Ways to Sell DVC???

[Maleficent Dragon]

I called Member Services and was told the only way a person can sell their DVC is through Fidelity. I know that there is also DVC Resale. Member Services told me I could not use them to sell my membership per the contract I signed and I am required to go through Fidelity. I have some questions:

• Is that true that my only option for selling DVC is through Fidelity?
• If I can use other resources, is DVC Resale the only other option?

I did call Fidelity and I spoke with somebody. In order to sell my membership, I would lose over $1200 out of pocket to sell it, which is obviously something that makes no sense at all. The agent/rep/realtor told me the max I could get for points, what I would have to pay for closing and such is the best anybody could do and pretty much everybody that sells DVC ends up paying out of pocket to unload it. Is that true that Disney really has the owner over a barrel once you buy in?

 

[lovin'fl]

Fidelity is one of the resale brokers...the one Disney refers folks to. Folks buy through Fidelity for good deals as many distressed contracts are sold through them. There are other resellers you can list through, like the sponsor of the Disboards (TTS). All will charge, what is it???, 10% fee for selling. Closing costs (not same as the 10% fee) are usually paid by buyers unless they negotiate that the seller pays. This is the only way to sell your contract or for sale by owner and you'd need to find a buyer. Can also sell on ebay but I don't know much about that.

 

[bwvBound]

I'm guessing that Fidelity is the only channel they are permitted to recommend.

 

[disneynutz]

You can sell through a broker, commission can be up to 10% or you can sell by owner but you need to know what you are doing.

Disney has a business relationship with Fidelity and gets paid for that relationship.

Losing money when selling is not that uncommon, DVC tends to loose less than other timeshares which can loose thousands.

Bill

 

[chalee94]

• Is that true that my only option for selling DVC is through Fidelity?
• If I can use other resources, is DVC Resale the only other option?

of course not. there are several resellers, TTS being the one i used to purchase DVC in the first place.

you can also sell it yourself (on ebay or to a neighbor or whatever). you would still need to submit the contract to disney for ROFR, though, so if the buyer gets too good of a deal, disney might take it away from them.

I did call Fidelity and I spoke with somebody. In order to sell my membership, I would lose over $1200 out of pocket to sell it, which is obviously something that makes no sense at all.

if you bought a car and had to turn around and sell it, wouldn't you expect to lose money?

i'm not sure you've thought much about this one. (and it drives me crazy the number of people who buy a timeshare without asking the question *beforehand* "what if my circumstances change and i need to get out of this contract?")

 

[Maleficent Dragon]

if you bought a car and had to turn around and sell it, wouldn't you expect to lose money?

i'm not sure you've thought much about this one. (and it drives me crazy the number of people who buy a timeshare without asking the question *beforehand* "what if my circumstances change and i need to get out of this contract?")

WOW, there is no need for you to be hateful or condescending. You know nothing whatsoever about my contract, how much money I put down, how many points I own, how long I have had it, when I purchased it, etc. You also have no idea what discussions I had with my Tour Guide.

Not that it is any of your business, but since you have decided to make assumptions....I dont NEED to get out of the contract, I just dont want it. I have never sold a house or car and lost money. Who does that??

 

[disneynutz]

WOW, there is no need for you to be hateful or condescending. You know nothing whatsoever about my contract, how much money I put down, how many points I own, how long I have had it, when I purchased it, etc. You also have no idea what discussions I had with my Tour Guide.

Not that it is any of your business, but since you have decided to make assumptions....I dont NEED to get out of the contract, I just dont want it. I have never sold a house or car and lost money. Who does that??

I don't think that chalee94 is meaning to be hateful or condescending, sorry that you took it that way.

I have always lost money on every car that I have sold.
Have lost money on a house sale.
Lost money on selling DVC contracts, our last contracts sold we lost $10,000 dollars.

Bill

 

[mommacat56]

Though I have never sold any of my contracts, I would feel very comfortable selling through The Timeshare Store. I have purchased multiple resales through them and know them to have great knowledge of the DVC product (second to none IMHO) and terrific service throughout the entire process. I have never used Fidelity and not sure that I would (my personal choice), given some of the reports here about poor to no communication during the process.

 

[Maleficent Dragon]

I don't think that chalee94 is meaning to be hateful or condescending, sorry that you took it that way.

I have always lost money on every car that I have sold.
Have lost money on a house sale.
Lost money on selling DVC contracts, our last contracts sold we lost $10,000 dollars.

Bill

I understand that everybody does finances a bit differently, but truly, we have never sold anything and lost money. I would even be willing to sell my contract if it is break-even, but it seems silly to me to pay somebody to take your contract. Maybe if I HAD to get out of it that would make me feel differently.

 

[Maleficent Dragon]

Though I have never sold any of my contracts, I would feel very comfortable selling through The Timeshare Store. I have purchased multiple resales through them and know them to have great knowledge of the DVC product (second to none IMHO) and terrific service throughout the entire process. I have never used Fidelity and not sure that I would (my personal choice), given some of the reports here about poor to no communication during the process.

Thank you for that valuable feedback.

 

[disneynutz]

I understand that everybody does finances a bit differently, but truly, we have never sold anything and lost money. I would even be willing to sell my contract if it is break-even, but it seems silly to me to pay somebody to take your contract. Maybe if I HAD to get out of it that would make me feel differently.

Glad you didn't buy a different timeshare. Some of those sell for thousands new and $1.00 when the owner tries to unload it. I have read that they can't give it away and they are stuck paying dues for years and years.

Bill

 

[sndral]

...
I did call Fidelity and I spoke with somebody. In order to sell my membership, I would lose over $1200 out of pocket to sell it, which is obviously something that makes no sense at all. The agent/rep/realtor told me the max I could get for points, what I would have to pay for closing and such is the best anybody could do and pretty much everybody that sells DVC ends up paying out of pocket to unload it. Is that true that Disney really has the owner over a barrel once you buy in?

This and the bolded statement below tells me that you financed your contract and the money that you owe is more than the money you would realize if you sold your contract.
The fidelity person probably told you the going rate for resale on the resort you own and the closing costs plus their commission for a ballpark estimate of where you stood if you sold your contract. It's possible you could get more for your points - small contracts being more valuable than large contracts. Closing costs and the like are always negotiable between buyer and seller. Might be worthwhile to call another broker or two to see if their numbers are about the same.

WOW, there is no need for you to be hateful or condescending. You know nothing whatsoever about my contract, how much money I put down, how many points I own, how long I have had it, when I purchased it, etc. You also have no idea what discussions I had with my Tour Guide.

Not that it is any of your business, but since you have decided to make assumptions....I dont NEED to get out of the contract, I just dont want it. I have never sold a house or car and lost money. Who does that??

Unless you have it in writing, anything your tour guide led you to believe is meaningless. Timeshare salesman aren't known for their honesty, although the Disney sales people seem a cut above most, but that's not saying much. Caveat Emptor when you listen to a time share salesman.

I understand that everybody does finances a bit differently, but truly, we have never sold anything and lost money. I would even be willing to sell my contract if it is break-even, but it seems silly to me to pay somebody to take your contract. Maybe if I HAD to get out of it that would make me feel differently.

Unlike you, some people find it worthwhile to pay the loss up front so as not to continue to make the monthly payment on the loan and to pay the annual maintenance fees.
A new car is a very apt description - the minute you drive it off the lot, it's worth less than you paid for it, just like buying a timeshare direct from the selling company. If you financed your car or timeshare then you might owe more money on the loan than what you could sell the car or timeshare to someone else for.
In another year or two you may have paid your DVC loan down to the point where you won't have to bring money to the table.

 

[OrangeCountyCommuter]

I understand that everybody does finances a bit differently, but truly, we have never sold anything and lost money. I would even be willing to sell my contract if it is break-even, but it seems silly to me to pay somebody to take your contract. Maybe if I HAD to get out of it that would make me feel differently.

Didn't buy Hilton Head did you ?


I sold that dog for less then I paid for it. Luckily it was only 59 pts

 

[DebbieB]

How do you define "lost money" considering what you have used it for? If you used it for 5 years and sell it for $2,000 less than you bought it for, you got your monies worth.

 

[Dean]

I called Member Services and was told the only way a person can sell their DVC is through Fidelity. I know that there is also DVC Resale. Member Services told me I could not use them to sell my membership per the contract I signed and I am required to go through Fidelity. I have some questions:

• Is that true that my only option for selling DVC is through Fidelity?
• If I can use other resources, is DVC Resale the only other option?

I did call Fidelity and I spoke with somebody. In order to sell my membership, I would lose over $1200 out of pocket to sell it, which is obviously something that makes no sense at all. The agent/rep/realtor told me the max I could get for points, what I would have to pay for closing and such is the best anybody could do and pretty much everybody that sells DVC ends up paying out of pocket to unload it. Is that true that Disney really has the owner over a barrel once you buy in?

Timeshares are a depreciating asset, basically everyone who buys retail will lose money in one capacity or another, possibly ignoring very small contracts. I don't know your home resort, points availability or contract size and it does make a different as to the answer so these are general statements. As pointed out, the definition of "lose money" does come into play, to me it's purchase price plus close plus interest minus sales price, commissions and any closing or dues on unused points I have to pay. I don't include usage in that definition for a number of reasons.

There are a number of brokers where one can sell plus ebay, redweeks & TUG to mention a few option. IF you need out, $1200 likely is small potatoes, most would likely lose more from a resale purchase, likely in the 20-40% range or more of original purchase price depending on specifics. The car reference is a good one though it underestimates the risk. Basically 100% of people who buy a new car and later sell it or trade it in lose money, it's just the many of them don't realize they did because of all of the hype and hidden info, esp if they trade it in. Personally I wouldn't let the $1200 be a deterrent if you do need out, IMO the "I don't want to lose money on it" roadblock is basically the same as letting perfect be the enemy of good. Alternatives would be to keep it and use it or keep it for now and rent it.

 

[LisaS]

Many of us here have bought and/or sold contracts through The Timeshare Store. They are a board sponsor. Click on their banner at the top of this page to go to their site. Click on the "DVC Resale Listings" link near the top of the page to see the contracts they currently have listed for sale to get some idea of current asking prices. Small contracts (100 points or less) sell for a higher price per point so look for a similarly sized contract at the same resort you own to get an idea of current price ranges. If you talk to someone at TTS they should be able to give you an idea of what you might get for your contract based on recent sales.

I believe their sales commission rate is 10% but you should verify that with them.

There are other costs associated with the sale such as closing costs and sometimes a partial dues reimbursement from buyer to seller or an offer to cover next year's dues from seller to buyer depending on how many points have been used.

 

[crisi]

I'm somewhat surprised it hasn't been mentioned.

If you don't need to sell but simply won't be using your points, you can rent them. If you rent through David its really easy - you'll have a little initial paperwork - he'll send you a request - you make the reservation and send him the confirmation.

You'll get $11 a point, which will cover dues and perhaps cover your payment for the year if you do still have one (if you want a little more work, and own at one of the newer resorts - and I'm guessing you do - you can do the work yourself and get a little more money from it - but with a little more risk - David does an escrow transaction - he gets full payment up front, you get half when you book and half when travel happens)

If you have a loan, this can help cover you until you won't have money out of pocket to close. You'll still pay a commission and might pay closing or those other things Lisa mentioned when you do sell.

You may want to review the ROFR thread here, that will give you an idea of what contracts sell for - although it does tend to skew low - it can be a bragging thread about what a bargain people got. However, looking at the Timeshare Store listings isn't accurate either - because people don't always sell at what they list for.

 

[dmaxphil]

Not that it is any of your business, but since you have decided to make assumptions....I dont NEED to get out of the contract, I just dont want it. I have never sold a house or car and lost money. Who does that??

Uh.. Not to sidetrack this discussion, but how have you never lost money on a car?

 

[TagsMissy]

Uh.. Not to sidetrack this discussion, but how have you never lost money on a car?

Believe me I've been wondering the same thing reading all the posts...

 

[supersnoop]

Uh.. Not to sidetrack this discussion, but how have you never lost money on a car?

It seems clear that we have different definitions of "lost money" than the OP.

If I buy a car for $15,000 and put $5,000 down, then sell it the next day for $12,000, I'd say I lost $3,000. But to the OP, it seems, she made $2,000. To be clear, the OP has never sold something while upside-down, until now. She's never owed more than the current value. Which is another reason why financing a timeshare is a terrible idea.