Resale price dropping?

[timeshare shopper]

With all that has happened in the world the last few weeks, does anyone know what it has done to the resale market for DVC? I am still considering buying but plan on waiting.

 

[Ed T]

In speaking with the agent I bought through there has been an increase in the number of resales available. The pricing seems to be in line and not fire sale prices but I'm sure that there are sellers out there that are willing to negotiate down from their asking price. From what I can see there are some very good contracts out there if you can make the right deal. I'm not sure which agents you are looking at but there are more than one. If you email I'd be happy to share my experiences with resales.

Ed
DVC 1994

 

[Granny]

I'm not that familiar with the resale market, but it seems to me that the cost of resales has risen in the past ten years.

If DVC raises the cost per point when it opens BCV sales, then that should bolster the point value of the resale market. I have heard guesses in the $80 - $85 per point range for BCV....VWL is finishing off at $75 per point right now.

DVC membership can only be obtained from Disney or through resales. It would make sense that if Disney can raise their prices and sustain sales, so can the resale market. Of course, there is always the potential for stress resales resulting in a good resale value at any time in the future.

IMHO, waiting could conceivably result in a higher cost per point. At some point, the 2042 expiration will affect the resale value, but I don't think that will happen for at least 10 years.

 

[Disney Adventurer]

I'm hearing about the same thing as Ed T. There seems to be a few more listings (but this has always been a little cyclical in the past), but prices seem to be holding pretty firm. I would suspect that if the amount of listings stays at the level it is or goes up, prices will probably soften. Another factor might be that Disney increased the MB program. I don't know if people mostly buy resale for location or cost, but if cost is the driving factor, the MB increase will eventually trickle down into the resale market.

 

[rbuzzotta]

I bought resale one year ago Oct. 11!!! Wow does time fly. I recall at that time there seemed to be alot more choices available then in the spring/summer. We actually bid on about 3 different contracts before we settled on ours. I have also been keeping my eye out for smaller contracts at the resale board and do notice an increase in contracts for sale. Wonder if it's that time of year or because of the recent happenings??

Makes you wonder.

 

[vernon]

With LOW interest rates ( both for borrowing and earnings) it seems the financial cost of DVC is becoming more attractive not less.

Unless a very large portion of the population choose to stay at home and hide under their kitchen tables for their vacation time I think it more likely that Americans will choose to vacation in America. IMHO it's more likely that people will choose to get out and enjoy their lives and their families.

Disney being the #1 destination in the US I think that looks good, in the long term , for Disney's future. With DVC being a long term investment IMHO both those factors seem to make DVC an even more attractive investment. I can't see any collapse in the resale market and while things may go quiet in the short term, Disney has probably it's smallest inventory available for many years. I believe they were looking at ways to slow down sales as they were struggling to keep up with demand. Price rises may not be as extreme as they have been over the last couple of years but IMHO they are not going to be falling off.