I nearly spit out my coffee when I read this. Imagine. $70 a point for 15 years. Jesus.
But if I look at the rental value of about $8 a point net of annual dues, 15 years is $120. Account for a little time-value-of-money discounting and $70 doesn't look unreasonable.If the new contracts are going to be $200 for 50 years, it averages $4.00 a year. So 15 years should be less than $60.00.
Using a discounted utility model, it wouldn't be unreasonable to have half of the "value" of your DVC purchase to be represented by the first 15 years of stays vs the last 35 years. Obviously there's a lot of fudge factor in that because we're talking about perception of value instead of discounted cash flow.
And that's not even accounting for the possible increase in density and the resulting increase in the number of points sold in the new resorts.If anyone isn’t sure whether Disney will resell the resorts when the contracts expire in 2042 here’s one big reason I think they will....almost 10M points (at the 3 WDW resorts) at today’s price of $200 is $2 billion in sales. Assuming the price goes up by 2042 it could be $3 to $4 billion in sales.