Rumor: Disney Vacation Club Raising Sold-Out Resort Prices

[Jenniebee]

DVC resale market saying $10 not $50, with some resorts still less ppt than Riviera
SSR and OKW $165, we'll see

Oh, OK not as bad as $50, but still, this is the second increase this calender year. Have they ever done this before?

 

[Eastcoast02]

It has been a wild 2 years I tell ya.

 

[pkrieger2287]

Oops, looks like DISBoard Pete or someone writing for him jumped the gun or it was a typo.

But an increase is an increase, and up to $10 per point ($20/p for VGC) is still significant!

Pete posted over on DVC Fan that some of the initial rumors and reports were saying $50.

 

[pkrieger2287]

Anyone been able to speak with their guide and confirm a potential increase?

I emailed Gib McCain but he’s out of office until Saturday.

 

[_auroraborealis_]

VGC direct increases are window dressing. They file 10ish deeds a a month or so. most seem to be retitles.

 

[Heather07438]

Here's a link I found on DVC resale market:
https://www.dvcresalemarket.com/blog/anticipated-direct-price-increase-coming-january-16/
So for people who say "just add on a small direct purchase" that small add will be upwards of $20k.

Haha yeah. It recently went from 25 points to 75 to 100pts to get direct perks. They're going hard at the resale market. Will they try to attack the DVC rental market next?

 

[Heather07438]

Here's a link I found on DVC resale market:
https://www.dvcresalemarket.com/blog/anticipated-direct-price-increase-coming-january-16/
So for people who say "just add on a small direct purchase" that small add will be upwards of $20k.

Haha yeah. It recently went from 25 points to 75 to 100pts to get direct perks. They're going hard at the resale market. Will they try to attack the DVC rental market next?

 

[Soap_1984]

I think they’re banking on the resale values increasing to a level comparable with Riviera. In fact, they must be, because DVD is not going to be exercising many ROFR’s if they need to resell it at an already insane direct price per point plus another $50 on top of it. It’s a big gamble. This could actually make resale values FALL if the ROFR monkey is put out to pasture.

I thought something similar and posted in the Rofr thread. They may be banking on people rushing to resale which would increase prices there, also making riviera more attractive.

Only problem is they won't sell any points at other resorts, and if they aren't doing that how can they justify taking any rofr contracts; which should suppress prices in resale.

Edit: just saw that it might only be $10 so may not be a huge issue; $50 made no sense

 

[TigerInGa]

I’ve seen a few people say this would increase the amount of contracts taken by ROFR. Can anyone hypothesize why they would do this? It seems that, if the goal is to sell more Riviera, keeping the supply low and price high of other resorts would be counter intuitive to pushing more folks towards the resort that has sluggish sales?

My SSR contract is in ROFR now, so obviously I’m hoping this is not correct, but want to learn more.

 

[kboo]

This just made our RIV points into SAP.

My SSR contract is in ROFR now, so obviously I’m hoping this is not correct, but want to learn more.

I wouldn't worry too much. We had a VGF contract in ROFR back in late 2017 and there were rumored price increases coming in January 2018 that pushed VGF direct to over $200. We still passed ROFR in Dec 2017 at $135. (I KNOW. That was a great price even back then.)

 

[Brett Wyman]

They’re trying to force people to buy Riveria even after they over priced it and cut the resale benefits.

Can’t wait to hear Pete talk about this!

 

[Brianstl]

I’ve seen a few people say this would increase the amount of contracts taken by ROFR. Can anyone hypothesize why they would do this? It seems that, if the goal is to sell more Riviera, keeping the supply low and price high of other resorts would be counter intuitive to pushing more folks towards the resort that has sluggish sales?

My SSR contract is in ROFR now, so obviously I’m hoping this is not correct, but want to learn more.

Disney can only own 2-3% of all points at a resort. So they can only buy so many contracts back in ROFR. They won’t be selling the “sold out” points if they raise prices $50 pp. If they can’t sell them, they can’t exercise ROFR.

So if the original report is correct, you don’t have an added reason to fear.

 

[ziravan]

I thought something similar and posted in the Rofr thread. They may be banking on people rushing to resale which would increase prices there, also making riviera more attractive.

Only problem is they won't sell any points at other resorts, and if they aren't doing that how can they justify taking any rofr contracts; which should suppress prices in resale.

Edit: just saw that it might only be $10 so may not be a huge issue; $50 made no sense

DVC is required to maintain a 2% ownership for repairs and buffering, etc. I’m pretty sure they can own as much as they want.

 

[BillPA]

Agree, they owned 100% for a while.

 

[sethschroeder]

Just crazy if this true will become much easier to wipe pixie dust out of their eyes.

 

[Cyberc1978]

Future or upcoming resale buyers may now start to rush their purchase if they believe that an direct increase is imminent as resale prices also will increase if direct increases too.

 

[anomamatt]

I'm always amused at the VGC direct price. I've been on the waitlist for 2 years now and they never have points. (I want a 25 point contract, which is why I'm willing to go direct). I've been on the waitlist for any UY and 25 points. My guide calls me 1-2 a quarter to tell me I'm still on the list (and tries to get me to buy something else, which sometimes I do, haha). But they don't ROFR it (ever) and they don't sell contracts but maybe 1 every few months. Why have a direct price at all?

 

[ChimneyJim]

I'm always amused at the VGC direct price. I've been on the waitlist for 2 years now and they never have points. (I want a 25 point contract, which is why I'm willing to go direct). I've been on the waitlist for any UY and 25 points. My guide calls me 1-2 a quarter to tell me I'm still on the list (and tries to get me to buy something else, which sometimes I do, haha). But they don't ROFR it (ever) and they don't sell contracts but maybe 1 every few months. Why have a direct price at all?

Ask where you are on the list. I’ve been on Green Bay Packers waiting list for 23 years. At this turnover rate it’ll be another 25-35 years.

 

[_auroraborealis_]

Disney can only own 2-3% of all points at a resort. So they can only buy so many contracts back in ROFR.

Disney can own as much of a resort as they want. The 2% is a minimum. Typically, they've kept it higher regardless at most resorts. Eventually, they'll own 50% of OKW.

But they don't ROFR it (ever) and they don't sell contracts but maybe 1 every few months. Why have a direct price at all?

I suspect they have to have one legally.

 

[ray3127]

I'm always amused at the VGC direct price. I've been on the waitlist for 2 years now and they never have points. (I want a 25 point contract, which is why I'm willing to go direct). I've been on the waitlist for any UY and 25 points. My guide calls me 1-2 a quarter to tell me I'm still on the list (and tries to get me to buy something else, which sometimes I do, haha). But they don't ROFR it (ever) and they don't sell contracts but maybe 1 every few months. Why have a direct price at all?

Now I don't feel as bad about my 15 month wait!

I hadn't seen it even taken either, but just last week on the ROFR thread someone had theirs taken. Then another person mentioned how they had one taken recently... So that's two! I was pretty surprised at that.