Financing DVC contract

[KSR0330]

I'm looking to buy a second contract through resale (currently have a direct contract that we pain for in cash). I was on a resale site and it seemed that they want pre-approval for financing, listing several lenders as options. What is the best financing agency to go with if you have good credit and don't mind a hard pull? Is it necessary to get pre-approval?

 

[Nursemanit]

I found Amex just gave me a loan for under 7% last month. This loan is not secured ( personal loan) that is right about where 30 Year mortgages are now.

If not, Lightstream had the best rates but I would go for an unsecured personal loan if you can as then you can sell your points if it does not work out for you.

 

[arich35]

Does anyone know if you go through lightstream if you have to tell the broker you by from? Or can I just found the purchase personally and take the loan from Lightstream?

 

[OlieRow]

I just used Vacation Club Loans and the process was very quick and easy. The interest rate was higher (11.9% ) but I plan to have it paid off by the end of the year so went with convenience since the interest paid would be minimal and they didn’t have extra fees.

 

[Sandisw]

Does anyone know if you go through lightstream if you have to tell the broker you by from? Or can I just found the purchase personally and take the loan from Lightstream?

No. You just get the loan and then pay as though it’s cash to close on the contract.

 

[KSR0330]

I just used Vacation Club Loans and the process was very quick and easy. The interest rate was higher (11.9% ) but I plan to have it paid off by the end of the year so went with convenience since the interest paid would be minimal and they didn’t have extra fees.

So it looks like one of the benefits of Vacation Club Loans is that they waive their fees. It looks like they also don't do any credit checks. What else about the process is more convenient?

 

[OlieRow]

So it looks like one of the benefits of Vacation Club Loans is that they waive their fees. It looks like they also don't do any credit checks. What else about the process is more convenient?

I though it'd be more convenient to use Vacation Club Loans (one of the 2 places my broker suggested, I just went with who they recommended) vs somewhere like SoFi where I knew I could get approved with a better rate because I figured a company used to working with DVC knows how the process works. I didn't want to have everything lined up with SoFi and then not make it thru ROFR and not need the funds but also didn't want to wait and have closing delayed waiting on funding although I guess I could've pulled it from my emergency fund and replaced it when I got the loan. I filled out a basic form after my offer was accepted and then got the loan estimate. The final disclosure was in the closing documents from the title company and that was it. I didn't have to coordinate anything.

 

[KSR0330]

I though it'd be more convenient to use Vacation Club Loans (one of the 2 places my broker suggested, I just went with who they recommended) vs somewhere like SoFi where I knew I could get approved with a better rate because I figured a company used to working with DVC knows how the process works. I didn't want to have everything lined up with SoFi and then not make it thru ROFR and not need the funds but also didn't want to wait and have closing delayed waiting on funding although I guess I could've pulled it from my emergency fund and replaced it when I got the loan. I filled out a basic form after my offer was accepted and then got the loan estimate. The final disclosure was in the closing documents from the title company and that was it. I didn't have to coordinate anything.

That was another question of mine- the timing. So it looks like I can make an offer and if it's accepted apply for the loan, and funds are disbursed only after it passes ROFR. Is that correct? That would make it super easy and worth it!

 

[pianomanzano]

That was another question of mine- the timing. So it looks like I can make an offer and if it's accepted apply for the loan, and funds are disbursed only after it passes ROFR. Is that correct? That would make it super easy and worth it!

I went with lightstream for a resale contract earlier this year and I didn’t apply until after it passed ROFR. Heard from others on these boards and elsewhere that they turnaround time was quick and it was. Applied and got approved the same day with the option to have funds sent to my bank account the next business day. Got the funds before the seller returned their docs.

 

[KSR0330]

I went with lightstream for a resale contract earlier this year and I didn’t apply until after it passed ROFR. Heard from others on these boards and elsewhere that they turnaround time was quick and it was. Applied and got approved the same day with the option to have funds sent to my bank account the next business day. Got the funds before the seller returned their docs.

That's good to know, thanks!

 

[Spinster Travel]

If you know you have good credit, I highly recommend Lightstream. They will do a credit check, but their rates are the best for those with solid credit. You can pick when you fund the loan as well. So as one already stated, I too applied for my loan the day I passed ROFR and I opted to have the loan fund about 7-10 days later (at the time, the Title company I was working with was taking about that long to work through a backlog). Lightstream funded the loan directly into my bank account and then I sent a cashiers check to the Title company. The BEST rates with LIghtstream are for a 36 month loan (you can look at rate estimated on their website before you apply). I knew I wanted to pay my loan back within 12 months, but the 12 month loan rate was higher, so I got a 36 month loan and paid it off early (there are no pre-payment penalties and making extra principal payments is super easy via their website). Good luck! Thankfully you have several options with financing, just pick what works best for you!

 

[Kidguile]

I financed directly thru DVC when I bought. One thing about their financing is the loans are not reported to the credit agencies (or at lease in my case) so you don't get credit for it but it also doesn't ding your credit for an obligation that would normally be reported.

 

[KSR0330]

If you know you have good credit, I highly recommend Lightstream. They will do a credit check, but their rates are the best for those with solid credit. You can pick when you fund the loan as well. So as one already stated, I too applied for my loan the day I passed ROFR and I opted to have the loan fund about 7-10 days later (at the time, the Title company I was working with was taking about that long to work through a backlog). Lightstream funded the loan directly into my bank account and then I sent a cashiers check to the Title company. The BEST rates with LIghtstream are for a 36 month loan (you can look at rate estimated on their website before you apply). I knew I wanted to pay my loan back within 12 months, but the 12 month loan rate was higher, so I got a 36 month loan and paid it off early (there are no pre-payment penalties and making extra principal payments is super easy via their website). Good luck! Thankfully you have several options with financing, just pick what works best for you!

Thanks, I'll take a look!