Thank you so much for the kind remarks. My goal is to create value for viewers. Let me know if there are any other topics you’d like to hear about. Best wishes! 😃
Thank you for breaking this down! I have always thought dvc is confusing but you broke it down so well, you even broke down costs per point which a lot of people don’t do! Keep making magic, you killed this video :)
@@myutoob2011 well gee whiz 3 different accounts in 2 different states so no affiliation all said that the way disney writes the contract that it is considered a mortgage and is deductible. Now laws change every year so unknown if still today but 13 years ago that was the answer
@@andrewhorton2505 well that's good then, but so you're lowering your income if you have enough deductions to itemize. However only about 15% of taxpayers itemize now with the new high standard deduction. Since these loans are what 8% to 10%, and you lowered your income and saved 20%+/- of that because of the deduction you're still paying approximately 6.4%-8% net. There's that.
I love these videos but no matter how many I watch, I can't seem to justify the cost of DVC. The deluxe resorts are nice and I absolutely want to rent points for a stay, but it's not a necessity for me. I have no problem with the moderate or the value resorts (especially now that they are all being renovated). I was reading how most people sign up for DVC with the intention to be a member for the length of the contract, but most people only hold on to their contracts for less than 10 years.
Yes, I have heard that statistic as well - that the average contract is held for about 10 years. Although one thing that isn't factored into that number is the percentage of owners who sell one contract to buy at a different home resort. I have many friends who have done that. They're not getting rid of their DVC, so much as "rearranging" it. I think it's smart to acknowledge that DVC might not be quite the right fit for you. We really enjoy the value and moderate resorts but I must admit that it's easy to get spoiled once you have the easy access to the parks that most of the DVC resorts give you. Thank you so much for watching! Best wishes!
What questions do you have about the cost of DVC? Ask us here! Check out more info about DVC here 👉ua-cam.com/play/PL1oGx7aOVSWonZw9QaL-JIFJt3BF6Voc0.html
@@djhood871, great question! Yes, they can be combined. We have a video coming out tomorrow comparing direct vs. resale. You may want to check that one out! 👍
Can resale points be used in conjunction with my points i already have,in other words if I buy resale for animal kingdom lodge will I be able to book at 11 months out along with my current points?
Great video. Thank you. We considered it bit It's too expensive for my family, however as a luxury purchase it's a good value. We stayed at "DVC Key West" years ago for a week. The experience in staying on the property along with the perks and in that high level of service & hospitality made it a great vacation.
I agree that it's definitely more of a luxury purchase and that doesn't fit in everyone's budget. We haven't yet stayed at the "Original" DVC resort - Old Key West. I've heard great things about it. I know we'll get there one day! Thank you for watching.
Enjoyed the video. You explained issues, ie extra traveling experiences, increase maintenance costs, that Disney sale representatives do not talk about or very casually. We been members for 10 years now, and enjoy the deluxe villas very much. You are correct in talking about add-on-itis. We have not since this is a luxury after all. But two things in your video are worth mentioning in my opinion. 1. After you calculated the true per point cost, I would add on at least another $2 pp, to cover the true cost of maintenance fees over 40+ years of increases. Yes, I agree with your math and 40+ years of maintenance is impossible to calculated now but it will increase. 2. Another hidden increase in cost is Disney may just increase the number of points needed to stay at certain resorts at certain times of the year. This just happened about 2 or 3 years ago. My wife and I like old key west resort, for a 1 bedroom in October or January was 157 points, now it's like 200 and 167 respectively.
Clarification for others who read this statement about your 1 bedroom point requirement going up. Disney cannot devalue the points associated with these time shares. Disney can only move points from one season to another, but cannot increase the yearly points associated with a room category.
It’s easy to get caught up in Disney’s marketing but I think it’s also important to be realistic about the cost and pros/cons. I hope this video was helpful. 👍 Thanks for watching!
This has been beyond educational, I've heard a lot about it but never actually did any research on it! Will save this video for later when we are ready for that commitment! Is there better discounts/exclusives for DVC members versus annual pass holders?
Yes, there are DVC specific discounts and perks. Often the merchandise discount will be the same as the AP discount but DVC members do get access to certain events, lounges, etc. Thanks for watching!
We bought Beach Club in the secondary market in 2003 for 72 per point. Current market is around 130. However, it is difficult predict what will happen to the price as the contract gets closer to expiration. DVC is considered a "right to use" contract. It is a lease not ownership. In 2003 you could rent a point for ten dollars and the m.f. was 4. Net to the owner was 6. Now rental is around 15.5 and the m.f. is 7.5. Net to owner is 8. In twenty years the net to owner is up 30 percent. This supports the resale value. Rack rates plus tax are up alot more than that. We used the contract for nine years until our son turned 13. We absolutely loved it. Once we were at the back side of magic kingdom and we made the train then we made the boat and we were at the wilderness pool in a half hour. Rejuvenate during the middle of the day and go back at night with fast passes. We stayed at Wilderness for 6 years and then BCV for 3 years. Since then we have rented the points.
I saw a video.by someone who bought into DVC. It looked like cost per point varied by level of accommodation at each site. A studio point at a DVC was cheaper than a one bedroom at a DVC. The studio example $30,000. Not including annual maintenance fee. Like most timeshares it comes down to a commitment to the accommodation and being creative to maximize return on the investment.
Yes, there can be a lot of variation in the points cost for each resort. We do a cost comparison on a DVC studio in this video: ua-cam.com/video/zaBqjorx4DM/v-deo.html
The ONLY reason I would buy a DVC membership is to ensure priority to come to the parks and stay in accommodation of choice at times convenient to me. It is my understanding that this is not the case. My membership, regardless of the number of points I buy give me no advantage when booking. True? (In my case, I want to visit WDW twice a year, each stay would be 8 nights, in a one-bedroom park view villa in Bay Lake Tower.)
If you were to purchase a contract at Bay Lake Tower, you would have a booking advantage over other DVC owners. Each owner is allowed to book at 11 months from the check-in date at the home resort for each contract they own. So since I don't own a contract at Bay Lake Tower, I have to wait until 7 months before the check in date to be able to book any remaining rooms available there, but I can book at my home resort. We've never had any problem booking our desired rooms at our home resorts - that's kind of the point of a home resort to begin with. True, there are no GUARANTEES but the reason you buy at a particular home resort is to get booking priority there. There is also an option on newer direct purchases to buy a "Guaranteed Week" booking, which automatically books the week that you select, although I think this option was offered after Bay Lake Tower was introduced, so it may not be available there but it may be worth contacting a guide to inquire about it.
We went to Disney 6 times a year. Even knowing the basic math I was not sold until I figured out that the points retain their value. If we sell our pints we will get at least what we paid originally. That means you are staying at Disney all those years for the cost of dues and the "cost on money".
Yes, exactly! It makes it difficult to want to spend money on normal hotels because I keep thinking "But that money will be gone forever! I can't get any of it back later!" That's how DVC has ruined me! Lol! Thanks for watching!
I have been to wdw many times over the years. Just got back from Hollywood studios and visited magic kingdom and stayed two nights at carribean beach. I always come back home hating and loving Disney world. But this was the first I hated more than love it.
Oh no! I'm sorry to hear that your experience didn't live up to expectations. Our last trip was in July after they reopened, and although it was different, we still had a great trip. What was it that made this trip less satisfying for you? I've heard that crowds have become heavier recently.
@@TheMagicInTheMusic happy st Patrick’s day Great question. Disney is building more resorts and charging large buck for hotels and passes and I predict the wait times will get worse. I once was at Disney where every ride was an hour long to start and the better rides were 2 hours long and more. A 2 hour wait for a 2 minute ride. The 12-14 hour day long experience is tough even for adults my kids it was brutal. But we strategized as best as we could and it worked out. But now Disney will hurt families hoping for a good time if they don’t know what they are doing. I spent 2000 for a 2 night trip to see galaxy edge an we stayed at Caribbean beach. Not bad . I got shut out of the ride of resistance. Not acceptable in my opinion especially if you are staying at a resort. I would gladly pay extra to get on the ride or a park fast pass like universal does. The future for Disney will be a ton of money but families will get ripped off. I live in mass and can go to canobie lake park. 65 per person fee. It’s in the woods great crazy rides short wait times A section of park for under 7 year old kids where a kid can stay on without getting off and are having a load of fun. Excellent food A 4-6 hour day of fun and QUALITY time for a day I know no one from other country’s and the USA want to go to canobie lake park in NH Disney I feel is taking advantage of you and using it’s assumed reputation to charge families a ton of money for long brutal day for most families. I can go on and on.
I can certainly understand where you're coming from. The Boarding Pass situation for Rise is definitely a problem. I don't think people should get shut out of it like you did. That does feel unfair to me. Regarding the theme park experience... I agree that Disney can be exhausting for the casual fan. Since becoming DVC owners, we take a very different approach to our Disney vacations. We have as much fun now eating a Mickey bar on the beach at the Polynesian while watching MK fireworks or enjoy resort activities and amenities. We take breaks and spend a lot of time enjoying the deluxe resorts, dining, shopping, enjoying entertainment, theming, etc. We definitely go for the entire resort experience. That's not something we would get at a local theme park (we also live in a region where it's worth traveling to Florida to escape to a warmer climate). For us it's worth it but I totally understand that it's not worth it for everyone. Thanks for watching and commenting! Best wishes!
I just want to make sure I understand correctly. If you buy DVC points directly, you would pay $27K and then every year you just pay maintenance fees? And every year you get more points (per the contract), but you aren't paying $27K every year??
That's correct. The initial purchase happens only once. Then you pay only maintenance fees each year but get an annual allotment of points to use. The figure of $27,000 is just a sample. You can purchase contracts for more or less than that, depending upon the number of points purchased, resort, whether it's resale or direct, etc.
Yes, renting points is a great option! We are working on an upcoming video which shows a comparison of buying DVC, renting points and paying for a hotel room from Disney. Watch for that video for more helpful info. Thanks so much for watching!
Interesting information. I am curious how things would change if you have a larger family then the quintessential family of four that this country is built around. We experienced this when we traveled to Disney with a family of 5. Some rooms can't accommodate 5 sleeping areas in one room. The rooms that can sleep 5,6 or 7 are usually much much pricier. If you tried to book a cheaper resort you may then have to book two rooms there to fit your entire family which you would have to weigh against a more expensive room at a nicer resort that could fit your entire group in one room.
Good point. DVC tends to be popular among larger families for just that reason. A lot of the studios (I would say probably half of them) have an extra twin fold down bed, so they can accommodate five guests. The two bedroom units can sleep 8-9 and a couple of them even fit 10.
I recently sold a contract that we had for 14 years, within a few dollars of the purchase price. We had many years of great, deluxe accommodations for basically the yearly maintenance fee. I have never regretted the purchase of DVC, but I do regret selling.;)
Thank you for this comment..I was struggling with this because I just couldn't see how investing $30k with 4% interest compounded annually especially with no appreciation in value on your investment like a typical home, made any sense if all you're trying to gain is a few days a year at a hotel which you could accomplish in a hotel reward card like Hilton or IHG for less money and better rewards.
I appreciate you and Jen Lefforge a whole lot. I am considering it in a year or two, but will rent DVC points for my next trip and see...Best to try that before committing to a decades long contract!
Thank you so much for watching. I’m glad this info has been helpful to you. If you’re considering purchasing, I would suggest that you check out our video on Direct vs. Resale. You can save a lot of money with resale, which may give you more options. ua-cam.com/video/PDboQwJ424M/v-deo.html. I definitely think renting is a solid option. We have another video coming out soon with a cost analysis of DVC direct/resale/renting/paying cash to Disney for the hotel rooms.
@@TheMagicInTheMusic Yesssss that video is definitely going to have some great information for folks like me (and me!)! I definitely could afford a smaller point resale contract but not sure if the big ones are appropriate. That could be helpful for insight on as well on if small contracts are ‘worth it’ if the cost is compared to a cash trip stay!!
I believe I'll stay with my tried and true method of planning and budgeting a year in advance and pay outright for my vacation. I wouldn't want to be stuck only going to Disney the rest of my life.
Absolutely! Do what works best for you. But for those of us who WANT to travel to Disney each year in addition to other destinations (we have family in Florida, so we have a compelling reason to travel there every year, and always have done so), it’s a great fit. Thank you for watching!
Sassy conservative Bless you for reminding folks that it is possible to save for a vacation, instead of just taking out more credit. I wish I had your discipline. The older I get the more I realize keeping things simple is often the best way to go. You brought up a good point - that for most of us who aren't made of money, buying into DVC means that's the only vacation we'll be able to afford every year. I looked into it a few years ago, but realized the dues I'd be paying every month would keep me from ever being able to save up for a vacation anywhere else. That's what is probably going to stop most people who aren't rolling in money. For those of us who can only afford one vacation a year, it doesn't seem possible unless you're content to go nowhere but Disney every year.
Why is this better than just paying when you go on vacation? You aren't tide to a contract and can stay where ever you want whenever you want. No strings attached
That's a great question! We've actually got a video on that very topic coming out later this week, in which we compare the cost of paying for the hotel vs. buying DVC. The real savings in DVC are for those who travel to Disney on a regular basis
It depends on how much you value flexibility and freedom. You exchange that for cost savings and locking in a definite price. Some people for example choose an equal monthly payment for their utilities rather than a big difference monthly because it is easier to budget. Or it’s like insurance, you pay a monthly amount for the peace of mind that if a large expense happens it is covered. Maybe the best analogy is buying season tickets to a sports team. Large up front costs, little flexibility bout your save a lot per game and you can actually make money from resale with a little effort. Or a Costco membership trades upfront costs and being “locked in” for better value. There are lots of time in life when we buy in bulk for savings: magazine subscriptions, BOGO deals, etc.
We did pay $104pp, but prices have really gone up since we purchased our resale contracts and even since I published that video. Yes, prices are negotiable. On both purchases, we did a lot of back and forth until we made a deal. It also shows how much resale contracts can appreciate in a relatively short period of time.
Excellent info and I thought you got close to answering my one question. If we buy one contract direct and then buy additional contracts via resale can we then combine those points to use all together?
Yes, you can use points from direct and resale contracts together to book a reservation. It takes from one contract, then moves to another until you have enough points to complete the reservation. You may select which contract to use and in which order to use them.
We have 460 points at the Aulani in Hawaii. Love it. Kids now grown and don’t want to go with us anymore. We are looking to resell it. How do we go about this? Thanks. My best. Dan
There are numerous companies that can help you with that. Our channel is not sponsored, so I don't have any specific recommendations, but you'll find several companies with a quick google search.
Want to know why you dont think financing the contract doesn’t make sense? We finance cars. We financed and paid off in 3 years (not 10). True - you dont want to pay more than what the contract states, but you do the same for cars. Thanks for the post!
Great question. I think it really boils down to a few things 1) financing cuts into the savings of purchasing DVC. Run it through a loan calculator and you can see just how much interest you might pay. 2) the interest rates are EXTREMELY high (10-12%) vs. car financing rates are 2-3% at most right now. That's a HUGE difference. 3) a car is a necessity, a tool that you use daily vs. a timeshare being a luxury item. Everyone's situation is different and financing might make sense for you but in general, I would try to avoid it with DVC. If you do finance, I would make it as short a term as possible and the lowest rate possible. Best of luck to you! 👍
So, this has make me realize that the price difference between direct and resale isn’t as big as I thought once you factor in maintenance fees. And the difference gets smaller as the maintenance cost gets bigger. For example, if fees go up 3% per year, in 20 years fees will be 13.85/point so your current 15.4 percent savings drops to just a 10.3 percent savings. And of course you don’t get the benefits. So, what looked like a 40 percent savings becomes a 15 percent savings when current maintenance fees are included but then drops when considering the inevitable maintenance fee increases.
We actually have a newer video that shows a cost comparison between a resale and direct purchase. I think you might find it very helpful: ua-cam.com/video/zaBqjorx4DM/v-deo.html Thanks for watching!
@@TheMagicInTheMusic I will check it out. Planning on buying 125 direct at AKV and BCV and then in the future buying Polynesian on resale market. But I want to save up the 20k first purchase in cash once we are otherwise debt free. And see what this post-pandemic recovery looks like and check out some of the resorts in person.
So what happens when the contract ends? Nothing? You have to get a new contract? I hear people passing them down to kids and wonder if the contract ends when they’re owners is it just done? Thanks!
Great question! All of the DVC properties began with 50 year contract lengths and you can look online to find those expiration dates. Yes, at the end of those terms, the DVC contracts end. Some might see that as a negative but I see it as a positive because some timeshares do not expire and are passed down to others, who are then responsible for paying maintenance fees. We will be quite old when our contracts all expire, so that's a good fit for us.
We have a time share in Orlando. It has several pools and 4 golf courses. We can go there and not leave the resort. We buy our food at Publix. Coming from Chicago to Florida in the Spring, we find that our daughter is just happy to swim and hangout. We don’t have to fill every minute of the day. We do love Disney. But most people go there for the parks, and you can spend a lot more money eating at the park, which is an extra cost. That being said, we’re looking into DVC also. Disney is fun.
DVC is great for people who consistently travel to Disney World and who place a high value on being inside the "Disney bubble". If you have another timeshare that suits you, it may be worth sticking with that. On the other hand, if that escapism experience is really important to you (as it is to us), DVC is worth checking out.
Complainers will always complain. It's not for everyone. We have been members since 1992, have had 2 family reunions, 4 cruises and stayed at Deluxe Resorts each time. Also, first 8 years we got free park passes each visit. We have more than paid off our contracts and annual dues since. If we did all that out of pocket, we would still be paying it off.
I have a random question. If I bought a contract with home resort of Aulani with 150 points, then immediately bought another 150 points for say grand Californian (both direct), I would now have the ability to book at Aulani and Grand Californian 11 months in advance. My question is, if I want to book a week at Aulani, could I use all 300 points 11 months in advance? Or would I only be able to book up to 150 points worth 11 months in advance and have to wait until 7 months to spend the other 150 points on the second half of the Aulani reservation with the points from Grand Californian?
You can only use the points at their home resort at the 11 month window, so 150 at each. Once you reach 7 months or less from your check-in date, you could combine the points to book anything that’s available at any DVC resort.
We have a large family 5 kids. We need larger suites to house us. If we bought direct and then bought resale to get more points cheap but still have the direct perks is there any issues out combining direct and resale points?
Yes, you can combine direct and resale points. If your direct and resale contracts are at the same home resort, you can combine them to book at the 11 month window. If you have contracts at two different resorts, they can be combined at the 7 month window. If having direct benefits is a priority to you, I think that buying the minimum number needed for direct benefits (currently 150), then buying the rest resale is a good strategy. Thanks so much for watching!
What bothers me is you “own” until the contract expires and then you have nothing. I would have to run the numbers on a case by case basis. Plus the MX fees go up however much Disney sees fit.
That’s a good point but many owners view that as a positive because many timeshares go on forever (and so do the maintenance fees), making them difficult to sell if you want to get rid of them. I wouldn’t buy DVC if it were a financial burden for my kids to inherit.
It’s brutal! I had a pretty bad case of it until suddenly we had way more points than I had ever anticipated and couldn’t easily travel because of the pandemic. It was definitely time to stop and just enjoy the points as best we could.
I have a playlist of videos that outlines how DVC works. It can be pretty confusing, so I've created several videos detailing room types, points, etc. I hope you find this helpful. Thank you so much for watching. ua-cam.com/video/azqYudgUKqE/v-deo.html
Here's a tool that I find extremely useful in planning DVC points usage. It's the DVC points calculator from the David's DVC Rental site. If you click the view to "Display Points", you'll be able to see the points cost for various room types on different dates. dvcrequest.com/dvc-guests/cost-calculator
@Larry W It's designed to confuse you..Also. Disney converts cash to "points" then trades the points like cash. It's basically TAX evasion because they're not using "real" money in transactions...and don't need to claim them on their taxes... This gives the ability (once you buy points) for them to decrease point value over time and make a profit. .. Are WE catching on here ??
As DVC owners too, I think it's important to note that while cost differences can be significant between direct and resale, if you buy direct you can use the points for other things, like RCI resorts, Disney Cruise Line and Adventures by Disney. To us, those things made the extra cost worthwhile (and no, we didn't finance, lol).
Yes, we actually have a whole different video on Resale vs. Direct, in which we address those differences, but it sounds like you're well-aware of that already! Thank you so much for watching. 👍
What if someone has a job loss, a divorce, a disabling accident, a very sick child, etc...Many, many things can happen in life that can make paying into a DVC a nightmare!
That’s a very good point. Fortunately DVC has a thriving resale market. It’s not difficult to sell a contract. We could sell any of our contracts and walk away if we wanted to (we would even make a profit on some). This is one of the major factors that impacted our decision to become members.
We are not endorsing any resale company over another - it was simply a matter of which company had the contract that we were looking for. We've used dvcresalemarket.com and buyandselldvc.com. There are many quality companies out there. You just have to find the right contract, in the right UY at the right time. Have you checked out our video on Resale vs. Direct? You can find it here: ua-cam.com/video/PDboQwJ424M/v-deo.html. We also have a video that makes a cost comparison of DVC direct, resale, points rental and cash stays here: ua-cam.com/video/zaBqjorx4DM/v-deo.html. Thanks so much for watching!
You are so helpful. Thank you so much. Looking into buying. The only thing is that we are locals, but love staying at the resorts. Also, we are fellow Disney UA-cam Vloggers. Keep up with the great work and thank you so much for your help!
I'm so jealous! We get out to Orlando 1-2 times per year but we live quite far away, so we try to take a long trip each summer. I'm so envious that you can go often! I know there are some locals who own DVC. I think a lot of them end up using it for family/friends who are visiting.
Yes, you can use your points on Disney cruises if you purchase them directly from Disney, but this is generally not considered a good value. Most people recommend against using points for cruises. You would get a better value from renting out your points and using the proceeds to book a cruise with cash.
so if we pruchance a dbc for the grand califorian we would be able to use it at dvc proerites in Orlando or anywhere right? how would point for the grank transewf to the riveraira or old key west?
Yes, if you bought at Grand Californian, you would be able to use those points for stays at the other DVC resorts. You can book at your "home" resort 11 months before your check-in date. Then you can use your points to book at other resorts starting at 7 month from your check-in date. Anything that is still available at 7 months out can be booked with those points. If you're just starting to learn about DVC, I'd recommend watching several of the videos in our "Buying DVC" playlist here: ua-cam.com/play/PL1oGx7aOVSWpzi-Jf38ixUFmhzM03xuu-.html DVC is a big purchase and there's a lot to learn. It's important to be well-informed before buying. Best of luck to you and let us know if you have any questions.
Yes, that is an issue with most timeshares. Fortunately Disney recognized that problem and addressed it when they entered the timeshare market. They get a “Right of First Refusal”, meaning that Disney can buy any contract that is sold for too low of a price. This keeps the resale value of contracts quite high. They have a 30 year track record and this has prevented the prices from crashing. There’s a thriving resale market. In fact, we’ve bought contracts that way before. It’s actually fairly easy to resell them and a surprising amount of competition to buy them. If you search online, you’ll find many businesses solely focused around reselling these contracts.
Super helpful! I did not now too much about DVC, just that it was much cheaper back in the day haha. This answered so many of my questions, I am not good with numbers hahaha. Thanks for sharing this, can't stress enough, so helpful!
The one thing she does not mention is the price you pay now is over with meaning you paid it once and it cannot increase...Example, we purchased our 1st contract 10 years ago for $60 a point, 200 point/resale at SSR. We paid it off relatively fast. Now look at what SSR contracts are worth just resale approx. $105 a point resale...So you are saving money down the road whether it be points increasing over the years and prices of regular hotel rack rates increasing over the years too. That to me is where the saving is at. We have only stayed at SSR once and that was with my dad’s timeshare not ours... we had a Split Stay 1st week on Jan. 2021 with our 1st 5 nights at Riviera and last 3 at VGF. The cost of the studios at cash is approx $6500. The cost of our INITIAL purchase was approx $12,000...So in one vacay, 10 years after our initial purchase our last last was approx. half the cost of our initial purchase, 10 years ago. Where if I purchase SSR resale now my cost would be about $21,000 today...It’s the inflation where you see the significant savings direct or resale.
You are absolutely right! Over time the savings become even greater. In this video, I was focused on the initial cost but I could absolutely do another video about the savings over time. Great suggestion! Thanks so much for watching.
Talk about how to save money! I use my WorldMark Timeshare and RCI to save a huge amount of money. I don’t have to purchase direct or resale DVC. I can very easily every year get a 1 bedroom at OKW or SSR. I did have to be on a 2 year waitlist for Kidani at the Animal Kingdom Lodge. That was for a two bedroom! Even with that one problem. Purchasing WorldMark on the secondary market and than joining RCI will give you unbelievable savings! Kellyn Eagan
That sounds like a great option. We really enjoy having the flexibility to stay at the hard-to-get DVC properties like Bay Lake Tower, Riviera, Grand Floridian or Beach Club. It sounds like if you’re willing to stay at Old Key West or Saratoga Springs, RCI may be a good option.
Could I do something like buy 150 points directly from Disney then add another 150 from a reseller so that I get the benefits of direct buy but still a discount on some of the points? Are there any cons to doing this? If I buy a resell contract will those points just go into a “pool” with my other points or will it be viewed as a separate account?
Yes, you can own a combination of direct and resale points. We did just that for our DVC membership. The only cons to doing this would be that resale points with Riviera as the home resort can ONLY be used at Riviera Resort. Additionally, resale contracts at all other home resorts can be used at all the DVC resorts EXCEPT for Riviera and future new resorts. So, it kind of depends on which resort you're wanting to purchase. This strategy could work great for, Grand Floridian, for example. Be sure to match the use year of your contracts, and you can combine them for bookings and they will all appear in the same account online.
@@TheMagicInTheMusic we’re leaning towards the Beach Club but the Riviera is on our list of resorts that we’re considering. If we go with Beach Club do we need the resale to also be Beach Club or can we just buy the cheapest points available and use them with our Beach Club points as long as the use year matches?
Agreed. For many of us, being just steps from a theme park or having boat, monorail or Skyliner access to the parks is the difference. The locations of the DVC resorts are excellent! If those things are not important to you, it doesn’t make as much sense.
Comparing DVC rooms to the regular resort rooms is not really an accurate comparison. The closest comparison would be the studios but even they offer some amenities that the non DVC resort rooms don't have. When you get to the 1/2/3 bedroom villas you get the equivalent of an apartment with kitchen, washer and dryer, common areas to spread out in and multiple bathrooms in 2/3 bedroom units.
It's a CULT. And every DVC member is going to sell it to you. Because ultimately it's a pyramid scheme. Where members gain points for promoting - selling their product. STAY AWAY
Question - it didn't make sense why you divided by 5550 @7:58 because when you buy direct you're getting 50 years, not 37. So I think it should be 27000/(50*150)= 3.60 pp. Which is still more expensive but not quite as bad. I'd want to know what benefits id be missing out on by not buying direct. I think you mentioned the annual pass can only be bought by non Florida residents or direct Dvc members . Anything else you can think of ?
The reason that I didn’t divide by 50 years is that each resort has a specific expiration date for the contracts. For example, Riviera expires in 2070, so if I bought a contract there in 2022. I’d get 48 years of points. You only get 50 years of points if you buy a brand new resort in the first year that it goes on sale. So you have to look at the remaining years of points on a resort-specific basis. Regarding the “perks”… in the past, resale members were not able to get any special deals or eligibility for annual passes, but I know some resale-only members who recently purchased APs, so you’d mileage may vary.
This is too much drama. I'd just pay for when I need the room. And another thing I don't like is that they give you studio type rooms. So there's one bed and one wall bed. The wall bed looks uncomfortable.
There are actually several different room types with DVC - studio, 1, 2 and 3 bedroom units, and that’s a big selling point for many DVC owners - the option of having more of a suite or apartment like experience with a full kitchen and washer/dryer. Even so, it’s not the right fit for everyone. Thanks so much for watching.
I would love to see another layer of analysis on this with the maintenance fees going up certain percentage per year, but also comparing the cash price or rack rate price going up every year too
Good suggestion! For this video, my focus was definitely initial cost, but you're absolutely right that the savings grow over time. I'll add that topic to my list for future videos! Thanks!
Someone said that DVC is a hedge against inflation because you lock in your price forever, while the cash price goes up and up and up every year, and I never really thought about it that way before!
Monera Financial deals specifically in DVC financing and refinancing. They are very experienced and knowledgeable. Here's my affiliate link: tinyurl.com/bdp9cbxs
First, great information. But your direct sale cost is off a bit. You did the points based off of 37 years for 5550 points, whether it was direct or resale. When you purchase direct, it’s for 50 years, so your total points for that $27,000 would be 7500. Purchasing resale is still a bit cheaper, but not by as wide a margin as you state in your video.
Thank you for watching! When you purchase any contract, they have set expiration dates. Whether you purchase direct or resale, they ALL have the same expiration date per resort. For example - if you purchase a direct contract at Riviera (the current "new" resort), you would get 2021-2070 points. That means you would get 49 years worth of points because the 2020 points have already passed and expired. It would be the same for resale. For our Animal Kingdom example in the video, ALL of those contracts expire in 2057, so either way you buy it, it's only going to have 2057-2021=36 years left on it. I'll provide a link to the expiration years, so you can compare resort expiration dates. Purchasing direct at a newer resort does get you more years as compared to older resorts, BUT you could purchase that same resort resale and the contract would have the same expiration date. The only exception to this is that Old Key West has two different expiration dates, depending on whether they are extended contracts of not. Otherwise the rest all have the same expiration dates regardless of how they were purchased. Here's that link: www.dvcresalemarket.com/buying/dvc-deed-expirations/ Let me know if you have any other questions. Best wishes!
So you have to buy the contract initially for $27000 and then every time you book at the villas you have to pay for that trip? Like the $200/night rate. Or you only pay once in the beginning?
You only pay for the points in the beginning when you purchase them. Then you get an annual allotment of points - you can decide how many points you'd like to buy. The only continuing cost is for annual maintenance fees. I would suggest that you watch this video to get an idea of how it works: ua-cam.com/video/oN_27Ce4dwg/v-deo.html Thank you for watching!
Disney's Vacation Club is basically buying a (approximately 20%) discount pass for hotel rooms. But there are a number of years before breaking even to the benefit of that discount. However, all the points will expire and eventually the contract will expire too. Seems like a lot of wasted time crunching numbers and trying to calculate and plot over and over year after year.
We certainly get a lot more than 20% savings compared to a cash stay at a Disney resort, but the price point of each contract can vary, so it’s not worth it for everyone. It’s a great fit for us, not the case for all guests. Prospective members need to weight the cost/benefit for themselves.
@@TheMagicInTheMusic seems easier if they had a program of more you buy/rent you get points to apply to buy things / free things / future stays. I don't like manipulation of guests with things like Lighting Lane and Genie Plus, which is basically robbing time from one guest and selling it to another. (The only real way to lessen wait time is by increasing ride capacity). With this DVC, everyone gets caught up in the game of "owning" when they are not really owning anything. It is merely buying into a discount pass program which can actually be costly if you don't pay attention and must constantly watch and plan a series of moves. But hey, if that makes someone happy -- great.
Are you referring to transferring points between different contracts? Or booking different resorts? Each resort has a different points chart, so the costs vary. You can see how many points are needed for different accommodations using this tool: dvcrequest.com/dvc-guests/cost-calculator Click "display points" to show how many points are needed for stays at different resorts. I hope that helps.
Yes, you can bank points from one year into the next but not beyond. You can also borrow points from upcoming years. This is a good strategy for those who do not travel to Disney every year but instead go every other year.
Let me tell you... I have that much money to drop on this.. But by default (since I have that much money) I'm not that stupid to fall for this scam. It's a pyramid vacation scheme that takes your money and gains interest on your $ while Disney holds ALL the keys. Also..read the fine print, if people can't figure out the general rules of engagement, imagine what your signing. Here's a better plan...take the $25,000 and buy stock in something like ATandT at 7% interest.
Yes. While there are many features that make it better than other timeshares (robust resale market, ability to rent out unused points, highly sought after resorts on Disney property, etc.), at the end of the day it still is a timeshare. The only one we would ever own, actually.
Thank you for pointing that out. I see that I left those links out of the description. I've added a couple of links now in the description that you may find helpful. Thank you for watching.
Yes, it is Disney's timeshare. That's no secret and it's something that I address in almost all of our educational video about it. The point for us is that we get to stay at over a dozen deluxe resorts with our points for less money than we would have spent to stay at the moderate resorts at Disney World (because we bought some of our points on the resale market, often MUCH less!). This only makes sense for people who travel to these destinations on a regular basis, like we do. We also use DVC perks, such as member lounges, member events and discounts on food, merchandise and annual passes, which adds to the financial benefit for us. It certainly is not for everyone and I would never encourage anyone to buy it if it doesn't match their travel habits and finances. But for certain people, it's a great fit. Thank you for watching.
I'm so glad you asked that. It's not asked very often... Some DVC owners like to be able to book using the 11 month window at multiple resorts. We do this all the time. We love to do "split stays" where we switch resorts part of the way through our trip. We often book one home resort for the first half and another for the second half. Of course you can switch if there's availability when you reach 7 months until your check-in date. You'll also find that some resorts have less expensive points than others, so that's another reason that you might buy fewer points at an expensive resort but more at a less expensive resort (or resale). Another possibility is to own both "resale" and "direct" contracts, which we did. You can find more info about that in this video: ua-cam.com/video/PDboQwJ424M/v-deo.html
" Other stuff " seems to be going away, slowly. All this for a 6 day stay once a year seems off. Let's look at the numbers in a different way. $9 fee per point, over 50 years, for the 150 points. $17,000 plus the cost of the contract, $27,000. Yikes. That is alot of money to save money. FOBO in action. This may work for for some people, but going to the same place every year, not sure..
For the amount that this costs, I could go on a 4 week trip across the U.S. to 35 different amusement parks, and it would cost 1/5 of what a regular dvc membership costs. That is totally not worth it
You have to remember that DVC membership is a long-term thing. Many of us have contracts that allow for 50 years of vacations. We've definitely gotten a lot of value out of our contracts over the years, but it's not the right fit for everyone... and that's fine. Best wishes!
to get any value out of dvc points you have to live 50 years, and you have to go OFTEN at least 10 times per year to a resort. this is a great for young people but holds NO value for older people. I personally feel its a rip off.
I will add another note just so you understand exactly what kind of disney fan I am. My wife and I started going to disney world back around 1982 all the way up till I think ...around 2007 I believe. we have been there over 40 times, some years maybe twice per year. we live in Arkansas, five states away, to go to Disney World is a major undertaking. we were young then, now we are in our 60s ok? number one thing anyone needs to know is that todays disney world is a pale, horrible refection of what it was in the 80s and 90s. Thats my opinion and I have way more than earned my right to it! There is still a few things left that makes me want to go back and see it. But the cost to see 1/10th the magic I have seen is NOT very inviting. they have shut down more and more of OUR favorite rides and replaced them with garbage marvel rides and avatar and other NON disney things. I dont care that they bought em, doesnt need to be in a disney park, go build another park for that stuff and leave the old stuff alone, BUT no they dont care about the past or older people who USE to be absolute fans. They have all the excuses and reasons in the world for removing old rides and attractions, NONE of which will ever pacify me. Disney use to have pride, Disney use to be the standard by which BUSINESS was based on, now universal is better.....sad. Hell six flags is better and I cant stand six flags. There are no more Disney family involved, it has no WALT magic, its just a huge corporation fat and bloated on todays money. They have spent the pasts blood to create this NEW version. There ya go REAL honesty.
I'm sorry to hear that it's gone that way for you. I have also been visiting Disney World annually since 1982 and for me the experience has improved significantly since then. While there are certainly things I'll miss (I want Horizons back!), I also enjoy seeing the changes and innovations through the years. We appreciate your perspective and thank you for watching.
@@TheMagicInTheMusic I certainly did not mean to be a downer or be so negative on your channel, I have no negative feelings to you. Im sorry to have had my outburst but I have hated the changes and the loses of favorite rides and attractions, as you said Horizons was something to miss as well. As was the nemo submarine ride and the skyway. more recently the lose of the universe of energy, which was my very favorite ride, and also the lose of the great movie ride which was my wife's favorite ride has been the last straw for us. also before that we lost Mr toads wild ride and then snow whites ride. there have many more so called changes for the better but NOTHING that has replaced them has ever been as good and I resent it. they have destroyed the very core of pirates with that PC redhead is now a pirate captain crap. as a older and wiser lady as you are I am surprised you could embrace this roller coaster, thrill ride mentality disney has over the story telling, good moral place disney use to be. It use to be about walts dream, and his creations but everything he made is slowly being replaced with flash in the pan things of no value like avatar and marvel, while the kids for get about the real Disney characters that built that business.
Wait!! Closing costs and financing???.....For a holiday, you're not guaranteed to go when you want to go??? How ridiculous does that sound. Think about it for 2 seconds people!! Best to buy crypto currency if you have that sort of money to spend.
We definitely don't recommend financing a DVC purchase. I'm not sure what you mean regarding not guaranteed to go when you want to...we can book a DVC reservation at any time of year, for any length of stay. There's no restriction on travel dates. This is definitely a product for people who consistently travel to deluxe Disney resorts. If that's not you, then it's clearly not the right fit. Thank you for watching. 👍
DVC points rental is a great option! Here are a couple of websites where you can be matched up with an owner who wishes to rent out their points: dvcrequest.com/ & dvcrentalstore.com/ If you're interested in a cost comparison of renting points vs. DVC ownership, check out this video: ua-cam.com/video/zaBqjorx4DM/v-deo.html
Honestly, if you finance through Disney or Monera (or really any other company), the interest rates are awful - 10% and up. That's why I don't recommend financing. It can negate a lot of the savings. But it's a personal choice and some people might find it worth it. We do not.
Why is the price of a Disney vacation club the price of a new car? That’s ridiculous, a rip off, but I do wanna do it. I do not wanna pay all that money. I don’t have that kind of money. Another way disney can get their hands deep in your pockets.
Well, there’s actually quite a bit of variation in the price, depending on how many points you buy, which resort and whether you buy direct or resale, but this was meant to be an example of a typical or average contract. Also, if you buy a resale contract, you’re not even buying it from Disney at all. This is a product for people who want to consistently stay at DVC locations for less money than booking those locations as hotel rooms. It’s as simple as that.
I have done a lot of research of DVC over the years and this was the BEST explanation I have come across hands down. Great job and much thanks
Thank you so much for the kind remarks. My goal is to create value for viewers. Let me know if there are any other topics you’d like to hear about. Best wishes! 😃
Thank you for breaking this down! I have always thought dvc is confusing but you broke it down so well, you even broke down costs per point which a lot of people don’t do! Keep making magic, you killed this video :)
Thanks so much for the feedback. And thank you for watching!
IMHO If you can't afford to purchase the contract outright, without financing, you shouldn't be buying DVC. The interest expense is way too much.
Yes, the interest is very high. I agree that it’s best to avoid financing, if possible. Thank you for watching.
Yes interest is high but that interest is tax deductible. So considering that does help.
@@andrewhorton2505 the interest is not tax deductible. It's not a mortgage on your home.
@@myutoob2011 well gee whiz 3 different accounts in 2 different states so no affiliation all said that the way disney writes the contract that it is considered a mortgage and is deductible. Now laws change every year so unknown if still today but 13 years ago that was the answer
@@andrewhorton2505 well that's good then, but so you're lowering your income if you have enough deductions to itemize. However only about 15% of taxpayers itemize now with the new high standard deduction. Since these loans are what 8% to 10%, and you lowered your income and saved 20%+/- of that because of the deduction you're still paying approximately 6.4%-8% net. There's that.
I love these videos but no matter how many I watch, I can't seem to justify the cost of DVC. The deluxe resorts are nice and I absolutely want to rent points for a stay, but it's not a necessity for me. I have no problem with the moderate or the value resorts (especially now that they are all being renovated). I was reading how most people sign up for DVC with the intention to be a member for the length of the contract, but most people only hold on to their contracts for less than 10 years.
Yes, I have heard that statistic as well - that the average contract is held for about 10 years. Although one thing that isn't factored into that number is the percentage of owners who sell one contract to buy at a different home resort. I have many friends who have done that. They're not getting rid of their DVC, so much as "rearranging" it. I think it's smart to acknowledge that DVC might not be quite the right fit for you. We really enjoy the value and moderate resorts but I must admit that it's easy to get spoiled once you have the easy access to the parks that most of the DVC resorts give you. Thank you so much for watching! Best wishes!
What questions do you have about the cost of DVC? Ask us here! Check out more info about DVC here 👉ua-cam.com/play/PL1oGx7aOVSWonZw9QaL-JIFJt3BF6Voc0.html
Didn't Disney change the rules that you can no longer use points at other resorts if you purchase resale?
Can direct points and resale points be combined to be used at the same time?
@@djhood871, great question! Yes, they can be combined. We have a video coming out tomorrow comparing direct vs. resale. You may want to check that one out! 👍
@@EnchantedEars that is only if you purchase a Riviera contract. All other resale DVC contracts can still book at the 13 original DVC resorts.
Can resale points be used in conjunction with my points i already have,in other words if I buy resale for animal kingdom lodge will I be able to book at 11 months out along with my current points?
Best explanation of true cost of DVC that I have seen! Bravo!
Thanks so much!
Great video. Thank you. We considered it bit It's too expensive for my family, however as a luxury purchase it's a good value.
We stayed at "DVC Key West" years ago for a week. The experience in staying on the property along with the perks and in that high level of service & hospitality made it a great vacation.
I agree that it's definitely more of a luxury purchase and that doesn't fit in everyone's budget. We haven't yet stayed at the "Original" DVC resort - Old Key West. I've heard great things about it. I know we'll get there one day! Thank you for watching.
Enjoyed the video. You explained issues, ie extra traveling experiences, increase maintenance costs, that Disney sale representatives do not talk about or very casually.
We been members for 10 years now, and enjoy the deluxe villas very much. You are correct in talking about add-on-itis. We have not since this is a luxury after all.
But two things in your video are worth mentioning in my opinion.
1. After you calculated the true per point cost, I would add on at least another $2 pp, to cover the true cost of maintenance fees over 40+ years of increases. Yes, I agree with your math and 40+ years of maintenance is impossible to calculated now but it will increase.
2. Another hidden increase in cost is Disney may just increase the number of points needed to stay at certain resorts at certain times of the year. This just happened about 2 or 3 years ago. My wife and I like old key west resort, for a 1 bedroom in October or January was 157 points, now it's like 200 and 167 respectively.
You make some excellent points! Thanks for your input! 👍
Clarification for others who read this statement about your 1 bedroom point requirement going up. Disney cannot devalue the points associated with these time shares. Disney can only move points from one season to another, but cannot increase the yearly points associated with a room category.
Thank you for really breaking down the costs and benefits of DVC. It's something we've looked at before, but just hasn't made financial sense.
It’s easy to get caught up in Disney’s marketing but I think it’s also important to be realistic about the cost and pros/cons. I hope this video was helpful. 👍 Thanks for watching!
This has been beyond educational, I've heard a lot about it but never actually did any research on it! Will save this video for later when we are ready for that commitment! Is there better discounts/exclusives for DVC members versus annual pass holders?
Yes, there are DVC specific discounts and perks. Often the merchandise discount will be the same as the AP discount but DVC members do get access to certain events, lounges, etc. Thanks for watching!
We bought Beach Club in the secondary market in 2003 for 72 per point. Current market is around 130. However, it is difficult predict what will happen to the price as the contract gets closer to expiration. DVC is considered a "right to use" contract. It is a lease not ownership. In 2003 you could rent a point for ten dollars and the m.f. was 4. Net to the owner was 6. Now rental is around 15.5 and the m.f. is 7.5. Net to owner is 8. In twenty years the net to owner is up 30 percent. This supports the resale value. Rack rates plus tax are up alot more than that. We used the contract for nine years until our son turned 13. We absolutely loved it. Once we were at the back side of magic kingdom and we made the train then we made the boat and we were at the wilderness pool in a half hour. Rejuvenate during the middle of the day and go back at night with fast passes. We stayed at Wilderness for 6 years and then BCV for 3 years. Since then we have rented the points.
Sounds like you made it work for you. Nice!
Good stuff😀👍🏼I’m an owner . This video is what everyone considering buying in should watch.
Thanks so much for watching! 😎👍
I saw a video.by someone who bought into DVC. It looked like cost per point varied by level of accommodation at each site. A studio point at a DVC was cheaper than a one bedroom at a DVC. The studio example $30,000. Not including annual maintenance fee. Like most timeshares it comes down to a commitment to the accommodation and being creative to maximize return on the investment.
Yes, there can be a lot of variation in the points cost for each resort. We do a cost comparison on a DVC studio in this video: ua-cam.com/video/zaBqjorx4DM/v-deo.html
We purchased direct and want to add on. Thanks for such a clear and precise explanation of the two options.
Thank you so much for watching! We also have a video on resale vs. direct that might be of interest to you.
ua-cam.com/video/PDboQwJ424M/v-deo.html
The ONLY reason I would buy a DVC membership is to ensure priority to come to the parks and stay in accommodation of choice at times convenient to me. It is my understanding that this is not the case. My membership, regardless of the number of points I buy give me no advantage when booking. True? (In my case, I want to visit WDW twice a year, each stay would be 8 nights, in a one-bedroom park view villa in Bay Lake Tower.)
If you were to purchase a contract at Bay Lake Tower, you would have a booking advantage over other DVC owners. Each owner is allowed to book at 11 months from the check-in date at the home resort for each contract they own. So since I don't own a contract at Bay Lake Tower, I have to wait until 7 months before the check in date to be able to book any remaining rooms available there, but I can book at my home resort. We've never had any problem booking our desired rooms at our home resorts - that's kind of the point of a home resort to begin with. True, there are no GUARANTEES but the reason you buy at a particular home resort is to get booking priority there. There is also an option on newer direct purchases to buy a "Guaranteed Week" booking, which automatically books the week that you select, although I think this option was offered after Bay Lake Tower was introduced, so it may not be available there but it may be worth contacting a guide to inquire about it.
We went to Disney 6 times a year. Even knowing the basic math I was not sold until I figured out that the points retain their value. If we sell our pints we will get at least what we paid originally. That means you are staying at Disney all those years for the cost of dues and the "cost on money".
Yes, exactly! It makes it difficult to want to spend money on normal hotels because I keep thinking "But that money will be gone forever! I can't get any of it back later!" That's how DVC has ruined me! Lol! Thanks for watching!
I have been to wdw many times over the years. Just got back from Hollywood studios and visited magic kingdom and stayed two nights at carribean beach. I always come back home hating and loving Disney world. But this was the first I hated more than love it.
Oh no! I'm sorry to hear that your experience didn't live up to expectations. Our last trip was in July after they reopened, and although it was different, we still had a great trip. What was it that made this trip less satisfying for you? I've heard that crowds have become heavier recently.
@@TheMagicInTheMusic happy st Patrick’s day Great question. Disney is building more resorts and charging large buck for hotels and passes and I predict the wait times will get worse. I once was at Disney where every ride was an hour long to start and the better rides were 2 hours long and more. A 2 hour wait for a 2 minute ride. The 12-14 hour day long experience is tough even for adults my kids it was brutal. But we strategized as best as we could and it worked out. But now Disney will hurt families hoping for a good time if they don’t know what they are doing. I spent 2000 for a 2 night trip to see galaxy edge an we stayed at Caribbean beach. Not bad . I got shut out of the ride of resistance. Not acceptable in my opinion especially if you are staying at a resort. I would gladly pay extra to get on the ride or a park fast pass like universal does. The future for Disney will be a ton of money but families will get ripped off. I live in mass and can go to canobie lake park. 65 per person fee. It’s in the woods great crazy rides short wait times A section of park for under 7 year old kids where a kid can stay on without getting off and are having a load of fun. Excellent food A 4-6 hour day of fun and QUALITY time for a day I know no one from other country’s and the USA want to go to canobie lake park in NH Disney I feel is taking advantage of you and using it’s assumed reputation to charge families a ton of money for long brutal day for most families. I can go on and on.
I can certainly understand where you're coming from. The Boarding Pass situation for Rise is definitely a problem. I don't think people should get shut out of it like you did. That does feel unfair to me. Regarding the theme park experience... I agree that Disney can be exhausting for the casual fan. Since becoming DVC owners, we take a very different approach to our Disney vacations. We have as much fun now eating a Mickey bar on the beach at the Polynesian while watching MK fireworks or enjoy resort activities and amenities. We take breaks and spend a lot of time enjoying the deluxe resorts, dining, shopping, enjoying entertainment, theming, etc. We definitely go for the entire resort experience. That's not something we would get at a local theme park (we also live in a region where it's worth traveling to Florida to escape to a warmer climate). For us it's worth it but I totally understand that it's not worth it for everyone. Thanks for watching and commenting! Best wishes!
@@TheMagicInTheMusic hi there are a lot of things Disney does that I love. Can I ask what you have spent on the whole Disney package. About 30k.
I just want to make sure I understand correctly. If you buy DVC points directly, you would pay $27K and then every year you just pay maintenance fees? And every year you get more points (per the contract), but you aren't paying $27K every year??
That's correct. The initial purchase happens only once. Then you pay only maintenance fees each year but get an annual allotment of points to use. The figure of $27,000 is just a sample. You can purchase contracts for more or less than that, depending upon the number of points purchased, resort, whether it's resale or direct, etc.
This is great information!!! Now that my older kids want to branch out from WDW, glad renting points is an option!
Yes, renting points is a great option! We are working on an upcoming video which shows a comparison of buying DVC, renting points and paying for a hotel room from Disney. Watch for that video for more helpful info. Thanks so much for watching!
What an informative vlog. It’s pricey but I would love to be a DVC member.
It’s fun! We waited until the timing was right for our family but once we did, it was great for our family.
Interesting information. I am curious how things would change if you have a larger family then the quintessential family of four that this country is built around. We experienced this when we traveled to Disney with a family of 5. Some rooms can't accommodate 5 sleeping areas in one room. The rooms that can sleep 5,6 or 7 are usually much much pricier. If you tried to book a cheaper resort you may then have to book two rooms there to fit your entire family which you would have to weigh against a more expensive room at a nicer resort that could fit your entire group in one room.
Good point. DVC tends to be popular among larger families for just that reason. A lot of the studios (I would say probably half of them) have an extra twin fold down bed, so they can accommodate five guests. The two bedroom units can sleep 8-9 and a couple of them even fit 10.
Love your videos so informational for first time dvc buyers
I recently sold a contract that we had for 14 years, within a few dollars of the purchase price. We had many years of great, deluxe accommodations for basically the yearly maintenance fee. I have never regretted the purchase of DVC, but I do regret selling.;)
That's great to hear! I'm glad that you had a good experience. Thank you so much for watching!
Thank you for this comment..I was struggling with this because I just couldn't see how investing $30k with 4% interest compounded annually especially with no appreciation in value on your investment like a typical home, made any sense if all you're trying to gain is a few days a year at a hotel which you could accomplish in a hotel reward card like Hilton or IHG for less money and better rewards.
This video was really well done! Thank you!
Thanks so much for watching!
I appreciate you and Jen Lefforge a whole lot. I am considering it in a year or two, but will rent DVC points for my next trip and see...Best to try that before committing to a decades long contract!
Thank you so much for watching. I’m glad this info has been helpful to you. If you’re considering purchasing, I would suggest that you check out our video on Direct vs. Resale. You can save a lot of money with resale, which may give you more options. ua-cam.com/video/PDboQwJ424M/v-deo.html. I definitely think renting is a solid option. We have another video coming out soon with a cost analysis of DVC direct/resale/renting/paying cash to Disney for the hotel rooms.
@@TheMagicInTheMusic Yesssss that video is definitely going to have some great information for folks like me (and me!)! I definitely could afford a smaller point resale contract but not sure if the big ones are appropriate. That could be helpful for insight on as well on if small contracts are ‘worth it’ if the cost is compared to a cash trip stay!!
Our newest video with a cost analysis is out now: ua-cam.com/video/zaBqjorx4DM/v-deo.html
@@TheMagicInTheMusic ROCK ON, thank you so much!
I believe I'll stay with my tried and true method of planning and budgeting a year in advance and pay outright for my vacation.
I wouldn't want to be stuck only going to Disney the rest of my life.
Absolutely! Do what works best for you. But for those of us who WANT to travel to Disney each year in addition to other destinations (we have family in Florida, so we have a compelling reason to travel there every year, and always have done so), it’s a great fit. Thank you for watching!
Sassy conservative Bless you for reminding folks that it is possible to save for a vacation, instead of just taking out more credit. I wish I had your discipline. The older I get the more I realize keeping things simple is often the best way to go. You brought up a good point - that for most of us who aren't made of money, buying into DVC means that's the only vacation we'll be able to afford every year. I looked into it a few years ago, but realized the dues I'd be paying every month would keep me from ever being able to save up for a vacation anywhere else. That's what is probably going to stop most people who aren't rolling in money. For those of us who can only afford one vacation a year, it doesn't seem possible unless you're content to go nowhere but Disney every year.
Well done and very helpful. Thank you for taking the time to do this.
Thanks so much for watching!
Why is this better than just paying when you go on vacation? You aren't tide to a contract and can stay where ever you want whenever you want. No strings attached
That's a great question! We've actually got a video on that very topic coming out later this week, in which we compare the cost of paying for the hotel vs. buying DVC. The real savings in DVC are for those who travel to Disney on a regular basis
It depends on how much you value flexibility and freedom. You exchange that for cost savings and locking in a definite price. Some people for example choose an equal monthly payment for their utilities rather than a big difference monthly because it is easier to budget. Or it’s like insurance, you pay a monthly amount for the peace of mind that if a large expense happens it is covered.
Maybe the best analogy is buying season tickets to a sports team. Large up front costs, little flexibility bout your save a lot per game and you can actually make money from resale with a little effort.
Or a Costco membership trades upfront costs and being “locked in” for better value. There are lots of time in life when we buy in bulk for savings: magazine subscriptions, BOGO deals, etc.
$104 per point? That’s awesome. I don’t see anything like that on DVC Resale. Are the listed prices negotiable or were you lucky on timing?
We did pay $104pp, but prices have really gone up since we purchased our resale contracts and even since I published that video. Yes, prices are negotiable. On both purchases, we did a lot of back and forth until we made a deal. It also shows how much resale contracts can appreciate in a relatively short period of time.
Excellent info and I thought you got close to answering my one question. If we buy one contract direct and then buy additional contracts via resale can we then combine those points to use all together?
Yes, you can use points from direct and resale contracts together to book a reservation. It takes from one contract, then moves to another until you have enough points to complete the reservation. You may select which contract to use and in which order to use them.
We have 460 points at the Aulani in Hawaii. Love it. Kids now grown and don’t want to go with us anymore. We are looking to resell it. How do we go about this? Thanks. My best. Dan
There are numerous companies that can help you with that. Our channel is not sponsored, so I don't have any specific recommendations, but you'll find several companies with a quick google search.
Want to know why you dont think financing the contract doesn’t make sense? We finance cars. We financed and paid off in 3 years (not 10). True - you dont want to pay more than what the contract states, but you do the same for cars. Thanks for the post!
Great question. I think it really boils down to a few things 1) financing cuts into the savings of purchasing DVC. Run it through a loan calculator and you can see just how much interest you might pay. 2) the interest rates are EXTREMELY high (10-12%) vs. car financing rates are 2-3% at most right now. That's a HUGE difference. 3) a car is a necessity, a tool that you use daily vs. a timeshare being a luxury item. Everyone's situation is different and financing might make sense for you but in general, I would try to avoid it with DVC. If you do finance, I would make it as short a term as possible and the lowest rate possible. Best of luck to you! 👍
@@TheMagicInTheMusic True! Thanks
So, this has make me realize that the price difference between direct and resale isn’t as big as I thought once you factor in maintenance fees. And the difference gets smaller as the maintenance cost gets bigger.
For example, if fees go up 3% per year, in 20 years fees will be 13.85/point so your current 15.4 percent savings drops to just a 10.3 percent savings.
And of course you don’t get the benefits.
So, what looked like a 40 percent savings becomes a 15 percent savings when current maintenance fees are included but then drops when considering the inevitable maintenance fee increases.
We actually have a newer video that shows a cost comparison between a resale and direct purchase. I think you might find it very helpful: ua-cam.com/video/zaBqjorx4DM/v-deo.html
Thanks for watching!
@@TheMagicInTheMusic I will check it out. Planning on buying 125 direct at AKV and BCV and then in the future buying Polynesian on resale market. But I want to save up the 20k first purchase in cash once we are otherwise debt free. And see what this post-pandemic recovery looks like and check out some of the resorts in person.
So what happens when the contract ends? Nothing? You have to get a new contract? I hear people passing them down to kids and wonder if the contract ends when they’re owners is it just done? Thanks!
Great question! All of the DVC properties began with 50 year contract lengths and you can look online to find those expiration dates. Yes, at the end of those terms, the DVC contracts end. Some might see that as a negative but I see it as a positive because some timeshares do not expire and are passed down to others, who are then responsible for paying maintenance fees. We will be quite old when our contracts all expire, so that's a good fit for us.
Great information about the total cost.
Thanks! Glad it was helpful.
We have a time share in Orlando. It has several pools and 4 golf courses. We can go there and not leave the resort. We buy our food at Publix. Coming from Chicago to Florida in the Spring, we find that our daughter is just happy to swim and hangout. We don’t have to fill every minute of the day. We do love Disney. But most people go there for the parks, and you can spend a lot more money eating at the park, which is an extra cost. That being said, we’re looking into DVC also. Disney is fun.
DVC is great for people who consistently travel to Disney World and who place a high value on being inside the "Disney bubble". If you have another timeshare that suits you, it may be worth sticking with that. On the other hand, if that escapism experience is really important to you (as it is to us), DVC is worth checking out.
by my math the maintenance fees for 150 points appreciating 3% every year for 50 years would end up at about $120,000. does that seem correct?
This was extremely helpful. I've been looking it to it for the future but it was always confusing
I’m so glad to help. Thanks so much for watching! 😎👍
My father got it back in 1992 I believe at old key west . Not sure much about dvc trying to learn more about it
Yes! Old Key West was the original DVC resort. Anyone who bought back then got an absolutely amazing deal!
Complainers will always complain. It's not for everyone. We have been members since 1992, have had 2 family reunions, 4 cruises and stayed at Deluxe Resorts each time. Also, first 8 years we got free park passes each visit. We have more than paid off our contracts and annual dues since. If we did all that out of pocket, we would still be paying it off.
That’s great! I’ve heard about the free park passes. That sounds like it was an amazing deal!
REALLY good video. Thank you!
Thanks so much for watching! We have tons of DVC videos on our channel, if you’re looking for more info. Best wishes!
I have a random question. If I bought a contract with home resort of Aulani with 150 points, then immediately bought another 150 points for say grand Californian (both direct), I would now have the ability to book at Aulani and Grand Californian 11 months in advance. My question is, if I want to book a week at Aulani, could I use all 300 points 11 months in advance? Or would I only be able to book up to 150 points worth 11 months in advance and have to wait until 7 months to spend the other 150 points on the second half of the Aulani reservation with the points from Grand Californian?
You can only use the points at their home resort at the 11 month window, so 150 at each. Once you reach 7 months or less from your check-in date, you could combine the points to book anything that’s available at any DVC resort.
So good. Thank you for the amazing information!
I’m very glad to help!
We have a large family 5 kids. We need larger suites to house us. If we bought direct and then bought resale to get more points cheap but still have the direct perks is there any issues out combining direct and resale points?
Yes, you can combine direct and resale points. If your direct and resale contracts are at the same home resort, you can combine them to book at the 11 month window. If you have contracts at two different resorts, they can be combined at the 7 month window. If having direct benefits is a priority to you, I think that buying the minimum number needed for direct benefits (currently 150), then buying the rest resale is a good strategy. Thanks so much for watching!
What bothers me is you “own” until the contract expires and then you have nothing. I would have to run the numbers on a case by case basis. Plus the MX fees go up however much Disney sees fit.
That’s a good point but many owners view that as a positive because many timeshares go on forever (and so do the maintenance fees), making them difficult to sell if you want to get rid of them. I wouldn’t buy DVC if it were a financial burden for my kids to inherit.
Thanks for the video. It helped a lot in my research
Glad to help! Let me know if you have any other questions. We also have videos on our channel to address a lot of them!
Great video! I'm stuck in addonitis land right now. I can't make up my mind.
It’s brutal! I had a pretty bad case of it until suddenly we had way more points than I had ever anticipated and couldn’t easily travel because of the pandemic. It was definitely time to stop and just enjoy the points as best we could.
Great analysis, thank you :)
Thanks so much for watching! 👍
I don't understand how do you use the points? Is it like 10 points per night or??? You mentioned 75 points. How many nights does that get you?
I have a playlist of videos that outlines how DVC works. It can be pretty confusing, so I've created several videos detailing room types, points, etc. I hope you find this helpful. Thank you so much for watching. ua-cam.com/video/azqYudgUKqE/v-deo.html
Here's a tool that I find extremely useful in planning DVC points usage. It's the DVC points calculator from the David's DVC Rental site. If you click the view to "Display Points", you'll be able to see the points cost for various room types on different dates. dvcrequest.com/dvc-guests/cost-calculator
@Larry W It's designed to confuse you..Also. Disney converts cash to "points" then trades the points like cash. It's basically TAX evasion because they're not using "real" money in transactions...and don't need to claim them on their taxes... This gives the ability (once you buy points) for them to decrease point value over time and make a profit. .. Are WE catching on here ??
As DVC owners too, I think it's important to note that while cost differences can be significant between direct and resale, if you buy direct you can use the points for other things, like RCI resorts, Disney Cruise Line and Adventures by Disney. To us, those things made the extra cost worthwhile (and no, we didn't finance, lol).
Yes, we actually have a whole different video on Resale vs. Direct, in which we address those differences, but it sounds like you're well-aware of that already! Thank you so much for watching. 👍
@@TheMagicInTheMusic OK, hadn't looked through your channel. This one randomly popped up as they do here. Great info, though!
What if someone has a job loss, a divorce, a disabling accident, a very sick child, etc...Many, many things can happen in life that can make paying into a DVC a nightmare!
That’s a very good point. Fortunately DVC has a thriving resale market. It’s not difficult to sell a contract. We could sell any of our contracts and walk away if we wanted to (we would even make a profit on some). This is one of the major factors that impacted our decision to become members.
Hi! Great video. Which resale company did you purchase yours from?
We are not endorsing any resale company over another - it was simply a matter of which company had the contract that we were looking for. We've used dvcresalemarket.com and buyandselldvc.com. There are many quality companies out there. You just have to find the right contract, in the right UY at the right time. Have you checked out our video on Resale vs. Direct? You can find it here: ua-cam.com/video/PDboQwJ424M/v-deo.html. We also have a video that makes a cost comparison of DVC direct, resale, points rental and cash stays here: ua-cam.com/video/zaBqjorx4DM/v-deo.html. Thanks so much for watching!
You are so helpful. Thank you so much. Looking into buying. The only thing is that we are locals, but love staying at the resorts. Also, we are fellow Disney UA-cam Vloggers. Keep up with the great work and thank you so much for your help!
I'm so jealous! We get out to Orlando 1-2 times per year but we live quite far away, so we try to take a long trip each summer. I'm so envious that you can go often! I know there are some locals who own DVC. I think a lot of them end up using it for family/friends who are visiting.
The yearly maintenance fees is what would kill me
Yeah. They do add up! Thanks for watching.
Can you use your points on the Disney Cruise Line? If so how many points for a 7 day cruise with a balcony for 2?
Yes, you can use your points on Disney cruises if you purchase them directly from Disney, but this is generally not considered a good value. Most people recommend against using points for cruises. You would get a better value from renting out your points and using the proceeds to book a cruise with cash.
so if we pruchance a dbc for the grand califorian we would be able to use it at dvc proerites in Orlando or anywhere right? how would point for the grank transewf to the riveraira or old key west?
Yes, if you bought at Grand Californian, you would be able to use those points for stays at the other DVC resorts. You can book at your "home" resort 11 months before your check-in date. Then you can use your points to book at other resorts starting at 7 month from your check-in date. Anything that is still available at 7 months out can be booked with those points. If you're just starting to learn about DVC, I'd recommend watching several of the videos in our "Buying DVC" playlist here: ua-cam.com/play/PL1oGx7aOVSWpzi-Jf38ixUFmhzM03xuu-.html DVC is a big purchase and there's a lot to learn. It's important to be well-informed before buying. Best of luck to you and let us know if you have any questions.
One of the problems with a timeshare is that unless you can sell your membership, only death will get you out of the contract.
Yes, that is an issue with most timeshares. Fortunately Disney recognized that problem and addressed it when they entered the timeshare market. They get a “Right of First Refusal”, meaning that Disney can buy any contract that is sold for too low of a price. This keeps the resale value of contracts quite high. They have a 30 year track record and this has prevented the prices from crashing. There’s a thriving resale market. In fact, we’ve bought contracts that way before. It’s actually fairly easy to resell them and a surprising amount of competition to buy them. If you search online, you’ll find many businesses solely focused around reselling these contracts.
I know what DVC is it's a timeshare
Yes, it is. We have an overview video on our channel that explains that. Thank you for watching.
Super helpful! I did not now too much about DVC, just that it was much cheaper back in the day haha. This answered so many of my questions, I am not good with numbers hahaha. Thanks for sharing this, can't stress enough, so helpful!
You're absolutely right that it used to be much less expensive. I think a lot of people wish they had bought it earlier. Thanks for watching!
The one thing she does not mention is the price you pay now is over with meaning you paid it once and it cannot increase...Example, we purchased our 1st contract 10 years ago for $60 a point, 200 point/resale at SSR. We paid it off relatively fast. Now look at what SSR contracts are worth just resale approx. $105 a point resale...So you are saving money down the road whether it be points increasing over the years and prices of regular hotel rack rates increasing over the years too. That to me is where the saving is at. We have only stayed at SSR once and that was with my dad’s timeshare not ours... we had a Split Stay 1st week on Jan. 2021 with our 1st 5 nights at Riviera and last 3 at VGF. The cost of the studios at cash is approx $6500. The cost of our INITIAL purchase was approx $12,000...So in one vacay, 10 years after our initial purchase our last last was approx. half the cost of our initial purchase, 10 years ago. Where if I purchase SSR resale now my cost would be about $21,000 today...It’s the inflation where you see the significant savings direct or resale.
You are absolutely right! Over time the savings become even greater. In this video, I was focused on the initial cost but I could absolutely do another video about the savings over time. Great suggestion! Thanks so much for watching.
Talk about how to save money! I use my WorldMark Timeshare and RCI to save a huge amount of money. I don’t have to purchase direct or resale DVC. I can very easily every year get a 1 bedroom at OKW or SSR. I did have to be on a 2 year waitlist for Kidani at the Animal Kingdom Lodge. That was for a two bedroom! Even with that one problem. Purchasing WorldMark on the secondary market and than joining RCI will give you unbelievable savings!
Kellyn Eagan
That sounds like a great option. We really enjoy having the flexibility to stay at the hard-to-get DVC properties like Bay Lake Tower, Riviera, Grand Floridian or Beach Club. It sounds like if you’re willing to stay at Old Key West or Saratoga Springs, RCI may be a good option.
Move to Orlando and get an Annual Pass?
Could I do something like buy 150 points directly from Disney then add another 150 from a reseller so that I get the benefits of direct buy but still a discount on some of the points?
Are there any cons to doing this? If I buy a resell contract will those points just go into a “pool” with my other points or will it be viewed as a separate account?
Yes, you can own a combination of direct and resale points. We did just that for our DVC membership. The only cons to doing this would be that resale points with Riviera as the home resort can ONLY be used at Riviera Resort. Additionally, resale contracts at all other home resorts can be used at all the DVC resorts EXCEPT for Riviera and future new resorts. So, it kind of depends on which resort you're wanting to purchase. This strategy could work great for, Grand Floridian, for example. Be sure to match the use year of your contracts, and you can combine them for bookings and they will all appear in the same account online.
@@TheMagicInTheMusic we’re leaning towards the Beach Club but the Riviera is on our list of resorts that we’re considering. If we go with Beach Club do we need the resale to also be Beach Club or can we just buy the cheapest points available and use them with our Beach Club points as long as the use year matches?
good breakdown. I almost bought into DVC 5 years ago and I'm glad I didn't.
Glad you made the right decision for your situation. We’re glad we bought, but it’s definitely not the right fit for everyone.
Expensive and at the end of the day they’re still just hotel rooms. You really have to be infatuated with Disney to pull the trigger on one.
Agreed. For many of us, being just steps from a theme park or having boat, monorail or Skyliner access to the parks is the difference. The locations of the DVC resorts are excellent! If those things are not important to you, it doesn’t make as much sense.
Comparing DVC rooms to the regular resort rooms is not really an accurate comparison. The closest comparison would be the studios but even they offer some amenities that the non DVC resort rooms don't have. When you get to the 1/2/3 bedroom villas you get the equivalent of an apartment with kitchen, washer and dryer, common areas to spread out in and multiple bathrooms in 2/3 bedroom units.
@@gregorybogardo1847, agreed. The studios are similar but the larger units are VERY different.
It's a CULT. And every DVC member is going to sell it to you. Because ultimately it's a pyramid scheme. Where members gain points for promoting - selling their product. STAY AWAY
@@dcb1138That is incorrect. DVC members do not benefit from others joining. Please see my other response.
Well done video... However, you missed the largest factor for deciding on where to buy...
WE LIKED THE PLACE...lol
Well, that sounds like a WHOLE DIFFERENT VIDEO, right? 😉 Thanks for watching! (Adds “How to choose a DVC Home Resort” to production schedule).
Question - it didn't make sense why you divided by 5550 @7:58 because when you buy direct you're getting 50 years, not 37. So I think it should be 27000/(50*150)= 3.60 pp. Which is still more expensive but not quite as bad. I'd want to know what benefits id be missing out on by not buying direct. I think you mentioned the annual pass can only be bought by non Florida residents or direct Dvc members . Anything else you can think of ?
The reason that I didn’t divide by 50 years is that each resort has a specific expiration date for the contracts. For example, Riviera expires in 2070, so if I bought a contract there in 2022. I’d get 48 years of points. You only get 50 years of points if you buy a brand new resort in the first year that it goes on sale. So you have to look at the remaining years of points on a resort-specific basis.
Regarding the “perks”… in the past, resale members were not able to get any special deals or eligibility for annual passes, but I know some resale-only members who recently purchased APs, so you’d mileage may vary.
@@TheMagicInTheMusic OHHHHH wow that is a huge difference!! 🤗 ty.
This is too much drama. I'd just pay for when I need the room. And another thing I don't like is that they give you studio type rooms. So there's one bed and one wall bed. The wall bed looks uncomfortable.
There are actually several different room types with DVC - studio, 1, 2 and 3 bedroom units, and that’s a big selling point for many DVC owners - the option of having more of a suite or apartment like experience with a full kitchen and washer/dryer. Even so, it’s not the right fit for everyone. Thanks so much for watching.
I would love to see another layer of analysis on this with the maintenance fees going up certain percentage per year, but also comparing the cash price or rack rate price going up every year too
Good suggestion! For this video, my focus was definitely initial cost, but you're absolutely right that the savings grow over time. I'll add that topic to my list for future videos! Thanks!
Someone said that DVC is a hedge against inflation because you lock in your price forever, while the cash price goes up and up and up every year, and I never really thought about it that way before!
@@geofferypmeyers yes, that certainly is one way of looking at it... IF you know you’ll continue to travel to DVC resort locations in the future.
We are actually working on a great video with some info graphics on this that is really going to hammer home how much you can save!!
Here's the new video with the cost analysis: ua-cam.com/video/zaBqjorx4DM/v-deo.html
Glad you mentioned renting. We did that before we bought to try it out. We've also rented when we ran out of points! LOL!
Hey, I know you know all about the true cost of DVC! Lol! Thanks so much for watching today! 😃
what financing company do you recommend (if you have to finance)?
Monera Financial deals specifically in DVC financing and refinancing. They are very experienced and knowledgeable. Here's my affiliate link: tinyurl.com/bdp9cbxs
I'm hoping with the good amount of points I got on resale recently that I don't get add-on-itis... it was quite an ordeal just to get those!
I think you’ll have so much fun with your new contract! I can’t wait until you get to take your “welcome home” trip!
Yeah I heard in detail it did not sound fun! But enjoying the points will be fun!!!
Can you help me understand how to know what amount of points to purchase?
Absolutely! Check out this video: ua-cam.com/video/dY7cq8geZKA/v-deo.html
First, great information. But your direct sale cost is off a bit. You did the points based off of 37 years for 5550 points, whether it was direct or resale. When you purchase direct, it’s for 50 years, so your total points for that $27,000 would be 7500. Purchasing resale is still a bit cheaper, but not by as wide a margin as you state in your video.
Thank you for watching! When you purchase any contract, they have set expiration dates. Whether you purchase direct or resale, they ALL have the same expiration date per resort. For example - if you purchase a direct contract at Riviera (the current "new" resort), you would get 2021-2070 points. That means you would get 49 years worth of points because the 2020 points have already passed and expired. It would be the same for resale. For our Animal Kingdom example in the video, ALL of those contracts expire in 2057, so either way you buy it, it's only going to have 2057-2021=36 years left on it. I'll provide a link to the expiration years, so you can compare resort expiration dates. Purchasing direct at a newer resort does get you more years as compared to older resorts, BUT you could purchase that same resort resale and the contract would have the same expiration date. The only exception to this is that Old Key West has two different expiration dates, depending on whether they are extended contracts of not. Otherwise the rest all have the same expiration dates regardless of how they were purchased. Here's that link: www.dvcresalemarket.com/buying/dvc-deed-expirations/ Let me know if you have any other questions. Best wishes!
So you have to buy the contract initially for $27000 and then every time you book at the villas you have to pay for that trip? Like the $200/night rate. Or you only pay once in the beginning?
You only pay for the points in the beginning when you purchase them. Then you get an annual allotment of points - you can decide how many points you'd like to buy. The only continuing cost is for annual maintenance fees. I would suggest that you watch this video to get an idea of how it works: ua-cam.com/video/oN_27Ce4dwg/v-deo.html Thank you for watching!
Disney's Vacation Club is basically buying a (approximately 20%) discount pass for hotel rooms. But there are a number of years before breaking even to the benefit of that discount. However, all the points will expire and eventually the contract will expire too. Seems like a lot of wasted time crunching numbers and trying to calculate and plot over and over year after year.
We certainly get a lot more than 20% savings compared to a cash stay at a Disney resort, but the price point of each contract can vary, so it’s not worth it for everyone. It’s a great fit for us, not the case for all guests. Prospective members need to weight the cost/benefit for themselves.
@@TheMagicInTheMusic seems easier if they had a program of more you buy/rent you get points to apply to buy things / free things / future stays. I don't like manipulation of guests with things like Lighting Lane and Genie Plus, which is basically robbing time from one guest and selling it to another. (The only real way to lessen wait time is by increasing ride capacity). With this DVC, everyone gets caught up in the game of "owning" when they are not really owning anything. It is merely buying into a discount pass program which can actually be costly if you don't pay attention and must constantly watch and plan a series of moves. But hey, if that makes someone happy -- great.
Do you have to pay for this every year? Or just one time?
The initial purchase happens just once. Then you pay only maintenance fees annually.
Great information!!!
Thanks so much for watching! 😄
Lots more than you expect
That's certainly true! I just want buyers to be well-informed before making a decision. Thank you for watching.
Is point’s transferring 1-1 fro the point number or value/ cost of points?
Are you referring to transferring points between different contracts? Or booking different resorts? Each resort has a different points chart, so the costs vary. You can see how many points are needed for different accommodations using this tool: dvcrequest.com/dvc-guests/cost-calculator Click "display points" to show how many points are needed for stays at different resorts. I hope that helps.
@@TheMagicInTheMusic useing points for other resorts then the one you own.
Fantastic breakdown of the true costs!
Thanks so much for watching! 👍
Can points roll over year to year?
Yes, you can bank points from one year into the next but not beyond. You can also borrow points from upcoming years. This is a good strategy for those who do not travel to Disney every year but instead go every other year.
26 grand non financed? I’m going to say most nearly all don’t have that kind money lying around to plunk down on a vacation package.
Agreed. It is a lot. We actually started with a much smaller (less expensive) contract than that.
Let me tell you... I have that much money to drop on this.. But by default (since I have that much money) I'm not that stupid to fall for this scam. It's a pyramid vacation scheme that takes your money and gains interest on your $ while Disney holds ALL the keys. Also..read the fine print, if people can't figure out the general rules of engagement, imagine what your signing. Here's a better plan...take the $25,000 and buy stock in something like ATandT at 7% interest.
So it is a time share?
Yes. While there are many features that make it better than other timeshares (robust resale market, ability to rent out unused points, highly sought after resorts on Disney property, etc.), at the end of the day it still is a timeshare. The only one we would ever own, actually.
It is really shocking to see the real cost comparison! Rack rates are ridiculous!!!
Yes! Even with room discounts (which are sometimes up to 30% off), you’d still be looking at over $460 per night!
i dont see anything about renting the points?
Thank you for pointing that out. I see that I left those links out of the description. I've added a couple of links now in the description that you may find helpful. Thank you for watching.
It is there now
it's basically disney selling time shares . but what's the point? save the money now and just go to the hotel you need when you need it.
Yes, it is Disney's timeshare. That's no secret and it's something that I address in almost all of our educational video about it. The point for us is that we get to stay at over a dozen deluxe resorts with our points for less money than we would have spent to stay at the moderate resorts at Disney World (because we bought some of our points on the resale market, often MUCH less!). This only makes sense for people who travel to these destinations on a regular basis, like we do. We also use DVC perks, such as member lounges, member events and discounts on food, merchandise and annual passes, which adds to the financial benefit for us. It certainly is not for everyone and I would never encourage anyone to buy it if it doesn't match their travel habits and finances. But for certain people, it's a great fit. Thank you for watching.
Great job, thank you!
Thanks so much for watching! 😄
Why do people have more than one contract?
I'm so glad you asked that. It's not asked very often... Some DVC owners like to be able to book using the 11 month window at multiple resorts. We do this all the time. We love to do "split stays" where we switch resorts part of the way through our trip. We often book one home resort for the first half and another for the second half. Of course you can switch if there's availability when you reach 7 months until your check-in date. You'll also find that some resorts have less expensive points than others, so that's another reason that you might buy fewer points at an expensive resort but more at a less expensive resort (or resale). Another possibility is to own both "resale" and "direct" contracts, which we did. You can find more info about that in this video: ua-cam.com/video/PDboQwJ424M/v-deo.html
50 grand without financing? Who in middle America can do that without financing?
" Other stuff " seems to be going away, slowly. All this for a 6 day stay once a year seems off. Let's look at the numbers in a different way. $9 fee per point, over 50 years, for the 150 points. $17,000 plus the cost of the contract, $27,000. Yikes. That is alot of money to save money. FOBO in action. This may work for for some people, but going to the same place every year, not sure..
The value for each consumer is going to be different and for many people, it's not a good fit. Thank you for watching!
For the amount that this costs, I could go on a 4 week trip across the U.S. to 35 different amusement parks, and it would cost 1/5 of what a regular dvc membership costs. That is totally not worth it
You have to remember that DVC membership is a long-term thing. Many of us have contracts that allow for 50 years of vacations. We've definitely gotten a lot of value out of our contracts over the years, but it's not the right fit for everyone... and that's fine. Best wishes!
Great video!
Thanks for watching!
to get any value out of dvc points you have to live 50 years, and you have to go OFTEN at least 10 times per year to a resort. this is a great for young people but holds NO value for older people. I personally feel its a rip off.
I will add another note just so you understand exactly what kind of disney fan I am. My wife and I started going to disney world back around 1982 all the way up till I think ...around 2007 I believe. we have been there over 40 times, some years maybe twice per year. we live in Arkansas, five states away, to go to Disney World is a major undertaking. we were young then, now we are in our 60s ok? number one thing anyone needs to know is that todays disney world is a pale, horrible refection of what it was in the 80s and 90s. Thats my opinion and I have way more than earned my right to it! There is still a few things left that makes me want to go back and see it. But the cost to see 1/10th the magic I have seen is NOT very inviting. they have shut down more and more of OUR favorite rides and replaced them with garbage marvel rides and avatar and other NON disney things. I dont care that they bought em, doesnt need to be in a disney park, go build another park for that stuff and leave the old stuff alone, BUT no they dont care about the past or older people who USE to be absolute fans. They have all the excuses and reasons in the world for removing old rides and attractions, NONE of which will ever pacify me. Disney use to have pride, Disney use to be the standard by which BUSINESS was based on, now universal is better.....sad. Hell six flags is better and I cant stand six flags. There are no more Disney family involved, it has no WALT magic, its just a huge corporation fat and bloated on todays money. They have spent the pasts blood to create this NEW version. There ya go REAL honesty.
I'm sorry to hear that it's gone that way for you. I have also been visiting Disney World annually since 1982 and for me the experience has improved significantly since then. While there are certainly things I'll miss (I want Horizons back!), I also enjoy seeing the changes and innovations through the years. We appreciate your perspective and thank you for watching.
@@TheMagicInTheMusic I certainly did not mean to be a downer or be so negative on your channel, I have no negative feelings to you. Im sorry to have had my outburst but I have hated the changes and the loses of favorite rides and attractions, as you said Horizons was something to miss as well. As was the nemo submarine ride and the skyway. more recently the lose of the universe of energy, which was my very favorite ride, and also the lose of the great movie ride which was my wife's favorite ride has been the last straw for us. also before that we lost Mr toads wild ride and then snow whites ride. there have many more so called changes for the better but NOTHING that has replaced them has ever been as good and I resent it. they have destroyed the very core of pirates with that PC redhead is now a pirate captain crap. as a older and wiser lady as you are I am surprised you could embrace this roller coaster, thrill ride mentality disney has over the story telling, good moral place disney use to be. It use to be about walts dream, and his creations but everything he made is slowly being replaced with flash in the pan things of no value like avatar and marvel, while the kids for get about the real Disney characters that built that business.
Wait!! Closing costs and financing???.....For a holiday, you're not guaranteed to go when you want to go??? How ridiculous does that sound. Think about it for 2 seconds people!! Best to buy crypto currency if you have that sort of money to spend.
We definitely don't recommend financing a DVC purchase. I'm not sure what you mean regarding not guaranteed to go when you want to...we can book a DVC reservation at any time of year, for any length of stay. There's no restriction on travel dates. This is definitely a product for people who consistently travel to deluxe Disney resorts. If that's not you, then it's clearly not the right fit. Thank you for watching. 👍
what about assessment fees every month
Great question. The dues for DVC are assessed annually - no monthly dues are charged.
How can you rent points
DVC points rental is a great option! Here are a couple of websites where you can be matched up with an owner who wishes to rent out their points: dvcrequest.com/ & dvcrentalstore.com/ If you're interested in a cost comparison of renting points vs. DVC ownership, check out this video: ua-cam.com/video/zaBqjorx4DM/v-deo.html
It’s not worth it anymore Disney has lost exclusivity, special feeling. It has become no better then a Hilton and yes I’m a DVC member from day 1.
What interest rate do they charge?
Honestly, if you finance through Disney or Monera (or really any other company), the interest rates are awful - 10% and up. That's why I don't recommend financing. It can negate a lot of the savings. But it's a personal choice and some people might find it worth it. We do not.
Why is the price of a Disney vacation club the price of a new car? That’s ridiculous, a rip off, but I do wanna do it. I do not wanna pay all that money. I don’t have that kind of money. Another way disney can get their hands deep in your pockets.
Well, there’s actually quite a bit of variation in the price, depending on how many points you buy, which resort and whether you buy direct or resale, but this was meant to be an example of a typical or average contract. Also, if you buy a resale contract, you’re not even buying it from Disney at all. This is a product for people who want to consistently stay at DVC locations for less money than booking those locations as hotel rooms. It’s as simple as that.
Thanks.
Thank you so much for watching.