New To Renting as DVC Owner

[Dan1]

Hi,
I couldn't find a recent discussion on this topic (apologies if I didn't look sufficiently hard enough) so thought I would ask the group.

We find ourselves with excess DVC point which we are not in a position to use or bank due to work commitments.

The two most commonly advertised and recommended DVC point rental sites for owners seem to be:

1. www.dvcrentalstore.com

2. www.dvcrequest.com

I'm trying to understand the difference between the two; other than www.dvcrentalstore.com appearing to pay $0.50 more per point, what is the difference from a DVC Owner perspective?

Both seem to send out an email to registrants when they have a rental request and if you are the first to respond you get the rental.

Both seem to have you, the DVC owner, take the time to make the actual request through your DVC account.

Both seem to have you, the DVC owner, take the time any time the renter wants to add something to the reservation from the time you have made the reservation until the renal begins through your DVC account (things like Magical Express, DDP, online check-in on behalf of the renter, etc., etc., etc.)

So, what's the difference between the two?

For DVC owners who have used either / both, which do you prefer and why?

Is there a third as frequently used rental organization we, as DVC owners, should consider?

Do both send out at the end of the calendar year a 1099 form so we need to include the rental $$ as income on our annual 1040 (sure, offset by our per point annual dues)?

What else should we consider, be careful of, etc.? We are brand new to renting as DVC owners.

Thank you so much in advance.


Edited by mod to include link to businesses mentioned

 

[BillPA]

We only 'rent' to family and close friends. Often just for the cost of dues, sometime no charge. Just remember as the owner YOU are still responsible for any unpaid bills or damages, so be careful to whom you rent.

 

[Dan1]

We only 'rent' to family and close friends. Often just for the cost of dues, sometime no charge. Just remember as the owner YOU are still responsible for any unpaid bills or damages, so be careful to whom you rent.

Interesting perspective, Bill.

For those who rent through either of the two (or other) rental sites, how do they deal with this issue?

 

[BillPA]

If it's another member, the safest way is a point transfer, then the points become their points and you are out of the loop.

 

[Dan1]

If it's another member, the safest way is a point transfer, then the points become their points and you are out of the loop.

I never thought of that, Bill. How does one find out DVC owners with this need / publicize to DVC owners of points we can make available?

And, how would this work financially? Is it typical for say us as the DVC owner who has the point to require 50% of the agreed upon $$ before the transfer and then receiving the balance once we have done the transfer? What if we didn't receive the $$ after the transfer?

Again, we are totally new to this so any insights are appreciated from all.

 

[BillPA]

Look at the DIS site's Rent and Trade board for info. There is always some trust involved in renting or transfer of points.
Also search this site for rental contracts that at least spells what is expected from both parties.

 

[Frederic Civish]

First of all, the chances that a renter will cause some problem that then comes back on you is probably one out of thousands. We all hear stories but it rarely happens. If you prepare a proper contract it does give you some recourse. But actually having to use it Is a rare thing.

I think both of the companies you mentioned are good. I have used both. I find them both to be friendly, effective, and helpful. When I have extra points to list, a couple of times I have listed points with both of them. And then just rented the points where they first were requested. Of course at that time, I was renting out hundreds of points at once. If I was just renting 100 or 150 points or so I will probably just go with one of the companies. Pick one.

Rental money from DVC points is considered by the government to be income. And it is supposed to be listed on your taxes. Not to say you couldn’t find some way to offset them on your taxes, but they are supposed to be reported. I believe that DVC-Rentals is an American company, and it sends in a 1099 form to the government at the end of the year informing them of any income that you have made through that. David’s vacation rentals is apparently a Canadian company and apparently does not do the same. They leave that up to you. DVC-Rentals might pay a bit more at times. But I have also had them pay me less. So it really just depends on where you want to do it. Try them both and see how you like them. And if you are concerned about problems caused by a renter, you could ask them what kind of protection they provide to you for that.

 

[Marionnette]

I'm trying to understand the difference between the two; other than www.**************.com appearing to pay $0.50 more per point, what is the difference from a DVC Owner perspective?

Both seem to send out an email to registrants when they have a rental request and if you are the first to respond you get the rental.

David's will send an email out to owners that have contacted them and the first one to respond is given the info to make the reservation for the renter. One of the other website posts what they need on their website and then owners contact the agency via their link to offer to make the reservation. From my perspective, it's not worth the extra 50 cents per point to have to constantly monitor that agency's website for potential renters (unless the renter needs a large number of points and I have a lot of points to move).

Both seem to have you, the DVC owner, take the time to make the actual request through your DVC account.

Would you rather allow them direct access to your DVC account instead? I wouldn't. So, yes, the owner makes the reservation.

Both seem to have you, the DVC owner, take the time any time the renter wants to add something to the reservation from the time you have made the reservation until the renal begins through your DVC account (things like Magical Express, DDP, online check-in on behalf of the renter, etc., etc., etc.)

That's the way that DVC is set up. Owners have to book DME thru the members' website or by calling member services. The dining pan has to be added on via member services. Unless you want to give the agency direct access to your account. I wouldn't. You don't have to be available 24/7 to take care of those things. The few times that I needed to take care of those, the agent at David's let me know that they understand that their owners are often busy with their own lives.

So, what's the difference between the two?

Aside from what they pay? It's how they pay. David's uses PayPal. Other agencies can transfer money right into your bank account. Agencies located within the USA will ask for your SSN so that they can send you a tax form. David's is located in Canada and won't send one but you still need to declare the income. The difference is that you won't be sending David's your SSN. Not everyone is comfortable with that.

For DVC owners who have used either / both, which do you prefer and why?

I prefer David's but I've used others. David's was easy to work with and they pay quickly thru PayPal. The other agency I dealt with took quite a while to send me the initial payment (I think it was 70% of my share), while David's payment was in my PayPal account within a day. And then it was almost three days after the renter had started their vacation before I got the remainder.

Is there a third as frequently used rental organization we, as DVC owners, should consider?

David's is probably the biggest. A lot of owners choose to rent on their own so that they keep the whole pie instead of just a piece.

Do both send out at the end of the calendar year a 1099 form so we need to include the rental $$ as income on our annual 1040 (sure, offset by our per point annual dues)?

You should declare the income whether you receive a 1099 or not. And you cannot offset it with your annual dues. You can only write off the property taxes which are a small part of the dues.

 

[Spartan86]

I recently needed to rent a confirmed reservation for December due to a medical emergency/ongoing recovery we are dealing with. Not wanting to have to manage a “personal” reservation I used *****.com and have been very happy. I have read nothing but good things about David’s as well. I looked at the difference of what I thought I might earn on the rental using an agency versus handling it all myself and the difference wasn’t worth it to me in our present circumstances.