What would you think of a contract for sale with holding points?

[kniquy]

I have been in the market to add on a different resort. I feel of all the contracts i have been looking at there really are few, if any, with holding points. I found one Feb UY with some 2018 holding points -those obviously have expired already. But it made me wonder how often do you see contracts for sale with holding points?

My guess on the contract is that is was somewhat of a distressed sale - I made what i felt was a low, but reasonable offer. The agent came back with a counter offer and noted that the sellers still have a mortgage to pay off on it and might walk away still owing a little after paying commission. I only came up $500 from my initial offer, they accepted. I might have hit the sweet spot where they can pay everything off and walk away not owing anything.

 

[cvjw]

We bought a contract with a few hundred points in holding, plus banked and current points. We had no issues using the holding points for a last minute Christmas trip.

We looked at the holding points as bonus points and they didn’t make their way into our calculations of how much the contract was worth.

We got a steal on the contract - $77 for a loaded BWV contract

 

[KAT4DISNEY]

It isn't too often I've seen them but they do pop up now and then. In addition to holding points they are often a mess in point usage where I've gotten the impression the owner did not really understand the product they had. I'd never give much if any value to the holding points unless there was going to be a significant amount of time to use them.

 

[kniquy]

In addition to holding points they are often a mess in point usage where I've gotten the impression the owner did not really understand the product they had.

I have seen some like this with banked points, borrowed points -- just a mess. Which as a buyer you better have a very clear picture of the points status otherwise you could take ownership and have points expiring on you.

 

[Disneypapa]

I would not place any value on the holding points, if they are within 6 months of expiration. Some value, if I "knew" I could make and use a reservation on such short notice.

 

[anomamatt]

I recently bought a contract that was a mess. Banked points, borrowed points... I actually find it "fun" to figure out how to make the best use of their mess. They clearly were in over their heads with how to best use points.

But holding points... it would depend on how long you had to use them. My recent resale took just shy of 3 months to complete. The sellers were super slow, the title company was slow... took forever. It's nerve wracking enough to wait without worrying about points that might disappear...

 

[princessbride6205]

I agree with others here - I rarely see ones with holding points, but do notice there are people who have made a mess of things with both borrowed and banked points. I'm sometimes shocked to see listings come up with expiring points from an about-to-end UY and full points for the next several - clearly didn't google selling or renting points or life got in the way I suppose. But it often gives us resale buyers the opportunity to get a deal.

 

[punch57]

I bought a loaded OKW Extended contract December use year in the fall of 2016. Dec 375 points for 2015 (230 + 145 banked 2014) + 230 for 2016. I paid the asking price only because it was loaded. RCIed the 2014 points, banked the 2015 points. Used most of it for a VGC vacation to Disneyland !!! in 2017, our first DVC stay as owners.

 

[Dean]

Look at holding account or banked (or non bankable) points that are not EARLY in the UY as freebies. Put little to no value on them. Then if you get value it's value added and if not, you've lost nothing. Do not ever reimburse dues or pay dues in ANY way on holding account points or banked (or similar) points you may not be able to use. Remember that dues are paid on a calendar year basis so dues this coming Jan are for part of 2019 & part of 2020 UY points.