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-   -   Should I buy? Uncertain (http://www.disboards.com/showthread.php?t=3218105)

caselaw3 01-06-2014 06:55 PM

Should I buy? Uncertain
 
HI guys! I just got my vacation club info packet in the mail! wicked excited but still so uncertain - can anyone help me? I really want to figure out if this would be worth it financially -
I am looking at buying the 150 point deal - financed at 10%
so it looks like with the thing I got (it only shows me buying into AK - is there a reason for that?) I could buy in at like $2150 a year for 10 years financed with $895 a year in fees....

That comes out to just over $3000 for 2014 which would give me 150 points - almost enough for 1 bedroom at AK in Dec. - I know my family would need the space of a one bedroom - but that is 154 points...how do I make that work and still go this year?

also what about dining plan? extra magic hours? transpo....

how do you all make it work? I feel like I need a book for dummies to navigate - if anyone at all can give me a break down for the financially challenged or just even give me some examples of how they make it work - I would be ETERNALLY grateful!!!!!

THanks so much!

DizBub 01-06-2014 07:23 PM

Quote:

Originally Posted by caselaw3 (Post 50414058)
That comes out to just over $3000 for 2014 which would give me 150 points - almost enough for 1 bedroom at AK in Dec. - I know my family would need the space of a one bedroom - but that is 154 points...how do I make that work and still go this year?

Disney has one time use points of up to 24 points once a year. These are only good at the 7 month window or sooner. These points cost $15 per point. If you buy 150 points and book your vacation within those 7 months you can buy the few extra points you need to fill out your reservation.

You can also rent points or do a point transfer from other members.

I think I would buy maybe 160 instead of the 150 and bank the extra points each year.

Dean 01-06-2014 07:25 PM

Quote:

Originally Posted by caselaw3 (Post 50414058)
HI guys! I just got my vacation club info packet in the mail! wicked excited but still so uncertain - can anyone help me? I really want to figure out if this would be worth it financially -
I am looking at buying the 150 point deal - financed at 10%
so it looks like with the thing I got (it only shows me buying into AK - is there a reason for that?) I could buy in at like $2150 a year for 10 years financed with $895 a year in fees....

That comes out to just over $3000 for 2014 which would give me 150 points - almost enough for 1 bedroom at AK in Dec. - I know my family would need the space of a one bedroom - but that is 154 points...how do I make that work and still go this year?

also what about dining plan? extra magic hours? transpo....

how do you all make it work? I feel like I need a book for dummies to navigate - if anyone at all can give me a break down for the financially challenged or just even give me some examples of how they make it work - I would be ETERNALLY grateful!!!!!

THanks so much!

Without knowing more info about your group and visit history, it's difficult to know if DVC makes sense for you in general terms. However, paying almost double retail compared to resale AND financing at usurious rates doesn't seem like a good idea to me. I wouldn't borrow money for a timeshare or any luxury purchase.

caselaw3 01-06-2014 07:27 PM

Quote:

Originally Posted by DizBub (Post 50414244)
Disney has one time use points of up to 24 points once a year. These are only good at the 7 month window or sooner. These points cost $15 per point. If you buy 150 points and book your vacation within those 7 months you can buy the few extra points you need to fill out your reservation.

You can also rent points or do a point transfer from other members.

I think I would buy maybe 160 instead of the 150 and bank the extra points each year.

OK - I think that makes sense - and it isn't that much more money - although the extra 4 points would only be $60 dollars but what does that one time use mean? this all seems very confusing, lol....makes me feel stupid!

Deb & Bill 01-06-2014 07:41 PM

So Disney has you paying about $143/ point for AKV points? You could pay $72 a point if you buy resale. Check at the top of the page where is says DVC Resale Listings. That is just one company, but it is a sponsor of the DIS.

DVC members get all the same perks as any Disney resort guest like Magical Express, Extra Magic Hours, Magic Band, etc. But you won't get free dining or specials like they offer for a Disney package (like 20% off, buy four nights/get two free nights).

caselaw3 01-06-2014 07:49 PM

Quote:

Originally Posted by Dean (Post 50414259)
Without knowing more info about your group and visit history, it's difficult to know if DVC makes sense for you in general terms. However, paying almost double retail compared to resale AND financing at usurious rates doesn't seem like a good idea to me. I wouldn't borrow money for a timeshare or any luxury purchase.

ahhh see I don't know what the resale is? where does that come from?
we are a new family group - just visited for the first time this December - but looking to start going every year-ish.....
I wouldn't exactly be borrowing - or would I? I planned on using the money I would normally set aside for Disney trips to pay for the DVC club....but if I financed for 10 years at 10% down there is a 12% fee..so I guess it is borrowing - see how confused I am, lol!!!!

caselaw3 01-06-2014 07:56 PM

Quote:

Originally Posted by Deb & Bill (Post 50414372)
So Disney has you paying about $143/ point for AKV points? You could pay $72 a point if you buy resale. Check at the top of the page where is says DVC Resale Listings. That is just one company, but it is a sponsor of the DIS.

DVC members get all the same perks as any Disney resort guest like Magical Express, Extra Magic Hours, Magic Band, etc. But you won't get free dining or specials like they offer for a Disney package (like 20% off, buy four nights/get two free nights).

that is such good information - not sure how to process it but it makes it sound like DVC is not actually a savings - but what about after I finish paying it off in 10 years and then have those points for like $900 a year - isn't that when the savings will really kick in? I feel soo stupid for being so confused!!!!

lovin'fl 01-06-2014 08:08 PM

Resales are where DVC members re-sell their DVC contracts. There are several big brokers who re-sell DVC contracts. You can also buy any of the resorts directly from Disney but it costs almost double (like Deb & Bill mentioned, you could buy AKV resale @ $72pp instead of buying from Disney at $143pp). Can't use points bought via resale for Concierge collection or Disney cruise line (but those aren't the best use of points anyway).

If you finance that is a loan and you'll pay the finance charges. A lot of folks on here are very opposed to financing DVC, but if it works for you :confused3

If you buy a resale you have to pay in full or secure your own loan.

As far as DP and tickets....what has worked for us is getting the DVC discounted APs and doing 2-3 shorter trips on them (in the year they are good for) and getting TIW card for dining (which gets you 20% off most TS places...bar tab and all). We'd do an AP year at WDW (odd years, so last year) and then use our DVC in even years to do beach trips (did HH and then VB and have HH planned again this year).

As far as having the 4 extra points to get that 1BR for your trip...you can also borrow those 4 points from your next use year. Say you have a June use year..you get 150 points in June 2014 and then 150 more will come in June 2015. You can borrow 4 from the 2015 use year (UY). Then you will have 146 left coming in June 2015.

Dean 01-06-2014 08:08 PM

Quote:

Originally Posted by caselaw3 (Post 50414430)
ahhh see I don't know what the resale is? where does that come from?
we are a new family group - just visited for the first time this December - but looking to start going every year-ish.....
I wouldn't exactly be borrowing - or would I? I planned on using the money I would normally set aside for Disney trips to pay for the DVC club....but if I financed for 10 years at 10% down there is a 12% fee..so I guess it is borrowing - see how confused I am, lol!!!!

Clearly it is borrowing and clearly debt, you'd be financing vacations. Personally I don't recommend people buy any depreciating asset or increase consumer debt, too much risk. Being able to make the payments is not the same thing as being able to afford the purchase IMO.

There are several options to buy resale including several brokers that specialize, redweeks, Timeshare Users Group classifieds and ebay. Clearly you need to spend more time learning about the system and your options, you can always buy later. I would certainly not buy retail for AKV or SSR regardless and while you lose the options for cruises, the concierge collection, Disney Collection and ABD; those are not a good value using points for anyway so you really lose nothing of value.

KalamityJane 01-06-2014 08:10 PM

Quote:

Originally Posted by caselaw3 (Post 50414496)

that is such good information - not sure how to process it but it makes it sound like DVC is not actually a savings - but what about after I finish paying it off in 10 years and then have those points for like $900 a year - isn't that when the savings will really kick in? I feel soo stupid for being so confused!!!!

You will have the points either way, it will just be much cheaper to buy resale. It's like buying a pair of designer jeans from the designer store or from a consignment store, both ways you still end up with the jeans, but you will pay more straight from the designer.

disneynutz 01-06-2014 09:24 PM

Do yourself a favor and take a few weeks to read these forums and learn, learn, learn.

Disney will only show you their offerings because they are in business to make money, not to save you money.

:earsboy: Bill

Maverick 01-06-2014 09:53 PM

Quote:

Originally Posted by disneynutz (Post 50415151)
Do yourself a favor and take a few weeks to read these forums and learn, learn, learn. Disney will only show you their offerings because they are in business to make money, not to save you money. :earsboy: Bill

Read Bill's words over and over.

We studied and learned for two full years all while taking three more trips to Disney visiting the various DVC resorts during that time before making our decision to buy into DVC. There is a wealth of information on this site alone that will help prepare you to make the best possible decision for you and your family.

The most important initial piece of advice I can give you is to not do anything related to purchase quickly. Once you are in, you are in and understanding everything about DVC before committing thousands of dollars would be a wise choice.

Mav

crisi 01-07-2014 07:00 AM

Quote:

Originally Posted by Maverick (Post 50415341)
Once you are in, you are in and understanding everything about DVC before committing thousands of dollars would be a wise choice.

And far too many people when making the purchase get hung up on the emotions. And how they "believe it should/will work" and then you get people who have owned for three years and are surprised/disappointed by the lack of beds in a studio, or the increase in dues or availability, or the lack of discounts, or the maintenance/remodel schedule.

DVC isn't pixie dust. It may be a good value. Most often, I believe it changes your patterns in such a way that you don't save money - but it may be a good value. If you are looking to save money, there are other ways to do Disney that are cheaper. If you are looking for maximum flexibility - you really don't want to own. A very important thing to keep in mind is that this is a potential business transaction with a large and profitable company that for most of us will not be costing us pocket change. Treat it as such and not like you are getting a photo with Mickey.

sonofanarchy 01-07-2014 07:18 AM

After several years of renting points, I wouldn't buy into DVC at this point anyways. However, if we did come into some unforseen large allotment of cash, I would buy resale. Disney's asking price for DVC has become a joke.

caselaw3 01-07-2014 07:20 AM

Wow everyone! Thanks so much for the awesome information!! I am trying to learn as much as I can before we make any kind of decision and that is why I posted here! I knew you guys would have great advice and great information! It is very overwhelming and very expensive and I don't want to committ myself to something this big without having all the information and advice that I can get!

I am appreciateive of any and all help/advice/information you guys have to share and I will be spending many many hours reading and rereading all the information available here and anywhere else I can find it!


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