15 Year Extension at OKW for $25 per point

[pilferk]

Pilfrek -

jsut FYI: I hope my comments don't come off as argumentative, I'm just in debate mode. I actually think we agree on the main thing, we are just emphasizing different "what if's". I think the most important point is that there is really no way to know exactly what will happen, re: resale values in the future. My point is that, due to this risk, there is little financial reason to pay $15 now in hopes of getting higher resale equity later. $25 per point now is DEFINATELY a waste, would you agree with that?

I would agree that $25 is probably not a good bet, UNLESS you plan to use every single years worth of points through 2057. But strictly from a resale perspective, I can't see how you'd recoup that $$....UNLESS Disney makes startling, drastic changes to it's ROFR numbers (which is always possible). Certainly, to me, not worth the risk.

I think $15, if you're looking at selling within the next 5 to 7 years, is too risky. You MIGHT get your money back, you'd PROBABLY get more than your money + ROI - the cost of your "vacations accomodations" back, but NONE of it is a certainty.

I think $15 is even money...maybe a bit better...strictly based on inflation and how the DVC market has performed in the past, in recouping your money + ROI (depending on the ROI, of course....I'm assuming something conservative like a 7% yield) over 10 years or more. Still not the odds I'd want going in, though, but worthy of consideration ESPECIALLY if I plan to use the points. Because using the points, if you can sell at "cost + ROI", means your vacation accomodations were basically free and you've "broken even" on opportunity cost.

ALL of the above is MHO and simply based on speculation. The problem here is simply this: There's just not enough concrete information to make ANYBODY feel good about ANY decision they make. The possible outcomes are just too varied to inspire any confidence, and the historical data is non-existent to support EITHER conclusion. Which is why we're having discussions like this.....it's about all anyone is going to get.

The ONE positive in all this is that the OTHER 2042 resorts, assuming they get the same option, will at least have OKW owners as the "guinea pigs". Not much consolation to current OKW owners, though...and it leaves them in a tough spot.

 

[jade1]

I know this is for OKW at $25, but any conversation/opinions on the other 35 year resorts? Was starting with OKW only the right thing to do? Will it only be OKW no matter what? If it doesn't create enough interest will that kill any extensions at the other resorts? Would the other resorts command or get more money to extend?

I have said maybe for BCV, but not at more (if even) than $15. In general though I do like the idea/concept-it's just a hard sell without any initial perks or initial return what so ever for 35 years.

Some sort of FP's, free/discounted DP, more/deeper discounted passes, guaranteed views-something extra would help IMHO.

 

[awatt]

I don't own at OKW but do own at BWV so this discussion interests me given rumors this may happen at BWV also.

We own 300 points. If the $15/point thing happened it would cost us $4500. Over the course of 15 years we ould take more than $4500 worth of WDW vacations. [If we are too old, we would give it to our girls, as we have two 150 point contracts, and they could decide to keep it or sell it]. So it seems to me that an extra 4500 for 15 years of vacations is a good deal for our family, in fact very good.

What am I missing?

 

[rayelias]

I don't own at OKW but do own at BWV so this discussion interests me given rumors this may happen at BWV also.

We own 300 points. If the $15/point thing happened it would cost us $4500. Over the course of 15 years we ould take more than $4500 worth of WDW vacations. [If we are too old, we would give it to our girls, as we have two 150 point contracts, and they could decide to keep it or sell it]. So it seems to me that an extra 4500 for 15 years of vacations is a good deal for our family, in fact very good.

What am I missing?

A couple things:

1) The offer is for $25. There's a RUMOR that they'll be doing a deal at $15 - but it's just a rumor
2) When you bought DVC, you spent money for something that you can use NOW and until 2042. The extension is money you're spending NOW that you can't use until 2043.
3) Would it be a better use of your money to invest it elsewhere NOW, and see what the cost to buy OKW points in 2042 will be with only 15 years left on the contract. Which is the better "investment?"
4) Who is going to pay for the long-term replacment costs for OKW between 2042 and 2057? Is it fair for those people who do NOT take the extension to have portions of their dues go towards something they don't "own?" Will there be a different dues structure for the 2042 contracts and the 2057 contracts?
5) The largest cost to own DVC is the dues. Taking #2 & #3 above into consideration, is it better to add on the 15 years now or wait until 2042 and see what the market holds?
6) What will be the "resale value" of the add-on years? Will it be like buying a new car - once you drive it off the lot it loses 40% value? If that's the case, and you sell your contract before 2043, does it make sense to just throw that money away, since you didn't get any value out of it? Or will the resale value be more in line with what you paid? Who knows?
7) Because the largest cost is dues, does it make financial sense to sell your current OKW contract and buy an AKV contract, because it's 15-16 years newer, and presumably will take less $$$ to maintain between 2042-2057.


There are a few other issues that I'll update as they occur to me.

 

[kend58]

I don't own at OKW but do own at BWV so this discussion interests me given rumors this may happen at BWV also.

We own 300 points. If the $15/point thing happened it would cost us $4500. Over the course of 15 years we ould take more than $4500 worth of WDW vacations. [If we are too old, we would give it to our girls, as we have two 150 point contracts, and they could decide to keep it or sell it]. So it seems to me that an extra 4500 for 15 years of vacations is a good deal for our family, in fact very good.

What am I missing?

I'm not sure your missing anything.

I think this issue falls out into two large camps.

Those who plan/wish to utilize their OKW contract 2042 through 2057 and those who do not expect to.

Both groups have similar quandaries regarding buying something today which has no tangible use until 2042 or later (i.e. the new 15 years of points) but their outlooks are different.

For the likely to use the points myself or plan to give them to someone group the question is effective purchase price. The price at $25 pp appears too high to most if not all commentators. The rumored price at $15 pp seems high to many but not completely unreasonable to others. I believe given that DVD would not be willing to do this if they were not going to get a reasonable return after all they could just wait and in 2040/41 or start to market new OKW however they see fit so DVD needs to arrive at a current price which approximates the present value of those potential future sales if they are doing right by Disney shareholders. Apparently that came out with a retail version of $25 the availability of a discounted actual sale price remains to be seen but is the rumor that $15 pp being thrown around in these discussions is based on. FWIW the original source of the rumored $15 has proven to be right about the offer so I believe expecting something close to $15 to be offered is not unreasonable but such a discount is clearly as of yet unofficial..

The “I won't get to 2042 or beyond group” has a different quandary for them the question is if I extend will I get most some or none of the cost of the extension back in a subsequent resale of my OKW points. That is the major focus of the debate on the thread IMHO.

Both groups have legitimate concerns. Both groups would I believe be wise to consider the time value of their alternatives since this is a deferred benefit situation for everyone involved other than DVD for them it is a current cash flow in exchange for a 35 years from now commitment.

 

[dianeschlicht]

I would agree that $25 is probably not a good bet, UNLESS you plan to use every single years worth of points through 2057. But strictly from a resale perspective, I can't see how you'd recoup that $$....UNLESS Disney makes startling, drastic changes to it's ROFR numbers (which is always possible). Certainly, to me, not worth the risk.

I think $15, if you're looking at selling within the next 5 to 7 years, is too risky. You MIGHT get your money back, you'd PROBABLY get more than your money + ROI - the cost of your "vacations accomodations" back, but NONE of it is a certainty.

I think $15 is even money...maybe a bit better...strictly based on inflation and how the DVC market has performed in the past, in recouping your money + ROI (depending on the ROI, of course....I'm assuming something conservative like a 7% yield) over 10 years or more. Still not the odds I'd want going in, though, but worthy of consideration ESPECIALLY if I plan to use the points. Because using the points, if you can sell at "cost + ROI", means your vacation accomodations were basically free and you've "broken even" on opportunity cost.

ALL of the above is MHO and simply based on speculation. The problem here is simply this: There's just not enough concrete information to make ANYBODY feel good about ANY decision they make. The possible outcomes are just too varied to inspire any confidence, and the historical data is non-existent to support EITHER conclusion. Which is why we're having discussions like this.....it's about all anyone is going to get.

The ONE positive in all this is that the OTHER 2042 resorts, assuming they get the same option, will at least have OKW owners as the "guinea pigs". Not much consolation to current OKW owners, though...and it leaves them in a tough spot.

I think you have hit the nail directly on the head, and that is probably why we will not take the 15 year extension and will just "take our chances" on the resale value. We have discussed this amongst ourselves as much as this thread has discussed it here, and we have come to the conclusion that taking the assessment just makes no sense at all for us.

 

[Dean]

Without knowing what will happen with both 2042 and 2057 "versions" of OKW contracts out there, it's near IMPOSSIBLE to tell that. Can you give examples of "other timeshares" that have the SAME product out there with different expiration dates? I'm NOT well versed with other timeshares, and would like to see what the difference in resale prices are like...though even then, given DVC's performance in the market in comparison, it's probably not a GREAT indicator. But it's better than what we have now.

I think it's actually pretty predictable overall. Obviously there could be some variables but by the time we know what they are, they will have likely changed. Such is the nature of stocks and timeshares. Anyone planning to sell has to look at the info and make a decision. Given that OKW and SSR are similar in many ways other than the ending date, the resale hx is a large piece of info. We should know more soon how they plan to proceed and how much it will truly cost. But I think it's a certainty that there will not be a $15 per point price different between an OKW 2057 and 2042 contract that's otherwise the same. I know of one resort system that has RTU that have 5 different ending dates, one is this year. While there are many differences, there are some similarities as well. The prices I've seen certainly have not accurately reflected the difference in ending date. The price difference has not been as large as the difference in time left/ending date until very late in the course. I also know of many resorts where there are fixed weeks and points contracts and fixed weeks that can be converted to points contracts. I also know of one resort that is RTU in MX that has two different ending dates, 12 years apart. It also has several different types of memberships, some you can borrow ahead from the last year forward and some that are every other year. I also know many that are EOY including developer sales. In every case I’m aware of, my premise that you will not make up the difference has held true. Obviously for DVC that will change at some point as the first contract nears the end of it’s life and the others have 15 years to go. I think the bottom line is we don't know what will happen but we know the 2057 OKW contracts won't likely be worth $15 a point more anytime soon.

Also, we have no earthly idea what Disney is going to do with ROFR in relation to the two products. That's going to go a LONG way toward what type of difference we see, at least in the short term.

True of course but again, many, myself included, will need to make assumptions in this area. And I think it’s a safe bet they won’t let things go through for 2042 resorts at a bargain basement price while protecting the longer contracts. Their goal with ROFR isn’t mainly price but to drive sales to retail.

When I say "investment", I think it's clear I mean "a financial investment with the goal of financial profit", rather than "a financial investment in a useable product with the goal of improving quality of life". So I think the point above is more about semantics than anything meaningful.

Actually I wouldn’t agree totally. I am not saying that it’s mainly an investment in qualify of life, but that is is also, and in many ways, mainly, a financial investment. If not, why own at all. I’ve owned over 40 timeshare weeks/contracts and I’ve made money on all the ones I sold except one. And on that one I broke even and got 5 or 6 great trades out of it all of which were up trades. Frankly, I wouldn’t buy a timeshare unless I thought it made financial sense. And I don’t mean this crazy notion some have of comparing to rack rates for something they’d never pay cash for such as many do with DVC. Interesting of my last 3 timeshares purchases, 2 were retail and the only ones I’ve ever bought from a developer directly. But I had very specific reasons to do so that went beyond just the immediate purchase. One was 100 AKV points (4*25) and the other a Marriott week but I was also able to convert TWO resale Marriott weeks to Marriott rewards ellibible weeks as part of the deal, else I would have walked away. It was also preconstruction and is now $6000 higher than it was then.

 

[pilferk]

I think it's actually pretty predictable overall. Obviously there could be some variables but by the time we know what they are, they will have likely changed. Such is the nature of stocks and timeshares. Anyone planning to sell has to look at the info and make a decision. Given that OKW and SSR are similar in many ways other than the ending date, the resale hx is a large piece of info. We should know more soon how they plan to proceed and how much it will truly cost. But I think it's a certainty that there will not be a $15 per point price different between an OKW 2057 and 2042 contract that's otherwise the same. I know of one resort system that has RTU that have 5 different ending dates, one is this year. While there are many differences, there are some similarities as well. The prices I've seen certainly have not accurately reflected the difference in ending date. The price difference has not been as large as the difference in time left/ending date until very late in the course. I also know of many resorts where there are fixed weeks and points contracts and fixed weeks that can be converted to points contracts. I also know of one resort that is RTU in MX that has two different ending dates, 12 years apart. It also has several different types of memberships, some you can borrow ahead from the last year forward and some that are every other year. I also know many that are EOY including developer sales. In every case I’m aware of, my premise that you will not make up the difference has held true. Obviously for DVC that will change at some point as the first contract nears the end of it’s life and the others have 15 years to go. I think the bottom line is we don't know what will happen but we know the 2057 OKW contracts won't likely be worth $15 a point more anytime soon.

Define "soon"? If you mean absolutely immediately...I tend to agree (see my previous post in this thread). If you mean beyond 5-7 years....I think, again, that's a tough call to make unless you're clairvoyant...largely because we know so little about WHAT the factors are differentiating OKW And SSR and, more importantly, the DEGREE which each effects the differentiation. We also know little about Disney's ROFR "strategy" in relation to those two resorts going forward.

True of course but again, many, myself included, will need to make assumptions in this area. And I think it’s a safe bet they won’t let things go through for 2042 resorts at a bargain basement price while protecting the longer contracts. Their goal with ROFR isn’t mainly price but to drive sales to retail.

While it's GOAL isn't about keeping prices afloat, that's it's general outcome, in relation to resale. While Disney's goal is relevant, we don't know what it's going to be in relation to 2042 OKW (or 2057 OKW). Is it going to be to try to buy up all the 2042 points it can to resell them (meaning ROFR price point actually goes UP, at least in the short term)? Is it going to be to LOWER ROFR on those contracts, so they sell to new owners and Disney can offer the extensions to new owners (yeah, I know, I find that one doubtful too, but it's been mentioned)? Is the ROFR on 2057 contracts, if they try to sell them at $104 per point, going to jump significantly? You'd assume Disney is going to stop selling 2042 contracts altogether (morphing any 2042's they get into 2057), so.....what will that mean? We just don't know. And yes, you're going tohave to make some assumptions and try to "guess" to make a decision. Of course, the guess is going to be based on pretty much nothing related to DVC (you can use other timeshares as models, but they're not 1-1, obviously) because nothing like this has happend before....which stinks. I feel bad for those of you that have to guess, because you're going to be the guinea pigs for future extensions (assuming there are any).

Actually I wouldn’t agree totally. I am not saying that it’s mainly an investment in qualify of life, but that is is also, and in many ways, mainly, a financial investment. If not, why own at all. I’ve owned over 40 timeshare weeks/contracts and I’ve made money on all the ones I sold except one. And on that one I broke even and got 5 or 6 great trades out of it all of which were up trades. Frankly, I wouldn’t buy a timeshare unless I thought it made financial sense. And I don’t mean this crazy notion some have of comparing to rack rates for something they’d never pay cash for such as many do with DVC. Interesting of my last 3 timeshares purchases, 2 were retail and the only ones I’ve ever bought from a developer directly. But I had very specific reasons to do so that went beyond just the immediate purchase. One was 100 AKV points (4*25) and the other a Marriott week but I was also able to convert TWO resale Marriott weeks to Marriott rewards ellibible weeks as part of the deal, else I would have walked away. It was also preconstruction and is now $6000 higher than it was then.

Why own at all?

To use them, Dean. And that's my point. Buy them primarily for USE, not with an eye on the cash at the end of the rainbow.

I know YOU view them as a financial investment with a goal to make a financial profit. Bully for you. Personally, I don't think it's a good outlook...but I don't need to since I'm not the one spending your money. I think that "bent" is true for most people. I'm not saying there isn't money to be made....if you're up for educating yourself, keeping your finger on the pulse of the industry, etc. I'm saying the "safest" outlook for most is to view it as a vacation plan first...with any proceeds coming from later sale as a "happy bonus". So long as you're "outpacing" opportunity costs with savings on your vacation costs....you're all set.

And can you explain the "crazy notion" you're talking about. I'm assuming you mean using rack rates on DVC rooms in your comparison (something I don't think many would pay for), rather than comparing to rack rates on standard deluxe hotel rooms (something I think many people do, in fact, pay). If your argument is that "room discounts" should be more of a factor in the figuring, I don't disagree. But when projecting out something over 50 years, it's tough, without that mentioned clairvoyance, to predict what discounts will be available.

 

[JimC]

...The problem here is simply this: There's just not enough concrete information to make ANYBODY feel good about ANY decision they make. The possible outcomes are just too varied to inspire any confidence, and the historical data is non-existent to support EITHER conclusion. Which is why we're having discussions like this.....it's about all anyone is going to get.....

Well put. Not that the amount of money involved is all that significant. I know that I have made poor decisions with more at stake. But I would rather make the best decision possible. However it will probably come down to a SWAG.

 

[Dean]

Define "soon"? If you mean absolutely immediately...I tend to agree (see my previous post in this thread). If you mean beyond 5-7 years....I think, again, that's a tough call to make unless you're clairvoyant...largely because we know so little about WHAT the factors are differentiating OKW And SSR and, more importantly, the DEGREE which each effects the differentiation. We also know little about Disney's ROFR "strategy" in relation to those two resorts going forward.

We likely agree more than you know. But I do think it's reasonable to make assumptions both for the next year and for the next 5-10 years. Actually I think we know the ultimate outcome for all of this, the only question really is when will certain events happen. As for there being uncertainties, that is always the nature of timeshares and DVC is no exception. Still, those with decisions to make will need to make those decisions based on the info at hand. Which I think is actually pretty predictable in a general sense though I'm sure there will be some variance on specifics.

Why own at all?

To use them, Dean. And that's my point. Buy them primarily for USE, not with an eye on the cash at the end of the rainbow.

Actually my point is that those that buy DVC, or any other timeshare, to use have still made a financial decision. If it costs you $100 and would have cost you $90 to pay OOP, then it was a dumb decision. Timeshares, including DVC, are a high risk venture even for those that buy and plan to keep until the bitter end.

I know YOU view them as a financial investment with a goal to make a financial profit. Bully for you. Personally, I don't think it's a good outlook...but I don't need to since I'm not the one spending your money. I think that "bent" is true for most people. I'm not saying there isn't money to be made....if you're up for educating yourself, keeping your finger on the pulse of the industry, etc. I'm saying the "safest" outlook for most is to view it as a vacation plan first...with any proceeds coming from later sale as a "happy bonus". So long as you're "outpacing" opportunity costs with savings on your vacation costs....you're all set.

If you're implying my goal is mainly income or commercial, that would be totally false. My goal is to own what I want to use most of the time and put myself in the best position possible for the times I don't want to use them or if I decide to dispose of them. That means I own more than I can use at a given time so I want something I can rent appropriately when I don't use them. I also own units specifically to trade and nothing else.

And can you explain the "crazy notion" you're talking about. I'm assuming you mean using rack rates on DVC rooms in your comparison (something I don't think many would pay for), rather than comparing to rack rates on standard deluxe hotel rooms (something I think many people do, in fact, pay). If your argument is that "room discounts" should be more of a factor in the figuring, I don't disagree. But when projecting out something over 50 years, it's tough, without that mentioned clairvoyance, to predict what discounts will be available.

Using rack rates for either is likely not a good choice but it depends on your usage otherwise. Someone paying rack rates routinely could appropriately use that as a comparison. Someone staying off property or mostly at values should use that as a comparison. Regardless, one has to make some assumptions in comparison to judge the feasibility of DVC or any other timeshare.

 

[Madformickey]

I taled to a rep this past week and we b/s for 20 minutes, as im not a member YET, but just rtrying to getinfo he said it will be 15 25 is to much money and he said be ready for more info shortly after the 24th, but he sai i coud get okw now if i wanted and papy the add on fee afterit was approved, tempting, but not yet,need to convince DW it is the right time, almost get her ready to sign

 

[rugrats2001]

But my point you quoted in your post was actually a shortened version of what I had in another post in another thread (I believe). There I expressed that offering to sell another 15 years now is not much different then buying AKV. I can buy AKV for a 50 year term or I can extend my OKW contract to the same termination date. In both I am prepaying for future vacation expenses. In both those expenses cover a term extending 50 years. The differences are 1) that I already paid for the next 35 years at OKW, so I now only need to pay for the outer 15 years; and, 2) the cost of those points at $15 would be a $1 per point per year while AKV is selling for $1.94 per point per year.

I don't know if this has already been addressed, but there is a fundamental difference between the $1.94 per point at AKV and the $1.00 per point for the OKW extension.

No, I'm not referring to the time value of money, which many 'non-investment-oriented' DVC'ers disregard out-of-hand.

The $1.94 per year for AKV includes one years lease of the land PLUS 1/50 of the design, promotion, materials, labor, & above all, PROFIT to Disney for the building of the facilities, including all buildings, utilities, parking areas, landscaping, walkways, bus stops, etc. The $1.00 per year for the OKW extension includes ONLY a year's land lease, since the other expenses have already been paid with the original sale, and all upkeep is paid by the annual maint. fees.

So, my question is, what is the value of one point's worth of land lease 35 years from now, prepaid today?

 

[kend58]

The $1.94 per year for AKV includes one years lease of the land PLUS 1/50 of the design, promotion, materials, labor, & above all, PROFIT to Disney for the building of the facilities, including all buildings, utilities, parking areas, landscaping, walkways, bus stops, etc. The $1.00 per year for the OKW extension includes ONLY a year's land lease, since the other expenses have already been paid with the original sale, and all upkeep is paid by the annual maint. fees.

So, my question is, what is the value of one point's worth of land lease 35 years from now, prepaid today?

The PV of the future lease payments is very close to Zero.

The price is all (at $1 pp per yr at $15 or the $1.67 pp per yr at $25) profit for DVD - thats the entire purpose for charging something current profits for DVD.

The objective here IMHO is to let DVD sell "new" OKW 50 yr contracts the $15 or $25 is designed to compensate DVD (one might argue further compensate above and beyond initial OKW sales profits) for not being able to resell the extending owners points until 2057.

IMHO this is is all about DVD and current profits.

 

[BostonDisneyKid]

I am in the group of wanting to "not extend" (for many reasons).

My concern is only what the costs associated to signing over the deed to DVD will be to myself (and all 2042 OKW owners) and who will be paying them?

This is basically a real estate closing, correct, signing over a deed ? I have to assume there will be costs associated to the processing and filling of all these deeds, correct? Will the current owners be left holding this bag and have to pay to get out of this deed that DVD so kindly forced upon us? Or will the costs of all these fillings be split up in the maintenance costs from all OKW of 2042 owners or by all OKW owners (or by ALL DVC owners)?

Someone is going to pay for these costs that much I know and I tend to think it will not be DVD. Stay tuned...

 

[JimC]

I don't know if this has already been addressed, but there is a fundamental difference between the $1.94 per point at AKV and the $1.00 per point for the OKW extension.

No, I'm not referring to the time value of money, which many 'non-investment-oriented' DVC'ers disregard out-of-hand.

The $1.94 per year for AKV includes one years lease of the land PLUS 1/50 of the design, promotion, materials, labor, & above all, PROFIT to Disney for the building of the facilities, including all buildings, utilities, parking areas, landscaping, walkways, bus stops, etc. The $1.00 per year for the OKW extension includes ONLY a year's land lease, since the other expenses have already been paid with the original sale, and all upkeep is paid by the annual maint. fees.

So, my question is, what is the value of one point's worth of land lease 35 years from now, prepaid today?

That point is only relevant to DVC. The purchaser is making a decision on what they pay, not which is more profitable to DVC.

 

[JimC]

I am in the group of wanting to "not extend" (for many reasons).

My concern is only what the costs associated to signing over the deed to DVD will be to myself (and all 2042 OKW owners) and who will be paying them?

This is basically a real estate closing, correct, signing over a deed ? I have to assume there will be costs associated to the processing and filling of all these deeds, correct? Will the current owners be left holding this bag and have to pay to get out of this deed that DVD so kindly forced upon us? Or will the costs of all these fillings be split up in the maintenance costs from all OKW of 2042 owners or by all OKW owners (or by ALL DVC owners)?

Someone is going to pay for these costs that much I know and I tend to think it will not be DVD. Stay tuned...

I believe we need to wait and see what they tell us later in the month. I am willing to give DVC the assumption of no charges to sign over the deed until I read otherwise.

 

[BobH]

Does anyone have any idea of how many OKW points the DVC actually owns itself - through ROFR etc vs. the total outstanding points that were origianlly offered for sale. I wonder if Disney's ownership contracts would be available on the Florida Registry of Deeds site where deeds can be looked up? Anyone know about this? Dean? I know I once looked up my own deed.
The reason I bring this up is that we might get an idea of the overall health of the OKW resort. Dr. P keeps suggesting that DVC needs the money and that we may get an assessment no matter how the contract extension sales go. I wonder if DVC has substantial unsold inventory of timeshares on hand that are not yielding maintenance dues. Opinions?

 

[icydog]

I am still not sure why DVD is actually doing this. We would have had to give them back the property in 2042 anyway. Why make us sign anything? Is this legal? I spoke with my salesman and he told me it was going to be $15 a point and that we would have until May 2008 to decide.

I will be long gone in 2042 but maybe one of my kids wants to pay my (expensive) maintenance fees on over 1,000 DVC points of which 700 are OKW points.

 

[calypso*a*go-go]

My guess is they are doing now because they have a glut of OKW points that were probably obtained thru ROFR and they aren't moving because of the expiration date. So...they try to get all of us to extend our contracts, gain thousands of dollars from the members that opt to do so, and can then turn around and sell the points they have by pushing the new expiration date.

 

[icydog]

My guess is they are doing now because they have a glut of OKW points that were probably obtained thru ROFR and they aren't moving because of the expiration date. So...they try to get all of us to extend our contracts, gain thousands of dollars from the members that opt to do so, and can then turn around and sell the points they have by pushing the new expiration date.

What about the other resorts. I know they will have to do the same for all of them or owners would be screaming bloody murder. what is the excuse for the Beach Club where there is never enough inventory to meet demand.