Glut of DVC Resale Listings?

[TheHolleys87]

If the Mouse had a way out, why haven’t they taken it yet? Why wait till the last few years before expiration. I suspect they don’t have a way out. If they did, they wouldn’t be buying up 2042 OKW contracts like they are and wouldn’t be forcing Quit Claims on sellers either.

Some of us are fond of saying that the people who will make the decisions about closing out the 2042 resorts are just now graduating from business school.

 

[chromeo]

Glut is real, never seen this much VGC. Change is in the air.

Rivera and Aulani are half sold, Grand Floridian is getting there in getting sold. No annual passes, Polynesian and Disneyland tower looming.

 

[cfabar1]

Yes, and Reflections likely never being built, or at least in the fashion originally listed.

I don’t think younger people want to feel “tied down”. The beach resorts actually help offset that some, but they are not “big enough” in my view. Also, many families “outgrow” disney, which is part of the problem.

 

[Huskerpaul]

When I started looking into DVC last March there were around 1300 contracts available according to https://dvc.market/listing/ Now there are over 1900 available. There was a big surge in listing when the whole 'Don't say gay" deal erupted in Florida.

 

[ljmiii]

...never seen this much VGC...Rivera and Aulani are half sold, Grand Floridian is getting there in getting sold...Polynesian and Disneyland tower looming.

People are starting to put their VGC on the market because they are afraid of what will happen to the prices of VGC once DVC starts selling the Disneyland Tower. We thought about it...but the DL tower skews heavily toward studios and is farther away. We'll keep our 2BRs with a private entrance to California Adventure, thank you.

Riviera has the problem that once DVC started selling new VGF contracts there was no reason to put up with resale restrictions if you want to buy direct. If DVC's no longer ROFR'ing Poly contracts means the same will happen to the new Poly construction, Riviera will continue to be the last, worst choice for the foreseeable future.

 

[Huskerpaul]

If DVC's no longer ROFR'ing Poly contracts means the same will happen to the new Poly construction, Riviera will continue to be the last, worst choice for the foreseeable future.

There has not been a single reported ROFR at Poly for many months now. I agree with your assessment, the new tower will be made part of the existing association and therefore no resale restrictions like Riv.

 

[TravelTime]

'Don't say gay" deal erupted in Florida.

The mis-labeling of this law was strange to me. It had little to do with being gay or people teaching about being gay.

 

[TravelTime]

We sold about 8 or 9 contracts right as Covid was hitting. I did not own them for long so I was a little below break even. People say DVC always goes up and they make money on them. This was not my experience owning the contracts about 3 years. You need to own them longer and take closing costs into account. I assumed priced went up during Covid but I have not looked since I sold.

 

[Huskerpaul]

The mis-labeling of this law was strange to me. It had little to do with being gay or people teaching about being gay.

The fact that some feel that way is why I used quotation marks around the term. Not trying to offend. If I had used the official name of the legislation few would know what I was referring to.

 

[blondietink]

I think a lot of it has to do with covid and the border shut downs. People in Europe who own got screwed as well as many of the people in Canada. Nobody could travel unless they jumped through a lot of hoops. It just wasn't worth it to many. People are realizing also that owning a piece of the mouse isn't for everybody forever. We bought 17 years ago and used to go several times per year. Now we vacation in other areas of the country and world and save our points to go on longer DVC vacations.

 

[carl2591]

Rent your points by booking a studio in a popular week and list it on go-koala.com for about $17.50 a point. Then use that money elsewhere. Wait for a better time to sell.

Renting is easy and free to list at go-koala.com because they get money after it rents, not before it rents. Redweek also works.

Hey guys,, have you had good luck with Koala.. the site kinda sucks to me.. I tried to put surfside in and it go to orlando.. when i finally did get to Grand Palms it appears there are no units.. I used redweek in the past and got good results.. I usually reserve the 2 bd unit for week 28, the week after the 4th, and bank the hotel side for TPU's.

 

[SML123]

We are contemplating selling our DVC. We've been members since 2006 and have enjoyed numerous vacations but ended up renting our points out the last couple of years. It seems our adult children and teenage grandchildren aren't as interested in going any more on top of the cost. I contacted Disney and they are buying back contracts and I was given a price over the phone. It seems very quick and easy and it's several thousand more than we paid. I'm struggling with what to do!

I see so many people getting ripped off because we are not in the business of money transfers or contracts. If Disney will buy it back for more than you paid, it would be a no brainer for me. Take the easy path where its painless and you wont get ripped off when you sign the contract and the funds arent transferred. Sometimes, a sure thing with a legit company is better than a little more money with a few unknowns thrown in.

 

[noreenkate]

I see so many people getting ripped off because we are not in the business of money transfers or contracts. If Disney will buy it back for more than you paid, it would be a no brainer for me. Take the easy path where its painless and you wont get ripped off when you sign the contract and the funds arent transferred. Sometimes, a sure thing with a legit company is better than a little more money with a few unknowns thrown in.

Agreed and I think it goes both ways right now as far as buying and selling- more and more reports of people getting screwed with resale contracts- things like owners transferring points out after estoppal or rofr w/ new owner not knowing till contract is loaded months later...

 

[ocdb8r]

Agreed and I think it goes both ways right now as far as buying and selling- more and more reports of people getting screwed with resale contracts- things like owners transferring points out after estoppal or rofr w/ new owner not knowing till contract is loaded months later...

Is this with regular brokers?!?! That's terrible! The resale market definitely seems well saturated and brokers who have been living off of years of easy sales may not be up to the task.

 

[nomoretslt]

Is this with regular brokers?!?! That's terrible! The resale market definitely seems well saturated and brokers who have been living off of years of easy sales may not be up to the task.

I’ve bought and sold a number of contracts thru two very reputable companies. Never had any issues. Of course if someone lists their contract and then goes ahead and makes a reservation without telling the company, not really the companies fault. Some people will try and get over on others. The two I used, when listing a contract would ask if you have any upcoming reservations. If you did, then a notation would be on the listing “cannot close until after such and such date”. When buying, they would double check before closing (I think thru DVC directly).
DVC was never in the business of buying back contracts in the past, so this is relatively new. I have read a couple reports where their offer is ridiculously low. I’ve also read that they will sometimes contact you to see if you are interested in selling. But I’m sure they have an ulterior motive. Think what’s going to happen is a lot of people will start defaulting on their loans so lots of foreclsoures. There always seems to be an increase in listings after the new dues bills come out too….they went up as usual.
Riviera resale contracts were being picked up pretty quickly until recently. I already have 2 100 point contracts, but I would not hesitate to buy more on resale If I wanted more. Direct sales have been slow, especially during the pandemic. There is a lot of negativity directed towards this resort. We absolutely love it. Great location, beautiful rooms, the studios are outstanding and the Tower rooms are great for short stays. I’m of the opinion that the new Poly tower will also have resale restrictions….but time will tell. It’s a lot bigger than I thought it would be. I noticed there is a huge glut of Poly listings.
We have a nice portfolio of points and resorts. BLT, BWV and RIV. All great locations. When we tire of Disney we will rent out our points and as we get older will have a discussion with the kids. If they don’t want DVC after we go to the great timeshare in the sky, they can sell without guilt.

 

[noreenkate]

Is this with regular brokers?!?! That's terrible! The resale market definitely seems well saturated and brokers who have been living off of years of easy sales may not be up to the task.

The more reliable resale brokers seem to either transfer point to make up the missing difference or rent the new owner a restoration to cover...
Which is somewhat fair depending on what new owner had plans for-
one circumstance that I know of broker offered to transfer points but new owner was looking to bank the current u/y into the next and borrow for an extended trip w/family- temp broker points were fine but now home resort and u/y didn't line up...

 

[rickandcindy23]

Hey guys,, have you had good luck with Koala.. the site kinda sucks to me.. I tried to put surfside in and it go to orlando.. when i finally did get to Grand Palms it appears there are no units.. I used redweek in the past and got good results.. I usually reserve the 2 bd unit for week 28, the week after the 4th, and bank the hotel side for TPU's.

Not really on the topic of Disney, but yes, I do rent through go-koala.com and find that most people rent dates that are closer in than Redweek. But I love Redweek, too, I just don't want to list any Disney on Redweek after they did a three-way call with Disney and me to verify.

The fact is, anything you have on Redweek 1) you paid to list, so why would you pay to list something you don't have? 2) you paid extra to get it verified, and that would be crazy to not have the listing to rent. 3) I could cancel something at any time, so why call to confirm it? 4) I already sent in the confirmation for Redweek to see that it's valid and entered that confirmation # into my listing.

Redweek makes me crazy at times. I do not want the people at Disney to know that I have reservations listed for rent. Let them think I am renting to friends/ family.

 

[rickandcindy23]

I would list with sellingtimeshares.net, Seth Nock's company, but I would try to deal with Seth personally and not with anyone else.

 

[Kat05]

I see so many people getting ripped off because we are not in the business of money transfers or contracts. If Disney will buy it back for more than you paid, it would be a no brainer for me. Take the easy path where its painless and you wont get ripped off when you sign the contract and the funds arent transferred. Sometimes, a sure thing with a legit company is better than a little more money with a few unknowns thrown in.

We did end up selling our DVC back to Disney. It was very fast and easy and we received $6400 more than we originally paid.

 

[AnnaS]

We did end up selling our DVC back to Disney. It was very fast and easy and we received $6400 more than we originally paid.

I bet it was quick and easy - as fast as it is to buying.

 

[ljmiii]

The sale of my 234 point AKV contract just closed a few days ago and it seemed like a good time to revisit this thread.

I listed it for sale in April at a reasonable price for the market at that time and ignored a succession of 'bottom feeder' bids. In September it went into contract to someone who lost their purchase to ROFR and about 30 days later Disney ROFR'd mine as well. I had rented out points for an early January 2023 vacation and so the closing had to wait until now. One thing obvious only in retrospect is that larger contracts are more attractive to DVC - not only is the price per point lower (since they are less attractive to retail buyers) but their cost of processing is less per point.

There continues to be a large number of DVC resale contracts for sale - about the same number as when I put mine on the market but substantially more than early 2021. What has changed is that in that as the year progressed the large number of contracts on the market has started to affect the average sale price.

Meanwhile, DVC seemed to regard this as a buying opportunity - at least until December. The DVC Resale Market saw a 95% increase in contracts ROFR'd from 2021 to 2022, mainly at SSR, AKV, BLT, and OKW. But there were only four contracts ROFR'd in December - all oddly at CCV. Whether this means that DVC simply ran out of 2022 buyback money or something else we will find out in the months to come.

 

[bnoble]

Whether this means that DVC simply ran out of 2022 buyback money or something else we will find out in the months to come.

The folks on DISboards are continuing to report essentially no ROFR activity in January: 15 passes, 1 taken (again, CCV), and a bunch still in waiting.

ROFR Thread Jan to March 2023 *PLEASE SEE FIRST POST FOR INSTRUCTIONS & FORMATTING TOOL*

Hi everyone! This thread can be an invaluable tool for buyers looking for some help when researching the most up-to-date prices for DVC contracts on the resale market, so I encourage everyone to post their contracts when they are sent to Disney, no matter if they are big, small, or in-between...

www.disboards.com

Given that Disney's fiscal year starts October 1, there's no particular reason to think the end of the calendar year was particularly special.

 

[jwalk03]

The folks on DISboards are continuing to report essentially no ROFR activity in January: 15 passes, 1 taken (again, CCV), and a bunch still in waiting.

ROFR Thread Jan to March 2023 *PLEASE SEE FIRST POST FOR INSTRUCTIONS & FORMATTING TOOL*

Hi everyone! This thread can be an invaluable tool for buyers looking for some help when researching the most up-to-date prices for DVC contracts on the resale market, so I encourage everyone to post their contracts when they are sent to Disney, no matter if they are big, small, or in-between...

www.disboards.com

Given that Disney's fiscal year starts October 1, there's no particular reason to think the end of the calendar year was particularly special.

Stock price is down pretty substantially and a new (old) CEO so maybe this is a way they are cutting costs. Im sure it just a drop in the bucket of Disney expenses- but certainly not a painful cut for the company to make. Especially if they have plenty of sales inventory already available to them.

 

[Huskerpaul]

DVC also put two sold-out resorts on sale to direct buyers last month. So they are probably sitting on a pile of points from 2022 ROFR activities.

 

[ocdb8r]

Disney must be seeing some softening of demand in the current economic environment. That combined with significant new inventory in the pipeline has got to reduce their approach on ROFR. What's hard to know is the extent to which they also see ROFR as a tool to prop up retail prices. As the gap between retail and resale gets bigger and bigger, it will be curious to see if they step back in. So far, I think their attempts to differentiate direct and resale purchases have been limited (and limited success - the Riviera rollout seems a debacle to me).