What makes DVC worth investing in?

[Miffy]

Right. The experience is better overall because the negative associated with the out of pocket cost is removed. It's not that prepaying something magically makes a bad experience amazing. Plenty of people have bad experiences with DVC and the dining plan and don't return to those places. Well said.

I'm going to jump in here, even though I don't own DVC and wouldn't. But I do go to WDW pretty often and I do eat in WDW restaurants while I'm there. And I never have the dining plan. Ever. If I bought it, WDW would probably put up a plaque in my honor, since I normally spend far far less than any of the dining plans even though I often have one TS meal/day during each trip.

But to get to my point--when I go to a restaurant, even a restaurant at WDW (and call me crazy if you want to), I expect to pay for the meal I'm having there. I mean, that's part of the experience of going to a restaurant. Someone else makes the food for me and I pay them for making the food, serving it, cleaning up, etc. So I don't have to. Paying for it in advance, or, in my case it'd be overpaying for it in advance, wouldn't make the meal any more enjoyable to me. In fact, it'd be less enjoyable the moment I realized that I'd paid far more for it than I had to. And it'd be less enjoyable (to me) when I realized that I was limited to certain menu choices--for example, not being able to have an appetizer as my main course--because of this dining plan.

If the co-op I live in sent me a letter saying that I could pay the total amount of my yearly maintenance in advance and that it'd be 20% more than the cost of paying it every month, but I'd be so relaxed because I would no longer have to send them money every month but could send it to them all at once, I'd turn them down. And I'm guessing that everyone who got such a letter would turn them down as well. To me, that's how the dining plan plays out. But I'm not a family of 5 who goes to a character meal every day. I believe that's the type of traveler for whom the dining plan may make actual sense.

In the same way, there are travelers for whom buying into DVC may make sense--of a sort. But buying DVC is largely an emotional decision. And a great big financial commitment.

 

[kboo]

I think the luxury purchase argument that keeps being made and that you keep dismissing is that with the exception of people like crvetter, who buy exactly what they have historically used and don’t modify their vacationing behaviors, most people who use the spreadsheets to justify a cost savings will end up looking back in 10 years and laugh at what they were going to save as it most likely that none of that really mattered much. Their travel patterns change, they suddenly go more often, they’re suddenly bringing family and friends more regularly, they needed to buy more points; the list goes on.

This happened to us; we went on more vacations overall, in part because owning DVC made it much less effort to bring it all together. This actually started before we bought DVC, when we got our first APs - then the justification was, " the park tickets are paid for... "

Now some people here would say that you need to consider the cost in $ of more vacations. It's true that the vacation spending is a much larger part of our budget now, so if you look only at financials, we are spending more, but there is a nonmonetary component that figures positively for us - it was SO hard to schedule vacations and take time off for a proper vacation (as opposed to tagging along on a work-related conference). Now that we have points we "have" to use, the discussion with DH is very different.

My wife and I also both work, so we don't really want to use our spare time stalking for free dining and hotel deals and flight comparisons. We want to book our vacation and go. Actually, I book the vacations and we go. My wife tells her friends she loves our trips because I do all the planning and all she has to do is show up . But DVC has made vacationing pretty predictable.

This was a big reason for us, too. Once the first kid was in school, we knew when we should be planning vacations, and we really did need to plan more in advance. Stalking the hotel deals wasn't worth it for us any more. I am the booker in our family, and my DH really appreciates our Disney trips for the same reason.

Our upcoming weekend trip is relatively "cheap" because of the sunk cost. The additional cost is really only the flights ($300 pp) and meals - I have 2 nice dinners planned - and child care back home. It's not that much more than what a celebratory weekend at home would have cost, and it feels like much more of an escape.

ETA: I grew up in a timeshare family - my parents owned a very traditional timeshare in RCI - the one where you have a guaranteed week at a particular timeshare and even in a particular unit. In high school and college, that was the summer family vacation week that I could count on always happening. My parents have owned this timeshare for over 30 years, though we used it to trade out after the first 10 years. So the concept of DVC actually felt a lot MORE flexible to me when we started looking at buying in.

I just did the $$ conversion from what my parents paid in the 80s for that timeshare, to the value in 2019 dollars - our DVC cost about 50% more, but it buys more flexibility in more luxurious locations, and even for a 2br (which is what the RCI timeshare was), it buys more time during magic season/"red" weeks. To throw out another way of looking at "value" ...

 

[Katie L]

In the same way, there are travelers for whom buying into DVC may make sense--of a sort. But buying DVC is largely an emotional decision. And a great big financial commitment.

Ehhhhhhh. That's true in the sense that vacations never make sense financially (that horse has been beat in this thread already). But there are times that DVC does make sense financially. I would agree that for most it is an emotional decision (hello 3/4 of direct DVC owners have mortgages...) Disney does that manipulation constantly across every business unit and in ways you never see at any other company globally. But if you accept the emotions of Disney and know you are going to spend the money anyway, DVC can make sense logically and financially.

 

[PsycProfPlum]

Our upcoming weekend trip is relatively "cheap" because of the sunk cost. The additional cost is really only the flights ($300 pp) and meals - I have 2 nice dinners planned - and child care back home. It's not that much more than what a celebratory weekend at home would have cost, and it feels like much more of an escape.

yup. that's where we are currently. Just bought an AP and managed to get a Southwest companion pass bringing the flights down considerably. We can't afford NOT to go to Disney

 

[polynor]

...
Now some people here would say that you need to consider the cost in $ of more vacations. It's true that the vacation spending is a much larger part of our budget now, so if you look only at financials, we are spending more, but there is a nonmonetary component that figures positively for us - it was SO hard to schedule vacations and take time off for a proper vacation (as opposed to tagging along on a work-related conference). Now that we have points we "have" to use, the discussion with DH is very different.

This was a big reason for us, too. Once the first kid was in school, we knew when we should be planning vacations, and we really did need to plan more in advance. Stalking the hotel deals wasn't worth it for us any more. I am the booker in our family, and my DH really appreciates our Disney trips for the same reason.

...

Ditto. This summer -- I had really wanted to take a family vacation to Seattle. But then we ended up booking summer camps, the work commitments and conferences, lessons, etc. Next thing I know, our summer is booked but not with vacation. Since we just bought DVC, we talked through it and changed our vacation strategy to get two long vacations over a 12 month period (in two calendar years) to get annual passes. We have them penciled in our family calendar and on my work calendar so they do not move. Now everything else gets schedule around that. (and we haven't even closed yet...)
Structuring the Disney vacation has us discussing our non-Disney vacation too. So -- overall, we may end up paying more than we intended, but I feel a relief know that my breaks are scheduled! (I just wish it was SOONER!)

I guess in terms of "worth" monetary wise...
If I looked at comparing Boardwalk std to getting a DVC studio -- I could not make it monetarily work for us (with the MF's). What flipped the switch was the desire to have more room -- 1BR or 2BR and the fact that we would have a mental block on paying those rates in cash (even if we rented). When we do the math of renting points on the years we don't go, we breakeven in about 11-14 years (depending on the cash equivalency of the hotel room). Not the best payout, but we wouldn't have paid cash rates for a 2BR and that's what we really wanted.

 

[Wakey]

Vacations don’t come for free folks. I’m in UK and work hard, 60+ hours a week usually and have done for over 20 years, kids have to fly in very expensive school vacations, costs me nearly $5000 in airfares before I even get to US which I come to every year. We also go every year for weeks to Canary Islands, Portugal and Balearic Islands or Greece etc every year- I spend $25000 + on 5 weeks a year away, plus my DVC costs on vacations , but it’s well worth it as I get to spend time with my family. If I didn’t have to pay nearly 5 grand for flights, I’d buy a lot more DVC points and come twice as often.
You cannot compare going on vacation to any form of investment. But some of the costings above are interesting, the person who bought Bay Lake who has done detailed costings could actually sell now at a nice profit and their cost of vacations to WDW would be extremely low.
Life passes by fast, I’m nearly 50 and in about 6 years my kids will likely not be coming with us any more. Money well spent, there’s no point being the richest man in the graveyard lol.
We also like to escape the British weather, particularly in winter. So then our choices are Canaries (which are OK but volcanic islands) or long haul destinations such as the Caribbean. In fact Florida is about the second closest place to us with good winter weather. This Xmas / NY we are stopping in Bay Lake and Beach Club 1 bed suits for 11 nights. At nearly $1000 a pop in this period we simply wouldn’t be staying in a Disney Deluxe as even a vacation lover like myself couldn’t part with that much, and moderates don’t have suits so we’d effectively be offsite in a rented condo. That’s the DVC value there.

 

[strine56]

My husband and I have recently begun looking into buying into DVC. We are having a baby soon and are looking forward to future WDW family trips. However, the yearly annual dues seem high and as though they may change unpredictably. To us, it seems more cost effective to pay for vacations as we take them rather than invest in DVC. My question is, does DVC save you any money in vacationing at WDW? Also, what are the advantages to buying into DVC?
To give some background information: I am a teacher which means we can only travel during peak vacation times. The amount of points we would buy would reflect peak season point values which would in turn reflect how much we pay in yearly maintenance fees. We would also prefer to vacation at WDW around every other year. We do love Disney, but we also like to vacation other places.

Everyone's situation is different and it depends on you and your husbands yearly salary and expenses. You do not want to get over your head and over spend. I made sure I was able to pay cash for my timeshare and I only pay yearly maintenance dues. I have saved so much money over the years by using my timeshare and my exchange company. I am not allowed to name my timeshare. That is one of our restrictions. I have heard that the DVC resorts are filled up to capacity between October and December. I have also heard that the DVC Saratoga Springs Resort may be the best value in a resale. I will probably look in to purchasing a resale DVC in the near future. I plan on retiring in about 5 years.

 

[Wakey]

Everyone's situation is different and it depends on you and your husbands yearly salary and expenses. You do not want to get over your head and over spend. I made sure I was able to pay cash for my timeshare and I only pay yearly maintenance dues. I have saved so much money over the years by using my timeshare and my exchange company. I am not allowed to name my timeshare. That is one of our restrictions. I have heard that the DVC resorts are filled up to capacity between October and December. I have also heard that the DVC Saratoga Springs Resort may be the best value in a resale. I will probably look in to purchasing a resale DVC in the near future. I plan on retiring in about 5 years.

You are not allowed to name a timeshare?

 

[mustinjourney]

Did we save tons of money? Sure. If I were to add up what I would’ve paid in cash for all the stays I’ve had, I could probably convince myself that I’m MAKING money.

All I know is that my original 25 point Direct purchase at BCV for about $4200 IS going to make me money after 4 years of AP savings!

I'm saving $250 x 4 APs per year, which is $1000 saved...so in 4.2 years, my initial purchase price is recouped...and that $1000 per year in AP savings after that is pure profit I tell you! It's like Disney is paying me to buy APs!!!

#DVCmath

 

[mustinjourney]

Then I have a $5,000 carrot to sell you.

Are they mickey shaped carrots?

 

[mustinjourney]

You are not allowed to name a timeshare?

it's called Fight Club Timeshare.

 

[mustinjourney]

My bigger point again, which you don't seem to want to address, is that the math you are encouraging as a measure of the viability of Disney timeshare ownership is dangerous because it can paint whatever justification people need to decide that it can work out for them. Coming up with breakeven points by comparing "comparable" accommodations ignores the fact that those "comparable" accommodations may never have been what the prospective buyer would've used in the first place.

I totally agree -- but it doesn't stop me from making myself feel like my vacations are now only the cost of maintenance fees!!!

For example, in the first 3 years of ownership, we already have stayed in 2BR units for at least 16 nights (cash rate of $1500), 1 BRs for at least 3 nights (cash rate of $900), and studios for at least 22 nights ($550 cash rate) -- so by that calculation, I've already just about broke even on the initial purchase price. Not to mention I've rented out another 6 nights for cash at $16 per point.

Of course, if paying cash, there's zero chance we would have ever stayed in a 2BR or 1BR at those prices, so that kind of math is certainly disingenuous. But it does make me feel better.

 

[Bing Showei]

I totally agree -- but it doesn't stop me from making myself feel like my vacations are now only the cost of maintenance fees!!!

For example, in the first 3 years of ownership, we already have stayed in 2BR units for at least 16 nights (cash rate of $1500), 1 BRs for at least 3 nights (cash rate of $900), and studios for at least 22 nights ($550 cash rate) -- so by that calculation, I've already just about broke even on the initial purchase price. Not to mention I've rented out another 6 nights for cash at $16 per point.

Of course, if paying cash, there's zero chance we would have ever stayed in a 2BR or 1BR at those prices, so that kind of math is certainly disingenuous. But it does make me feel better.

Not gonna lie, I had all the multi-page spreadsheets, projections. Buying for us "made financial sense" before we pulled the trigger. Disney would be just a small part of our discretionary spendings.

Pre-Disney timeshare, we never travelled during Christmas decorations, never travelled in the Spring, never bought APs, never attended a party, never did a backstage tour, never booked a spa treatment, never stayed in a 2BR, never traveled to WDW with family, never went more than once a year.

The reality is it became a bigger percentage of our discretionary spendings. In our first year as members we’ve done all of those things. APs for the entire family. 4 trips on the annual pass because why not? The gate is free. 40% off Spa discount? Yes please. It’s not THAT much more to go from 1BR to 2BR, let’s invite the parents.

If you look at every dollar I've given Disney, and compared it to the cash equivalent, I definitely "saved money." But did I though?

Every time a prospective buyer comes on these boards and asks about the financials of buying a Disney branded timeshare, and expresses concerns about the high annual dues, or looks for the rationale behind such a large cash outlay, posters, however well-intentioned, offer up all the cost analyses that invariably shows that you can "save money" by buying in versus paying cash annually for that Deluxe/1BR/2BR; the magical 8-year break-even.

The dead horse I keep beating is that the product changes your travel behaviors. As such, any calculated savings is a false justification upon which to decide to buy in. It's not about going on vacation vs. staying home. I'm not arguing that Disney's timeshare doesn't save you money because you'll end up vacationing instead of sitting at home.

What I'm saying is that you are about to pick up a really bad crack habit. No matter how discounted that bought-in-bulk, pre-paid 8-ball is, you will be spending money you didn't before. Unless you're a crazy rich junky who can show they burned through an 1/8th every week, that discounted subscription service you get from your connect isn't saving you money.

So to the prospective junkie who's interested in dabbling in crack but worried about costs of picking up a crack habit, my advice is don't turn to crack to save money, do it because it is one of the purest forms of escapism. Do it because you'll enjoy it with your family and hold great crack parties with your in-laws... and this analogy is falling apart...

My point is, as with all luxury purchases, do a Disney timeshare because you can truly afford to and that you'll be able to enjoy it fully with your family without having to worry about every penny spent. Because if you can do that, ownership of a Disney timeshare can be really quite rewarding.

 

[CanadaDisney05]

The dead horse I keep beating is that the product changes your travel behaviors. As such, any calculated savings is a false justification upon which to decide to buy in.

The dead-horse I keep beating is that the change in travel behaviour is something that should be factored into your analysis. Nobody knows you better than yourself. If you believe your behavior will change, then include that in the analysis.

If there is a reasonable chance that your behavior will change, and you don't factor that into your analysis, it doesn't mean that the type of analysis is to blame for making an incorrect decision. It just means you didn't use the tool correctly.

If your analysis concludes that 1+ 2 = 2, its not the equations fault that you got the incorrect answer.

At the end of the day, if DVC is not going to provide you with a lower per night cost than a cash booking, DVC provides no value. A lower cost per night (for a deluxe resort) should be the primary benefit of DVC. If it does, then you have to decide whether all of the other aspects of DVC align with your personal goals and constraints.

If you have so much money, that the cost means nothing to you, then forget DVC and just book cash rates. You'll have a much better time not worrying about booking 11 months in advance, dealing with limited room availability, and renting points when you cannot go.

Don't buy something just because you can afford it. Buy something because it offers you something of value AND you can afford it.

 

[mustinjourney]

Not gonna lie, I had all the multi-page spreadsheets, projections. Buying for us "made financial sense" before we pulled the trigger. Disney would be just a small part of our discretionary spendings.

Pre-Disney timeshare, we never travelled during Christmas decorations, never travelled in the Spring, never bought APs, never attended a party, never did a backstage tour, never booked a spa treatment, never stayed in a 2BR, never traveled to WDW with family, never went more than once a year.

The reality is it became a bigger percentage of our discretionary spendings. In our first year as members we’ve done all of those things. APs for the entire family. 4 trips on the annual pass because why not? The gate is free. 40% off Spa discount? Yes please. It’s not THAT much more to go from 1BR to 2BR, let’s invite the parents.

If you look at every dollar I've given Disney, and compared it to the cash equivalent, I definitely "saved money." But did I though?

Every time a prospective buyer comes on these boards and asks about the financials of buying a Disney branded timeshare, and expresses concerns about the high annual dues, or looks for the rationale behind such a large cash outlay, posters, however well-intentioned, offer up all the cost analyses that invariably shows that you can "save money" by buying in versus paying cash annually for that Deluxe/1BR/2BR; the magical 8-year break-even.

The dead horse I keep beating is that the product changes your travel behaviors. As such, any calculated savings is a false justification upon which to decide to buy in. It's not about going on vacation vs. staying home. I'm not arguing that Disney's timeshare doesn't save you money because you'll end up vacationing instead of sitting at home.

What I'm saying is that you are about to pick up a really bad crack habit. No matter how discounted that bought-in-bulk, pre-paid 8-ball is, you will be spending money you didn't before. Unless you're a crazy rich junky who can show they burned through an 1/8th every week, that discounted subscription service you get from your connect isn't saving you money.

So to the prospective junkie who's interested in dabbling in crack but worried about costs of picking up a crack habit, my advice is don't turn to crack to save money, do it because it is one of the purest forms of escapism. Do it because you'll enjoy it with your family and hold great crack parties with your in-laws... and this analogy is falling apart...

My point is, as with all luxury purchases, do a Disney timeshare because you can truly afford to and that you'll be able to enjoy it fully with your family without having to worry about every penny spent. Because if you can do that, ownership of a Disney timeshare can be really quite rewarding.

Can i nominate this for top 5 DVC post?

@WebmasterPete — this is gold!

 

[mustinjourney]

The dead-horse I keep beating is that the change in travel behaviour is something that should be factored into your analysis. Nobody knows you better than yourself. If you believe your behavior will change, then include that in the analysis.

If there is a reasonable chance that your behavior will change, and you don't factor that into your analysis, it doesn't mean that the type of analysis is to blame for making an incorrect decision. It just means you didn't use the tool correctly.

If your analysis concludes that 1+ 2 = 2, its not the equations fault that you got the incorrect answer.

At the end of the day, if DVC is not going to provide you with a lower per night cost than a cash booking, DVC provides no value. A lower cost per night (for a deluxe resort) should be the primary benefit of DVC. If it does, then you have to decide whether all of the other aspects of DVC align with your personal goals and constraints.

You seem to be missing the realization that most people don’t think their behavior is going to change.

We’re all trying to give that warning.

So yes, people should realize it...but the fact is almost no one does. EVEN WHEN THEY'RE WARNED BEFOREHAND. No one thinks it’ll be them.

Ask any lawyer. Damn near everyone in a first year law school class thinks they’ll be in the top 10%. Obviously, 90% will be wrong.

Same thing with Dvc. Almost no one thinks they’ll start going more. That is until they buy their first contract and then start booking trips.

Booking with points instead of cash is a big difference in perception...just like using chips instead of cold hard cash when gambling. It’s so much easier to drop 125 points instead of $1400-$2000. It doesn’t feel like real money.

 

[Bing Showei]

At the end of the day, if DVC is not going to provide you with a lower per night cost than a cash booking, DVC provides no value.

Provide me a scenario where one goes to WDW at least once a year for 50 years in a row, staying at deluxe accommodation each time, that the timeshare model does not save you money over paying cash.

That’s the problem with you putting weight in that calculation is that it’s useless. Any scenario where you stay at a Disney timeshare resort the way it was designed to make you stay, you will save over paying cash for the equivalent stays. No one questions this. You can’t put that cash outlay and ADs into a money market account and travel this way on the interest alone. It took you several posts to finally work through that.

I’ll save you the effort. There is NO model where paying cash, whether discounted rack rates or renting points that will beat buying a Disney timeshare with cash if you compare to the same number of times you will go as an owner. Full stop.

You keep saying I’m doing it wrong and that I fault the math. False. I do not fault the math. I fault the mathematician who thinks the number is of some grand significance that should determine whether or not one buys a friggin’ timeshare.

 

[CanadaDisney05]

Provide me a scenario where one goes to WDW at least once a year for 50 years in a row, staying at deluxe accommodation each time, that the timeshare model does not save you money over paying cash.

1) the scenario would be if maintenance fee inflation outpaces cash rate inflation. The other scenario would be if you invested the money you have paid into DVC and instead paid cash for your hotels. If your expected rate of return is higher than the saving of DVC.

It's easy to suggest that they will be tied together, but the driver behind each is different. Maintenance fees are driven by actual maintenance costs to the properties. Cash rates are based on consumer demand.

I'm not suggesting that I personally believe it is likely that the gap will be significant enough to produce a negative outcome, but to claim that it is virtually impossible would be naive. Plenty of companies who have a proven track record of increased demand eventually reach a tipping point.

2) the equation isn't just about IF one method is cheaper than the other. It's about the degree that it is cheaper, and how much that reward is worth the risk to you personally. If you run your calculations, and assume that DVC will save you a total of $200 over 30 years, the answer doesn't automatically mean you should buy DVC (provided you can afford it). Why lock in all of that money to save less than $7/year? If you run the numbers and realize it will save you $25,000 over 30 years, now it becomes a more interesting decision.

At the end of the day, DVC involves a level of risk. You are locking in money, and trying to predict your future vacationing habits, plus outside variables such as US inflation, disney cash rate inflation, opportunity cost, maintenance fee inflation etc.... If your super wealthy, and the amount is nominal in the big picture, then DVC doesn't make sense because you can afford to pay cash prices without really making a difference to your life. If you have little money, then you shouldn't be spending large amounts on luxury vacations.

Once you run the numbers and decide

A) can you afford it? What happens if you lose your job? Get sick? Die? This requires financial analysis.
B) does the reward of DVC outweigh the risks. This requires financial analysis.
C) do your vacationing habits ensure you will take advantage of the benefits of DVC.

Only if you check all of those boxes does DVC make sense. Going back to the original point, to claim that you should buy DVC if you can afford it and ignore the other aspects is misleading and can lead to poor decision making.

 

[Bing Showei]

1) the scenario would be if maintenance fee inflation outpaces cash rate inflation. The other scenario would be if you invested the money you have paid into DVC and instead paid cash for your hotels. If your expected rate of return is higher than the saving of DVC.

It's easy to suggest that they will be tied together, but the driver behind each is different. Maintenance fees are driven by actual maintenance costs to the properties. Cash rates are based on consumer demand.

I'm not suggesting that I personally believe it is likely that the gap will be significant enough to produce a negative outcome, but to claim that it is virtually impossible would be naive. Plenty of companies who have a proven track record of increased demand eventually reach a tipping point.

2) the equation isn't just about IF one method is cheaper than the other. It's about the degree that it is cheaper, and how much that reward is worth the risk to you personally. If you run your calculations, and assume that DVC will save you a total of $200 over 30 years, the answer doesn't automatically mean you should buy DVC (provided you can afford it). Why lock in all of that money to save less than $7/year? If you run the numbers and realize it will save you $25,000 over 30 years, now it becomes a more interesting decision.

At the end of the day, DVC involves a level of risk. You are locking in money, and trying to predict your future vacationing habits, plus outside variables such as US inflation, disney cash rate inflation, opportunity cost, maintenance fee inflation etc.... If your super wealthy, and the amount is nominal in the big picture, then DVC doesn't make sense because you can afford to pay cash prices without really making a difference to your life. If you have little money, then you shouldn't be spending large amounts on luxury vacations.

Once you run the numbers and decide

A) can you afford it? What happens if you lose your job? Get sick? Die? This requires financial analysis.
B) does the reward of DVC outweigh the risks. This requires financial analysis.
C) do your vacationing habits ensure you will take advantage of the benefits of DVC.

Only if you check all of those boxes does DVC make sense. Going back to the original point, to claim that you should buy DVC if you can afford it and ignore the other aspects is misleading and can lead to poor decision making.

I get that you're being thoughtful about this. I actually appreciate that you understand all the financial variables that go into the decision making process. There's little you've stated above that I would refute as wrong. In fact, there's nothing in the considerations you've outlined above that most of us who have bought a Disney timeshare have not worked through.

3 years ago me would be giving your post a big thumbs up (or at least nodded agreeingly). It's thorough and thoughtful. Like you, most of us did all those calculations. In fact, I came to the savings per year and a nice break-even point. I even added an extra trip every couple of years. For me I came to the realization that buying a Disney timeshare would not be a net savings for my family. It would represent a much bigger piece of what I spend on Disney. Would I still want to go to WDW when I'm in my 60's? I don't know. But I decided I'd like to give it a try and find out.

I knew my family would be spending more (admittedly, I thought it would be more spread out), but I'm ok with that because the experience I had going to Disney in the two years prior to buying in told me I definitely wanted this to be a bigger part of my life. So despite the implausibility of a grown *** man going back to Disney for 23 plus years in a row, the low likelihood that my son will continue to love going to enjoy WDW with his old man at 16, or that my wife won't tire out of the festivals (let's be honest, Epcot is now a giant 365 day festival), I decided to buy in because I would enjoy the regular trips that I'm committing to doing. Again, on a per trip basis, I'm spending less than the cash equivalent. Sure.

In looking at the numbers I knew we had the disposable income to buy in and pay dues regularly. I did plan on having some residual value on the contracts when I wanted to get out, but have come to terms with the idea that it really should be a sunk cost. If my Disney timeshare had zero value left, or I ran it into the ground after 45 years, I will be ok with that financially.

I don't agree that if I had so much money that I should just pay cash, that would be the equivalent of your $5,000 carrot. Or maybe I just don't have enough money to not care about the individual savings (I'll time filling up gas for when I'm in the neighborhood of the cheap gas place I like). But I have enough money that I'm not worrying about how much money my timeshare is saving me. Others have outlined succinctly in previous posts the benefits of owning a timeshare, from being able to take family, to stretching out in larger accommodations. All of these things (on top of being able to vacation at all), are what I would consider luxuries.

You can reason away how the Disney timeshare saves you money, technically it does, but it's not as important as it feels like to you right now before owning. You're not an owner yet, so I get why this is central to your whole argument.

What I'm saying is that if you're in a good place financially to buy and enjoy a Disney timeshare, meaning you can treat it as a luxury purchase, whether you are saving $7/visit or $6,000/visit won't matter much. It's money well spent.

 

[CanadaDisney05]

I get that you're being thoughtful about this. I actually appreciate that you understand all the financial variables that go into the decision making process. There's little you've stated above that I would refute as wrong. In fact, there's nothing in the considerations you've outlined above that most of us who have bought a Disney timeshare have not worked through.

3 years ago me would be giving your post a big thumbs up (or at least nodded agreeingly). It's thorough and thoughtful. Like you, most of us did all those calculations. In fact, I came to the savings per year and a nice break-even point. I even added an extra trip every couple of years. For me I came to the realization that buying a Disney timeshare would not be a net savings for my family. It would represent a much bigger piece of what I spend on Disney. Would I still want to go to WDW when I'm in my 60's? I don't know. But I decided I'd like to give it a try and find out.

I knew my family would be spending more (admittedly, I thought it would be more spread out), but I'm ok with that because the experience I had going to Disney in the two years prior to buying in told me I definitely wanted this to be a bigger part of my life. So despite the implausibility of a grown *** man going back to Disney for 23 plus years in a row, the low likelihood that my son will continue to love going to enjoy WDW with his old man at 16, or that my wife won't tire out of the festivals (let's be honest, Epcot is now a giant 365 day festival), I decided to buy in because I would enjoy the regular trips that I'm committing to doing. Again, on a per trip basis, I'm spending less than the cash equivalent. Sure.

In looking at the numbers I knew we had the disposable income to buy in and pay dues regularly. I did plan on having some residual value on the contracts when I wanted to get out, but have come to terms with the idea that it really should be a sunk cost. If my Disney timeshare had zero value left, or I ran it into the ground after 45 years, I will be ok with that financially.

I don't agree that if I had so much money that I should just pay cash, that would be the equivalent of your $5,000 carrot. Or maybe I just don't have enough money to not care about the individual savings (I'll time filling up gas for when I'm in the neighborhood of the cheap gas place I like). But I have enough money that I'm not worrying about how much money my timeshare is saving me. Others have outlined succinctly in previous posts the benefits of owning a timeshare, from being able to take family, to stretching out in larger accommodations. All of these things (on top of being able to vacation at all), are what I would consider luxuries.

You can reason away how the Disney timeshare saves you money, technically it does, but it's not as important as it feels like to you right now before owning. You're not an owner yet, so I get why this is central to your whole argument.

What I'm saying is that if you're in a good place financially to buy and enjoy a Disney timeshare, meaning you can treat it as a luxury purchase, whether you are saving $7/visit or $6,000/visit won't matter much. It's money well spent.

I think were starting to see eye to eye. I think where the confusion is that your referring to "saving money" as a gross total over a lifetime. I am referring to it as a savings on a per unit basis. If based on your assumptions, DVC doesn't offer you a savings on a per unit basis (comparing to renting points or booking cash rates), all of the other factors are worthless. As I mentioned in my previous post, it is not a given that DVC will save you on a per unit basis over the lifetime of the contract. It depends on several variables. Everyone has their own opinions of what the reality will be for these variables.

My big takeaway here is that there are several factors at play. The first and foremost should be that in your personal opinion, you believe you are receiving something of value for your money. This can only be done with a proper financial analysis. DVC (and other timeshares) prey on the average consumer's misunderstanding of the Time Value of Money. It makes the product look better than it really is.