Should I be renting while Commercial Renting being reviewed?

[eticketplease]

What a great Disney experience for the people who rented.

I agree but I don’t think this happening. Still waiting on the “word” from @Travel60 to be able to verify this information was not from a bus driver.

 

[Sandisw]

I agree but I don’t think this happening. Still waiting on the “word” from @Travel60 to be able to verify this information was not from a bus driver.

There was at least one instance this summer that occurred as the renter used DVC Resale Market and they took care of them.

 

[eticketplease]

There was at least one instance this summer that occurred as the renter used DVC Resale Market and they took care of them.

But was that Disney cancelling? oOr the owner cancelling the reservation/not being in good standing at the time?

 

[Kerry1957]

@Travel60 where are you? Please either back up your statement with facts or kindly retract it. Thanks!

 

[MICKIMINI]

I would book through WDW directly with a reservation you can cancel.

At the same time, I'd be looking at resale contracts. Very few are being ROFR'd. You can look at the disboard ROFR thread to at least see what people are paying for contracts. Prices are good right now and don't feel bad about negotiating hard. If you get a rejection, move on. If you can buy a fully loaded contract initially, you can manage with less points and use your contract every other year with banking and borrowing. It will give you security so you control your reservations without worry.

Just a thought from a 30 year DVC veteran! Good luck!

 

[JackosinDIS]

But was that Disney cancelling? oOr the owner cancelling the reservation/not being in good standing at the time?

We never found out for sure but it appeared to be Disney cancelling… we don’t know why but could have just been that the owner didn’t pay dues.

There were a few posts about it in the thread below, including one on behalf of the board sponsor that was the broker involved in the reservation.

https://www.disboards.com/threads/third-party-commercial-renters.3947754/post-65590583

 

[Sandisw]

But was that Disney cancelling? oOr the owner cancelling the reservation/not being in good standing at the time?

Disney canceled it.

 

[crisi]

@Travel60 where are you? Please either back up your statement with facts or kindly retract it. Thanks!

What facts do you expect? Just curious. Name of the renter, address so you can confirm. An article in the paper. At this point everything is going to be gossip.

It would not surprise me if Disney cancelled some of these reservations. It isn't necessarily Disney's problem if they don't have a "great Disney experience" - lots of guests don't have "great Disney experiences" (including a few trips I've taken). People can cope, their are rooms available all over Disney and the surrounding area. And Disney has made it very clear over the past any number of years that they don't own anyone a great Disney experience for cheap.

If they notify you through MDE that your reservation has been cancelled due to being flagged as commercial at least three months before, I'm sure people will complain, but most of them will make other reservations.

But it also would not surprise me if the rumors they would or could or are cancelling reservations is enough and Disney doesn't need to do anything but make a few statements.

 

[Willow Ufgood]

Disney canceled it.

But we don't know why. My feelings are that anyone who is using their DVC for "commercial" purposes is not going through a broker because it cuts into profits. So we're not likely to see a reservation that was secured via a broker canceled by DVC because of a pattern of commercial activity. There's always the possibility of DVC canceling reservations when the owner fails to pay dues or is in arrears in mortgage payments.

 

[bk1273]

I would book through WDW directly with a reservation you can cancel.

At the same time, I'd be looking at resale contracts. Very few are being ROFR'd. You can look at the disboard ROFR thread to at least see what people are paying for contracts. Prices are good right now and don't feel bad about negotiating hard. If you get a rejection, move on. If you can buy a fully loaded contract initially, you can manage with less points and use your contract every other year with banking and borrowing. It will give you security so you control your reservations without worry.

Just a thought from a 30 year DVC veteran! Good luck!

Already been watching and thinking this way.

 

[Tatebeck]

But we don't know why. My feelings are that anyone who is using their DVC for "commercial" purposes is not going through a broker because it cuts into profits. So we're not likely to see a reservation that was secured via a broker canceled by DVC because of a pattern of commercial activity. There's always the possibility of DVC canceling reservations when the owner fails to pay dues or is in arrears in mortgage payments.

Unless the contract in question was owned by the third party broker, which many members believe is happening with some of the third party brokers owning tons of points to rent out for themselves. Then they get to rent for the higher prices because it seems "safer" compared to finding a member on a forum or facebook. And they would get to keep both the "member" portion and the "finders fee" portion from their website.

Which is pretty smart if you think about it, unless/until Disney decides to shut it down. If you have made a rental space where rentals regularly rent for more than other member to member spaces, why not cut out the middleman and buy some of those points yourself and double dip on the profit

 

[_auroraborealis_]

Disney has been saying they would take action for years. Only difference this time is they said it louder.

I will believe it when I see it.

 

[Sandisw]

But we don't know why. My feelings are that anyone who is using their DVC for "commercial" purposes is not going through a broker because it cuts into profits. So we're not likely to see a reservation that was secured via a broker canceled by DVC because of a pattern of commercial activity. There's always the possibility of DVC canceling reservations when the owner fails to pay dues or is in arrears in mortgage payments.

It sounded like it had something to do with the owner being flagged.

And, I doubt owners who rent a lot only do it on their own. While you make less money using a broker, it’s still an easy way to find renters.

S

 

[eticketplease]

We never found out for sure but it appeared to be Disney cancelling… we don’t know why but could have just been that the owner didn’t pay dues.

There were a few posts about it in the thread below, including one on behalf of the board sponsor that was the broker involved in the reservation.

https://www.disboards.com/threads/third-party-commercial-renters.3947754/post-65590583

Thanks!!

 

[eticketplease]

It sounded like it had something to do with the owner being flagged.

And, I doubt owners who rent a lot only do it on their own. While you make less money using a broker, it’s still an easy way to find renters.

S

Yes @pkrieger2287 mentioned it was a single issue involving a single owner.

To me that is not screaming commercial as you could get a lot more $ per point renting them yourself

I’m assuming the owner was not currently in good standing then when Disney contacted the renter.

In order to provide clarity, please note this continues to be a single issue involving one member.

Our primary goal in these situations is to provide affected Guests with replacement accommodation options so that they can enjoy their Disney vacation as planned. We are also learning, just as this community is, about DVC's policies and procedures related to commercial renting and are implementing policies to limit any future potential exposure that would negatively impact our Guests.

 

[ehh]

But we don't know why. My feelings are that anyone who is using their DVC for "commercial" purposes is not going through a broker because it cuts into profits. So we're not likely to see a reservation that was secured via a broker canceled by DVC because of a pattern of commercial activity. There's always the possibility of DVC canceling reservations when the owner fails to pay dues or is in arrears in mortgage payments.

We rented points for a 'last second' trip a few months ago that we didn't own enough points to cover. We used a broker and according to the rental paperwork, the owner/member we rented from was an LLC. After a little bit of research, it was fairly easy to see the LLC was associated with the broker.

Fortunately our reservation was not cancelled. But in retrospect, I think it's safe to say brokers are not a guarantee of safety if they end up owning the points rented out (which addresses the profit margins concern you highlighted).

 

[Travel60]

@Travel60 where are you? Please either back up your statement with facts or kindly retract it. Thanks!

Didn't realize anyone was waiting on my response (and I do have a life outside Disboards). I didn't say it was fact, I said "word says". That was from comments on Disboards about rentals being cancelled.

 

[Genie+]

Everybody has to weigh their own risk here.

Personally I doubt DVC would do mass cancellations last minute. More likely, whatever they do this year, considers the impact to unwitting rental customers. Not sure how but at least something that gives renters time to pivot or some kind of back-up plan, especially if cancellations are more widespread than anything seen before.

Money already paid… that would be my concern. Even if DVC gave a 6 months heads up a reservation wasn’t legit because the owner broke commercial rental rules, getting any money back could be a headache. Trying to find a new room and having to fight for refund would stink.

That makes me agree Brokers might be the safer route over Facebook for 2 reasons. Some brokers’ contract wording explains how they’ll compensate should something go wrong, vs having little recourse with the FB transaction if the personal owner plays refund games. Facebook also draws higher profit margins by cutting out the broker middlemen, so more commercial renters likely use FB than Brokers.

 

[bk1273]

Everybody has to weigh their own risk here.

Personally I doubt DVC would do mass cancellations last minute. More likely, whatever they do this year, considers the impact to unwitting rental customers. Not sure how but at least something that gives renters time to pivot or some kind of back-up plan, especially if cancellations are more widespread than anything seen before.

Money already paid… that would be my concern. Even if DVC gave a 6 months heads up a reservation wasn’t legit because the owner broke commercial rental rules, getting any money back could be a headache. Trying to find a new room and having to fight for refund would stink.

That makes me agree Brokers might be the safer route over Facebook for 2 reasons. Some brokers’ contract wording explains how they’ll compensate should something go wrong, vs having little recourse with the FB transaction if the personal owner plays refund games. Facebook also draws higher profit margins by cutting out the broker middlemen, so more commercial renters likely use FB than Brokers.

Just read sample contracts for two of the main brokers. Both state that if a reasonable replacement accommodation cannot be found, here is a refund from the member.

Doubt the commercial renter having just lost out will pay back not to mention I am 1500 miles from home with no room.

Looks like a year not to rent. Either buy in or pay disney directly.

 

[SL6827]

Word is DVC have outright cancelled some commercial reservations with little or no notice. That would be fun.

Really?