When is it worth getting a DVC contract with a 2042 expiration?

[gregskellington]

I think Disney will offer extensions on the 2042 resorts. Especially at popular resorts such as BCV, BWV, BRV.
As 2042 approaches the direct points will have to come down and Disney has never reduced a price. Also, they’d go several years without making a dime on these resorts unless direct prices come down significantly. A 15 year extension offer would maintain direct pricing in the mid-200s and they could charge $50 pp for s 15 year extension to current owners and my guess is that many would exercise that option. Especially as we draw closer to 2042.

I truly believe there is no chance extensions are offered. Even ignoring what happened with OKW, I'm convinced Disney is dying to redo those point charts. Those "Gen 1" resorts are too far below the new generation of DVC, they need 2042 here ASAP to bring those back up to speed.

I agree Disney is going to have a hard reality to face in terms of pricing and sales before 2042, but being able to resell the entirety of BWV and BCV with new crazy point charts at some outrageous PPP has to be drool-inducing for them.

 

[peabody58]

"Yes it's true, all of it. The math just doesn't work." Starlord
"The math works if you don't want to leave your kids excess money." Yoda

I knew that and still just added on Direct 100 pts at BWV at $200/pt (ouch). That works out to lifetime $9.79/pt plus MF (double ouch). It was clearly an emotional luxury item purchase.

We had money to spare (market highs).
We have fallen in love with BWV since the scary clown is gone. 1 trip pre-Covid/3 trips post-Covid.
Location, location, location.
IMO, best point charts (more bang for our points with Standard Rooms).
11 month booking priority (standard villas).
Hope to out live our BWV 2042 expiration (we'll be 85 then).
Go Direct for low point/specific UY contract.
Go resale if you're not picky about # pts/UY and are patient.

 

[melissa70]

This is an old thread but I thought I’d comment this because I don’t think I’ve seen this mentioned.. what if you actually want a smaller contract because your in your 50’s and don’t care about passing it down to anyone ? I see the value in that. I don’t want to be in my 70’s , maybe done with Disney but still on the hook to pay maintenance fees

 

[Girlstar30]

This is an old thread but I thought I’d comment this because I don’t think I’ve seen this mentioned.. what if you actually want a smaller contract because your in your 50’s and don’t care about passing it down to anyone ? I see the value in that. I don’t want to be in my 70’s , maybe done with Disney but still on the hook to pay maintenance fees

The good thing about Disney is that if you are done with it you can sell it pretty easily and not be on the hook for maintenance fees.

Thats what differentiates it from other timeshares, people will buy it, sometimes for even more than what you bought it for.

There will come a point not in the near future where these 2042 resorts will be harder to sell or worth way less (See VB)

I dont have kids/anyone im passing my contract to either and im in my early forties. I still prefer to buy something like Poly with a lot of years left and then selling it in 20 years when im older and "done" rather than it expiring into thin air.

Now if you're going to buy a 2042 because you really love it and and plan to only stay there for the next 16 years AND need a studio or 2 bedroom, I can see why someone would consider buying.

But it's soon going to get to the point where it doesnt make sense financially at all to buy the popular 2042 anymore over renting. And you have to be okay with the prospect of you selling it for way less than you bought it for if something happens and you need to sell.

I do see myself owning this for more than 16 years which is why even tho im not that young, I do want something with more years.

 

[toesmom]

2042 contracts are worthwhile if you are ok with not being part of DVC for very very longterm. Also if you want to be able to book at BWV for 2 bedroom standard views or studio standard view, you really do have to own points here. Same thing if you want to book Grand Villa at OKW with large family, my understanding you really do need to own points to book early.

We have SSR contract and 2 BWV contracts so that we can book for busy periods at our favourite resort.

 

[melissa70]

The good thing about Disney is that if you are done with it you can sell it pretty easily and not be on the hook for maintenance fees.

Thats what differentiates it from other timeshares, people will buy it, sometimes for even more than what you bought it for.

There will come a point not in the near future where these 2042 resorts will be harder to sell or worth way less (See VB)

I dont have kids/anyone im passing my contract to either and im in my early forties. I still prefer to buy something like Poly with a lot of years left and then selling it in 20 years when im older and "done" rather than it expiring into thin air.

Now if you're going to buy a 2042 because you really love it and and plan to only stay there for the next 16 years AND need a studio or 2 bedroom, I can see why someone would consider buying.

But it's soon going to get to the point where it doesnt make sense financially at all to buy the popular 2042 anymore over renting. And you have to be okay with the prospect of you selling it for way less than you bought it for if something happens and you need to sell.

I do see myself owning this for more than 16 years which is why even tho im not that young, I do want something with more years.

Early 40’s is a whole different thing than 55! But yes, I get it. I happen to love the wilderness lodge, especially boulder ridge..so I cancelled my SSR contract and actually went with a smaller BRV contract

 

[muppets3d]

You could probably do quite well buying a cheap Vero contract nowadays even with the high dues. Just be judicious about booking right at the 7 month window unless you like staying at Saratoga Springs or Old Key West.

 

[melissa70]

You could probably do quite well buying a cheap Vero contract nowadays even with the high dues. Just be judicious about booking right at the 7 month window unless you like staying at Saratoga Springs or Old Key West.

I just recently bought a BRV contract. Just hoping it passes this ROFR thing. But there are 112 points expiring August 2026 that I don’t think I can use. I’ll have to learn about how to sell them

 

[muppets3d]

I just recently bought a BRV contract. Just hoping it passes this ROFR thing. But there are 112 points expiring August 2026 that I don’t think I can use. I’ll have to learn about how to sell them

Boulder Ridge is beautiful, I love it.

 

[Girlstar30]

Early 40’s is a whole different thing than 55! But yes, I get it. I happen to love the wilderness lodge, especially boulder ridge..so I cancelled my SSR contract and actually went with a smaller BRV contract

Yes but even if i was 55 I would hope to be able to still enjoy disney in my early seventies with my family or be able to sell it if not for some money back. I still wouldnt buy a 2042 resort for that reason but it sounds like you really want that and thats ok, the way you would use it is different than us

 

[Girlstar30]

You could probably do quite well buying a cheap Vero contract nowadays even with the high dues. Just be judicious about booking right at the 7 month window unless you like staying at Saratoga Springs or Old Key West.

Not for very long

 

[muppets3d]

Not for very long

16 years, which is a decent amount of time. Of course it depends on individual circumstances.

 

[Girlstar30]

16 years, which is a decent amount of time. Of course it depends on individual circumstances.

I am talking about being able to sell it for a decent profit too if the need arises which is going to be much less than 16 years.

 

[muppets3d]

I am talking about being able to sell it for a decent profit too if the need arises which is going to be much less than 16 years.

I'd say the days of being able to sell DVC for a profit are pretty much over, honestly, if you're only just now buying in. Well in my example you'd be buying Vero Beach which is routinely available for under $50 a point. So while you won't make a profit more than likely, your outlay is less than pretty much any other resort so there's less to lose if you do have to get out.

 

[Girlstar30]

I disagree, I think people with longer OG contracts without restictions will be able to make a profit for years down the line, especially as the cost of owning direct keeps rising and the parks keep building.

Its harder to sell a VB contract than BWV or BCV. I would worry that it will be really hard to get rid of in a few years even selling it at rock bottom pricing

I'd say the days of being able to sell DVC for a profit are pretty much over, honestly, if you're only just now buying in. Well in my example you'd be buying Vero Beach which is routinely available for under $50 a point. So while you won't make a profit more than likely, your outlay is less than pretty much any other resort so there's less to lose if you do have to get out.

 

[muppets3d]

I disagree, I think people with longer OG contracts without restictions will be able to make a profit for years down the line, especially as the cost of owning direct keeps rising and the parks keep building.

Its harder to sell a VB contract than BWV or BCV. I would worry that it will be really hard to get rid of in a few years even selling it at rock bottom pricing

As I said, if you are only just now buying in I don't think making a profit is reasonable to expect.

Vero Beach contracts sell all the time because they are among the most affordable ways to get in to DVC. They certainly don't sell for as much as BWV, but I'm not convinced they're more difficult to sell.

 

[thanxfornoticin]

Seems to me, if folks are looking to get a good deal and buy a 2042 resort that they really like to stay in, then absolutely buy now and enjoy 15+ years of magic and memories. If the plan is to buy DVC now with the expectation of making money off of it in the future, then the 2042s are probably not going to be for you. But if someone loves the location of BCV/BWV resorts, or loves the peaceful feel of HH/VB, and the prices are low right now, seems like a good choice to invest in (and enjoy) those locations for the next decade and a half...... You're probably going to be spending money elsewhere on vacations anyway if you don't!

 

[DoubleBaconBLT]

I disagree, I think people with longer OG contracts without restictions will be able to make a profit for years down the line, especially as the cost of owning direct keeps rising and the parks keep building.

Its harder to sell a VB contract than BWV or BCV. I would worry that it will be really hard to get rid of in a few years even selling it at rock bottom pricing

The dues at VB are an absolute albatross. At present trends, VB contracts will reach zero value well before 2042 hits. Once the dues are higher than the cost of renting points, there is no point to owning the contract - just rent. The dues today are $14.30, and points can typically be rented for $18-20 per point. That's a pretty narrow spread. If the cost of dues goes over the rental rate, or over the cash rate, the contract becomes a liability - which is what happens with many other timeshares. Case in point - I booked a Club Wyndham stay from an owner for $850 that would have cost over $1000 in dues. You can find tons of timeshares for free if you agree to pay the dues.

Most of the year, there is availability at VB at the 7 month window. So almost any other DVC contract will provide a better value for the dues.

 

[Girlstar30]

The dues at VB are an absolute albatross. At present trends, VB contracts will reach zero value well before 2042 hits. Once the dues are higher than the cost of renting points, there is no point to owning the contract - just rent. The dues today are $14.30, and points can typically be rented for $18-20 per point. That's a pretty narrow spread. If the cost of dues goes over the rental rate, or over the cash rate, the contract becomes a liability - which is what happens with many other timeshares. Case in point - I booked a Club Wyndham stay from an owner for $850 that would have cost over $1000 in dues. You can find tons of timeshares for free if you agree to pay the dues.

Most of the year, there is availability at VB at the 7 month window. So almost any other DVC contract will provide a better value for the dues.

This is exactly what I was trying to say, fully agree, VB is the last 2042 I would buy if I had to choose one, it will very well be a liability before BCV and BWV and much harder to get rid of if necessary.

Unless you want to stay in the cottage every year or have owned for a while now, I dont think informed people who actually calculate the total cost would buy here. If someone just buys because they see a cheap price initially, they havent done their research... If the value was there i would have considered that as my SAP instead of SSR.