Is Disney Losing DVC Members/Contracts due to Covid??

The_Jobu

Well-Known Member
Here's all of the contracts filed with Orange County for AKV in July. The going price is certainly around 107-110, but there were some deals to be had.

Points Paid $/pt
160$ 12,000$ 75
190$ 17,100$ 90
160$ 14,800$ 93
240$ 23,600$ 98
225$ 22,300$ 99
160$ 15,900$ 99
160$ 15,900$ 99
160$ 16,000$ 100
160$ 16,200$ 101
100$ 10,200$ 102
220$ 22,500$ 102
160$ 16,400$ 103
160$ 16,500$ 103
320$ 33,000$ 103
220$ 22,700$ 103
100$ 10,400$ 104
330$ 34,400$ 104
160$ 16,800$ 105
200$ 21,000$ 105
160$ 16,800$ 105
160$ 16,800$ 105
250$ 26,500$ 106
242$ 26,000$ 107
160$ 17,200$ 108
160$ 17,200$ 108
50$ 5,400$ 108
200$ 21,600$ 108
100$ 10,800$ 108
100$ 10,900$ 109
100$ 10,900$ 109
110$ 12,000$ 109
210$ 23,100$ 110
100$ 11,000$ 110
160$ 17,600$ 110
100$ 11,000$ 110
120$ 13,200$ 110
240$ 26,400$ 110
100$ 11,000$ 110
155$ 17,100$ 110
220$ 24,300$ 110
160$ 17,800$ 111
125$ 14,000$ 112
100$ 11,300$ 113
100$ 11,400$ 114
160$ 18,500$ 116
75$ 9,000$ 120
50$ 6,300$ 126
25$ 3,300$ 132

So you dont pay one fee for the contract and then another for each point? Or is this to just buy add-on points for an existing contract?

Sometimes I think I got dvc all figured out and then something comes along that completely throws me.
 

CastAStone

Wannabe Peoplemover Enthusiast.
Premium Member
Advertisement
So you dont pay one fee for the contract and then another for each point? Or is this to just buy add-on points for an existing contract?

Sometimes I think I got dvc all figured out and then something comes along that completely throws me.
These are resale contracts, not direct from Disney. Technically on resale you buy a contract for a fixed dollar amount, like $10,400, plus usually $400-$500 in closing costs and the settlement of outstanding dues, if any. But people prefer to think of DVC contracts in price per point because it’s easier to compare contracts of different sizes, so I have put a column in the chart just to show the relative value. But like that first contract, they paid $12,000 for 160 points, so $12000/160=$75 per point.

Closing costs and dues to Disney are not considered part of the purchase price; paying the seller for dues the seller already paid on points the didn’t use is.
 

The_Jobu

Well-Known Member
These are resale contracts, not direct from Disney. Technically on resale you buy a contract for a fixed dollar amount, like $10,400, plus usually $400-$500 in closing costs and the settlement of outstanding dues, if any. But people prefer to think of DVC contracts in price per point because it’s easier to compare contracts of different sizes, so I have put a column in the chart just to show the relative value. But like that first contract, they paid $12,000 for 160 points, so $12000/160=$75 per point.

Closing costs and dues to Disney are not considered part of the purchase price; paying the seller for dues the seller already paid on points the didn’t use is.

So a "good" deal would be around $90 per point or higher for deluxe resorts?
 

CastAStone

Wannabe Peoplemover Enthusiast.
Premium Member
So a "good" deal would be around $90 per point or higher for deluxe resorts?
That would be An outrageously good deal for most of them. The prices of the resorts vary greatly, due to differences in location, popularity, relative difficulty of booking for non-owners, annual dues, and number of years remaining.

Judging a resorts “value” also depends what you’re comparing it to. Compared to renting DVC points to stay in a room the cheapest DVC contracts are for Old Key West and Saratoga Springs, which are also the only ones that typically sell in the $90s in normal times. Compared to Disney’s cash rates the cheapest contracts are usually at Boardwalk; that’s more like $110/point, but because it was the 2nd DVC to open and they didn’t really know what they were doing yet, it costs fewer points per night to stay there than almost any other resort.

https://www.dvcstore.com/prices.htm is a good resource for what people are actually paying, anything less than that is a deal. $90 for AKV is an absolute steal, and normally, one should expect Disney to exercise its right of first refusal at that price and buy that contract back.
 

The_Jobu

Well-Known Member
That would be An outrageously good deal for most of them. The prices of the resorts vary greatly, due to differences in location, popularity, relative difficulty of booking for non-owners, annual dues, and number of years remaining.

Judging a resorts “value” also depends what you’re comparing it to. Compared to renting DVC points to stay in a room the cheapest DVC contracts are for Old Key West and Saratoga Springs, which are also the only ones that typically sell in the $90s in normal times. Compared to Disney’s cash rates the cheapest contracts are usually at Boardwalk; that’s more like $110/point, but because it was the 2nd DVC to open and they didn’t really know what they were doing yet, it costs fewer points per night to stay there than almost any other resort.

https://www.dvcstore.com/prices.htm is a good resource for what people are actually paying, anything less than that is a deal. $90 for AKV is an absolute steal, and normally, one should expect Disney to exercise its right of first refusal at that price and buy that contract back.

Cool beans.

It's honestly kinda fun to just follow this stuff on the resale sites, now it makes sense to me. Eg. There's 1770(!!) points at OKW going for $72 a point. Bonkers.
 

davidcyndi

Active Member
Just purchased 200 direct Disney akl points today. Got 4$ off per point and they doubled the first years points. Now have 515 AKL points woohoo.
 

nickys

Premium Member
Just purchased 200 direct Disney akl points today. Got 4$ off per point and they doubled the first years points. Now have 515 AKL points woohoo.
Congrats!

What use year do you have? Was it the same as your first contract? And are you planning a trip anytime soon?
 

davidcyndi

Active Member
Congrats!

What use year do you have? Was it the same as your first contract? And are you planning a trip anytime soon?
Thanks.

Use year on both is October. Yes we have two trips planned November 4-11 2020 and January 30 - February 4 2021. November trip is 2bdr BLT, and Jan trip is AKL 2bdr.
 

nickys

Premium Member
Thanks.

Use year on both is October. Yes we have two trips planned November 4-11 2020 and January 30 - February 4 2021. November trip is 2bdr BLT, and Jan trip is AKL 2bdr.
So just wondering, they doubled the 2019 points? So it came with 400 points ready. Wow, that’s not normal.

What I suspect happened is that you received your 2019 use year points, which you are entitled to because this is still within your 2019 use year. Those points would ordinarily expire at the end of September 2020, but DVC will have banked them for you into your 2020 use year so you can use them until the end of September 2021. Plus of course you get your 2020 points on 1st October.
 
Last edited:

Mousse'

New Member
But that is not guaranteed. Let's say the economy is so bad that when you put your $1 contract on the market, nobody wants it. DVC is not going to come along and buy it either.

But, you say, SOMEBODY will want a contract for $1. Maybe, maybe not. Hopefully that time never comes, but there are other timeshares out there are are being offered for $1, and they are sitting on the market.

I'd buy up those $1 offers in a heartbeat for the speculative nature alone (resale in a year or two with only a small, flat investment and a trifle of dues... Hell, the tax deduction on the property taxes alone might have value... Not giving tax advice, consult your own, blah,blah, blah...)
 

Makarov42

New Member
One thing I have seen mentioned several times is the increase in Dues. A lot of that has to do to real estate tax increases that we not in DVCs favor. Disney won a court case earlier this year that the Tax Assesors office was unfairly raising DVC taxes based on a lot of factors they used to try to milk DVC owners disproportionate to other residents. Another court overruled a portion of this but the overriding factor is that we should see the taxes increases reduce and possibly go down in the near future which helps the due. Disney ran there case with just one or two resorts originally, but they have now filed on behalf of all the resorts. Also, the Tax assesor who was the driving force to milk DVC for all they were worth just lost his bid to be reeelcted.
 

mlayton144

Well-Known Member
One thing I have seen mentioned several times is the increase in Dues. A lot of that has to do to real estate tax increases that we not in DVCs favor. Disney won a court case earlier this year that the Tax Assesors office was unfairly raising DVC taxes based on a lot of factors they used to try to milk DVC owners disproportionate to other residents. Another court overruled a portion of this but the overriding factor is that we should see the taxes increases reduce and possibly go down in the near future which helps the due. Disney ran there case with just one or two resorts originally, but they have now filed on behalf of all the resorts. Also, the Tax assesor who was the driving force to milk DVC for all they were worth just lost his bid to be reeelcted.

correct me if I’m wrong , but this issue wasn’t specific to DVC , it was all of Disney and perhaps others
 

nickys

Premium Member
correct me if I’m wrong , but this issue wasn’t specific to DVC , it was all of Disney and perhaps others
That may be the case.

But this is discussing the implications for the DVC annual dues. Those cannot rise in order to pay other Disney resort taxes, annual dues can only rise in order to cover running costs of the DVC resorts (including any shared amenities).
 

LuvtheGoof

Grill Master
Premium Member
That may be the case.

But this is discussing the implications for the DVC annual dues. Those cannot rise in order to pay other Disney resort taxes, annual dues can only rise in order to cover running costs of the DVC resorts (including any shared amenities).
True, and we have to wonder how next year’s dues will be affected. Since DVC splits the cost with CRO for cash reservations at the DVC resorts, I wonder how they’ll calculate that for all the people that they moved to DVC resorts from other closed non DVC resorts. Will be interesting to see how that affects us.
 

CastAStone

Wannabe Peoplemover Enthusiast.
Premium Member
True, and we have to wonder how next year’s dues will be affected. Since DVC splits the cost with CRO for cash reservations at the DVC resorts, I wonder how they’ll calculate that for all the people that they moved to DVC resorts from other closed non DVC resorts. Will be interesting to see how that affects us.
There’s a cap on how much Disney has to reallocate to DVC for cash bookings (2.5%?), plus Disney has to use whatever points they own and aren’t using for holding/renovations.

After that, guests are paying cash to Disney and DVC owners are paying all the expenses.

Pretty brilliant for Disney.

No wonder they don’t care if they’re moving guests from All Star Sports to a 1 bedroom at Bay Lake Tower.

Parking is unconstrained though. I saw someone somewhere figured out that each resort’s fund balance is given a little over $20 for every $25 a cash guest spends on parking.
 

CastAStone

Wannabe Peoplemover Enthusiast.
Premium Member
Impressive that so many have so much disposable income to throw into the DVC bottomless pit.
Just because it doesn’t make sense to you it doesn’t mean it doesn’t make sense to everyone.

And yes, having read lots of DVC threads on this and other message boards, it’s clear that a lot of people buy it for no other reason than that they want it and they have the money to. I don’t think that’s any dumber than buying a BMW or a Mercedes. At least you get more than 10 years out of DVC.
 

LuvtheGoof

Grill Master
Premium Member
There’s a cap on how much Disney has to reallocate to DVC for cash bookings (2.5%?), plus Disney has to use whatever points they own and aren’t using for holding/renovations.

After that, guests are paying cash to Disney and DVC owners are paying all the expenses.

Pretty brilliant for Disney.

No wonder they don’t care if they’re moving guests from All Star Sports to a 1 bedroom at Bay Lake Tower.

Parking is unconstrained though. I saw someone somewhere figured out that each resort’s fund balance is given a little over $20 for every $25 a cash guest spends on parking.
That isn’t exactly true. Take BLT for example. DVC and CRO pay for the percentage of guests that stay at both BLT and the Contemporary when configuring shared costs.
 
Top Bottom