Considering Small DVC Purchase - Advice Needed

IspeakWhale

New member
You are right about the additional costs...let's consider a few things. Good resales for AKV, SSR and OKW would be $65/$60/$55, respectively. I've been watching the resale market for quite some time for an add-on and would feel these are fair prices. On a hundred point contract the difference between OKW and AKV would be $1000, but an AKV contract is 15 years longer. SSR, on the other hand, would only cost you $500 more and last for 12 years longer than OKW. To me the price difference is well worth the extra years and SSR gives the best value in this regard.

Yes, you are right, the maintenance fees add up to be much more than the initial buy-in difference. I feel AKV will always have higher fees than OKW and SSR. That was a cost we were willing to assume going in as we felt the benefits the AKV points gave us would make up for it in the end and we love the resort. Not only do we gain the 11 month window at a resort that has 2 booking categories that are difficult, but we felt the potential to 'stretch the points' was valuable. For example, a week in July will cost approx 12% more points to stay in a studio at OKW and 21% more points to stay in an SSR studio as opposed to an AKV value studio. Now, over of the life of the contract we will not always stay in an AKV value room but each time we do we are "saving" those points that have already had their MF fees paid for. Eventually, that will add up to enough points for an extra trip...costing us nothing above the MFs we have already paid for our points. When BLT first came on-line many were praising the low MFs. I never understood that considering the cost of points per night. Even the least expensive category at BLT would cost 30% more points for the same week in July as opposed to an AKV value studio. How is that saving on MF fees? An MK view is almost double! Yes, each room is different, each view is different and one can't always compare that simply, but I do love the option of the "savings" the AKV value rooms offer.

The value rooms are smaller...no doubt about it...I think 4 ft. less in depth (not sure though). However, we're a family that was perfectly happy staying at Pop Century. Each family is different. There are value rooms at AKV that are savannah view, pool view or "garden view" (basically parking lot). You never know what you're going to get so if view is important to you every trip the AKV value rooms are less desirable for you and thus, an AKV contract is less so.

One thing to consider...if you have a bit of flexibility in use year. At each of the 3 resorts you've mentioned August has had more points sold than September, approximately 2% more. This may mean that there are slightly more resale contracts available for August than September. This may also make it slightly easier to add-on to your original contract if you ever choose. We're finding it challenging to find a smaller contract with an October UY for AKV to purchase resale, there are just fewer of them out there.
Good luck.
 
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IspeakWhale

New member
I think you might be confusing Disney's "value resorts" (All Star, POP, AoA, etc.) with the "value" units (the least desirable views) at DVC properties.

The Disney value resorts are what I like to call the "Motel 6" of Disney. It's basically just a themed motel room, with a nice pool.

As for a comparison between a value resort and a DVC stay, there's no comparison. The DVC properties are Deluxe (and they're priced as such).
AKV has a "value" booking category that offers rooms for the least amount of points of all DVC's at WDW. If you're ever looking to stretch your 25 point DVC contract you should check them out.
 

bnoble

he's right
I once saw a chart which detailed each DVC resort's lifetime dues outlay.
It's semi-OT, but almost all of these ignore inflation, and just add up the numbers in each year rather than cast them in present-value terms. They similarly ignore the opportunity cost on the purchase price.
 

Micah008

Well-known member
Thanks for the discussions everyone. After DW and I talked a lot more about this, and after I did more research... we decided to make an offer on a contract on the resale market. Now we wait for a response...
 
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IspeakWhale

New member
Thanks for the discussions everyone. After DW and I talked a lot more about this, and after I did more research... we decided to make an offer on a contract on the resale market. Now we wait for a response...
Good luck! Keep us posted.
 

George

wishes he had a pink frolicing llama under his tag
Thanks! We put in the offer on Friday, but we have actually not heard back yet... starting to get a little concerned, but I guess I don't know what is "normal" for this.
Usually an offer is accepted or countered by the next day or sooner. I'd call your rep and ask what's up. Which company are you woring with?
 

Micah008

Well-known member
Usually an offer is accepted or countered by the next day or sooner. I'd call your rep and ask what's up. Which company are you woring with?
I called this morning, and got the brokers voicemail, which said she was out this entire week on vacation. Obviously, she can use a vacation just as much as any of us, but it would have been nice to know that when I talked to her on Friday. There is apparently only one other broker there, but she was also busy, so I will be calling back again later.

It is Fidelity by the way...
 

George

wishes he had a pink frolicing llama under his tag
I called this morning, and got the brokers voicemail, which said she was out this entire week on vacation. Obviously, she can use a vacation just as much as any of us, but it would have been nice to know that when I talked to her on Friday. There is apparently only one other broker there, but she was also busy, so I will be calling back again later.

It is Fidelity by the way...
Was there an expiration time/date on your offer? Sounds like someone dropped the ball. Is anyone taking her calls while she's away?

If this offer doesn't pan out, you should check out The Timeshare Store. They're wonderfully efficient, and I have nothing but praise for them.
 

Micah008

Well-known member
Was there an expiration time/date on your offer? Sounds like someone dropped the ball. Is anyone taking her calls while she's away?

If this offer doesn't pan out, you should check out The Timeshare Store. They're wonderfully efficient, and I have nothing but praise for them.
No, I didn't put an expiration on it (apparently I should have). I finally talked to someone late today who is apparently handling everything DVC related for the week there.

She looked into it a little and said that the seller was negotiating with someone else, and that my offer was next in line if they don't agree on a price. I guess I wait a little more...

By the way, is that normal that the seller would be presented each offer one and a time, and not even see the next one until they accept/counter/decline the first one? Right or wrong, I was under the impression that they would be shown all offers that came in and pick from them, rather than first-come-first-served.
 

George

wishes he had a pink frolicing llama under his tag
No, I didn't put an expiration on it (apparently I should have). I finally talked to someone late today who is apparently handling everything DVC related for the week there.

She looked into it a little and said that the seller was negotiating with someone else, and that my offer was next in line if they don't agree on a price. I guess I wait a little more...

By the way, is that normal that the seller would be presented each offer one and a time, and not even see the next one until they accept/counter/decline the first one? Right or wrong, I was under the impression that they would be shown all offers that came in and pick from them, rather than first-come-first-served.
Timeshare sales may be different, but in real estate brokerage, all offers must be presented as they come in. If there's more than one, the seller can wait until they both come in and then try to use that to his advantage. It's unlikely that your offer was not presented. What's more likely is that the other offer was stronger (either price, terms, closing, etc.) and the seller decided to try to negotiate that one. Either way, you should put an expiration in order to create urgency. Remember, Fidelity is being paid by, and most likely working for, the seller. I'd also be guarded about relating the highest price you'll go to (and other items which can be used to negotiate), since the agent has a duty to relate that to his client. At least that's how it works in real estate.
 

Micah008

Well-known member
Timeshare sales may be different, but in real estate brokerage, all offers must be presented as they come in. If there's more than one, the seller can wait until they both come in and then try to use that to his advantage. It's unlikely that your offer was not presented. What's more likely is that the other offer was stronger (either price, terms, closing, etc.) and the seller decided to try to negotiate that one. Either way, you should put an expiration in order to create urgency. Remember, Fidelity is being paid by, and most likely working for, the seller. I'd also be guarded about relating the highest price you'll go to (and other items which can be used to negotiate), since the agent has a duty to relate that to his client. At least that's how it works in real estate.
Thanks for the response George. I was under the same impression on Real Estate, and I at least have some experience there. When it comes to DVC and brokers I have a lot less of an idea what is really going on there. They claimed it wasn't even presented, but that sounded unlikely to me too. Either way, I will keep in mind that they are working for the seller... I knew this, but it is a good reminder.
 

George

wishes he had a pink frolicing llama under his tag
Thanks for the response George. I was under the same impression on Real Estate, and I at least have some experience there. When it comes to DVC and brokers I have a lot less of an idea what is really going on there. They claimed it wasn't even presented, but that sounded unlikely to me too. Either way, I will keep in mind that they are working for the seller... I knew this, but it is a good reminder.
I know I'm just some Stranger on the Internet, but I'm a real estate professional and I make a very comfortable living doing it. I don't like how Fidelity has treated you or your offer. I mean, it took a call from you to have them inform you of the status of your offer, and you still really don't have any answer except "they'll look at it if they can't make the other one work. Meanwhile, wait for us to see if we'll address your offer." This is unprofessional at best. Again, I don't know FL license law, but in IL (and WI) we have strict time frames that we must follow, and we also have fiduciary duties to our clients, even in dual agency transactions where we represent both parties.
 

Micah008

Well-known member
I know I'm just some Stranger on the Internet, but I'm a real estate professional and I make a very comfortable living doing it. I don't like how Fidelity has treated you or your offer. I mean, it took a call from you to have them inform you of the status of your offer, and you still really don't have any answer except "they'll look at it if they can't make the other one work. Meanwhile, wait for us to see if we'll address your offer." This is unprofessional at best. Again, I don't know FL license law, but in IL (and WI) we have strict time frames that we must follow, and we also have fiduciary duties to our clients, even in dual agency transactions where we represent both parties.
I appreciate the advice, and professional opinion, even from a "stranger". :RpS_smile:

Fidelity sure tries to make it sound like they are working for the buyer too, including using that as part of the reasoning for their $195 fee... but I know better, since it isn't hard to see where the money comes from. If nothing else I have learned more about the process and know how to handle things better next time (like the expiration, etc). My thought is to give them until sometime tomorrow and if I still haven't heard back I will rescind my offer and move on.
 

bnoble

he's right
Remember, Fidelity is being paid by, and most likely working for, the seller.
I thought so too, but some of the DVC heavyweights over on DISboards have said that the broker does not have a fiduciary duty to either party. This could be something specific to Florida timeshare law, I don't know---and I'm also not 100% sure they are right, though at least a few of those people are people I respect.
 

Micah008

Well-known member
I got a call from Shawn today to say that our offer was accepted and she was going to send the contract. She apologized and explained the reasons for the delay. (Some was them, but some was the seller). I actually felt she was great to work with, and really redeemed Fidelity for me. We will see how the rest goes, but we are really excited.

We ended up getting a 50 point AKV loaded with all 2012 and 2013 points for $70 a point. It seemed a little higher than some others, but with all the banked points and being small I think it seems like a good deal. Now for the wait on ROFR...

Thanks again everyone for the great advice and discussion.
 

pfalcioni

does anybody know how to change this?
Wohoo!! Congratulations!

But that means we won't be bumping into you at Pop again :RpS_sad:
 

Micah008

Well-known member
Wohoo!! Congratulations!

But that means we won't be bumping into you at Pop again :RpS_sad:
Thanks! We actually still may stay at Pop again in the future too... with only 50 points that isn't enough for a trip every year, so we are planning to still do some other stays like Pop here and there too, especially if we have anyone come with us.
 
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