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

[SugarSweetLee]

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 don't think anyone should be buying DVC with the intent of selling "for profit" in mind.

 

[melissa70]

I don't think anyone should be buying DVC with the intent of selling "for profit" in mind.

I agree with this. Who knows how the rules will change. They’ve already put restrictions on resales and the more new buildings they build , resales will be some more unattractive to new, younger buyers I think.

 

[Brian Noble]

Neither do I.

Over the past several years, prices have trended downward, partly as a retrenchment from the post-lockdown revenge travel bubble. There are also some reasons to be concerned going forward. If DVC ever decides to put teeth behind the "no commercial use" restrictions, that is going to remove quite a bit of liquidity from the market. As the system evolves, the importance of restrictions will also increase. Another economic contraction similar to the Great Recession will lead to a quick burst of sales, many of which will be underwater. Even setting aside all of those things, DVC is both growing and aging. Over time, both of those suggest that there will be a steady increase in resale inventory. I am not sure I would bet the farm on demand keeping pace with that increase in supply.

Are any of these certain? No. But over time the risks only increase.

I've been saying it for a very long time, but my opinion has always been to consider the value in a purchase solely based on its use, and treat resale value like found money, rather than something one can count on.

 

[Girlstar30]

I don't think anyone should be buying DVC with the intent of selling "for profit" in mind.

I dont either but there are some resorts that you're going to get more money back if the need arises to sell and potentially profit from is what I should have said and some that you're not going to get as much or anything if you need to sell further down the line due to the expiration or different rules they have.

It is something to consider especially if you havent stay at one that has a greater chance of being worth more than others down the line.

 

[Girlstar30]

I agree with this. Who knows how the rules will change. They’ve already put restrictions on resales and the more new buildings they build , resales will be some more unattractive to new, younger buyers I think.

It will be even more unattractive with restrictions or a shorter expiration date as time passes.

But if the resort is somewhere you love above others that has restrictions or a shorter expiration date then by all means to me it makes more sense, why would you buy somewhere you don't want to stay unless there's other purposes for that contract such as SAP which I am a fan of and I know others arent.

 

[muppets3d]

I feel like everyone's restricted resale points will be seriously devalued in 2042 because even if you own say Copper Creek, the amount of resorts you can exchange into is severely restricted after the 2042's are cycled out of the situation. Buy where you want to stay is never more important than with resale, especially if you plan to hold long-term.