Yet another VGF direct add-on question

[pianomanzano]

Thoughts on selling a recently acquired resale contract for direct VGF add-on points? Shouldn't be a problem breaking even on the resale contract and we would be adding on less points direct than the resale we'd put up for sale, but that's something we don't mind for a longer contract (the resale was a 2042 contract) and lower dues. We're okay with the magical beginnings for the lower costs since we used up all the banked and current UY points on the resale we just added. Some additional context: young family (wife and I in our late 30s, with two kids under 3), we currently have some resale VGF points (not the contract we'd be selling) in a June UY, and have some direct RIV points and resale points in a December UY.

To make things more complicated: if you recommend adding on, which UY would you add to? The June UY with the resale VGF points or the December UY (already blue card eligible) that also has direct points? We originally had plans for even amounts of points across the two UY (to eventually pass along one UY to one daughter and the other to the other daughter). Since our VGF points are in the June UY, so naturally it makes sense to add-on there, but adding on to the Dec UY allows for MB to be used on 2022 points plus potentially keeping direct points together in one UY.

Mods: please feel free to edit if I put too much info in. Thanks!

 

[Sandisw]

Go for it! If you are adding at least 150, putting them in Dec UY makes both membership extras eligible which could be nice down the road.

All three of our UYs now have direct points which is nice in case we decide to ever downsize.

 

[Jgc014]

I’d do it because we’re planning to do the same with a resale contract; although, we do have to put in money in addition to what we will get from the resale contact sale, which I not thrilled about, but think ultimately the direct points will be worth it. Plus the resale contract we’re selling is super stripped, so we will be getting more points with the VGF purchase.

Similarly we are also a family of four in our mid-30s with two four year old daughters. And also have June and December use years (none with VGF though) and are planning to add to our December use year because I love a good deal, and that seems like the better deal to me.

 

[RoseGold]

I don't see why you are buying direct when you already have a Blue Card and RIV points. This will be a couple grand in transaction costs to exchange points out. That could be a lot for a 2042 contract, which maybe you should just run out the clock and reassess in ten years with whatever the new resort is then. Magical beginnings is the opposite of what I would do. I would buy loaded resale.

You either match up to a UY you want, or you get a new one. I have two UYs and I find it convenient because I travel all year and I get four waitlists. If your travel is more focused, maybe multiple UYs doesn't work for you.

If you only plan to use the new points for VGF and not combine with other points, then I guess you could even add on a third UY.

If you are dealing with a lot of points and want an estate plan, maybe it's time to talk to a lawyer. Lots of people hold these in trusts or LLCs. If the Blue Card is important enough to spend all this money on, IMO it's important enough to get local legal advice and do the buy correctly.

 

[pianomanzano]

I don't see why you are buying direct when you already have a Blue Card and RIV points. This will be a couple grand in transaction costs to exchange points out. That could be a lot for a 2042 contract, which maybe you should just run out the clock and reassess in ten years with whatever the new resort is then. Magical beginnings is the opposite of what I would do. I would buy loaded resale.

You either match up to a UY you want, or you get a new one. I have two UYs and I find it convenient because I travel all year and I get four waitlists. If your travel is more focused, maybe multiple UYs doesn't work for you.

If you only plan to use the new points for VGF and not combine with other points, then I guess you could even add on a third UY.

If you are dealing with a lot of points and want an estate plan, maybe it's time to talk to a lawyer. Lots of people hold these in trusts or LLCs. If the Blue Card is important enough to spend all this money on, IMO it's important enough to get local legal advice and do the buy correctly.

More unrestricted points and longer contract is the main reason for buying more direct. Can't get into specifics without getting in trouble with the mods, but we're interested in doing it because a) we got a great deal on this resale contract (more than $40/pt below the average reported by the board sponsor) and have used up all banked/current UY points, so we can easily break even after commission/dues even if we sell low (and essentially rented points for free) b) the $160/pt for VGF points is a steal for unrestricted points. If we were a little bit older, unrestricted points won't matter as much to us but once we hit retirement age we don't want to be locked into 6 or 7 resorts because of resale restrictions (thinking beyond RIV and VDH). Currently, only 20% of our points are direct and since 1BR are the best shot for 7month window, having more unrestricted points would be better for us.

The two UY works out for our family because we have life events scattered throughout the year and this ensures we'll have reservations within banking windows. Not interested in a third UY. The question of where to add those points is really for what's more important: combining those points with the current resale VGF points in our June UY or combining them with our other direct points in Dec UY. We've been meaning to start an estate plan, not just because of DVC, but also putting all our assets together. I'd rather do that after we sell off a contract first.