When luxury is worth it: Glad I bought DVC 15 years ago!

[jodifla]

I posted a version of this on the DVC boards, but imagine many budgeteers don't see it, so here's another take on it:

Just got back from 6 fabulous nights at BLT in a dedicated 2 bedroom. It made us VERY glad we pulled the trigger back in 1996 and bought 150 OKW points. We bought directly from Disney, financed, and paid if off early...easy to do, because the points sold for half what they do now.

We've had 16 years of great vacationing from these points. Because we have a modest amount, we've never felt burdened by them.

Along with many longtime members, I haven't been happy with a lot of the changes with DVC. It was better in many ways when it was smaller. But as I looked out on Bay Lake each morning, I was pretty glad they built there. AND I was VERY glad I wasn't paying either the $900 a night rack rate or the $500 a night "discount." Because we would never do that.

But because we were very smart 15 years ago and didn't second-guess ourselves to death, we can now stay at places like BLT.

Some things are just worth spending money on.

 

[cvjw]

Totally agree - love, love, love my DVC!

 

[rentayenta]

Love ours too! Our stay at the GCV last June would have cost us about $7,500 for 5 nights in the 2 bedroom theme park view we had. That's half the amount of the cost of our DVC minus maintenance fees. For one vacation. I mention the money because it's the budget board.

Looking forward to making many more happy vacation memories and eventually adding on.

 

[Marionnette]

I posted a version of this on the DVC boards, but imagine many budgeteers don't see it, so here's another take on it:

Just got back from 6 fabulous nights at BLT in a dedicated 2 bedroom. It made us VERY glad we pulled the trigger back in 1996 and bought 150 OKW points. We bought directly from Disney, financed, and paid if off early...easy to do, because the points sold for half what they do now.

We've had 16 years of great vacationing from these points. Because we have a modest amount, we've never felt burdened by them.

Along with many longtime members, I haven't been happy with a lot of the changes with DVC. It was better in many ways when it was smaller. But as I looked out on Bay Lake each morning, I was pretty glad they built there. AND I was VERY glad I wasn't paying either the $900 a night rack rate or the $500 a night "discount." Because we would never do that.

But because we were very smart 15 years ago and didn't second-guess ourselves to death, we can now stay at places like BLT.

Some things are just worth spending money on.

We costed it out and no matter how we tried to twist the numbers, it never made sense to buy into DVC.

You say that you have 150 OKW points and used them for a 6-night stay at BLT in a 2-bedroom. Well, you need more than 150 points for that kind of stay, so you either banked, borrowed or transferred points in order to do it.

You had to pay thousands for your initial contract. Which means financing for most people and paying interest on the financed amount plus whatever fees are associated with acquiring the loan. You also had closing costs, which are not reflected in the cost per point fee. And then there are the yearly maintenance fees which need to be paid whether you decide to take a vacation at Disney that year or not.

After adding it all up, we decided to just vacation when we want and where we want. We've done plenty of Disney trips but we have also directed our vacation dollars elsewhere. I'm glad that you are happy with your decision to buy into DVC when you did. We are equally glad that we decided not to.

 

[jodifla]

We costed it out and no matter how we tried to twist the numbers, it never made sense to buy into DVC.

You say that you have 150 OKW points and used them for a 6-night stay at BLT in a 2-bedroom. Well, you need more than 150 points for that kind of stay, so you either banked, borrowed or transferred points in order to do it.

You had to pay thousands for your initial contract. Which means financing for most people and paying interest on the financed amount plus whatever fees are associated with acquiring the loan. You also had closing costs, which are not reflected in the cost per point fee. And then there are the yearly maintenance fees which need to be paid whether you decide to take a vacation at Disney that year or not.

After adding it all up, we decided to just vacation when we want and where we want. We've done plenty of Disney trips but we have also directed our vacation dollars elsewhere. I'm glad that you are happy with your decision to buy into DVC when you did. We are equally glad that we decided not to.

Not sure about your math! We crossed the break even point about 10 years ago. No twisting required.

Oh, and no closing costs for us! DVC paid them. Our annual dues are around $800.

We did do a small cash add-on at BCV and paid cash for it bringing our total to 206 points. We took a year off Disney, and used banked points. We use our points every which way and don't feel married to using 206 a year. Sometimes we use none, sometimes we use 300 and take our friends.

 

[ValpoCory]

But because we were very smart 15 years ago ...

Dave Ramsey, Clark Howard, and practically every financial adviser out there would disagree with this premise.

 

[AlexTina]

Right there with you, we LOVE our dvc. If it's possible to pay out right or finance for just a couple of years it pays for itself very quickly. the points that we currently have cost us about what we would have spent on 3 trips. We are a family of 5 so we've always stayed deluxe and that definitely plays a role in figuring out costs, we are also not much for weekend or short stay vacations. When we go on vacation it is always for a minimum of 9 - 10 days. If you normally stay at the values the numbers won't work out in favor of dvc. If your like us and have always enjoyed staying at the deluxe resorts then it works out perfectly and we really love having the added space of a 1 or 2 bedroom villa (I hate regular hotel rooms now). Ive also been able to take my mom along with us which I never would have been able to do if I had to pay cash for either two rooms or a two bedroom villa. It works out great for us.

 

[Marionnette]

Not sure about your math! We crossed the break even point about 10 years ago. No twisting required.

Oh, and no closing costs for us! DVC paid them. Our annual dues are around $800.

We did do a small cash add-on at BCV and paid cash for it bringing our total to 206 points. We took a year off Disney, and used banked points. We use our points every which way and don't feel married to using 206 a year. Sometimes we use none, sometimes we use 300 and take our friends.

I won't go into the math here because most people are bored to tears by it. Suffice it to say that it did not make sense for us and we don't regret our decision.

Your decision worked for you and you're happy with it. That is all that matters. You don't get extra happiness points for trying to prove that someone who chose differently is wrong.

 

[ValpoCory]

If it's possible to pay out right or finance for just a couple of years it pays for itself very quickly.

IF you would normally 1) Go to Disney every year and 2) Stay in Deluxe accommodations. Very few people fall into that category, but most DVC owners I know use the "pays for itself" rationalization.

the points that we currently have cost us about what we would have spent on 3 trips.

Keep in mind DVC only covers one portion of your vacation expense ... the hotel room. I rent DVC points each time I go, and the hotel room cost represents ~20% of the total trip cost.


Renting DVC is the way to go if yearly Disney vacations are not your normal. I've never had a problem finding an owner. You get the benefit of DVC hotels without any of the obligation of a timeshare.

 

[ValpoCory]

Sometimes we use none, sometimes we use 300 and take our friends.

Also, if you are interested in paying for the hotel rooms of friends and/or family, then DVC may be for you. Many owners talk about how they can get rooms for others, especially paying for extended family to stay. NTTAWWT.

 

[Havana]

I am only a DVC member for 1 year, and am extremely satisfied with our decision to purchase and add on another contract.
DVC works for some and not for others. I'm glad it works for us

 

[jodifla]

Dave Ramsey, Clark Howard, and practically every financial adviser out there would disagree with this premise.

Lucky for me, they don't run my life. I do.

 

[jodifla]

IF you would normally 1) Go to Disney every year and 2) Stay in Deluxe accommodations. Very few people fall into that category, but most DVC owners I know use the "pays for itself" rationalization.



Keep in mind DVC only covers one portion of your vacation expense ... the hotel room. I rent DVC points each time I go, and the hotel room cost represents ~20% of the total trip cost.


Renting DVC is the way to go if yearly Disney vacations are not your normal. I've never had a problem finding an owner. You get the benefit of DVC hotels without any of the obligation of a timeshare.

You also could lose everything....be out all your money, and no vacation! It doesn't happen often but if you can't go, there's no refunds normally if you rent. Or you could rent from somebody who at worst is scamming you or at best can't pay their own dues...and same effect. No vacation for you!

 

[Jenn4615]

Wow.. such negativity... This is a common theme on here... Jealousy....
Be happy for her.
Its nobodys buisness to pick apart what she spends on her trips... give me a break!
We too have DVC and don't regret our purchase... and I don't care if it was a good financial decision or not... I am HAPPY with it... I can afford it without it being a problem in my budget...
This board is ridiculous so much of the time..
Congrats OP... Enjoy your trip!! Bay Lake is in a great Spot!! its our home resort... wouldn't trade it for anything!

 

[jodifla]

I won't go into the math here because most people are bored to tears by it. Suffice it to say that it did not make sense for us and we don't regret our decision.

Your decision worked for you and you're happy with it. That is all that matters. You don't get extra happiness points for trying to prove that someone who chose differently is wrong.

I agree that DVC is for a certain minority of people. I'm always sad when people come on and say, "I wanted to buy DVC 10 years (or 15 or 5) ago, but...." and then they STILL vacation at Disney each year! We just put the money we were spending on Disney vacations into our DVC payments and voila! DVC was paid off.

And my happiness points come from spending 6 nights in a 2 bedroom BLT for my $800 outlay each year.

Heck, they want $140 for ONE NIGHT at a Days Inn near Lake Michigan. DVC has me completely spoiled.

 

[jodifla]

Wow.. such negativity... This is a common theme on here... Jealousy....
Be happy for her.
Its nobodys buisness to pick apart what she spends on her trips... give me a break!
We too have DVC and don't regret our purchase... and I don't care if it was a good financial decision or not... I am HAPPY with it... I can afford it without it being a problem in my budget...
This board is ridiculous so much of the time..
Congrats OP... Enjoy your trip!! Bay Lake is in a great Spot!! its our home resort... wouldn't trade it for anything!

Thanks....we did have an awesome experience. I liked BLT much more than I thought I would! It's in 2nd place for me, after our home resort, OKW.

 

[Havana]

I can't bear to pay disney prices for hotels. Values around $120, Mods for $200
While we all paid dearly for our DVC points, it really isn't that bad considering how much these rooms are going for! Our Deluxe rooms are $300 + a night!

 

[gerald]

Came very close to buying DVC. Couldn't pull the trigger on it. Our biggest hang up was forcing a Disney vacation every year or every other year. I have never stayed on site, with a family of 5 so a hotel room would not cut it. So that leaves DVC. So we have rented a time share adjcent to WDW for $750. To rent DVC at $10 per point would cost $2,000. I guess I'm being cheap. However on this next trip watch we make the emotional decison to buy BLT.


To the OP :
I would say that you did break even on comparable hotel stays at WDW years ago. The most important thing is that if you enjoy your WDW vacations than thats all that matters.

 

[SandrA9810]

Still waiting to see if they ever make it to the campgrounds... When it costs like a whopping 5 points a night or some really small amount to make it worth it.

 

[jodifla]

Still waiting to see if they ever make it to the campgrounds... When it costs like a whopping 5 points a night or some really small amount to make it worth it.

You can use your points at the campgrounds.