Wow. 2021 Annual Dues

[HairyChest]

I just saw the proposed 2021 annual dues via dvcfan.com

holy moly!! Vero Beach over 10% increase!

What do you guys think about the increase?
Aulani, Grand Floridian and Polynesian amongst the best values now.

 

[snappy]

So much for an adjustment down for being closed during Covid!

 

[_auroraborealis_]

So much for an adjustment down for being closed during Covid!

This is unrelated.

Dues are based on the actual operating costs for the resort as projected for 2021. With wage increases, property tax and transport needs, it is entirely credible that at many resorts it is up 8-10%. Any savings from 2020 will not be reflected in either the budget or the resulting per-point dues projection.

Any credit for closure will be given on your dues statement, like a payment against 2021.

2020 closure isn't going to change the accounting of what 2021 will cost. It may change what you pay on your dues statement due to a credit.

 

[snappy]

Thanks for explaining that.

 

[Heather07438]

There may be a credit coming if there is indeed a reduction in costs due to the closure. On the flipside, could any costs be increased by points that have been carried beyond their normal use dates?

 

[TikiLagoon]

Yea hopefully the credit is somewhat significant. I know boulder ridge is due for a refresh yet not as much of an increase. I wonder if that means there wont be a refresh next year?

 

[CarolMN]

Also being discussed on Mouse:
https://www.disboards.com/threads/2021-disney-vacation-club-annual-dues.3817955/

 

[E2ME2]

I just saw the proposed 2021 annual dues via dvcfan.com

holy moly!! Vero Beach over 10% increase!

What do you guys think about the increase?
Aulani, Grand Floridian and Polynesian amongst the best values now.

View attachment 537386

Proposed ?
When will they be finalized ??
THANKS

 

[Brian Noble]

2020 closure isn't going to change the accounting of what 2021 will cost. It may change what you pay on your dues statement due to a credit.

...and it isn't obvious whether or not it will go down. I would not be surprised if 2020 was the first year that breakage income paid back to the resort associations did not hit the contractual cap.

 

[Sandisw]

There may be a credit coming if there is indeed a reduction in costs due to the closure. On the flipside, could any costs be increased by points that have been carried beyond their normal use dates?

The points themselves don’t play a role in operating expenses. Owners pay based on what the contract has in it.

From my understanding, the budge is based on full occupancy so excess points don’t impact it because there are only so many rooms.

 

[Sandisw]

Proposed ?
When will they be finalized ??
THANKS

They are voted on at the DVC Annual Meeting on December 10th. Until the Board voted to approve, they are only proposed but once that happens, they become the actual budgets.

 

[dvc lover 1970]

WOW!! MF's are getting ridiculously high. I feel like Disney is making up for some of their losses via DVC. Is there somewhere in the dues that they can adjust whatever they want for administrative costs? I remember when SSR was in the 3 dollar range. Vero is really high....but why are there two Vero fees - did Vero split like AUL in terms of being grandfathered into a lower dues cost? If so do those contracts ever come up as I have never heard of that

 

[Sandisw]

WOW!! MF's are getting ridiculously high. I think Disney is making up for some of their losses via DVC. Is there somewhere in the dues that they can adjust whatever they want for administrative costs? I remember when SSR was in the 3 dollar range. Vero is really high....but why are there two Vero fees - did Vero split like AUL?

Yes, VB has subsidized dues for some of the contracts, Total cap for yearly dues increase is 15%. Everything is based on estimated expenses so they can’t just make it up, but as long as they stay within the guidelines, it’s fair.

 

[dvc lover 1970]

Yes, VB has subsidized dues for some of the contracts, Total cap for yearly dues increase is 15%. Everything is based on estimated expenses so they can’t just make it up, but as long as they stay within the guidelines, it’s fair.

I never knew about subsidized Vero contracts. Does anyone know approximately what percent of Vero contracts are subsidized? I would assume relatively small. Would love to find one on resale

 

[Ssplashhmtn]

With wage increases, property tax and transport needs, it is entirely credible that at many resorts it is up 8-10%.

All of those items are part of everyday inflation, which in the US was ~1% in 2020 and expected to be 2% in 2021. Why would it be entirely credible to be 8-10%? I’m not disagreeing - just not following.

 

[Sandisw]

All of those items are part of everyday inflation, which in the US was ~1% in 2020 and expected to be 2% in 2021. Why would it be entirely credible to be 8-10%? I’m not disagreeing - just not following.

Union contracts increased wages, transportation is higher due to less people on a bus, and most property taxes are rising.

Not sure any of that stayed within the rate of inflation so it would explain when dues went higher than that figure.

 

[BruinEd03]

Union contracts increased wages, transportation is higher due to less people on a bus, and most property taxes are rising.

Not sure any of that stayed within the rate of inflation so it would explain when dues went higher than that figure.

I would add that there is also increased cleaning costs.

 

[HairyChest]

They are voted on at the DVC Annual Meeting on December 10th. Until the Board voted to approve, they are only proposed but once that happens, they become the actual budgets.

Correct me if I’m wrong but the proposed dues are always the final dues. Unless there was a year where the meeting changed the dues?

 

[CarolMN]

Correct me if I’m wrong but the proposed dues are always the final dues. Unless there was a year where the meeting changed the dues?

True, but we may still get a credit from reduced costs in 2020. If so, that will be reflected on the statements, which haven't been posted yet.

 

[dvc lover 1970]

BLT is one of the best in terms of Annual fees this year. We purchased an SSR add on a few years ago as SAP but we also really like the resort and back then the fees were really low. Might contemplate selling SSR for BLT - but SSR is grandfathered from way back so it probably does not make sense to do that. Just frustrated with the increase. What percent goes to adminstration and handling fees or other non-direct related costs of maintenance - just curious if anyone knows that. I am not a numbers person but I am very curious about this