What the... AK resale < $80 p/pt???

[lugnut33]

Absolutely amazing to see an Animal Kingdom resale contract listed under $80. Sure, it's a stripped out 200 point contract (200 pts avail in 2011), but it's still listed at $78.

I'd love to see if somebody did offer $78 if it would end up passing ROFR.

The economy is really taking a toll on DVC resales.

 

[BWV Dreamin]

Or the appeal of AKV may be waining......it is quite unusual to have resales so low when the resort has not sold out.

 

[ADP]

Absolutely amazing to see an Animal Kingdom resale contract listed under $80. Sure, it's a stripped out 200 point contract (200 pts avail in 2011), but it's still listed at $78.

I'd love to see if somebody did offer $78 if it would end up passing ROFR.

The economy is really taking a toll on DVC resales.

Wow! That is amazing. If I needed more points and if the points were good in 2010 I'd jump all over that. The best part about these points is the opportunity for Kilamanjaro Club Level stays; let alone the other amenities of AKV and the other DVC resorts.

 

[gkrykewy]

Most AKV resale contracts still seem to be in the mid-upper 80s, but there are some lower prices.

Check this out:

AK180-03-0606-1 Animal Kingdom-Sale Pending March 180 $12,600.00
Notes: 22 points currently available, 180 points coming on 3/1/10 and 180 points coming on 3/1/11. Priced at $70 per point.

I'm certain that one won't pass ROFR.

Note that you can buy 200 points direct for $91pp under the current incentives, so around 80 for resale is to be expected for the time being.

 

[logan115]

If you value points @ $10, I'd actually say that AKV @ $78 for a stripped contract is actually not that unbelievable - dare I say it may even be a bit optimistic for the seller. Sure from "I can't believe AKV is under $80" standpoint I agree. But a stripped AKV for $78 is about the same as a contract with current points @ $88. If you can buy direct for $91 I'd rather buy direct, skip ROFR, and get the UY I want. The $3/pt savings is not a wide enough spread for me to go resale.

If you could get 2008 points buying direct you would have an even lower net cost basis.

Chris

 

[*KeepMovingForward*]

I'm certain that one won't pass ROFR.

I agree. I would be blown away if it passed ROFR. The seller has nothing to lose in listing it at that price because he gets his money no matter what.

 

[Crystal_27]

The seller has nothing to lose in listing it at that price because he gets his money no matter what.

Still, I can't imagine that the seller would even come close to breaking even, even if he/she got a stellar deal with he/she bought in. My guess is that this listing is one of desperation, which is so sad.

 

[*KeepMovingForward*]

Still, I can't imagine that the seller would even come close to breaking even, even if he/she got a stellar deal with he/she bought in. My guess is that this listing is one of desperation, which is so sad.

I agree with you on the desperation sale. Could be divorce, bankruptcy or just that they can no longer afford the luxury in these difficult times.

 

[lugnut33]

My main point is it's incredible how the resale price has fallen off so quickly for AKV. Even going direct through DVC you can see how resale price erosion has eaten into what they can charge.

 

[gkrykewy]

My main point is it's incredible how the resale price has fallen off so quickly for AKV. Even going direct through DVC you can see how resale price erosion has eaten into what they can charge.

Not really. The current price direct from Disney after incentives is (I think) one dollar less PP than what we paid two years ago for less than 200 points - 93pp vs 94.

All resale values have been hit pretty hard (OKW and SSR are the most extreme examples) -- BWV and even BCV appear to be similarly hovering in the low 80s, and VWL in the mid-70s. Depending on how long the "Great Recession" lasts, BLT will have its day in the dumps as well

 

[BWV Dreamin]

I'm certain that one won't pass ROFR.

.

There have been many contracts that have passed ROFR lately that would not have 6 mos. ago. Don't be so certain the above contract won't pass....

 

[donkortajr]

Its sad to see BLT resales already coming up too.
They must be due to the economy.

 

[lugnut33]

Not really. The current price direct from Disney after incentives is (I think) one dollar less PP than what we paid two years ago for less than 200 points - 93pp vs 94.

All resale values have been hit pretty hard (OKW and SSR are the most extreme examples) -- BWV and even BCV appear to be similarly hovering in the low 80s, and VWL in the mid-70s. Depending on how long the "Great Recession" lasts, BLT will have its day in the dumps as well

You need to look at what DVC is marketing the points at and how much they are really selling them for to see how resale is effecting price. What was the price they were marketing at 2 years ago and now (I think it went from $107 to $112 per point?????). And yet, they have to sell them for $1 less from the actual price two years ago with all the incentives.

 

[gkrykewy]

You need to look at what DVC is marketing the points at and how much they are really selling them for to see how resale is effecting price. What was the price they were marketing at 2 years ago and now (I think it went from $107 to $112 per point?????). And yet, they have to sell them for $1 less from the actual price two years ago with all the incentives.

They raised *all* of the "retail" prices to unsustainable levels. SSR has the same retail price as AKV, when obviously the resale prices are very different.

I don't think you can say that resale prices are driving incentives.

 

[marx]

I own DVC at AK and am thinking of selling. Not because of the economy, but because I don't love Kidani as much as I thought I would. I stayed at AK many times before buying, and am ok with stays in Jambo. But, my stay in Kidani was not that magical. So, I am planning on selling my contract there and buying at BW and BLT. I made other mistakes (such as one 270 point contract instead of multiple smaller) and will correct the second time around. I too have noticed the decline in AK asking prices over the last three months. I have not noticed such dramatic drops in BW - which I have also been monitoring since I'm looking to buy.

 

[thelionqueen]

As a disclaimer, I must say that I never liked anything about AKL or AKV. With that in mind, we went to see Kidani on our last stay and I was completely underwhelmed. I absolutely LOVED LOVED LOVED the decor of the rooms (even more than my beloved BLT) and REALLY wanted to love (even like) Kidani.

There is nothing at all that would entice me to stay there for any reason. The main dislike for me is the distance from everything else in the world and the fact I just don't want to go to "Africa" on my Disney vacation (my preference only). Apart from all that, the outside appearance of Kidani is downright unappealing (being nice). I'm sure that it is because of the new build, construction, etc., but really not well done at all IMO.

The kids play area looks fun, but absolutely no comparison to Stormalong bay as "advertised" by guides. The pool is entirely too small for the size of the resort, and the lack of food choices in general is also a big negative for me.

I personally think they over estimated the interest in AK, and the owners that bought sight unseen, are now seeing what they bought and not liking it. I bought BLT sight unseen as well, but the location alone is worth every penny.

My cousin bought AKV the same day I bought BLT and her first stay was just a few weeks ago. She was so excited to "go home" but then switched to SSR after just 4 days @ Kidani. She also has her contract up for sale right now as she is not impressed by AKV nor am I. But I thought I would include her experience as an owner as well as mine which is definitely not pro-Kidani.

I expect to see AKV overwhelm the resale market just like SSR in the coming months. No evidence to support that comment, just my gut feeling. It sounds like I'm bashing AKV, and believe me I'm not trying to. There are MANY Happy AKV owners out there, but personally, it's just not my cup of tea.

 

[Opie100]

I think AKV is a real asset to the DVC, and I think the pool area is lots of fun. The savannah is terrific and I thought Sanaa was wonderful. However, there is something magical about being able to walk to a park or two, which is obviously a disadvantage for AKV. But quiet nighttime at the pool is special here. I doubt that owners would abandon owning this resort, especially since all points are equal at 7 mos anyway.

 

[gkrykewy]

She was so excited to "go home" but then switched to SSR after just 4 days @ Kidani.

Frankly hard to believe, but I'll lay off the defense for now .

Obviously AKV will have higher volumes on resale over the next couple of years, since it was the most heavily promoted resort for 2007 and much of 2008, and a number of those impulse buys will be tossed onto the resale market by the recession (much like SSR). I highly doubt it'll be depressed nearly as much as SSR has been (because lots of people *do* like AKV for its own sake, and selected it over SSR via direct sale), but we shall see.

 

[lugnut33]

They raised *all* of the "retail" prices to unsustainable levels. SSR has the same retail price as AKV, when obviously the resale prices are very different.

I don't think you can say that resale prices are driving incentives.

It's impossible for them to raise prices when resale contracts are flooding the market and lowering the prices (of existing contracts). Plus, DVC isn't exercising it's ROFR very much.

Of course, the reason contracts are flooding the market is because of current economic conditions.

 

[thelionqueen]

Frankly hard to believe, but I'll lay off the defense for now .

You caught me, I lied

My cousin booked 10 nights @ AKV and called MS on day 4 to switch to a different resort. Only SSR was available and she took it. We were both pleasantly surprised by SSR, and she liked SSR much better than AKV. This is HER opinion, and I am not advocating her opinion be anyone else's. Nor am I suggesting anyone take my comments as anything other than my opinion.

Naturally I would not understand if someone didn't like my beloved home resort, but I would certainly not question the truth of their posts; completely unwarranted in my opinion.