why is resale so much less at certain...

[shrubber]

I am pretty sure I already know the answer to this, but need to come to the experts for conformation. Why is the resale value/going rates so much less for VB and HH than other 'onsite' disney resorts?. Is there another reason besides the fact that most people want to stay at WDW and the advantage of 11 prebooking? Do people want to buy onsite but buy at VB and spend the rest of their life trying to get ressies at the Boardwalk?

 

[Richyams]

Also, many people were lied to my DVC sales staff when they were trying to seel those ill concieved resorts. Buying VB points to stay at WDW DVC resorts is just not a good idea, unfortunatly, DVC sales staff spent years and years convincing people that it was a good idea.

Their lies and misrepresentations were horrible, more than one person came here all excited after buying in during their trip only to find that they were duped by DVC sales staff and canceled their purchases to buy another resort on WDW property.

As timehsares go, DVC is expensive, you can certainly find timeshares as nice as HH for the same or less money that are WAY, WAY closer to the beach.

I think the offsite resorts will remain the lowest priced and least desirable resorts to own at.

 

[Disney4ever4569]

Vero Beach also has the highest maintenance fee per point. If you were looking for something that was the lowest cost to buy a resale and the lowest maintenance fees, I would reccomend Old Key West.

 

[mydogdrew]

The question is why do off-site sell for less. In the case of VB it is clearly due to the higher fees. You can buy at $60 vs. $70 but the dues will mitigate this savings several times over by the end of the contract. One could argue that HHI is a better value since the maint is lower but OKW would again seem the better choice for most. Without ROFR these off-site resorts would be selling for a fraction of the on-site resorts.

 

[Richyams]

The seven month window matters. Regardless of what DVC sales folk would have potential customers believe, buying VB or HH with the intention to maily use the points at a WDW DVC resort for you into a life of dealing with the seven motnh window. Certain times of year will be easy, others will be difficult and some rooms during some times of the year will be nearly impossible.

That is why they sell for so much less.

 

[tjkraz]

With regard to resale prices, don't discount the impact of ROFR. As long as DVC continues to exercise ROFR, I believe sales prices will hover pretty close to those ROFR amounts--maybe a few dollars more when someone really wants to insure that they get their dream contract.

IIRC, it took DVC about a decade to sell-out Vero Beach, and that was only after the construction was scaled-down from the original plans.

If resale prices for Vero and Hilton Head are low, that means that DVC isn't remotely interested in reclaiming those points. Thus their ROFR threshholds are set much lower than the onsite properties.

 

[Dean]

VB and HH are less in part because they are not on property at WDW. They are essentially just timeshares in many ways like many other timeshares, only they can also trade to WDW based on availability. The difference in ownership is that if you can't get anything at the 7 month window, you don't have a vacation to WDW at all. With all on property resorts, you can always book at 11 months at the home resort and be assured of a room at WDW. That is a big difference, IMO. Also note that DVC had trouble selling both resort as well, taking much longer in addition to having to offer larger incentives.

 

[Cruelladeville]

Don't forget that the interest in HH and Vero was much less than on-site resorts initially, so that Disney had to really lower the prices to convince people to buy into those two resorts. When the on-site resorts were selling for $74 per point, and selling well, they lowered the price of points at HH and Vero to $60 with Magical Beginnings to get things moving. I think that strategy also helped to depress the prices of those two resorts, since the pricing advertised how badly HH and Vero were doing. If everyone knows that the prices were lower to buy in, and they are less desirable to own at, both things work against the off-site resorts on resale. Dues at Vero make things even worse. I really like both resorts, but I wouldn't buy in because I want to make sure I can sell at a good price and quickly, if I needed to.

 

[disneycrazed139]

Based on this discussion, I'd be curious to know if any VB owners wish to chime in if this scenario applied to them. Did any VB owners on this board buy in with the hopes of being able to trade to WDW easily only to be frequently disappointed?

 

[Cap]

We bought at VB because we like that location and wanted to be able to have the 11 month window there for prime winter season. At the same time, we bought at BWV to have an on site location with 11 month window.

We've since bought at HH to be able to have the 11 month window there. Of the three, we like HH best of all.

Of course, nothing says you have to buy at full "retail" price from Disney. Resales are great.

 

[jmminarik]

Originally posted by disneycrazed139
Did any VB owners on this board buy in with the hopes of being able to trade to WDW easily only to be frequently disappointed?

While I agree with Rich's long held gripe with the sales tactics of VB and HH, I have to say we've never had an issue getting rooms with our VB points in once in September (at 4 months) or multiple times in December (at 7 months). Of course, it helps we love OKW and there's almost always something available at OKW, but we've gotten a 1BR at the BW on three months notice in december and a studio at BW on 2 months notice at the end of Christmas week...(helped it was a weekend!).

We bought VB back in 2000 when I knew enough that I wanted DVC going down there, but didn't know about these boards. If I had to do it again with my current education, I'd have bought the points at BW (Disney still had them) or OKW resale. However, I'm not particularly bothered with the way things have turned out.

-Joe