Paying premium for personal "best" Use Year?

[fearthisinc]

as I mentioned in a previous thread we have been looking into the vacation club. We were considering going directly trough Disney, however after looking into resale we are now seriously considering going resale. We originally considered getting some resale points with animal kingdom, but now thinking of going with a full package.. We really like the Animal Kingdom and after thinking about the future as far as family growth, the bigger rooms offered will be a huge plus.. also the lower point schedule is a huge plus as we could stay in multi room units and still go 3+ times per year for 1 week each time.. i was just wondering how everyone's opinion is if having a great use year is worth spending extra money... I have kept my eyes on Animal Kingdom listings in the past and see they routinely go for $78-$85 a point.. there are some listings that are asking $90-$95 per point which I think is high, however for a great Use Year do you think it's worth the "premium" price.. some agents I have talked to said that the Animal Kingdom is becoming rare with only a few listings around and that $90+ per point is the new norm for these contracts.. just wanted to get everyone's opinion.. seriously considering a package with a great personal use year but at over $92 per point not sure if I am "over paying".. I know this is more of a "what are you comfortable paying" type of question but I know there are veterens on here who have watched the resale market for way longer then I have..

 

[amccu18007]

In my opinion it is less about "best" use year but more about lack of available contracts. It is a sellers market right now. Supposedly, fall is a much better time to find a resale contract as those who are on the fence rarely want to pay their upcoming yearly dues.

 

[fearthisinc]

I absolutely agree that we are currently in a sellers market, however you can't really tell where the market will be in a few months.. for all we know there will be less or worse listings in the future.. in the current market I still find listings around $82-$85 per point however they are usually packages with less points then we are looking for, stripped of points till 2019 and not the most dersirable use years that work for our vacations.. I am seriously considering making an offer, but to pay $10 per point over the average does irk me a little.. but I guess for a fully loaded contract and a use year that is perfect for our current vacation schedule it may be worth it..

 

[disneynutz]

Only you can decide if the UY insurance is worth the money. We still own a AKV contract, sold four others. While AKV is a fine resort we grew tired of it and prefer resorts close to the parks that we visit most often. VGF and BCV for the MK and BWV or BCV for Epcot/DHS.

Bill

 

[supersnoop]

I wouldn't pay a premium for the right use year, but I would wait. The right contract will come around, but it might take a little extra time.

 

[NHLFAN]

as I mentioned in a previous thread we have been looking into the vacation club. We were considering going directly trough Disney, however after looking into resale we are now seriously considering going resale. We originally considered getting some resale points with animal kingdom, but now thinking of going with a full package.. We really like the Animal Kingdom and after thinking about the future as far as family growth, the bigger rooms offered will be a huge plus.. also the lower point schedule is a huge plus as we could stay in multi room units and still go 3+ times per year for 1 week each time.. i was just wondering how everyone's opinion is if having a great use year is worth spending extra money... I have kept my eyes on Animal Kingdom listings in the past and see they routinely go for $78-$85 a point.. there are some listings that are asking $90-$95 per point which I think is high, however for a great Use Year do you think it's worth the "premium" price.. some agents I have talked to said that the Animal Kingdom is becoming rare with only a few listings around and that $90+ per point is the new norm for these contracts.. just wanted to get everyone's opinion.. seriously considering a package with a great personal use year but at over $92 per point not sure if I am "over paying".. I know this is more of a "what are you comfortable paying" type of question but I know there are veterens on here who have watched the resale market for way longer then I have..

Not sure if you have tried yet but does't hurt to make an offer for the price per point you are comfortable with, at least you know where the seller stands. If offer is turned down and same contract is still available a week later then make the offer again as they might have changed their mind and want to unload.

 

[amccu18007]

Also, I would REALLY suggest making contact with a few of the brokers out there. Find out what they have and tell them your wish list. Most contracts aren't making it onto their websites.

 

[Dean]

I wouldn't pay a premium for the right use year, but I would wait. The right contract will come around, but it might take a little extra time.

I would wait, good choices for a good UY will come along for AKV. If it were something like VGC or VGF then it might be worth the compromise. Patience is the key here.

Also, I would REALLY suggest making contact with a few of the brokers out there. Find out what they have and tell them your wish list. Most contracts aren't making it onto their websites.

Agreed, this is the best choice esp if looking at smaller packages.

 

[mustinjourney]

If you go three times a year, I'm not sure there is "a perfect" use year.

 

[Billy4akvt]

I'm curious as to what month people consider to be the best use year anyway? We bought our points direct for BLT in 08 and received a February use year. We bought our points when we were visiting the park and weren't aware of a resale market, or what use year really meant. We've been happy with our use year so far because we have a small family and usually stay in studios; unless we bring some friends; and have been visiting at least one or two weeks a year since 09 as members. We even went Christmas week to New Years day one year at our home resort without a problem, but we won't ever do that again because it was way to crowded especially with a lot of foreigners which surprised me. Now don't get me wrong, I have no complaints about foreigners, I was just startled that it seemed to me more than half of the guests in any park on any giving day were speaking French and I found that very strange. But my point is, I figure Feb. is a good use year because doesn't that give you first dibs at your home resort for Christmas break which seems to be in huge demand?
P.S. we also did Spring Break one year without a problem. (but again unhappy with the choice because of the massive park attendances.) We've now been going mid August to eary September and we don't feel that the crowds are as bad, plus we enjoy the occasional showers that seem to be prevalent this time of the year. What is considered the best use year anyway?

 

[dsnydaddy]

My $0.02 is this, In all the calculations that I have done regarding DVC, the one thing that I realize is that when looking at the total cost of the contract over the course of the years that you own it, the purchase price is really small portion of what you will pay. If you are looking for savings, a property with low Maintenance fees will net you far more savings over the years. Realizing that, when buying my most recent contract I didn't worry quite as much over a few bucks one way or another. The fact that I found exactly what we were looking for in this market, I wasn't going to worry much about the cost. I did spend a few extra dollars but it was worth it to me.

Now having said all that, this is not the best market to dive into right now and you could possibly save yourself $10 per point with a bit of patience.

 

[Dean]

I'm curious as to what month people consider to be the best use year anyway? We bought our points direct for BLT in 08 and received a February use year. We bought our points when we were visiting the park and weren't aware of a resale market, or what use year really meant. We've been happy with our use year so far because we have a small family and usually stay in studios; unless we bring some friends; and have been visiting at least one or two weeks a year since 09 as members. We even went Christmas week to New Years day one year at our home resort without a problem, but we won't ever do that again because it was way to crowded especially with a lot of foreigners which surprised me. Now don't get me wrong, I have no complaints about foreigners, I was just startled that it seemed to me more than half of the guests in any park on any giving day were speaking French and I found that very strange. But my point is, I figure Feb. is a good use year because doesn't that give you first dibs at your home resort for Christmas break which seems to be in huge demand?
P.S. we also did Spring Break one year without a problem. (but again unhappy with the choice because of the massive park attendances.) We've now been going mid August to eary September and we don't feel that the crowds are as bad, plus we enjoy the occasional showers that seem to be prevalent this time of the year. What is considered the best use year anyway?

The best UY depends on the individual. If there's a consistent travel pattern then the best UY is the one that gives the most total options which is normally the one just before the preferred trip(s). But where there is not a clear best UY, often buyers are taking more risk buying which should be accounted for. But the risk is individual so each one has to look at their circumstance realistically.

My $0.02 is this, In all the calculations that I have done regarding DVC, the one thing that I realize is that when looking at the total cost of the contract over the course of the years that you own it, the purchase price is really small portion of what you will pay. If you are looking for savings, a property with low Maintenance fees will net you far more savings over the years. Realizing that, when buying my most recent contract I didn't worry quite as much over a few bucks one way or another. The fact that I found exactly what we were looking for in this market, I wasn't going to worry much about the cost. I did spend a few extra dollars but it was worth it to me.

Now having said all that, this is not the best market to dive into right now and you could possibly save yourself $10 per point with a bit of patience.

I tend to disagree with this line of thinking. Normally it includes inflation on the dues but ignores earnings on up front amount. Just looking at numbers and using the type assumptions I normally use on such matters here, it's be about 24-25 years for SSR before such an investment would reach zero if used to pay the dues. But if one just looks at the numbers independently, the investment would continue to grow faster than the dues would rise. Certainly the dues represent more financial risk long term and this should be considered.

That said, both are a lot of $$$ for anyone who would look at buying DVC and both should be considered seriously. I just don't think it's a good idea to trivialize the up front costs. Obviously break even overall and the increased cost of more expensive options like VGF have variables including the cost of other lodging.

 

[Marionnette]

But my point is, I figure Feb. is a good use year because doesn't that give you first dibs at your home resort for Christmas break which seems to be in huge demand?

I don't think that you understand UY. You have the same 11-month home booking advantage as all of the other owners at your DVC resort. Having a Feb. UY does not give you an advantage over them. However, booking in the last 3 months of your UY can be problematic if you should have to cancel after your banking deadline has passed or end up with points in holding. The last 3 months of a Feb. UY would be Nov.-Dec.-Jan.

 

[GoofyDisneyDaddy]

We've been happy with our use But my point is, I figure Feb. is a good use year because doesn't that give you first dibs at your home resort for Christmas break which seems to be in huge demand?

Use year has no bearing whatsoever on when you can book, only which year's points you use when you book. First dibs is based only on which resort you own at and is based on the 11 month and 7 month window. If you own at BLT, regardless of your use year, you can book there, for Christmas, in February. Use year only really matters if you cancel. A February use year for Christmas trips is the worst and December use year is the best. Why? Because if you cancel your trip last minute (anything after 9/30), it's too late for a February use year person to bank those points which must be used now by 1/31 of the following year, whereas a person with a December use year can bank (or use) their points until July of the following year.

 

[kboo]

We chose Feb UY because most of our vacations will be in the 1st 8 months of our UY - 2 school vacations in February and April, DH bday over July 4, mine and ODD's bday near Labor Day. We aren't planning to go down too much in the fall, other than perhaps 1-2 trips over Xmas or T-giving (YDD's birthday) to see if we like it. If we decide we also want to work in a holiday trip more often (quite possible, and would likely be less parks-focused), we'll try to get a June or August UY near a different park.

ETA: To answer the OP's question, If the contract is otherwise a good one, AND you haven't seen anything comparable in a while, I might consider it. BUT - if there is no immediate need to buy NOW (you can always rent points for that trip you want to take 11 months from now), then I would wait. I think the market will swing back to a buyer's market in a couple of months.

 

[msjprincess]

If you haven't already sign up for email notifications with brokers and let them know what you're looking for. Many contracts have accepted offers before they're even listed on the brokers websites.

 

[Smilelea]

Hi all,
I'm still new to all this but interested in DVC. If I understand the UY correctly, My ideal one would be September, as I don't anticipate ever going in June, July, or August. Is that correct?

Thanks!

 

[GoofyDisneyDaddy]

Hi all,
I'm still new to all this but interested in DVC. If I understand the UY correctly, My ideal one would be September, as I don't anticipate ever going in June, July, or August. Is that correct?

Thanks!

Well, unless May is your preferred travel month, that would be correct.

 

[supersnoop]

Hi all,
I'm still new to all this but interested in DVC. If I understand the UY correctly, My ideal one would be September, as I don't anticipate ever going in June, July, or August. Is that correct?

Thanks!

Well, unless May is your preferred travel month, that would be correct.

Lots of people focus on the last four months, but I think the last three are more appropriate. If you have a reservation in the fourth month, you'd have to cancel it 30 days in advance or points go into holding. And if you cancel it in time, you're still ahead of your banking deadline.

 

[GoofyDisneyDaddy]

Lots of people focus on the last four months, but I think the last three are more appropriate. If you have a reservation in the fourth month, you'd have to cancel it 30 days in advance or points go into holding. And if you cancel it in time, you're still ahead of your banking deadline.

Good point.

ETA: though, still, if the 4th month is your preferred travel month, then that's probably not the best use year.

Personally, I think this use year stuff is too speculative. I have no idea, over the next 40 years, when my preferred travel time will be and I suspect it will change throughout the stages of my life.