Is Aulani a bad choice?

[DanCali]

I think it’s super interesting to play around with these somewhat wild scenarios! The thing is, I’m not sure resale prices, though headed lower, will ever shrink to a level which actually justifies your logic. Having to buy more points than you need, for more stays than you want, just to stay at resorts of one’s choice may not be the best option for most people. First, resale owners would still be shut out of resorts where they might want to stay, and they would also be forced to consistently rent points out to pay for much higher annual dues.

Yes, it's all hypothetical at this point and the drawbacks you describe to that type of strategy are totally valid. But to me, under the circumstances in my prior post, it'd be worth it because it circumvents what would be my biggest objection to buying direct at that point - i.e., paying $250 for something I know in advance is worth $50 if I ever turn around to sell it.

We did buy AKV direct recently when they had the promo that got the price down to $145 for 200 points with MB. We're considering another direct purchase at VGF with current promos. But current prevailing resale prices (and restrictions) always enter into the calculus.

 

[Sandisw]

I think we’re pretty much agreeing on everything basically lol. You’re probably right that most new owners at that time won’t even realize DVC at one point didn’t have resale restrictions. I’m curious to know what else they can take away if anything. Pretty much the only thing that’s guaranteed with resale is being able to book your home resort at 11 months. Could you imagine if in future contracts they made it so when resold you can only book at 7 months at your home resort? That’d pretty much put the nail in the coffin. I’ll admit I still am tempted to obtain a combination of resale CCV, BLT and PVB instead of poly 2 to stay primarily at bungalows/cabins but also reserve the right to book whatever room category I want at 11 months at those resorts. I know I won’t be locked out of any future resorts because of my direct RIV points but it’s all fun to talk about.

The rules for home resort have to be the same regardless of how one acquires the contract. That is clear in the way that the FL timeshare is written. So, if you own at BLT, whether you bought resale or direct, you must have the same rules as every other BLT owner, because DVC is built on one owning at a specific resort in a multi-site plan.

The only thing that can be changed is the exchanging of points to other resorts, and even then, it can't always be a direct vs resale decision. For example, BVTC, who manages trades, found that VGF was a very popular resort to trade into, they could create a non home resort point charts for other owners...but, it would apply to all non home resort points, not just resale.

Or, they could change the non home resort booking for a resort from 7 months to 5 months, but it has to apply to the resort and not types of points.

At point there is not much more that can be done to differentiate resale vs direct points. I also think that what we could see down the road is people who have a mix of resale and direct points to use in a different way than we may see today.
I bought resale RIV points, even though they can only be used there, because we stay there a lot...plus, I have them in a membership that has direct points at VGF which can also be used there, which means, no chance I will strand points.

Maybe, what the future could hold is owners having restricted contracts at several resorts and use them for different trips or split stays, etc.

The biggest thing that I see with the newest incentives is that DVD knows that price is key to getting people to buy direct and that when you make it attractive, you can sell points.

To bring this back to buying AUL for sleep around, it works if you are okay not worrying about what happens at 7 months and okay with maybe having to do split stays, or book room sizes you aren't necessarily needing....in those cases, it could be a good deal.

 

[Sandisw]

I think that answers your own question. The cheaper something is on the resale market, the more attractive it becomes vs direct. Right now we all agree VGF direct is a no brainer vs VGF resale and there's even a thread on that. That wouldn't necessarily be the case if VGF resale was selling at $120/point. There's not much reason to buy Aulani direct (even with promos) when you can buy resale for ~$100/point.

Suppose that down the road most resales are very restricted and can only be used at a single resort (which is where seemingly DVC wants to go with restrictions). Let's say by then direct prices are $250/point and resale prices (at all resorts, for illustrative purposes) are around $50/point.

If I was an informed buyer, I would rather by 3 contracts of 200 points at 3 different resorts than 200 points direct. The upfront cost would be $30K instead of $50K, and I have 600 points total instead of just 200. The fact that I can't trade internally with the resale contracts would be more than compensated by having handpicked 3 favorite resorts and having 3x vacation time to play with (maybe I rent out 200 points/year to cover dues for 400+ points). Moreover, I can sell my 600 points a few years later for around the same price I bought them as opposed to taking a large loss on the direct purchase.

In such a case DVC could entice me to buy direct perhaps if they grandfathered me into the system with my resale contracts. Otherwise, it'd be very hard to convince me to buy direct and agree to 80% capital loss 7-10 years down the road if I were to sell out. Many people go in thinking they will hold on to these contracts for decades, but that's not the typical case.

I'll add one point....DVD always holds ROFR power....and that alone may keep resale prices from tanking to such a degree that a strategy of buying low at several resorts may not save what one thinks they will save.

And, we saw last year that when ROFR is heavy, prices go up quite a bit so people get the contract through and when ROFR stops, prices go back down to an appropriate level....

It is sure fun though to speculate!!!

 

[intamin]

At point there is not much more that can be done to differentiate resale vs direct points. I also think that what we could see down the road is people who have a mix of resale and direct points to use in a different way than we may see today.
I bought resale RIV points, even though they can only be used there, because we stay there a lot...plus, I have them in a membership that has direct points at VGF which can also be used there, which means, no chance I will strand points.

To bring this back to buying AUL for sleep around, it works if you are okay not worrying about what happens at 7 months and okay with maybe having to do split stays, or book room sizes you aren't necessarily needing....in those cases, it could be a good deal.

Interesting, didn't know that regarding the home resort rules.

I'm likely going to do a similar strategy with my RIV points and get a couple hundred more direct and then depending on if I think we need more (I don't think we will) add on resale in the same UY to prevent stranding of the resale RIV points.

The reason I bought resale AUL is because I already have an in at Disney World in the form of RIV/AKV and can guarantee a room at 11 months no matter what happens. If I were looking for a first contract to use predominantly at WDW I probably wouldn't recommend it to people.

I can definitely see people just buying at 3-4 different resorts despite resale restrictions to do split days that way and book 2 resorts per trip. I'm essentially doing something similar right now where I'm trying to rely on the 7 month window as little as possible by simply having resale at a large number of resorts. I can bank/borrow on these resorts to book the grand villas or 2BRs and whatever and almost guarantee access to my desired room type. It's not like I'm locked out of future resorts because I already own direct RIV and if I have to I'll book the newer resorts at 7 months.

 

[MsChristy12]

Why would an informed buyer not buy direct? With fewer and fewer older resorts being the sole option for booking with resale, the opportunity to use one’s direct points at newly constructed properties seems a lot more attractive. Certainly more attractive than being locked into one property for all eternity with a restricted resale contract, no matter the price. The last few years have seen an escalation in several new DVC properties both announced and opened…and this is just the beginning.

I think you’re right that resale prices will probably plummet. But that’s due to them not being, potentially, as attractive or popular as direct. Disney is playing the long game, and it could very well be an effective strategy.

Because each family has their own reasonings and what makes sense to them. I have been doing DVC research for the past couple years and I can say I'm a well-informed buyer. But still, our decision was resale because direct is still not worth it for us. The new resort restriction isn't a big deal to us. If we want to try them, we'll just rent points to try them. To buy direct, we would have spent more than double the money. To some, that might be worth it, but not to us.

 

[MsChristy12]

I am looking to add on 200 pts. We currently have 200 pts at Beach Club. We want to be able to have a beach vacation either at Vero, HH, or Aulani as often as we can. Have read some things where it doesn't sound like Aulani is the best choice. Just looking for the smartest choice.

The best choice is the resort you love and what makes sense to you and your family.

 

[Sandisw]

Because each family has their own reasonings and what makes sense to them. I have been doing DVC research for the past couple years and I can say I'm a well-informed buyer. But still, our decision was resale because direct is still not worth it for us. The new resort restriction isn't a big deal to us. If we want to try them, we'll just rent points to try them. To buy direct, we would have spent more than double the money. To some, that might be worth it, but not to us.

The quote about an informed buyer was in response to a comment that anyone who was informed would not buy direct.

As you say, everyone has their own reasons for making the resale vs direct decision and one can be a very well informed buyer and still choose direct...or be a very well informed buyer and choose resale.

 

[Stank]

Is resale or direct better? The answer has always been: yes.

 

[RoseGold]

Why would an informed buyer not buy direct? With fewer and fewer older resorts being the sole option for booking with resale, the opportunity to use one’s direct points at newly constructed properties seems a lot more attractive.

I can think of a family that is right for direct. Plans to hold forever, plans to go multiple times a year. But I don't personally know anyone in that category, including myself.

For most people, DVC isn't right. For even fewer, direct is right.

 

[Paul Stupin]

I can think of a family that is right for direct. Plans to hold forever, plans to go multiple times a year. But I don't personally know anyone in that category, including myself.

For most people, DVC isn't right. For even fewer, direct is right.

Well, at least you didn’t once say “poor Aulani.” I own a mix of resale and direct at Aulani, CCV, and VGF, and it works for us. We use the direct to book occasional stays at Riviera (which we love) at seven months, go multiple times a year and at least for now don’t plan on selling. We just don’t like the thought of being DVC members and unable to book newer restricted properties, so I also regard the direct points as insurance for whatever new amazing offerings pop up in the future, as they will, and sooner than anyone might think considering the current pace of DVC resort development.

The more insubstantial direct benefits, like Moonlight Magic, are still a ton of fun, and though financially somewhat negligible, we still love them. And the APs are a good deal for us.

As you’ve said, I’m sure the DVC numbers don’t crunch particularly well, so…we just don’t crunch them!

 

[intamin]

As you’ve said, I’m sure the DVC numbers don’t crunch particularly well, so…we just don’t crunch them!

I too live in ignorant bliss! Look at all of us poor decision making direct owners

 

[jimwindy]

Im in a similar position. Thinking to buy 200 Aulani direct or through resale.
I dont think we will be getting APs regularly, single dad!
Wondering if this makes sense for the next 10yrs...

 

[jimwindy]

Well, at least you didn’t once say “poor Aulani.” I own a mix of resale and direct at Aulani, CCV, and VGF, and it works for us. We use the direct to book occasional stays at Riviera (which we love) at seven months, go multiple times a year and at least for now don’t plan on selling. We just don’t like the thought of being DVC members and unable to book newer restricted properties, so I also regard the direct points as insurance for whatever new amazing offerings pop up in the future, as they will, and sooner than anyone might think considering the current pace of DVC resort development.

The more insubstantial direct benefits, like Moonlight Magic, are still a ton of fun, and though financially somewhat negligible, we still love them. And the APs are a good deal for us.

As you’ve said, I’m sure the DVC numbers don’t crunch particularly well, so…we just don’t crunch them!

So longer term, maybe buy 200 for Aulani resale and then another block (say 300) DVC direct for anything exciting / new / less restricted?

 

[Paul Stupin]

So longer term, maybe buy 200 for Aulani resale and then another block (say 300) DVC direct for anything exciting / new / less restricted?

We use our Aulani points to book one bedroom ocean view stays in June, since it’s difficult to book them at 7 months, before the point chart increases at the end of the month. Christmas is also difficult. That said, we also use our Copper Creek points to book January/February stays in Aulani at 7 months for the same one bedroom ocean view.

I believe availability is more challenging at 7 months for studios and two bedrooms, so I think it depends on what level of accommodations at Aulani you might need and when you want to travel. You might be able to get away with using other WDW resort points and booking at 7 months.

Owning Aulani contract(s), though, gives you the freedom to book whenever you want, which is also great for us because we love the resort!

 

[jimwindy]

We use our Aulani points to book one bedroom ocean view stays in June, since it’s difficult to book them at 7 months, before the point chart increases at the end of the month. Christmas is also difficult. That said, we also use our Copper Creek points to book January/February stays in Aulani at 7 months for the same one bedroom ocean view.

I believe availability is more challenging at 7 months for studios and two bedrooms, so I think it depends on what level of accommodations at Aulani you might need and when you want to travel. You might be able to get away with using other WDW resort points and booking at 7 months.

Owning Aulani contract(s), though, gives you the freedom to book whenever you want, which is also great for us because we love the resort!

Thank you! I think due to the type of room we need for the next 3-4years having it at Aulani makes sense. Appreciate the guidance

 

[NorCalFanatic]

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[jimwindy]

We own direct and resale at Aulani, and (obviously) direct at VDH. We bought direct at Aulani and then added on quite a bit resale (same UY). We go every year for 7-8 days to visit family, and take a group of family members (in separate rooms). Not really interested in going elsewhere (although we might use our Aulani points someday for a Florida trip having never been). Adding resale allowed us to upgrade accommodations for the whole group for less $$$. VDH, we go to DLR 3-4X a year. Usually 2-3 short trips of 4 days, and one long trip of 6-8 days.

If Aulani prices keep dropping, it's going to be difficult to not buy another 100 points!

From this im reading a few things. 1) Just get some points either resale or direct, likely will increase them over time 2) Prices are low right now for resale so great value. 3) Its an awesome resort (I went once for Luau, but never to stay)

 

[NorCalFanatic]

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[Cfabar1]

It’s tough to justify Aulani direct points - especially if you are planning to actually use them at Aulani.

Similarly, if you want to go to HHI at peak times you do need to buy there most likely. If your desire is to go in January, not so much.

But Aulani as SAP especially subsidized is attractive, especially if you don’t care what happens after 2042 or later.

 

[longboard55]

Aulani was the last major resort in Oahu and its not real new. Oahu is getting very popular, I see prices only going up. I would buy so its a trip every 2 years so you do not feel obligated to go every year. Then you will have points, so if you see a VDH or a VGC available you can grab it. Hotels are just getting real expensive between taxes, resort fees and parking. I really think if you plan on vacationing a lot you need a plan to save money.