Point Value

[Axelshire]

I'm a little confused and new to this DVC thing. We are thinking about joining and Disney is offering to buy back last years points at $13 to put that towards our downpayment. How come they are offering $13 when I see other points are at a $55 or higher value? Does this mean if I were to sell my points later I would get a better $ value than what Disney is offering us? How do you know what a point is valued at? Does it depend on resort? Sorry for all the lengthy questions. Any help would be greatly appreciated. Thanks and have a Disney Day!

 

[drusba]

The Disney buy back program applies to the first year's allocation of points meaning you lose the first year's points but gain $13 a point toward down payment towards $75 per point purchase price. Effectively that means your cash price becomes $62 a point rather than $75. You will get your second year's allotment of points about 7 months after you purchase and then annually each year thereafter until 2042 when the DVC program ends.

That $55 per point or higher numbers you may have seen for resales refers to a complete sale of your DVC interest; i.e., someone is selling everything and buyer gets all the the annual allotment of points to 2042 when DVC ends. Thus, there really is no comparison between the two. Moreover, the going sale price seems to be closer to $60 a point now and above.

To compare the $13 a point Disney is offering you need to look at the rental market where owners rent points for a single stay and thus are renting just one annual allotment of points at most (see for example the rent/trade board on this site). The going rental rate is about $10 to $12 a point; thus $13 for those first year's points is not bad.

 

[prplcrzy]

Axel when did they offer this to you???

 

[WebmasterDoc]

The $13 refers to the new MB program announced yesterday. It is $10 at VWL and $13 at HH and VB.

Cost thru DVC is $75 per point (minus any MB buy-back incentives). As drusba mentions, the $55 reference was for a resale expense.

So, at VWL- it is possible to pay $65 per point by using MB. HH and VB may be purchased for $62 per point thru MB.

 

[d-r]

Just curious -
if your home resort is HH or VB, how hard is it to get reservations at BWV or VWL? We don't travel during the holidays, and prefer the more off season times. The last few years we have usually gone in the fall (Sept / Oct.), the winter (Jan / Feb) and/or the spring (May).

Thanks-
DR

 

[drusba]

Historically:

1. OKW has generally been fairly easy to get with the seven month window for most times of year. It has a lot more units than any of the other resorts.

2. Many have had difficulty getting BWV with the 7 month window many times of year, particularly during a lot of off-season times. DVC high demand times are not the same as Disney in general high demand times. A lot of what are Disney in general off-season times, like Nov to Feb (other than holidays), are high DVC demand times. Likewise, it can often be easier to get BWV in the summer as it is a lower DVC time (but high Disney in general time). If you have flexibility on actual dates, you tend to have more luck.

3. VWL to date has been fairly easy to get with the 7 month window but that is likely to change by the time the resort sells out.

Most advise that you buy at the place you intend to stay most.

 

[lawgs]

oh oh....doc has undergone a transformation....

congratulations.....WebmasterDoc


smilawgs

=))

 

[ripleysmom]

Congrats Doc!!!