what happens to existing reservation if sold

[mnra]

Ok i have BWV and I am thinking of selling what happens to the existing reservation that I have for later this year thanks

 

[chalee94]

it's cancelled immediately.

that's why some resale listings say they cannot close until after a certain date.

 

[mnra]

thank you for the info

 

[jmmess]

Was going to say the same as Charles. You can put it on the market now with a "can close after x-date" so the buyer is aware.

 

[JimMIA]

To be a little more specific, the reservation will be canceled by Disney when they process the account transfer paperwork after closing.

If you delay closing until after a booked vacation, nothing changes. But a "can't close until..." listing is unattractive to most people, which will impact your selling price. Also, obviously, points that are currently in the account are going to be used for that reservation, also making the deal less attractive.

The other option is to simply cancel the existing reservation to make the listing more attractive and vacation in some other manner. That's what we did when we sold a contract a couple of years ago. We got a quick sale at a little higher price, which was better both for the seller and buyer.

 

[Dean]

it's cancelled immediately.

that's why some resale listings say they cannot close until after a certain date.

As noted below they're canceled late and not early. Basically after closing. And for gratuitous transfers they are not canceled at all.

To be a little more specific, the reservation will be canceled by Disney when they process the account transfer paperwork after closing.

If you delay closing until after a booked vacation, nothing changes. But a "can't close until..." listing is unattractive to most people, which will impact your selling price. Also, obviously, points that are currently in the account are going to be used for that reservation, also making the deal less attractive.

The other option is to simply cancel the existing reservation to make the listing more attractive and vacation in some other manner. That's what we did when we sold a contract a couple of years ago. We got a quick sale at a little higher price, which was better both for the seller and buyer.

 

[wdrl]

By the way, the Aulani Master Declaration permits reservations to remain in place if both the seller and the buyer agree to it. It is the only DVC resort that permits existing reservations to be carried over from one owner to another.

 

[KAT4DISNEY]

To be a little more specific, the reservation will be canceled by Disney when they process the account transfer paperwork after closing.

If you delay closing until after a booked vacation, nothing changes. But a "can't close until..." listing is unattractive to most people, which will impact your selling price. Also, obviously, points that are currently in the account are going to be used for that reservation, also making the deal less attractive.

The other option is to simply cancel the existing reservation to make the listing more attractive and vacation in some other manner. That's what we did when we sold a contract a couple of years ago. We got a quick sale at a little higher price, which was better both for the seller and buyer.

That's not how I was told it works when I sold a contract that I had a reservation on. I kept the reservation during the listing - if it hadn't sold we would have used it. So I had heard the above stated more than once and when I had done the listing paperwork I included the info on the reservation in the space that they asked me to and if I would cancel or intended to keep it to which I stated cancel. We had an offer on the contract which I accepted and were in the process of signing the paperwork when I received a nasty message from the broker that I had lied about the number of points available. When I called back and pointed out the reservation they told me it didn't work that way (for Disney to cancel the reservation at closing) and that I needed to cancel. If I didn't cancel so that they could confirm the number of points I had listed for sale then the sale couldn't proceed.

 

[Dean]

That's not how I was told it works when I sold a contract that I had a reservation on. I kept the reservation during the listing - if it hadn't sold we would have used it. So I had heard the above stated more than once and when I had done the listing paperwork I included the info on the reservation in the space that they asked me to and if I would cancel or intended to keep it to which I stated cancel. We had an offer on the contract which I accepted and were in the process of signing the paperwork when I received a nasty message from the broker that I had lied about the number of points available. When I called back and pointed out the reservation they told me it didn't work that way (for Disney to cancel the reservation at closing) and that I needed to cancel. If I didn't cancel so that they could confirm the number of points I had listed for sale then the sale couldn't proceed.

It does, the broker was either misinformed or unwilling to proceed with the reservation in place. DVC will not cancel the reservation until part of the final transfer but they WILL cancel all reservations including CC, DCL & RCI at some point late in the game. As I noted, it's different for gratuitous transfers or name change situations.

 

[KAT4DISNEY]

It does, the broker was either misinformed or unwilling to proceed with the reservation in place. DVC will not cancel the reservation until part of the final transfer but they WILL cancel all reservations including CC, DCL & RCI at some point late in the game. As I noted, it's different for gratuitous transfers or name change situations.

Unknown what but it was they are a broker that should be very familiar with the process and told me otherwise. I cancelled the reservation, they then could get the correct point verification they wanted and the contract was sent to ROFR. However, I will say that that agent was far from my favorite to work with and did not have the best attention to detail.

 

[dundey]

What broker was it? I recently had an issue with one and am wondering if it was the same person.

 

[Dean]

Unknown what but it was they are a broker that should be very familiar with the process and told me otherwise. I cancelled the reservation, they then could get the correct point verification they wanted and the contract was sent to ROFR. However, I will say that that agent was far from my favorite to work with and did not have the best attention to detail.

I'd guess it's more a decision they've made as a company rather than lack of familiarity. It does cloud the numbers on documentation but should be easy to document though it'll require some piecing together. I'd suspect it's a little unusual as must people going to resale with existing reservations are likely to want to use them and possibly delay closing to do so. I've listed a contract with a pending reservations that would have been canceled if sold but later pulled it before we had a firm offer. It's also possible for the broker to verify the points then have the owner make reservations changing the points, I've seen this happen a number of times. At the end of the day, what Jim posted is how DVC/DVD handles this issue. All the rest should be able to be worked around with communication.

 

[KAT4DISNEY]

What broker was it? I recently had an issue with one and am wondering if it was the same person.

This info came from TTS but the agent did retire sometime in the past couple of years.

I'd guess it's more a decision they've made as a company rather than lack of familiarity. It does cloud the numbers on documentation but should be easy to document though it'll require some piecing together. I'd suspect it's a little unusual as must people going to resale with existing reservations are likely to want to use them and possibly delay closing to do so. I've listed a contract with a pending reservations that would have been canceled if sold but later pulled it before we had a firm offer. It's also possible for the broker to verify the points then have the owner make reservations changing the points, I've seen this happen a number of times. At the end of the day, what Jim posted is how DVC/DVD handles this issue. All the rest should be able to be worked around with communication.

Or perhaps the agent was just providing an excuse after saying that I had provided false point info for the listing and not having double checked the paperwork to note the existing reservation. It was not the first transaction I had with the agent and as I said they had missed details before. But they did not state that it was the companies decision - just that it didn't work that way with DVC to cancel a reservation. Considering that the company had the question on the listing about existing reservations and if the lister wanted to keep it or not, coupled with other information since then, suggests that it may have just been this agent making up the procedure.

 

[Dean]

Or perhaps the agent was just providing an excuse after saying that I had provided false point info for the listing and not having double checked the paperwork to note the existing reservation. It was not the first transaction I had with the agent and as I said they had missed details before. But they did not state that it was the companies decision - just that it didn't work that way with DVC to cancel a reservation. Considering that the company had the question on the listing about existing reservations and if the lister wanted to keep it or not, coupled with other information since then, suggests that it may have just been this agent making up the procedure.

Maybe, hard to know, esp at this point. The procedure we've posted has been the way it's been for a number of years. I can certainly see a company not wanting to fool with this because it is confusing for all concerned. You'd really have to write it into the listing to make it easy and clear.