Why multiple small contracts instead of 1 big

Disney4ever4569

Mouseketeer
Joined
Mar 6, 2004
Messages
155
Why do so many people say it is better to have multiple contracts than one contract with all the points? I realize that you would have a 4 month reservation advantage at more resorts but there has to be others reasons to make it worth it.
 
Say you want to buy 450 points. If you ever want to seel them it is easier to seel three separate 150 point contracts than it is to sell the whole 450. The smaller contracts also seem to get more per point than the larger ones when they are sold. This doesn't give you any type of reservation advantage except for at the resort that they are for. If you want 450 points at three different resorts, they have to be broken into smaller contracts. You have no choice.

HBC
 
The other thing that happens is you can have two contracts at the same resort if you add on - for example we have a 270 at BCV and a 50 we added later. At VB we have a 130 and a separate 50 we added later. At SSR we have a 163

So we have 5 separate contracts - they all are the same use year so it is pretty easy to track

Also with separate contracts makes it easier to will specific contracts to each of the 2DS's

thanks
jaysue
 
Are you saying that you must sell an entire contract? That it can't be subdivided for a partial sale?
 

gchiker, welcome to the dis

that is correct

a contract must be sold in its complete state - note a contract is the complete number including the extension

We have one master number with five different suffix numbers (hence 5 different contracts)

thanks
jaysue
 
Thanks for the welcome!

It would have been nice if my guide mentioned that before buying in. Fortunately, I started with the minimum 150 pts and added on another 50 later. I'm years away from selling, but I do like to plan ahead.
 
Multiple contracts would also be useful if you ever want to sell PART of your DVC ownership. Let's say that you initially purchased the 450 becuase you had school-age children and are used to vacationing over Christmas or Spring Break.

Years later the children are out of the house. You are free to vacation at the "cheaper" times of the year, and maybe you don't even need as large an accommodation.

Ultimately you realize that you only need 300 points to fit your vacation schedule. If you have one 450-pt contract, you're stuck with it--or you have to sell the entire thing and buy anew. If you have multiple contracts, you can divest yourself of one or more as needed.

Another consideration might be distribution of the contract(s) after your death. If you had 3 children and wanted to leave part of your DVC to each, three 150-pt contracts would make it very simple. With a single contract, your heirs would probably have to sell the contract and simply split the proceeds.
 















New Posts





DIS Facebook DIS youtube DIS Instagram DIS Pinterest

Back
Top