF points would be for DH and I so larger point contracts can be used for larger accommodations. Sorry - that wasn’t clear in my first post.

Waiting and watching is what I’ve been doing and I’m just a little impatient. Luckily, my common sense wins out over addonitis most of the time.

 

[CSLucas]

Curious what others are thinking. I WANT more points. I don’t NEED more points (yet) but I will in 3-5 years when bigger accommodations are needed for extended family visits. Direct and resale prices continue to rise. So buy now or wait and see?

We are in the same boat - we have enough VGF points right now for our needs for the next 2-3 years, but after that we are going to want about 65-100 more. We decided to wait and see. I am willing to gamble on VGF going down enough in price once it goes back into active sales to make it worth the wait. But, having unrestricted points is important to us. If you don't care about unrestricted points and already have enough direct points for a blue card then I would be tempted to start looking at resale contracts, but I still wouldn't be in a hurry if you don't need the points yet. The way I look at it, if I don't need the points right now then even if the price increases $20/pt before I am ready to buy, I am still coming out ahead due to not paying MFs on those points (and yes, I know I could rent them to offset that, but if I have them I know we will just use them). I am putting some money aside currently so we will be ready if the price is right on the new VGF points.

 

[Nabas]

VGF points would be for DH and I so larger point contracts can be used for larger accommodations. Sorry - that wasn’t clear in my first post.

Sorry, I don't understand. In your posts you mention "bigger accommodations" and "larger accommodations". I interpret this as a 2BR or a Grand Villa.

As @RoseGold wrote, VGF2 is just Studios.

I am guessing what you mean is that you already have larger contracts, but want to add at VGF2 so you and your DH can stay at a Studio at VGF2.

Resale prices for smaller VGF contracts are so high right now, I think VGF2 is only going to open for existing DVC members for 10% to 15% more.

Before they delisted it, the VGF "sold out" price was $255pp. VGF2 almost certainly will open below that for existing DVC members.

Remember that in the past, Disney has briefly offered a "DVC member" discount rate at a new DVC resort. I suspect they will do the same at VGF2.

 

[sethschroeder]

VGF I think is the least likely to really rise now of any resort. There is a whole new subset of points coming and we will see if some people cash out now or possibly there is a slight decrease in direct cost.

We also don't know much about the new rooms.

 

[ottosmom]

I’m wrestling with the same question and I’ve decided to wait it out and wait to buy when sales at VGF2 start. I’ll be guaranteed access to riviera and future resorts

 

[sethschroeder]

I’m wrestling with the same question and I’ve decided to wait it out and wait to buy when sales at VGF2 start. I’ll be guaranteed access to riviera and future resorts

Realistically as of now there is no action until we get closer to the next price increase on VGF. Then it will start to be a question.

Until then you are simply losing out on 1 year of points possibly but you are also not paying MFs.

 

[Nabas]

Realistically as of now there is no action until we get closer to the next price increase on VGF. Then it will start to be a question.

Until then you are simply losing out on 1 year of points possibly but you are also not paying MFs.

I’ve seen a few recent DVC direct buyers mention getting the previous year’s points as a bonus.

But I also have seen mention it depending on what Use Year you select.

Any idea how that works?

 

[macman123]

I’ve seen a few recent DVC direct buyers mention getting the previous year’s points as a bonus.

But I also have seen mention it depending on what Use Year you select.

Any idea how that works?

It won't be the previous year points, it will be the ones you are entitled to.

For example, my UY is August.

Therefore if I purchase directly before 31st July, I would get 2020 points, which DVC will usually bank and another set of points on 1st August.

It's not previous years points, its the ones you are entitled to anyway.......

 

[KTownRaider]

There is no bonus, just an timing quirk that can feel like a bonus. It's about the UY you pick and the time within that month's UY that you bought. If you chose to buy a 100pt August UY contract today, then today (June 4, 2021) is currently still in the Aug 2020 UY. Disney is obligated to give you your full allotment of Aug 2020 UY points today (100 pts). Then when August 1, 2021 hits, you'd enter your Aug 2021 UY, and get your second distribution of 100 pts (200 points total) within 2 months which feels like a bonus for many.

 

[davidl81]

I think I would wait for VGF2 as opposed to buying resale right now (unless you just find a steal of a resale contract). Resale VGF prices seem to be ballpark 185-200 right now depending on size and banks/stripped points. Direct VGF2 will be anywhere from $201 to $255 minus incentives. Let's just assume a middle ground of $225 a point direct. I don't think a $25 a point savings is worth the trouble on resale depending on the total amount of points you want. And direct will be able to match your UY etc. My gut feeling is direct will offer current DVC members some type of early buy promo which will end up being lower than the $225 I am using, but others disagree.

 

[Nabas]

It won't be the previous year points, it will be the ones you are entitled to.

For example, my UY is August.

Therefore if I purchase directly before 31st July, I would get 2020 points, which DVC will usually bank and another set of points on 1st August.

It's not previous years points, its the ones you are entitled to anyway.......

Do you pay Maintenance Fees for both years?

 

[Sandisw]

Do you pay Maintenance Fees for both years?

No. MFs are based on calendar year and owed from date of ownership

So, DVD charges prorated from day you purchase.

So, I bought today with my December UY, I pay 7 months of dues for 2021. . If I buy in November,I pay 2 months of dues.

In both cases, I get the same points because both are purchased during my Dec 2020 UY.

In resale, most owners want to get reimbursed 100% for the current UY points, even if they are buying well into the year.

I always consider that when I offer via email and compare to direct.

 

[Nabas]

No. MFs are based on calendar year and owed from date of ownership

So, DVD charges prorated from day you purchase.

So, I bought today with my December UY, I pay 7 months of dues for 2021. . If I buy in November,I pay 2 months of dues.

In both cases, I get the same points because both are purchased during my Dec 2020 UY.

In resale, most owners want to get reimbursed 100% for the current UY points, even if they are buying well into the year.

I always consider that when I offer via email and compare to direct.

Thanks!

I'm going to make up an example. Please let me know if I have it right.

Let's say Maintenance Fee (MF) is $6.00 per point (i.e. $0.50 per month).

Today is June 1, 2021. If I buy today with a (for example) September Use Year:

I pay no MF for 2020 points?

I pay $3.50 per point (for 7 out of 12 months left in 2021) for 2021 points?

 

[KTownRaider]

Thanks!

I'm going to make up an example. Please let me know if I have it right.

Let's say Maintenance Fee (MF) is $6.00 per point (i.e. $0.50 per month).

Today is June 1, 2021. If I buy today with a (for example) September Use Year.

I pay no MF for 2020 points?

I pay $3.50 per point (for 7 out of 12 months left in 2021) for 2021 points?

Essentially yes. Maintenance Fees aren't tied to UY per se- but how much of the calendar year did you own at a particular property. In your example, if you bought on 6/1, you would be responsible for 7/12th or 58.3% your annual dues. If your MF is $6/pt, then you would pay $3.5 per pt. Put another way, your annual dues for 100 pts would normally be $600, but would be prorated this year to $350 (58.3% of $600).

Side note- When buying direct, you'll get your points almost immediately, but Disney will hold off charging your prorated dues until you actually close (paid in full) and the deed is recorded with the county.

 

[Sandisw]

Thanks!

I'm going to make up an example. Please let me know if I have it right.

Let's say Maintenance Fee (MF) is $6.00 per point (i.e. $0.50 per month).

Today is June 1, 2021. If I buy today with a (for example) September Use Year:

I pay no MF for 2020 points?

I pay $3.50 per point (for 7 out of 12 months left in 2021) for 2021 points?

That’s correct and it’s one aspect to consider sometimes when deciding between resale and direct,

Yes, everything is negotiable with resale, but that little bit of savings with direct can at least help offset some of the closing costs, especially if you buy late in the year,

We may decide to buy VGF next year direct for my Dec UY and I will be waiting to purchase until October so I get my 2021 UY points, but don’t pay more than 3 months of dues!

 

[Nabas]

That’s correct and it’s one aspect to consider sometimes when deciding between resale and direct,

Yes, everything is negotiable with resale, but that little bit of savings with direct can at least help offset some of the closing costs, especially if you buy late in the year,

We may decide to buy VGF next year direct for my Dec UY and I will be waiting to purchase until October so I get my 2021 UY points, but don’t pay more than 3 months of dues!

Any idea what are direct closing costs?

 

[Nabas]

Side note- When buying direct, you'll get your points almost immediately, but Disney will hold off charging your prorated dues until you actually close (paid in full) and the deed is recorded with the county.

I have heard that Disney also can make your first DVC reservation for you, having access to points that have not yet been released to other DVC members.

In our case, we would like our first VGF2 stay to be in December 2022. As I understand it, Disney will be able book this for us. Is this right?

 

[Grumpy by Birth]

No. MFs are based on calendar year and owed from date of ownership

So, DVD charges prorated from day you purchase.

So, I bought today with my December UY, I pay 7 months of dues for 2021. . If I buy in November,I pay 2 months of dues.

In both cases, I get the same points because both are purchased during my Dec 2020 UY.

In resale, most owners want to get reimbursed 100% for the current UY points, even if they are buying well into the year.

I always consider that when I offer via email and compare to direct.

So, if I'm understanding you correctly about prorated MFs, the best time (strictly in terms of cost) to buy add-on direct if I have a SEP UY would be in August (assuming I'm in no hurry to use the points for a hard-to-get reservation or other extenuating circumstances).

That way, we would get all current UY points and then one month later get the next UY's points, but we wouldn't have to pay MFs for Jan-July of the current calendar year?

Of course, this also assumes that prices don't go up between now and August, which could wipe out the potential MF savings of waiting until the latest date to buy and still get the current UY points.

And, to be honest, I'm mostly just curious about this. I almost certainly won't be adding on again this year anyway. 1-2 years from now... we'll see. And maybe the landscape is entirely different then and we stick with another resale add-on.