Who else financed and is happy with the decision?

[loveswdw]

Isn't it funny that people don't think twice about financing a car (usually for even more), when the car will not last anywhere near 30 some years, and will depreciate to nothing - yet they question financing something that you will reap the benefits of for years to come?

ITA!

 

[kimberh]

We attended a sales pitch and at the minimum buy in, over a year my payments would look like this:

1,500 - downpayment
approx 200 per month = 1,400

total = 2,900 - but not including 7 day tickets OR any dining (and DVC did not offer the DDP yet). Even with annual passes and DDE, I knew I was looking at an additional 2,000 easily. So - even without the downpayment figured in - yearly cost of a vacation would be 3,400 (and the first year I'd spend 4,900!)

My issue at the time was that I could afford the club - but I would not have enough left over to buy tickets and meals each year.

Of course, in the long run - after the initial purchase was paid off, I'd be golden and loving the savings (one reason the extra 12 contract years really, really, really appeal to me). At the time, however, I was not sure I could comfortably afford to pay cash for the non-points portion of the vacations I wanted.

One thing the guides do not do, in my opinion, is prepare people realistically for the price of using DVC each year. I think this is the main reason people regret financing and/or their purchase of DVC.

I have been to Disney so many times that I can't count them all. Through the years they have become a very major expense, not a casual vacation. I fought the idea of DVC, we already owed a timeshare, that I have traded all over the country and carribean. It's been paid off for years!! I have never had regrets about buying it.
We have just bought a Disney resale, I feel that the way Disney keeps going up on the rooms, even with the AP discounts( when they are available) they are a lot of money and the rooms are not very big. AKL 340 sf. I bought sight unseen, no presentation, then I bought again, this one I financed. I am not a person to finance many things but the way things are going up... I really wanted Boardwalk and I didn't want the price to get higher. I understand interest and I know that I really need to make this a priority and get it paid for.
As for the guides, not telling people about all the costs incurred when making a trip. There are some ways to shave some of these costs. I know that people have the Disney visa card. I, am by no means telling people to get credit card debt but on our last trip I paid for ALL our meals with the Disney Dream Rewards that I had earned on the card. The points do add up. I pay it off EVERY month and pay NO interest. If you are a disciplined person then use the cards that reward you back. I know that Dave Ramsey says No, But we fly on Skymiles and Cruise on Cruise points, just my 2 cents!!

 

[cgcruz]

I dunno. It seems with the price of DVC now at $101 a point, financing is less tempting than ever before. 150 points would cost you $15,150.00 Lets say a ten year loan will carry an APR of 9.75% If all you could afford to pay is the minimum that would be $29;921.25 or roughly $249.34 a month ($2992.08 a year) add about $750 extra in dues now... You are paying $3,500 a year or more just on your first year. Who knows how high they could be five years from now. Also, weigh of great deals that come out for hotel stays such as free dining and ticket upgrades...etc. I don't know if I did the math right, just a quick estimation. I would love to join DVC, but at $101 a point and having to finance, I can use the $3,500 to have a great stay at a deluxe hotel with tickets and meals included. Even better i'll (and have done so) rent points from a DVC member and pay a fraction of what a financing DVC member is spending that year.

 

[jodifla]

Well, I'm resurrecting my own thread!

After seeing these massive price increases coming, I am happier now than ever that we financed back in 1996 at 60ish a point. If we'd waited until we had cash in hand --- well, we still probably wouldn't own.

All our savings goes into an account, and it doesn't come out.

Edited to add: Although at today's prices, I'm not sure I'd buy in.

 

[Dan Murfman]

Well, I'm resurrecting my own thread!

After seeing these massive price increases coming, I am happier now than ever that we financed back in 1996 at 60ish a point. If we'd waited until we had cash in hand --- well, we still probably wouldn't own.

All our savings goes into an account, and it doesn't come out.

Edited to add: Although at today's prices, I'm not sure I'd buy in.

Just curious. What page was this on?

 

[cbnsoul]

We've financed all of our contracts. We have had 5 total - 3 fully paid off, 1 about half paid and the other is new. We have paid them off quickly though - all within 2 1/2 years or less.

 

[kristenrice]

We bought 100 points resale and paid cash using inheritance money. Then, I convinced DH to buy 50 points direct at HHI. We financed the purchase and intended to pay it off early, but alas, we had major car repairs ($3500!) and that plan fell through. My reason for financing was that it would be a mere $37 out of my paycheck ($25 for the loan and $12 for the dues) so even if a castastophe hit, that $37 really wouldn't be a huge strain. Heck, I can return $37 a month in pop cans! The other car will be paid off this December so with no car payment, we can hopefully get the DVC loan paid off in a few years.

I'm so glad we purchased at HHI! We bought sight-unseen and we are leaving next week for our second trip "home". We love it and I regret that I only bought enough points for a once-every-three-years trip. We may start going every othe year and hope for success at 7 months.

 

[patsal]

Financed the first one long term, the second one for 1 year and the third one I paid cash for. No regrets, not in the poor house, it was what worked for us at the time! Take what others say with a grain of salt.While it is good to look at all aspects, nothing is one sized fits all so do what is right for you.

 

[disneynutz]

So, to hear a couple of folks on the operations board, I'm heading to the poorhouse because I had the audacity to FINANCE my DVC....

Well we did, it's all paid off for years now, and we paid way less than we would have if we'd kept taking Disney vacations and paid the hotel rates. We're delighted with our decision to buy in when the points were in the $62 range.

Anyone else?

Financing and owning are two different things. How you came up with the money to purchase is your business. Don't let them bug you.

Bill

 

[rmcildw2m]

Keeping in mind all of us love our dvc its not cheap by any means , but it does help in controling the room cost part of your stay . Thats how i look at mine anyway .

 

[mckinneyld2000]

We financed our first loan and had it paid off 2 months after it was finalized. We then bought more points right after we paid off the first loan and financed again with plans to pay it off in 2-4 years. These points were bought direct, and if we buy more we may look at buying resale, but just paying cash for smaller contracts.