What Happens after being ROFR'd by Disney?

[WDWNewbie]

I'm going to comment on ROFR at the expense of sounding really DUMB!!!

In light of the recent SSR incentive, we do NOT know what the buy back prices are. We can only make an educated guess. As I said in an earlier post, if there ever was a time to try to slip one through ROFR, THIS IS IT!!!
Keep in mind, this board represents a very small percentage of the total packages we sell. For every ROFR you hear about, there are 10 that pass.

I personally think the buybacks are for packages that are already on the DVC waitlist. The reason I say this is there seems to be NO consistency to those that are ROFR'd since the new incentive. The prices are all over the board.

Tom

Tom--

Just curious--have you noticed any particular resort or contract size getting ROFR'd more than others? Any that seems to pass more often than others?

 

[lark]

Let me take another swing at this to see if it makes sense. I'm very happy with the service that I got from Jason at TSS and wish that I could get a contract for VWL. But I'm not ready to spend $92 per point through DVC.

Here is my point. If Disney has a waiting list of buyers interested in VWL @ $92 per point, and you own points that you paid, say, $70 for, then why wouldn't you try to sell them through resale for maybe $85 per point plus closing? Putting aside situations where someone needs to get out from a contract in a hurry, why would you let Disney make an extra $6 per point by listing your contract for $79? How does that benefit the seller or TSS? So if recent sales have been going higher, why wouldn't someone test the market instead of giving away extra dollars? Isn't one of the benefits of ownership the fact that your investment is somewhat protected by ROFR? That said, resales for hot properties should maybe be listed for the current SSR price per point as then a buyer really has 2 options.

I don't really understand the question, because I don't think anyone here is talking about anyone "giving away dollars." If you have DVC points that you wish to sell on the resale market, unless you have something highly unusual, how much you can get for it has very little to do with how much disney is or isn't charging. It's pretty much solely a function of what else is out there on the resale market.

There's always a pretty good inventory of resale points out there. If everyone has 150 point contracts offered at $83, and you list at $85, it's not going to sell, whether disney is charging $88, $95, or $100. Similarly, if the market is at $88, then it will sell at $85, unless there's absolutely zero demand.

I think part of your premise seems to be that people are snapping up resale DVC points as soon as they hit the market. I don't think that's the case. Just look at the resale listings on the TSS web site -- many of those have been around for a very long time. (It's usually a give away when they say "points coming on . . . " and the date is 3 months ago.) And many of these are at prices not much above the perceived ROFR thresholds.

The problem with selling DVC is that points is points. It's not like having a red week at a So. Cal. timeshare. So there's a least common denomenator effect. Someone sitting on 200 points who is ready to sell and looking down the barrel of another MF contract is not going to list them for $85 if there's even a single $83 contract being offered by the TSS. Well, maybe they are, but they are being unrealistic if they are.

Sure, if time is not an issue for you, go ahead and list at the absolute highest you think just might attract a buyer and then work your way down. I think it's a safe bet that for many people, the danger of losing banked points or paying big MF bills, makes getting that last few hundred dollars by insisting on $85 instead of $82 pretty much irrelevant when they're looking at a $20,000 check coming in.

 

[calypso*a*go-go]

Another thing to keep in mind is that you (highlander and others) have found a very useful tool by discovering all the info. available on this board and can see evidence (the ROFR thread) as far as what has been passing and what hasn't.

There are many DVC owners out there that have never even heard of this forum and therefore may not have as much knowledge. How are they to know what's passing and what isn't?

I still feel is really boils down to them thinking they are lucky to be getting their initial investment back (and possibly making money) on the resale of a timeshare/vacation club membership. That's all many of them really want.

 

[highlander]

Calypso, you bring up some good points, thanks. Maybe I'll get lucky some day and get what I want. In the meantime, I'll stay in WL and enjoy all that Disney has to offer.

 

[calypso*a*go-go]

Of course you'll get lucky...just keep trying!!! The main reason you've had such difficulty w/VWL is because the resort is small compared to the other DVC locations and there just aren't that many contracts available. Many people want points there for the sole purpose of having the 11 mo. window to book for the holidays. If you plan to stay there during off-peak times, you may be just as well off by buying points @ OKW (lots of contracts available) and booking VWL @ the 7 mo. window. Even if you can't get the ressie right away, there's always the waitlist. Just something to think about. I'm sure we'll be welcoming you home soon!!!