Where do you think DVC resale prices are headed?

[Mouse511]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

Thanks - didn't know about this site, not very user friendly though.

 

[Matty B13]

Thanks - didn't know about this site, not very user friendly though.

Watch out for this website, I just checked the only Grand Floridian contract they have listed for 300 points at $30,000.00 but the annual dues are only $800.00 which is right around what 100 points should be. I think they are actually trying to sell is a 100 point contract that is loaded with 3 years of points. This would make the cost $300/point...... make sure you know what your bidding on.

Also, it doesn't state the UY of the contract as well, so I would make a phone call to this broker before bidding.

 

[Kickstart]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

Wow, that site... so hard to navigate and it's hard to tell exactly what's being listed in some cases. I wonder if they're showing actual sold prices, that is kind of interesting.

 

[gisele2]

Watch out for this website, I just checked the only Grand Floridian contract they have listed for 300 points at $30,000.00 but the annual dues are only $800.00 which is right around what 100 points should be. I think they are actually trying to sell is a 100 point contract that is loaded with 3 years of points. This would make the cost $300/point...... make sure you know what your bidding on.

Also, it doesn't state the UY of the contract as well, so I would make a phone call to this broker before bidding.

My point is not to buy from this site, I would not. But it had no listing in the summer, and now a couple, I do not think there are commission, so I see it like there are more sellers needing to sell ASAP.

 

[MICKIMINI]

Wow I just looked at a SSR listing 100 points with $60 annual fees! Red flags!

 

[Heather07438]

One Boardwalk listed there... the famous Unit 31A? lol 150pts for $12k

And another BWV 150pts sold for $9k... $60pp. C'mon now.

How long have these been posted there? Somethings not right.

 

[sethschroeder]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

That had super cheap contracts back in the summer as well. Impossible to buy from those sellers almost though. Reached out to like 5 or 6 never a response.

 

[deedubb]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

I saw that site when I was looking for a contract. There is no way some of these are passing ROFR. There is a Boardwalk 150 point contract that sold for $9K, which is $60/point.

 

[striker1064]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

I definitely remember an interesting discussion about that website not that long ago with good insights from @Brian Noble:

https://www.disboards.com/threads/w...esale-prices-are-headed.3797236/post-62083505

 

[heynowirv]

Wow I just looked at a SSR listing 100 points with $60 annual fees! Red flags!

When I was phishing for my BWV contract I checked out their site, even talked to an agent. They deal with distressed contracts mainly. Personally I'd stay far away.They also can't tell you what is actually owed by the seller if anything.

 

[RoseGold]

So more contracts with really low price on the site https://www.buyatimeshare.com/. So I think that we may see a price drop in the next months.

Uh, VGF at $100/point? Uh, no.

 

[CarolynFH]

I definitely remember an interesting discussion about that website not that long ago with good insights from @Brian Noble:

https://www.disboards.com/threads/w...esale-prices-are-headed.3797236/post-62083505

Yes, everyone who's excited about the prices on that website should read Brian's post.

 

[sethschroeder]

I am so surprised looking at prices right now vs where I thought they would be. We did see a dip but Disney has been buying enough back to make up the difference.

We will see what it looks like when foreclosure starts back up like others have said. Also based on the future status of WDW restrictions, FP+, AP, and other aspects that might change POST COVID we might see additional sellers as people opt out of the "new" WDW.

 

[Brian Noble]

Yes, everyone who's excited about the prices on that website should read Brian's post.

The prices themselves aren't the news, I don't think.

The news is that there is any DVC inventory on this site at all. That means at least some DVC owners are willing to pay real money to have their contract taken off their hands---and that may have some interesting implications for the supply of resale contracts coming in the new year during what is already usually a busy season for new inventory coming on the market.

 

[RoseGold]

That means at least some DVC owners are willing to pay real money to have their contract taken off their hands---and that may have some interesting implications for the supply of resale contracts coming in the new year during what is already usually a busy season for new inventory coming on the market.

Yes, DVC contracts can be underwater, and you'd have to bring money to the table to sell. Direct pricing + financing could be stripping the growth rate for a recent purchase. I've seen some absolutely insane financing for DVC. Underwater contracts might force a different action than the normal resale market we think of -- maybe they will be disposed of with foreclosure or with more creative means, like whatever that site is doing. All of this mess is why I was convinced I would never buy a timeshare, haha, and also why I am so pro resale.

 

[CarolynFH]

Yes, DVC contracts can be underwater, and you'd have to bring money to the table to sell. Direct pricing + financing could be stripping the growth rate for a recent purchase. I've seen some absolutely insane financing for DVC. Underwater contracts might force a different action than the normal resale market we think of -- maybe they will be disposed of with foreclosure or with more creative means, like whatever that site is doing. All of this mess is why I was convinced I would never buy a timeshare, haha, and also why I am so pro resale.

I think what Brian means is that some people are willing to pay money up front to someone to "market" their DVC contract and sell it for them. The company whose listing is under discussion here is one of those companies. They ask dissatisfied TS owners to pay them $$ - usually multiple thousands - to "sell my timeshare now." Then the company lists the TS on a website that may or may not get any traffic, for unrealistic prices. This company apparently is listing at ROFR-bait prices. When the contract sells they may pocket a commission on top of the amount paid to list it. So these listings illustrate that there are some DVC owners who don't know what they own and what the market value is. That's very common with TS owners in general.

 

[CastAStone]

One Boardwalk listed there... the famous Unit 31A? lol 150pts for $12k

And another BWV 150pts sold for $9k... $60pp. C'mon now.

How long have these been posted there? Somethings not right.

Go look at the Orange County database of sales. Contracts absolutely sell for these prices, BUT, Disney universally ROFRs anything below 50% of current direct prices, at all resorts (except those they’re actively selling) - except this spring and summer, when some people really did get incredible deals from these sites.

Not really worth the effort now, just to get ROFR’d, IMHO.

 

[eMoneyBug]

Is DVC following the stock market, it bounced off the pandemic dip but if economy tanks in 21 so will prices. If economy blows thru covid than soar onto higher highs

 

[RoseGold]

Is DVC following the stock market, it bounced off the pandemic dip but if economy tanks in 21 so will prices. If economy blows thru covid than soar onto higher highs

Sort of. You can see some resorts dipped over the summer, when many of us bought. I bought VGF! But some never budged, like SSR. And some went crazy, like AKL.

https://www.dvcresalemarket.com/blog/dvc-resale-average-sales-prices-for-november-2020/

 

[Starport Seven-Five]

2020 was really weird because:
-The driving factor behind the recession also affected travel. WDW shutting down had only happened a few times in its history before this year and it was closed for months.
-People that were hurt economically in 2020 were primarily retail and lower income workers. Those are not typical DVC customers.
-With travel restricted, people had extra money to spend and some used it to fund future vacations by buying DVC.

Assuming 2021 is the year of the vaccine and we all get back to normal traveling, I think a future economic recession would be closer to 08-09 where DVC price declines lagged the market by a couple years. That seems more "normal" in how I would expect DVC prices to reflect challenging economic conditions.