Is there a limit to frequency of renting out points?

[Stinkomann20x6]

hey sorry if a dumb question or in the wrong spot, feel free to yell at me and point me elsewhere lol. But is there a limit to how often you can rent out your points?

I.E. a 250 point resale contract gives me the flexibility I want if we do bigger stays somewhere with more family by banking and borrowing, but if we decide to do just a studio for a couple years just me and the Mrs, we’d have left over points. I wouldn’t be looking to make a “commercial” enterprise of it or anything, but I wouldn’t want to get in trouble lol. But I like the thought of having that flexibility if I wanted with the yearly amount of points. Thanks!

 

[Cyberc1978]

I have been reported in the past that no specific number of rentals are allowed as per the legal documents. They do however state that it’s not allowed to do commercial renting. DVC seem to draw the line at 20 rentals per year.

In your case I would not sweat it

 

[Bing Showei]

Your question seems to suggest renting your points is not permitted, which is not the case. In the declaration/POS, renting is allowed by owners/members as long as it doesn’t suggest “commercial” use (which is a bit more nebulous - some suggest 20).

At 250pts you won’t be able to approach the level of competition that Disney is trying to avoid with their “commercial” policy.

 

[Frederic Civish]

Supposedly, the trigger is 20 reservations in a year from one account. I still am not sure if this is in a calendar year or in a use year.

By this standard, you could rent out 5 rentals per year of 50 points each, using up all of your 250 points, and do that year after year and never run into trouble.

 

[Stinkomann20x6]

Supposedly, the trigger is 20 reservations in a year from one account. I still am not sure if this is in a calendar year or in a use year.

By this standard, you could rent out 5 rentals per year of 50 points each, using up all of your 250 points, and do that year after year and never run into trouble.

hey sorry if a dumb question or in the wrong spot, feel free to yell at me and point me elsewhere lol. But is there a limit to how often you can rent out your points?

I.E. a 250 point resale contract gives me the flexibility I want if we do bigger stays somewhere with more family by banking and borrowing, but if we decide to do just a studio for a couple years just me and the Mrs, we’d have left over points. I wouldn’t be looking to make a “commercial” enterprise of it or anything, but I wouldn’t want to get in trouble lol. But I like the thought of having that flexibility if I wanted with the yearly amount of points. Thanks!

I have been reported in the past that no specific number of rentals are allowed as per the legal documents. They do however state that it’s not allowed to do commercial renting. DVC seem to draw the line at 20 rentals per year.

In your case I would not sweat it

Your question seems to suggest renting your points is not permitted, which is not the case. In the declaration/POS, renting is allowed by owners/members as long as it doesn’t suggest “commercial” use (which is a bit more nebulous - some suggest 20).

At 250pts you won’t be able to approach the level of competition that Disney is trying to avoid with their “commercial” policy.

Supposedly, the trigger is 20 reservations in a year from one account. I still am not sure if this is in a calendar year or in a use year.

By this standard, you could rent out 5 rentals per year of 50 points each, using up all of your 250 points, and do that year after year and never run into trouble.

Thanks so much for the answers. Now I gotta do some research on ease of renting out the points. I’m really not not looking at this as a way to make money. Just the difference of most 150-160 point contracts, and 240-250 points is about $7k-ish. And that cost over about 44 years left on a contract might be worth it to me. Provided I’m not always eating points.

 

[Frederic Civish]

If you want EASE of renting out points, I suggest David's Vacation Rentals. With them, they handle almost everything, except that you will have to make the actual booking (after receiving information from them) and you will need to do any updates and changes, or schedule Disney's Magical Express or Dinning Plan. You also need a PayPal account. Then about 3/4ths of your money appears in your PayPal account within a few days of confirmation of the booking, and the other 1/4th comes in on the actual day that the reservation starts. There are also other companies that are just as easy, but there are a few that are harder and require a more active stance on your part.

Once you have done it a few times, through David's or someone else, then you might get around to trying it yourself with an Advertisement on this board, or some other boards. But, I believe you must be a member for over 6 months and have at least 50 posts in different threads, showing you are actively participating, before you can post an Ad on this board. There are numerous threads on this board where they discuss how to do it, some of the pitfalls, how to make a contract with your Renters and things like that. There are also many veterans on this board with very broad experience with this, and they are able to answer a lot of questions. If you are going to do it yourself, you should familiarize yourself with those. But if you are going to go through David's you don't need to worry about any of that.

 

[Deb & Bill]

Buy the points you plan to use and not extra to rent out. You never know if Disney comes up with a way to shut down the point brokers. They have done things in the past to discourage them.

 

[Frederic Civish]

Buy the points you plan to use and not extra to rent out. You never know if Disney comes up with a way to shut down the point brokers. They have done things in the past to discourage them.

This is true, however they have not done it in 25 years and their attempts to control it really seem to be more in the vein of “controlling” rather than actual attempts to eliminate it. And even if they find a way to eliminate the point Brokers?, and I really cannot imagine how they would seriously do that, they still cannot shut it off for members doing it on their own. And many members certainly do rent points on their own.

Eliminating rentals completely would not be good for DVC Members, But it also would not be good for Disney. Without the safety valve of being able to rent out, Disney would have more trouble selling DVC. Also those rooms would tend to sit empty, making it harder for Disney to make money by selling park tickets, food and merchandise. You can’t sell those things to an empty room. Lastly, Disney can try to find ways to make it harder, but they cannot unilaterally change the DVC owners agreement. So they can put up a few roadblocks and make it harder if they really wanted to, but honestly is that ever really going to happen? I think the evidence points to a negative on that.

 

[Deb & Bill]

This is true, however they have not done it in 25 years and their attempts to control it really seem to be more in the vein of “controlling” rather than actual attempts to eliminate it. And even if they find a way to eliminate the point Brokers?, and I really cannot imagine how they would seriously do that, they still cannot shut it off for members doing it on their own. And many members certainly do rent points on their own.

Eliminating rentals completely would not be good for DVC Members, But it also would not be good for Disney. Without the safety valve of being able to rent out, Disney would have more trouble selling DVC. Also those rooms would tend to sit empty, making it harder for Disney to make money by selling park tickets, food and merchandise. You can’t sell those things to an empty room. Lastly, Disney can try to find ways to make it harder, but they cannot unilaterally change the DVC owners agreement. So they can put up a few roadblocks and make it harder if they really wanted to, but honestly is that ever really going to happen? I think the evidence points to a negative on that.

No, they have done it in less than 25 years. We've only been owners for 21 years and I remember when the limited the number of contracts a person could be an Associate Member on because David was having the owner make him an Associate on their contract to handle the reservation. He had to change his rental model after that. They could get their lawyers to figure out a way to make brokers a commercial sales operation and not permit rentals through them.

It would go back to the days when members just let points expire and the rooms sat vacant. That means less housekeeping.

 

[Stinkomann20x6]

If you want EASE of renting out points, I suggest David's Vacation Rentals. With them, they handle almost everything, except that you will have to make the actual booking (after receiving information from them) and you will need to do any updates and changes, or schedule Disney's Magical Express or Dinning Plan. You also need a PayPal account. Then about 3/4ths of your money appears in your PayPal account within a few days of confirmation of the booking, and the other 1/4th comes in on the actual day that the reservation starts. There are also other companies that are just as easy, but there are a few that are harder and require a more active stance on your part.

Once you have done it a few times, through David's or someone else, then you might get around to trying it yourself with an Advertisement on this board, or some other boards. But, I believe you must be a member for over 6 months and have at least 50 posts in different threads, showing you are actively participating, before you can post an Ad on this board. There are numerous threads on this board where they discuss how to do it, some of the pitfalls, how to make a contract with your Renters and things like that. There are also many veterans on this board with very broad experience with this, and they are able to answer a lot of questions. If you are going to do it yourself, you should familiarize yourself with those. But if you are going to go through David's you don't need to worry about any of that.

Thanks. Yeah I’m thinking even after doing it, I’d still stick with something like David’s. It might make me a couple hundred more at most, but the work could be quite a bit more. I’m definitely one of those who weighs how much my time is worth vs the work lol. Appreciate the other info though.

 

[Stinkomann20x6]

Buy the points you plan to use and not extra to rent out. You never know if Disney comes up with a way to shut down the point brokers. They have done things in the past to discourage them.

I guess if that (what seems unlikely) scenario happens, I could get out from under it via resale, which might come at a loss (or a break even for the rack rate I would have paid lol)

 

[Deb & Bill]

I guess if that (what seems unlikely) scenario happens, I could get out from under it via resale, which might come at a loss (or a break even for the rack rate I would have paid lol)

You'd have to sell the entire contract since you can't sell part of a contract.

 

[Stinkomann20x6]

You'd have to sell the entire contract since you can't sell part of a contract.

Sorry yeah that’s what I was meaning. If it made it impossible in that scenario I meant get out from under the whole thing. Not just part of it.

 

[Firepath]

Does anyone recall how the rental market was during the last economic downturn? I doubt points were as easy to rent out as they are now. I'm not sure I'd buy so many that it'd be a hardship if I couldn't rent them or rent them at a certain price. You never know what the future holds.

 

[Stinkomann20x6]

Does anyone recall how the rental market was during the last economic downturn? I doubt points were as easy to rent out as they are now. I'm not sure I'd buy so many that it'd be a hardship if I couldn't rent them or rent them at a certain price. You never know what the future holds.

Yeah very good call. The 250 points at aulani would run about $1880 now per year. Two incomes coming in with me and the mrs. And working in social work fortunately not much gets hit on the Welfare end of things. But yeah 250 would be the top end for me I think with enough flexibility and points to deal with in the future. Thanks for the extra thing to think about!

 

[IrishTink]

Buy the points you plan to use and not extra to rent out. You never know if Disney comes up with a way to shut down the point brokers. They have done things in the past to discourage them.

Honestly, I wish they would do something to shut down point brokers. I don't have the luxury of booking my reservations almost a year in advance and have grown tired of never finding availability for the rooms size/location/dates I need...however there are multiple "confirmed" reservations for rent available at a high premium. I think it's getting close to the tipping point of more renters using the DVC resorts than members and that has me very concerned as it is definitely not the way it was presented to us when we bought our membership many moons ago.

 

[Cyberc1978]

Honestly, I wish they would do something to shut down point brokers. I don't have the luxury of booking my reservations almost a year in advance and have grown tired of never finding availability for the rooms size/location/dates I need...however there are multiple "confirmed" reservations for rent available at a high premium. I think it's getting close to the tipping point of more renters using the DVC resorts than members and that has me very concerned as it is definitely not the way it was presented to us when we bought our membership many moons ago.

I understand your frustration i would recommend that you book the dates you think you will be able to go 11 months out and if possible a few days extra in each end.

That way you may have something compared to zero.

 

[IrishTink]

I understand your frustration i would recommend that you book the dates you think you will be able to go 11 months out and if possible a few days extra in each end.

That way you may have something compared to zero.

Yes, I agree. We wanted to purchase more points but I'm afraid to as it's just getting harder and harder to use the ones we have. I understand the need to rent out the points you can't use yourself, but there are clearly thousands of people that are just purchasing them to use as a money-maker (which we were told wasn't allowed way-back-when). So disappointing that this is what it's turned into. Also, all members are sharing the cost of this through their maintenance fees, so we are essentually paying for the privilege of not being able to use our own points... (Sorry, just venting!)

 

[Bing Showei]

Also, all members are sharing the cost of this through their maintenance fees, so we are essentually paying for the privilege of not being able to use our own points... (Sorry, just venting!)

I imagine that is frustrating for you to see how the system has evolved since you bought it.

It's become mantra these days that if you can't book at least 7 months out, DVC is not for you. Probably wasn't true when you bought in, but that's the reality now. Every potential buyer that comes to the boards who tend to book the way you do are resoundingly told to not do it. If you can't book at least 7 months out, DVC is not for you. A lot of people talk about how if you're holding onto your contract, you're essentially saying you would buy in at today's prices and into today's system (grandfathered/direct benefits notwithstanding). Given you're having trouble using the points you have, maybe you're not a good candidate for DVC anymore?

I'm not saying that to be disparaging of your ownership, only that if the product has drastically changed for you (which it sounds like it has), perhaps getting out and paying cash occasionally would better address your travel needs.

 

[DougEMG]

If you make 20 reservations in a rolling 12 month period, then Disney will take a look at your bookings and see if you "commercially" renting.