Which contract would you try to buy?

[ZekeKelso]

I'm made the final decision to buy a resales DVC and am looking at 3 different contracts at my desired resort. I know I have to figure this out for myself, but am curious what you guys would do:

Contract A: Has full April 2007 points. Priced just above recent ROFR threshold (i.e. will probably get through, but might be taken)

Contract B: Has 3/4 of December 2006 points. Priced $4.50/point higher than Contract A

Both contract A and B are about 50 points less than what I'll eventually want. But that's exactly what I'm looking for. The idea is to buy now, then get a 50 point add-on contract at CRV if it happens, or at one of the other resorts.

Contract C: Full December 2006 points. $0.50/point more than Contract A. 50 more points than Contracts A and B.

 

[1000th happy haunt]

Remember that with resale, you can offer something different than what the seller is requesting.

When we bought OKW the seller wanted $75 per point, but we offered $73, which the seller accepted.

 

[calypso*a*go-go]

Is this just from browsing the resale broker's website? Have you actually called them and made contact with an agent? If not, then do so immediately and tell them exactly what you are looking for because many of the best contracts never make it to the website. I would think you could easily find a contract that has all of '06 & '07 points intact (some may even have '05 pts!) at a price you and the seller can agree upon.

 

[dianeschlicht]

Given your criteria and those specfic listings, I'd likely go for the last one, since it has the number of points you prefer, and has a full compliment of points available now.

 

[flyerron]

Without specific details it is a hard call. My mantra is to relax & sleep on it. Too often we overthink these things, & then we are never satisfied & question our final decision. Just do it, choose 1 & forget about the other deals.

 

[jekjones1558]

I would take contract C if you are able to go on a trip before December 1 to use 50% of the 2006 points or are willing to rent them out. You would have until August 31 to bank 50% of the 2006 points but would need to do something with the rest. I have bought 6 resales and only have purchased contracts with full points because I think they are the best deal. JMHO. Good luck. Hope to be sending you an official "Welcome Home" soon.

 

[CarolAnnC]

Honestly, I would look for a contract with the 50 additional points that you want in it.

Then I would negotiate, but stay realistic so that you don't lose it to someone else or ROFR.

A good timeshare salesperson will be saavy enough to get you what you need and help with the offer so that it goes through. Good luck to you!

 

[ransom]

If I was in no particular hurry, I'd wait for just exactly the right contract. And when it comes up, I'd have no doubts!

But if I had to choose from the three currently available that kinda-sorta met my criteria, I'd go for the best value. I wouldn't buy more points than I needed. If I wanted to buy a 50-point add-on later, and didn't mind buying the add-on at a non-CRV resort if CRV never happens, then I'd buy one of the first two contracts. The second one would be too costly for me ($4.50 per point of the entire contract means I'd be paying about $6 per point for the remaining 3/4 of the points from 2006, plus maintenance presumably).

So I'd go for the first one...if the use year was acceptable.

 

[Caskbill]

You need to factor in whatever the sellers are looking for on reimbursement or payment of maintenance fees.

If the two December contracts expect you to pay the 2006 maintenance fees, they they are overcharging. Maintenance fees are based on calendar months, NOT on Use Years.

Also, a Dec UY is only 4-months earlier than an April UY. Having full 2007 points with an april UY is basically the same as having 3/4 Points of a Dec UY.

As long as contract isn't trying to charge you 2006 calendar year dues because it has all 2006 uy points, then it's the better deal. Remember, Disney pro-rates dues by calendar months. If you were purchasing from Disney, and got a Dec UY contract, you'd have no back dues to pay, and only about 5-months of dues for calendar year 2007, and you would still get all 2006 UY points, and all 2007 UY points beginning 12/1/07.

I wouldn't rule out completely the possibility of buying a Dec SSR contract direct from Disney. You'll pay less in closing costs, most likely way less in maintenance fees since they'll be pro-rated. With incentives it might be close to your resale contracts. Also with Disney, you can purchase exactly the number of points you want (with 160 minimum)

 

[Tamar]

I'd buy contract C...42 points more than contract A, 50 cents per point more than contract A ($4 less than contract B). Dec UY, most 2006 points still available and all 2007 intact. If I was going to move on it, I'd make an offer quickly contingent on as many 2006 points as possible to be banked.

 

[ZekeKelso]

I really want to thank folks for responding. The act of writing the OP, reading your comments, and thinking of replies really crystallized my thinking. Here's a timeline you may find amusing:

18 months ago: Heard about DVC; made visit to WDW to check things out

7 months ago: Made "trial run," taking family on DVC trip with rented points.

1 month ago: Made final decision to buy. This kicked off a month of intense analysis on exactly what/how to buy. Both by profession and by personality, I'm a nut when it comes to these sorts of decisions. I can't just buy something; I have to look at every single option, make list after list, comparing my choice with every other possibility, etc.

Friday: Finally felt comfortable with the decision and looked at online listings. I found one that best met my criteria, and a couple others that were close.

Saturday: Posted a note on this boarding asking for people's thoughts on the three options. Read and carefully considered what people wrote

Sunday: Called TSS, made an offer on a completely different sized contract at a different DVC resort

Monday: Sent in deposit and signed paperwork

Tuesday: Noticed that "my" listing is now "sale pending". Cross your fingers folks.

That's right - 18 months of thinking and a month of solid analysis tossed out the window overnight. Although I appreciated everything you guys said, a few things really stuck in my mind:

1) Buying "exactly the right contract", and
2) The suggestion to consider SSR direct from Disney

The more I think about SSR, the more I fear it will become harder and harder to book at non-home resorts. This got me thinking about the need to buy smaller contracts at the resorts where I want to stay.

There weren't any "good" smaller contracts at the resort I had chosen. On a whim, I looked at one of the other resorts and saw the "Goldilocks" contract. Full 2006 points, no restrictions, the right number of points, the perfect price. It just felt right. The next morning I went ahead and made the call.

Thanks again… assuming everything goes through I'll post the full details when I'm an owner,

Zeke

 

[jakenjess]

I hope it works out for you and we'll soon be welcoming you home!

 

[dianeschlicht]

Thanks for the update! Can't wait to welcome you home when you come back to post the details!

 

[bobbiwoz]

Pixie Dust! Congratulations on making your decision.

Bobbi