Crunching the numbers...

[Phonedave]

I don't for certain, but there are many people (even companies) that own DVC and do nothing but rent it out. I could be mistaken, but I believe Disney has no legal right to stop people from renting their points out.

It states in your contract that you cannot use the DVC as a investment vehicle used ot rent the points out on a regular basis. I don't have the exact language in front of me, but it is in there. There are BROKERS out there that rent points, but I don't not know of any companies that rent points they own. AS it is set up now, point totals arae limted to (someone help me here, I want to say 1,000 points max) so they would have to own multiple contracts etc.

Ill see if I can find that contract language.


-dave

 

[captainkidd]

It states in your contract that you cannot use the DVC as a investment vehicle used ot rent the points out on a regular basis. I don't have the exact language in front of me, but it is in there. There are BROKERS out there that rent points, but I don't not know of any companies that rent points they own. AS it is set up now, point totals arae limted to (someone help me here, I want to say 1,000 points max) so they would have to own multiple contracts etc.

Ill see if I can find that contract language.


-dave

It seems many people do just this though. I've rented from some myself.

 

[Phonedave]

It seems many people do just this though. I've rented from some myself.

Weii, I stand corrected (sort of)

There is nothing in the contract that I can find that states you CANNOT buy into the DVC as an investment vehicle. What it does state is that you SHOULD NOT, for a variety of reasons (market fluctuations, the fact DVC competes with you, other hotels compete with you, etc).

When I did purchase, I distinctly remember the agent stating that if the DVC say activity on your contract that caused them to suspect you were just renting out your points every year, that they would investigate. I did not pursure the issue further because I did not plan on doing so.

Currently the maximum number of points a person can own is 5,000 (with a max of 2,000 at any one resort). I assume if you really wanted to, you could set up multiple LLC's to own more than 5,000 points. I really don't see how somone can make that much money renting out points though.

-dave