Coronavirus impact on DVC

[nickys]

You have a GREAT point.... no point in us losing out on about $28K, just to make a point (no pun intended) .

So we're modifying the plan. Joining David's, and becoming a source for Rentals. Until we understand what WDW IS, these days? Renting points OUT makes us cash, and causes all sorts of problems for overpriced DVC hotels . Two ways to win .

a) Why does renting cause problems for DVC resorts?
b) Are you aware of the problems this pandemic caused owners, brokers and renters?

 

[LuvtheGoof]

You have a GREAT point.... no point in us losing out on about $28K, just to make a point (no pun intended) .

So we're modifying the plan. Joining David's, and becoming a source for Rentals. Until we understand what WDW IS, these days? Renting points OUT makes us cash, and causes all sorts of problems for overpriced DVC hotels . Two ways to win .

That definitely makes more sense than selling for a dollar! And you should make a nice tidy sum of money.

 

[CastAStone]

Darn.

 

[GoofGoof]

If anyone sees BLT points selling in the low $90s let me know. I wish I bought twice as many points when I bought in for that price. Then I could rent half my points out and cover my annual MFs.

 

[CastAStone]

According to a poster on another board, DVC direct sales reopens next Monday, if anyone needs anything.

New offers are out as well:

For CCV, RIV, AUL:
New purchaser:
�

When You Purchase...	You'll Save...
The savings below are valid for purchases now through September 16, 2020.
150 to 199 Vacation Points	$2,250 to $2,985
200 to 299 Vacation Points	$5,000 to $7,475
300 to 499 Vacation Points	$9,000 to $14,970

Member:
$5 off per point for 100-124 points
$15 off per point for 125-149 points
$25 off per point for 150-199 points
$35 off per point for 200-229 points
$35.14 off per point for 230-250 points

The guide I just spoke with on the phone indicated that there are also offers for several sold out resorts, starting at 150 points.

I was quoted $5/pt off 150-199 and $8/pt off for 200-250 at OKW.

 

[slipperalwaysfits]

Has anyone heard anything on how long they are expecting the rule to "only use half your DVC points" to last? I'm guessing through 2021, because there will be so much pent-up demand next year? It's just a bummer because how do we take a trip if we can only use half our points? Use our points and then rent points?

 

[CastAStone]

Has anyone heard anything on how long they are expecting the rule to "only use half your DVC points" to last? I'm guessing through 2021, because there will be so much pent-up demand next year? It's just a bummer because how do we take a trip if we can only use half our points? Use our points and then rent points?

I’m not sure what you mean. You can use all of your points in the Use Year they are meant to be in.You mean the temporary borrowing rule? That only applies to points you borrow from next year.

 

[RememberWhen]

I’m not sure what you mean. You can use all of your points in the Use Year they are meant to be in.You mean the temporary borrowing rule? That only applies to points you borrow from next year.

I think a number of people plan to bank and borrow in order to have enough points. That’s how I took this initially, though on rereading I may have misunderstood the OP.

 

[FCivish3]

Has anyone heard anything on how long they are expecting the rule to "only use half your DVC points" to last? I'm guessing through 2021, because there will be so much pent-up demand next year? It's just a bummer because how do we take a trip if we can only use half our points? Use our points and then rent points?

This borrowing rule makes no sense to me. The DVC units in many hotels are running at less than 90% capacity. Kidani is only at 75% capacity right now, for DVC. WHY NOT LET PEOPLE BORROW POINTS, if they are willing to use them in the next few months, and use up some of that excess capacity AND remove those points from the 'future pool' where too many points will be chasing too few reservations.

 

[nickys]

This borrowing rule makes no sense to me. The DVC units in many hotels are running at less than 90% capacity. Kidani is only at 75% capacity right now, for DVC. WHY NOT LET PEOPLE BORROW POINTS, if they are willing to use them in the next few months, and use up some of that excess capacity AND remove those points from the 'future pool' where too many points will be chasing too few reservations.

I agree this makes sense for now, but so many people are not travelling right now and will be booking for next year. The number of members who would want to do this for the next three months are relatively low. I really haven’t seen a flood of members wanting to do this for immediate stays.

The problems really hit next year, and I guess the cost having the system modified to allow it for stays in the near future but not for 2021 onwards outweighs the benefits.

 

[CastAStone]

WHY NOT LET PEOPLE BORROW POINTS, if they are willing to use them in the next few months, and use up some of that excess capacity AND remove those points from the 'future pool' where too many points will be chasing too few reservations.

Agree. Borrow 100% of points if used in calendar 2020 makes a lot of sense.

 

[nickys]

This borrowing rule makes no sense to me. The DVC units in many hotels are running at less than 90% capacity. Kidani is only at 75% capacity right now, for DVC. WHY NOT LET PEOPLE BORROW POINTS, if they are willing to use them in the next few months, and use up some of that excess capacity AND remove those points from the 'future pool' where too many points will be chasing too few reservations.

There is another reason which I just saw explained elsewhere, so I will attempt to explain it here.

Not everyone who was granted developer points in lieu of 2018 banked points used in a cancelled stay have had a chance to use them yet.

Those with an August use year won’t get those points until sometime after 1st August, those with September and October use years will have to wait longer. DVC will want them to at least have a chance to book something in the next few months, since the developer points expire at the end of November.

And these points couldn’t just be handed over early either. DVC had to wait until the banked points have actually expired before giving members the new points.

 

[imsosarah]

This corona effects not only DVC it effects so many people, especially daily wages, beggers and small scale workers. Now so many people died lack of food than corona.

Not in the US? Where are you located at.

 

[CaptainAmerica]

Someone please talk me out of buying Aulani at $85pp.

 

[CastAStone]

Someone please talk me out of buying Aulani at $85pp.

$8.33 a point increasing at an average of 4% a year. Resort isn't scheduled to open and you'll be staring down the barrel of at least 6 months of points glut - if the contract is loaded you may have trouble using all the points.

That's a good price though and the flip side of the points glut is that it will be much harder than usual to book Aulani with WDW points at 7 months for the next few years.

 

[CaptainAmerica]

$8.33 a point increasing at an average of 4% a year. Resort isn't scheduled to open and you'll be staring down the barrel of at least 6 months of points glut - if the contract is loaded you may have trouble using all the points.

That's a good price though and the flip side of the points glut is that it will be much harder than usual to book Aulani with WDW points at 7 months for the next few years.

If I did Aulani as my home resort, we'd be looking at enough points to do a two bedroom villa once every three years, so the points glut doesn't bother me. I'd be looking for a contract with bankable 2020 points and a trip in late 2021 using 2020, 2021, and 2022 points. The starting MF is high but so far they have a good track record of reasonable annual increases (as opposed to Bay Lake Tower and Hilton Head in particular).

Viable:
Animal Kingdom
Aulani
Copper Creek
Old Key West 2057
Saratoga Springs

Too Expensive:
Bay Lake Tower
Grand Californian
Grand Floridian
Polynesian
Riviera (also I hate it)

Contract Ends too Soon to Get Max Value:
Beach Club
Boardwalk
Boulder Ridge
Hilton Head
Old Key West 2042
Vero Beach

 

[CastAStone]

If I did Aulani as my home resort, we'd be looking at enough points to do a two bedroom villa once every three years, so the points glut doesn't bother me. I'd be looking for a contract with bankable 2020 points and a trip in late 2021 using 2020, 2021, and 2022 points. The starting MF is high but so far they have a good track record of reasonable annual increases (as opposed to Bay Lake Tower and Hilton Head in particular).

Viable:
Animal Kingdom
Aulani
Copper Creek
Old Key West 2057
Saratoga Springs

Too Expensive:
Bay Lake Tower
Grand Californian
Grand Floridian
Polynesian
Riviera (also I hate it)

Contract Ends too Soon to Get Max Value:
Beach Club
Boardwalk
Boulder Ridge
Hilton Head
Old Key West 2042
Vero Beach

What makes Poly too expensive but CCV viable? They run around the same price, and neither really has any chance of being ROFRd because they're both new enough that Disney is acquiring plenty via foreclosure, so there's little risk to a lowball offer.

 

[correcaminos]

Someone please talk me out of buying Aulani at $85pp.

Unless subsidized and you plan to actually use the points there regularly, don't do it.

 

[nickys]

If I did Aulani as my home resort, we'd be looking at enough points to do a two bedroom villa once every three years, so the points glut doesn't bother me. I'd be looking for a contract with bankable 2020 points and a trip in late 2021 using 2020, 2021, and 2022 points. The starting MF is high but so far they have a good track record of reasonable annual increases (as opposed to Bay Lake Tower and Hilton Head in particular).

Viable:
Animal Kingdom
Aulani
Copper Creek
Old Key West 2057
Saratoga Springs

Too Expensive:
Bay Lake Tower
Grand Californian
Grand Floridian
Polynesian
Riviera (also I hate it)

Contract Ends too Soon to Get Max Value:
Beach Club
Boardwalk
Boulder Ridge
Hilton Head
Old Key West 2042
Vero Beach

Don’t forget the borrowing restriction right now. We don’t know when that will end. I’m looking to Christmas 2021 and I’m not sure the restriction will have been lifted by January when I’ll be booking.

 

[CaptainAmerica]

What makes Poly too expensive but CCV viable? They run around the same price, and neither really has any chance of being ROFRd because they're both new enough that Disney is acquiring plenty via foreclosure, so there's little risk to a lowball offer.

The points chart. Price-per-point is comparable but points-per-night is not close. My general benchmark (excluding Aulani) is that I should be able to do 8 nights in a Studio during Magic Season for under 160.

Unless subsidized and you plan to actually use the points there regularly, don't do it.

We would plan to use points there regularly.