Disney Vacation Club

[mindy0509]

My husband and I are really thinking about becoming members? If there are any members out there do you think it is worth the investment? We have been averaging atleast one trip to WDW a year.

[jcodirewolf]

The math depends on a lot of factors. My wife and I are members.

Several things to think about. While the guides talk up being able to exchange your points for stays at non-DVC Disney resorts, and non-disney resorts, the exchange rate is normally pretty bad. I just worked out a 5 day stay at CR for someone on RDAP who asked, if they got the points for the stay at this years rate (~$4.50/pt MF, + $1.50/pt Buy) [that is this years maintenance fee + 1/50th the point purchase price) it works out to something like $270/night, the rack rate (the highest rate that the hotel can charge) was like $260. So don't buy the points thinking you are going to vacation in Colorado on them at a discount.

Second, the MF have been going up 2-3% per year. When you project it out to the end of the lease, you end up paying about $150k on 200 pts over life of the lease, so your $20k buy-in ends up costing more like $170k in 2057 when the DAKV runs out. All the contracts end on the same day, so if you buy into SSR, you get it to 2054 (about 47 years now.) Regardless of when you buy it.

With all that said, it is a good deal if go once a year or once every other year. The buy-in is currently at 180pts initially then you can add on more. You should take a look at the point charts and plot out what time of the year you like to go and how long. Figure out how many points that is, if you go every other year, you buy half the number of points because you Bank/Borrow points to make up the difference.

There are perks (Discounts, and special things for DVC members) but none of those are spelled out in the contract so don't factor those into your math. Also buy into a resort you like, Disney Vacation Developments (DVD) can remove any resort from the DVC at pretty much any time. (this has never happened in 15 years, but it's in the contract that it can. ) If a resort gets removed, you lose the ability to use your points at the other DVC resorts.

Finally, your booking window is 11months from your check-out date at your home resort, so if you go at a busy time, you need to book 11 months out (Some people even book 11months out for the first day, then the next morning they call and book 11months out for the next day and then link the two reservations.) At 7 months any DVC member can use their points at your resort.

Now I've not heard of it happening, but in THEORY since the DVC resorts also take cash reservations. If you try to book something for the coming weekend ALL the DVC resorts could be full up, and you couldn't use your points. They almost always are able to find space for you in SSR (the place is HUGE.)

If you want a resort that is currently "Full" you can wait-list because points do become available. How? Well first Disney has the "Right of First Refusal" (RoFR) so if you go to sell your points Disney can decide they like the "deal" and buy it out from your buyer. Second, people sell the contracts back to Disney because their situation changes, and even without a "buyer" you can ask DVD to take back the contact.

There is also an "aftermarket" of points. You need to be careful buying these because a lot of times the "deals" aren't the person selling the points has "Looted" them. Which is the DVC term for used ALL of this years points, PLUS borrowed all of next years points and used them too. So you get to pay 2 years of MF and all you have is a nice Blue card. The aftermarket points are generally okay to buy, though a broker, but like any property deal be careful some brokers charge a lot. DVD use to not charge any closing fees, but it seems they can't wave them all anymore, we ended up paying I think $80 to file the dead.

This has droned on for a while. You might login to the IRC server there are several of us that hang out there that are DVC members.

johno

[Croaker]

I personally keep flip flopping back and forth on the idea. lately my frequency to the parks has not constituted a value in DVC. Although we used our friends DVC in October of 2006 (old key west) and after staying there its hard to go back to a value resort. Our friends who have the DVC can't always use their points because they can't afford the flight and meals. so for now i think we will just keep offering them money for use of their points. (much cheaper than online DVC sales)

[JWG]

I strongly encourage anyone who is thinking about DVC to rent points from a current owner (friend, family or other). There is a message board that has a thread for buying/renting points (www.disboards.com).

The DVC sales pitch is ok (very different from most timeshare pitchest), but it's still a sales pitch and they'll obviously make it sound good. As will many current members. While most are objective, they've also decided to purchase so are biased toward the program.

My parents are members at the Boardwalk and we enjoy being able to use their points. If you can afford it and will visit often its a nice way to have deluxe accommodations.

However, I do think cash reservations get better deals at times (i.e. free dining). I think you may forego some good incentives by buying in.

[jcodirewolf]

One more thing always get a referal from an extisting DVC member as when you first do the sit down there is a referal bounty, like $100. Plus if you buy in the future they get an some extra money. So at the very least it a nice meal.

As for the forgoing good incentives things like free DDP you only get with a package. So it only good IF you were going to buy it already. Being AP holders often we don't qualify.

So back to you have to do the math for your self. It involves how much you go what you like to do. The in-law just the savings on greens fees made worth while. Yes they go to play golf. Yes that violates my rule about don't factor in the perks.

Johno

[CDAbleson]

My parents have been in, since day 1, and found that with 4 kids, 16 grandchildren, etc...it made a full family trip VERY easy....Now the 4 kids are Associate Members, and have points as well.....I think it really depends on your utilization....My parents, in retirement, love the ability go down there, when they want to go, and no be shackled to the schedule of kids.......

[addlema]

To Note: You can now purchase the dining plan with your DVC stay.. and wow is it worth it!

[JWG]

My parents have been in, since day 1, and found that with 4 kids, 16 grandchildren, etc...it made a full family trip VERY easy....Now the 4 kids are Associate Members, and have points as well.....I think it really depends on your utilization....My parents, in retirement, love the ability go down there, when they want to go, and no be shackled to the schedule of kids.......

Tell me about this "associate member" thing you speak of! My parents are members and at some point want to transfer membership, but I've never heard of this associate member thing.

[jcodirewolf]

Associate members are people that can "use" the membership without being listed on the contract. A/The person listed on the contract as an owner is the only one that can add/subtract Associate Members. But they do get all, or almost all, beenies for being a DVC member.

To transfer the membership you either have to buy it (which means you have to pay them enough that Disney won't buy it under the RoFR) or it has to be gifted/inherited (which means there maybe taxes paid on it.)

My Father in-law, thought about this so he just put my wife on the contract when they bought it. So there it doesn't have to be inherited, or anything.

johno
(who isn't a lawyer, nor does he play one on TV. Before making any financial decisions please consult with a real attorney.)

[JWG]

Associate members are people that can "use" the membership without being listed on the contract. A/The person listed on the contract as an owner is the only one that can add/subtract Associate Members. But they do get all, or almost all, beenies for being a DVC member.

To transfer the membership you either have to buy it (which means you have to pay them enough that Disney won't buy it under the RoFR) or it has to be gifted/inherited (which means there maybe taxes paid on it.)

My parents wish they would have though of putting me on, but 8 years ago I see why they didn't... Anyway, I'm trying to convince them to do the title transfer through an attorney since I've paid for the services this year through work (to do wills) - they didn't seem as excited about the idea.

Do you get an "associate" member card or your name is just listed on the account? The reason I ask is supposedly the spa discounts are only for the actual member (not just those staying on points) and a member card is supposed to be required to use the service.

[jcodirewolf]

Do you get an "associate" member card or your name is just listed on the account?

So looking into this a bit more. I think I over stated what an associate can do. I thought you could get some discounts though it, reading the details it appears I'm wrong.

The main thing you get as an associate member is to make/cancel/modify reservations. You don't get any other perks or privileges beyond that of a regular resort guest (ie. what the Key to the World card gives you).

Based on the wording of the "Spa" perk, I don't think you'd get the discount if you went with the card holder.

The Spa perk says:

Code: Select all

Members receive 20% off select spa treatments

Compared to say golf at Oak Trail which says:

Code: Select all

Now Disney Vacation Club Golf Members can book a tee time without time restrictions at Disney's Oak Trail Golf Course. And you can bring up to three additional players to play Disney's Oak Trail Golf Course at the special rate of $20.00 per round for 9 holes, anytime.

I could be totally wrong about this. My in-laws offered to make me an associate member on their DVC and I turned them down.

johno[/code]