Renting vs. DVC Discount in Cash

[Memorymakerfor4]

I hope this is the right spot for this question. I am an owner and recently looked at renting points for Aulani. During the course of my conversation with the rental agent, I learned about the insurance that is strongly recommended. I think it was an additional $2 or $2.50/point. I get why it's necessary, but at that point in time, I realized it severely diminished the savings we would get over just paying cash using the DVC discount (we were quoted about 25% off rack rate). Not only that, but booking directly through Disney gives me several months to pay for the trip with only a one night deposit, as opposed to so much more up front with renting points. Also, as far as insurance is concerned, the coverage I can get for a cash reservation appears to cover much more than what we were able to get through the rental agency.

I've been sort of afraid to ask this about this, as every forum I'm on is sponsored by rental agencies and don't want to sound like I'm against renting. I think it's a great discount for non owners and a useful tool for owners. Why would you, as an owner, rent points over going with a cash discount? I've learned a ton on here in the last year, so can someone tell me what I haven't considered?

 

[starry_solo]

As an owner, you can get a transfer of points in, so you can manage your own reservation. Then you don't need insurance.

I'm not an owner but a renter.
When I started renting points, I rented from four different owners. Now I rent from one whom I keep contact with yearly, even though I don't go yearly.

One cannot count on DVC discounts through Disney but I think the max discount I've seen is 40%. That's probably why owners rent....but I think more would be inclined to purchase a transfer of points rather than rent

 

[Chuck S]

Would you be using any of your own points, or are you wanting to rent for the 11 month booking priority? If you aren't going to be using your own points, I'd probably rent my points out, and then either rent from someone else for Aulani, or pay cash with the DVC discount....whichever works best for you. Given your situation, I'd probably book with cash through DVC with the discount, if it were close in price. If I could afford to lose the funds in the event of a last minute cancellation or flight issue, then I'd rent points and not get the insurance. I never get the insurance when using my own points at WDW.

 

[Memorymakerfor4]

Would you be using any of your own points, or are you wanting to rent for the 11 month booking priority? If you aren't going to be using your own points, I'd probably rent my points out, and then either rent from someone else for Aulani, or pay cash with the DVC discount....whichever works best for you. Given your situation, I'd probably book with cash through DVC with the discount, if it were close in price. If I could afford to lose the funds in the event of a last minute cancellation or flight issue, then I'd rent points and not get the insurance. I never get the insurance when using my own points at WDW.

Why not?

 

[UtahsGoofy]

As an owner I would prefer transferring points. Not that renting is bad but I would most likely be adding what was not enough points for the reservation I wanted AND as pointed out above, you then have the ability to reserve, modify, etc yourself. Renting makes more sense for those that dont have a membership or if you can not get points transferred

 

[Chuck S]

Why not?

Because most of my trips hit well within myuse year, so if I do have to cancel, I have plenty of time to rebook. If a trip is cancelled because of an airline or weather issue, DVC usually works with the member, and generally from where I live airfare is in the $200 to $300 range, sometimes less, and if necessary, I'd just absorb that cost. It is rare, but I have on occasion, had a trip that crossed my June use year, with a day or two in May and continuing in June. So there aren't a lot of points in jeopardy.