Why buy through Disney vs. a reseller?

[WDW Here we come!]

Hi,

As I'm starting to get more information on DVC, I'm curious............why would I purchase through Disney vs. a reseller? For example, Disney is offering a "promotion" right now for SSR at $90/point. Why would I pay that if resellers are offering it for approx. $86/point?

I have to admit, though, that the resale process makes me a bit nervous (dealing with someone/agency you're not familiar with), so has anyone had any good/bad experiences they would like to share?

Thanks for your help!!

 

[Happy Birthday Cat]

One of the main reasons to purchase through Disney is that they provide easy financing. If you buy resale, you will need to come up with your own financing. Many use home equity loans.

We have purchased both ways and they worked out just fine.

HBC

 

[Deb & Bill]

With Disney, no closing costs for the buyer. You can use your points immediately to make a reservation.

With resale, you have closing costs unless you negotiate the seller to pay all closing costs. You have to go through ROFR - Disney can choose to buy back the points at the price you are offering if you offer too low. You lose the contract, no cost to you, but you still don't have any points.

With resale you can negotiate the price of the points, no negotiation with Disney. You pay there price.

With resale, you can purchase points at sold out resorts. With Disney, you can only buy what they are selling. Sometimes it is limited.

 

[1000th happy haunt]

Last week we purchased a small VWL add-on direct from Disney. There are no closing costs for the buyer, no waiting for ROFR, and even though we haven't gotten the paperwork yet, I've already banked and used the points for a trip this December.

We did pay $92 per point. To get the equivalent through resale (because of the closing costs, etc.) we would have to pay about $85.50 per point. And Disney has been buying up the smaller resales, so to pass ROFR we would probably have to pay more like $87-$88 a point.

Also, Disney pro-rates the maintenance fee. So even though we got 2005 points, we don't have to pay maintenance on them. We only pay maintenance from the time we made our purchase forward.

So it really all depends on what type of contract you're looking for. Our original contract was for 300 OKW points, and we got that through resale, which was the better deal.

 

[browniemtb]

I agree with all the OPS. First you must way in the point contract and add the closing costs to get a true representation. Also buying resale does not gaurantee you 05 points. The 05 points may have been used and sometimes the 06 points are used...so look at that as well. Disney generally gives you the 05 points basically at no cost...no dues.
We went through Disney recently and purchase BWV..so the sold out resorts are available...and the process is very simple.
Good Luck
Brownie

 

[CPTJAK]

I am also looking like you and this is my research thus far:


If you are buying SSR, I think Disney Direct is better. In order to make it worthwhile to go through resale the price would have to be significantly lower and on a small contract (150 pts) you are not going to find a resale that cheaply it might be hard to pass ROFR.

For example, from Disney cost $90 per point 150 points = $13500 plus you get 150 2005 points (I believe with no MFs). Thats 300 points to use/rent

Now resale at $85 per point

purchase price $12750 closing $500 maintance fee $600=$13,850
and may not have points from 2005,

If you could neg seller paying the closing and MF and if 2005 points available than it may be worth waiting the extra time to close and disney's ROFR (savings of $750)

 

[WDW Here we come!]

Thanks for the all the replies!

I think if we go SSR, we will buy through Disney because of the maint. fee being pro-rated and getting the 2005 points. The cost comes out pretty much the same if you take the above into consideration.

Any other opinions out there?

 

[greenban]

Thanks for the all the replies!

I think if we go SSR, we will buy through Disney because of the maint. fee being pro-rated and getting the 2005 points. The cost comes out pretty much the same if you take the above into consideration.

Any other opinions out there?

I think you could get SSR for $79.00 - $80.00pp if you wanted it. I would not pay $85.00 for a resale SSR.

I think the extra $6.00 per point probably tips the scale on a 150 point contract towards resale.

I have purchased X 5 directly from Disney, and X 6 with a current ROFR from the TimeShare Store. I have always gotten at least 2 years worth of points, and my last 3 purchases were triples, so even at $94.00 (compared to Disney's $92.00 pp, I came out ahead, albeit only $3-4.00 per point.

JMHO, YMMV

-Tony

 

[psu4glory]

we recently closed on the purchase of 200 points at BWV through resale. we paid $82.50 plus closing costs - that took us up to just over $85/pt. that was still a significant savings over the current $92/pt that disney is asking for sold-out resorts.....the previous owner had also banked all 2005 points, so we're coming in with 2 full yrs worth of pts to use, which translates into 3 wks of vacation for us this year

one big down-side to resale - as i see it - is the waiting. our whole process...from the time we signed the contract to the time we made our first ressie.....was nearly 9 weeks. as some posters have already pointed out, if you buy through disney, there's no wait b/w the time you sign and when you can make reservations.