I sometimes return to this thread and keep seeing posts that generally indicate a lack of understanding of the rules relating to member rentals of the WDW DVC resorts, despite that I have mentioned those a number of times before.
For example, many keep saying that what is prohibited is any "commercial purpose," despite that all the pre-Riviera resorts have a stated restriction which provides that a member is prohibited from engaging in a pattern of rental activity that the association could reasonably find shows that the member is engaging in a "commercial enterprise," a term that has a different meaning than just "commercial purpose"; a commercial enterprise as used in statutes means a person or entity that is in the "business" of doing something. Doing rentals to offset dues, to use points when you cannot use them (even for a whole year), doing occasional rentals to gain a little profit are not activities that show a member is acting as a business to do rentals. DVC itself recognized that reality when it adopted a rule in 2008 that said a member would be presumed to be violating the rental rule if he did more than 20 reservations in a year, and even then the member could show the member was, in fact, not violating the applicable rental restriction.
And, among other things, members above assert, and others agree, that DVC could adopt rules limiting the number of times a member could rent to a low number; that it could further limit the right a member has to rent by limiting rentals to reservations made at 7-months out, or prohibit a member from ever changing the lead name in a reservation until 7-months out so the member could not do a rental of an already confirmed reservation until 7-months out; and that any of the new restrictions being suggested could easily be done because the actual Florida timeshare statute does not have terms specifically allowing rentals.
As I have noted before, such suggestions are not legally valid as to the WDW timeshares except arguably CFW, which itself actually has a lot of rental rules and restrictions in its POS that did not exist before. CFW is, like the other resorts, a timeshare resort. However, unlike all the other Florida DVC resorts, it is not a condominium resort, and. all the other Florida DVC resorts are condominium resorts to which the condominium law applies.
Under condominium law, there can be many restrictions created to limit an owner's ability to rent and those can be set out in the original declarations provided when the resort first goes on sale. However, the suggestions made by posters above to create new restrictions to rentals have a major problem under condominium law. The condominium statute prohibits adding restrictions that would further reduce the ability of an owner to rent after a resort has actually first been sold, absent having an actual vote of the owners on any such new restrictions, and then, even if the restrictions are adopted, all those who vote against the changes do not have to follow the changes made. Fl. Stat. §718.110(13). Moreover, DVC/DVD itself recognizes it cannot unilaterally make changes to the right to rent that is provided in the declarations, as the declarations provide, that, though DVD can make changes, it cannot make any changes to the material rights of the members absent a member vote.
Many speculate as to how major a problem rentals might be to members getting reservations. I do not know the answer. From what I have seen at a few major rental sites, like the
DVC Rental Store, a sponsor of this site, the issue might be overblown. The "rental" problem would principally be one of members reserving at 11-months out rooms that can usually be difficult to get at 11-months out for the applicable times. Such rooms include a number of studios: (a) BWV view standard view year round and boardwalk view in the fall season, (b) AKV value and club level year round; (c) BLT standard view in the fall season and about 60% of the rest of the year; (d) Riviera tower and standard view number of times in the fall season and about 40% of the time the rest of the year; (e) VGF Deluxe Studios at times during the fall season and sometimes during the rest of the year, and Resort Studios during real high demand times in the fall season (not, however, the issue with resort studios appears to be getting better swith the existence of the Resort Studios); (f) CCV studios sometimes during the fall, season. Some have asserted BCV also has the issue, but it has been rare for it, only sometimes during the first two weeks of Dec and time around NYE and even that does not occur every year. Several months ago, I went through a list of confirmed reservations being offered for rental by the
DVC Rental Store. Out of a list of many hundreds, I could find only about ten reservations that indicated rentals being offered for studios and times that are difficult to get at 11-months out. That may be partly due to the fact that even the renters cannot get them at 11-months out, but about 40% of the rentals offered were for rooms with times usually open at 7-months out, and almost all the others were for rooms with times that could usually be gotten by any owner of a resort at 11-months out.
Also, as I have noted before, DVC has available methods of greatly reducing the rental problem, if there is one, that would be valid methods without violating the existing laws or rules. Walking is something that may contribute to professional renters locking in difficult to get reservations. DVC could easily do away with walking as it currently exists by simply re-adopting the rule that existed before June 2008 -- a member could reserve 11/7 months out from date of "departure" from a DVC Resort.
Also, if the issue is that DVC does not have information from which it can determine whether a member is doing multiple rentals (rather than just multiple reservations), it could start enforcing an existing rule contained in the Home Resort Rules and Regulations, which actually requires any member who rents to inform DVC at the time of the reservation that it is a rental, Home Resort Rules and Regulations §V.3.b, which is apparently a rule ignored by almost every renter. Such information is needed to assure other rules are not being violated, such as the prohibition to using banked or borrowed points in a rental reservation, and, if transferred points are being used in the reservation, it could request the member to confirm that he paid no compensation to another member to get such points.. To enforce that rule, DVC could clarify that the failure to provide that a reservation is a rental will result in its cancellation if DVC learns it is a rental, with the member being prohibited from doing any more rentals for some stated period of time, and even thereafter being required in writing to confirm whether any reservation is a rental. Moreover, a member would have to think twice about ignoring the rule, i.e., if the member fails to tell the lessee that he needs to inform DVC of the rental to avoid possible cancellation, and cancellation does later occur, the lessee would have a case for fraud, with the possibility of collecting punitive damages.
As to particular times periods of high demand, e.g., Christmas week, Thanksgiving time, first two weeks of December, DVC could create Special Season Preference Lists (see §III.10. of the Home Resort Rules and Regulations)., under which it would allow members to apply for 11-month out reservations well before 11-months out, and then assign reservations to those who applied at about 12-months out in the order of the requests made until the rooms were filled, and any member would be limited to making only one requested reservation. That rule was actually applied in the 1990s to Christmas week.