Would you join a lawsuit against DVC to stop/revert the 2020 reallocation?

[zavandor]

Finally we got the last piece of the puzzle, everything is clear now.
To make the new resale restrictions work, they'll have to create a new exchange system. Currently, the 14 LegacyDVC resorts exchange freely at 7 months, the only limit being room availability. New resorts will not be part of the same club anymore. There will have to be a regulated exchange system between them so they can give access to that new system only to whoever they want (i.e. only direct buyers and older grandfathered members). But such a system to work needs points to be deposited so members can start exchanging reservations between the clubs. Disney could provide those, keeping ownership of many hundred thousand points. But why should they, when there is a method to create points out of thin air? Every time a lockoff will be booked as studio + 1BR, the excess points could go into the exchange system.
They weren't after the breakage inventory, that is peanuts, they were after a way to make the new exchange system work.

 

[twinklebug]

I believe the problem here boils down to a lack of communication and transparency on Disney's part back to the owners.
A lawsuit should never be needed to get the timeshare administrator to reveal their books, or in this case, spreadsheets. That is all we really need.

What I want to see from Disney is full disclosure regarding what is going on with the points.

THEN I want to know what is happening with those reservations at AKV at 11+ months out where there is no way anyone can have booked them and yet they're off the system.

 

[Madame]

For the first time I’m regretting buying into DVC. I don’t like all of this instability & lack of direction or clear trajectory

 

[zavandor]

The new system could even have different rules, something like: "buy Riviera and trade your points with the LegacyDVC resort starting at 10 months!"

 

[twinklebug]

Finally we got the last piece of the puzzle, everything is clear now.
To make the new resale restrictions work, they'll have to create a new exchange system. Currently, the 14 LegacyDVC resorts exchange freely at 7 months, the only limit being room availability. New resorts will not be part of the same club anymore. There will have to be a regulated exchange system between them so they can give access to that new system only to whoever they want (i.e. only direct buyers and older grandfathered members). But such a system to work needs points to be deposited so members can start exchanging reservations between the clubs. Disney could provide those, keeping ownership of many hundred thousand points. But why should they, when there is a method to create points out of thin air? Every time a lockoff will be booked as studio + 1BR, the excess points could go into the exchange system.
They weren't after the breakage inventory, that is peanuts, they were after a way to make the new exchange system work.

It's looking as though the database is designed so that each contract has attributes that can be turned on and off allowing access to other resorts. Riviera resale owners will simply be restricted from booking anywhere but at their home resort, in a similar way to how we are all restricted to our own home resort during the 11 to 7 month window. It makes for more rules in the database and software, but no new system is needed.

The question I have is how will they deal with those Riviera resale owners who may get blocked out from their own home resort once the 7 month window opens up for all those other resorts?

For the first time I’m regretting buying into DVC. I don’t like all of this instability & lack of direction or clear trajectory

This is what happens when companies (DVC in this case) grow too fast.

 

[glamdring269]

Wow, something other than dust coming out of the Pixie lately, at least in relation to DVC news.

 

[ParkHoppers]

Wow, something other than dust coming out of the Pixie lately, at least in relation to DVC news.

Yes indeed. The hits just keep coming it seems.

 

[KAT4DISNEY]

The new system could even have different rules, something like: "buy Riviera and trade your points with the LegacyDVC resort starting at 10 months!"

That crossed my mind.

Home resort is guaranteed 1 month priority. After that they could change booking windows to be a mix.

 

[DizDaD7]

I'm a lil bit confused with a lot of the verbage that has been explained, but either way I'm just as upset with this situation as the rest.

As a PP has already stated, this does have me a little bit uneasy, to the point where I've postponed talking to 3 of my friends/co-workers about buying into DVC.....Who would've thought that can happen?

 

[DougEMG]

So DVC has shown itself to be just like any other timeshare. That means I will never ever recommend buying it to anyone ever again. You just can't go into a 50 year business relationship with someone you can't trust.

 

[disneynutz]

So DVC has shown itself to be just like any other timeshare. That means I will never ever recommend buying it to anyone ever again. You just can't go into a 50 year business relationship with someone you can't trust.

We stopped recommending DVC a few years when we decided that we didn't care for they way they run their business. In fact the DVC has changed our love for Disney.
While we still see some value to Disney vacations, we seldom go into the overly crowded parks and we have reduced our number of Disney yearly stays. We sold some of our contracts and we may be selling more.

Bill

 

[glamdring269]

We may go ahead and sell our contract after taking our upcoming Oct trip. One of the reasons to hold the contract was due to the value and the ability to unload it if needed. Problem is we’re in one of the older resorts (BRV) so the years will eventually become a problem. I’m concerned these changes (plus whatever others they have lurking in the toolbox) are just going to accelerate the devaluation. I’d basically rather get out a little early than a little late.

 

[JGINPL]

I got on Chat with Disney today and they stated:

Members who purchase resale contracts for any of the existing 14 resorts will not be able to stay at future resorts, including Disney's Riviera Resort and Reflections - A Disney Lakeside Lodge.Additionally, once sales of Disney's Riviera Resort begin, Members who purchase resale contracts at Disney's Riviera Resort will only be able to stay at Disney's Riviera Resort.
This process will also apply to any locations built in the future.



So it sounds like they will be restricting to just home resort on any new DVC properties for resale. Some forums I was reading thought they would allow the new resorts in resale to be booked for new resorts, but it looks like this isn't the case.

 

[DVC92]

I believe the new resort resale provision increases the value of our resorts, particularly for resale purpose. Riviera isn't the prime location that VGF, BLT, Beach Club, Boardwalk, etc. are. I would much rather walk into MK or EPCOT, dine around the monorail loop, etc. than hang out at Caribbean Beach or take a non-air conditioned/unheated Gondola to a couple of parks.

 

[4luv2cdisney]

I'm a lil bit confused with a lot of the verbage that has been explained, but either way I'm just as upset with this situation as the rest.

As a PP has already stated, this does have me a little bit uneasy, to the point where I've postponed talking to 3 of my friends/co-workers about buying into DVC.....Who would've thought that can happen?

Ditto.

We, however, are already in this mess and we've always known our little contract was only our "starter" and we would need more points. So, I'm sitting here trying to decide if I should try to jump on a resale contract.....like...today!!...to ensure I have enough points to keep staying despite the increasing point charts and maybe allow us a few nights in one of the shiny new resorts they're building.

Because I don't fully understand how they've created points out of thin air, I cannot figure out on my own the following. Which resorts are the most and least "inflation-proof"? I'd like to say poly because there are no lock-offs but you have the possibility of them shifting more points from all the bungalows as everyone's always assumed they'd do. So, help!!! Anyone???!!

 

[skier_pete]

I'm going to wait to see this rumor out - I'll believe it when

I got on Chat with Disney today and they stated:

Members who purchase resale contracts for any of the existing 14 resorts will not be able to stay at future resorts, including Disney's Riviera Resort and Reflections - A Disney Lakeside Lodge.Additionally, once sales of Disney's Riviera Resort begin, Members who purchase resale contracts at Disney's Riviera Resort will only be able to stay at Disney's Riviera Resort.
This process will also apply to any locations built in the future.

So it sounds like they will be restricting to just home resort on any new DVC properties for resale. Some forums I was reading thought they would allow the new resorts in resale to be booked for new resorts, but it looks like this isn't the case.

I know it's off topic to the thread - but it's an odd choice.

Here's why - it will make the resale value of Riviera resort much lower than all the others. If I buy resale at SSR I can still stay at VGF, BLT, BCV etc, but if I buy at Riviera - I can only stay at Riviera. So unless I completely love Riviera - why would I buy resale there? So therefore, the resale values will likely drop a lot lower. This also will tend to make it slightly less appealing to buy into since you can't sell and make the money back.

Not sure this is a good move by Disney - but it seems like nothing they do ever hurts them. I'm probably completely off base and the resort will still sell like hotcakes.

The other thing this will do is as more and more contracts are re-sold, the number of people that can switch INTO Riviera will get lower and lower. So it does actually benefit existing owners that CAN as well.

 

[SteffyLou]

Whoa. So I am just now hearing about this for the first time. We were told when we purchased that the amount of points for a studio would never change. I don't understand how this is possible or allowed and why we were not told. That is why we purchased it.

 

[Madame]

Has anyone who contacted DVC concerning the reallocation received any explanation yet?

 

[aoconnor]

Here's why - it will make the resale value of Riviera resort much lower than all the others.
Not sure this is a good move by Disney - but it seems like nothing they do ever hurts them. I'm probably completely off base and the resort will still sell like hotcakes.

I think that's precisely the reason they made this change. The market value for Riviera resale will be significantly lower - probably under $100 (maybe even $70s?). Disney will happily exercise ROFR on all those contracts and either re-sell them for $200+ or keep them and rent out the points.

Many direct purchasers are oblivious to the resale market when they purchase, and I doubt Disney will point out this restriction to them. It'll be in the fine print.

 

[zavandor]

I have asked for the updated Buena Vista Trading Company Disclosure Guide, but they told me since it goes into effect on January 19, 2019, the updated version will be available after that date.