What is the downside to renting your DVC points?

[moreisgood]

I know the obvious - you can't use them!

But, what else? I'm looking to buy a resale contract that is more points than I think we'll use, but I'd rent them out, and it seems easy enough if you use a service to do that.

What am I missing?

 

[disneynutz]

I know the obvious - you can't use them!

But, what else? I'm looking to buy a resale contract that is more points than I think we'll use, but I'd rent them out, and it seems easy enough if you use a service to do that.

What am I missing?

Disney could make it more difficult to rent and you are responsible for the renters should something happen to the room.

Bill

 

[Deb & Bill]

I know the obvious - you can't use them!

But, what else? I'm looking to buy a resale contract that is more points than I think we'll use, but I'd rent them out, and it seems easy enough if you use a service to do that.

What am I missing?

It may be more difficult than you think to sell them. The renter could leave a mess or skip a bill and you would be responsible for the payment. DVC could change their position on renting. You have to deal with renters with no knowledge of how DVC works.

Even if you use a service to rent them, you have to be the first to respond to them when they get a renter. So you have to check your e-mail frequently.

 

[chalee94]

most of the problems are rare/unlikely. like that a renter will ask for an upgrade to a villa that costs more pts and a n00b front desk person will give it to them which would wind up costing you more pts and messing up your account. (it has happened. like the guy who left room charges unpaid which got a DVC member's account frozen for a bit while DVC investigated the situation.)

the biggest issue is the hassle. (and the risk that disney will decide to cut back their competition by trying to discourage member rentals. whether outright or simply making it more complicated - like when they required payment upfront when adding the DDP.)

 

[moreisgood]

most of the problems are rare/unlikely. like that a renter will ask for an upgrade to a villa that costs more pts and a n00b front desk person will give it to them which would wind up costing you more pts and messing up your account. (it has happened. like the guy who left room charges unpaid which got a DVC member's account frozen for a bit while DVC investigated the situation.)

the biggest issue is the hassle. (and the risk that disney will decide to cut back their competition by trying to discourage member rentals. whether outright or simply making it more complicated - like when they required payment upfront when adding the DDP.)

I'm a landlord, and have been for 15 years, of nice properties, so it does all sound like typical landlord stuff. I hadn't thought about the room damage. When someone checks in, do Disney ask them for a credit card like they do in a traditional hotel?

 

[Deb & Bill]

I'm a landlord, and have been for 15 years, of nice properties, so it does all sound like typical landlord stuff. I hadn't thought about the room damage. When someone checks in, do Disney ask them for a credit card like they do in a traditional hotel?

If they want to charge purchases to their room, they do. But the unscrupulous renter could cancel the card or report it as stolen before it hit $1500 to be charged and check out. So when Disney tries to charge the purchases to the card, there is no card to submit the bills.

 

[moreisgood]

If they want to charge purchases to their room, they do. But the unscrupulous renter could cancel the card or report it as stolen before it hit $1500 to be charged and check out. So when Disney tries to charge the purchases to the card, there is no card to submit the bills.

It's always that the good people are good, but make mistakes, and the bad people are very good being bad!

So, as the owner, you're on the hook for unlimited purchases up to $1500?

 

[myxdvz]

Depending on what resort you buy, they may not easily be rentable.

I would say, if only for those rare years, there wouldn't be a problem renting. But if you're buying extra points solely for the purpose of renting - I just think you need to understand all the risks, which if you say you are a landlord, you should know about.

 

[chalee94]

It's always that the good people are good, but make mistakes, and the bad people are very good being bad!

So, as the owner, you're on the hook for unlimited purchases up to $1500?

i can't remember how it was resolved but i think this is one of the threads if you are interested:

http://www.disboards.com/showthread.php?t=2053297

 

[twoj]

I bought more points than I need since when my youngest daughter is 3 we will need to stay on larger rooms. In the meantime I rent out the surplus through David's -- so far all has gone well!

I have a couple of friends interested in renting them as well!

 

[RobDoc]

i can't remember how it was resolved but i think this is one of the threads if you are interested:

http://www.disboards.com/showthread.php?t=2053297

Everything eventually worked out for this member - http://www.disboards.com/showpost.php?p=29923883&postcount=117

While this is a very rare occurrence, it can (and has) happened. There was another similar report a number of years ago where a member's family member had a balance left on the room. That also had a good end result but with some angst for the member until it was settled.