- Joined
- Apr 18, 2018
To figure out the value of DVC, here is something I compare to DVC.
My wife bought us a 30 foot travel trailer for about $28,000. Let’s say we use it once a year for about five days. Yeah, free vacation. Of course there are some maintenance fees. And upkeep. And driving it anywhere is expensive because I get 6 1/2 miles per gallon when pulling it. Driving to Yellowstone or other National Parks is not cheap. But let’s assume that if I only use it for five days of vacation per year, then there are other days that I could ‘rent it out.’ And by renting it out, BESIDES my own 5 days of vacation, I could earn $1,100. Now, suppose that after a few years I got tired of ‘trailer’ vacations and decided I didn’t want to take them anymore. So, instead of using some of my days and renting some of my days, I rented them all out. Well, now I could get paid around $2,250 per year, to NOT take vacations. So, lets suppose I do this every year for 25 years, taking some vacations and renting some out and earning an additional $25,000 to $50,000 in the process, and THEN I decide I am tired of it and I want my money back. So, I take the trailer to the dealer and give him the trailer and ask for my money back. He says, “Oh, okay. Thank you. The trailer is worth more now than it was when you bought it. So, here is $45,000 back. Have fun.”
Well, that is kind of how it is with DVC. If you bought 150 points at Copper Creek (Direct from Disney) for $182 a point, then it would cost you around $27,500. You would have to pay Maintenance Fees of about $1000 a year, BUT, I just spent 5 days in Pop Century and with ‘Room Tax’ the room cost me $1,150. (There is no room tax on DVC nights). For about the same cost in Maintenance Fees, you could stay 5 days at Copper Creek in October for 77 points. And it is MUCH nicer than Pop Century. Then you could rent out your remaining 73 points. The 73 points could bring in about $1,100. You could use that for vacation or use it to pay maintenance fees or use it to defray the initial purchase cost. If you rented out ALL of your 150 points, you could get about $2,250. AND, when you sell it 25 years down the road, it will probably be worth significantly more than $45,000. So, I think that is a heck of a lot better deal than buying a stupid travel trailer. I wish I had the money back that we spent on our nice shiny trailer, that mostly just sits by the side of my house.
My wife bought us a 30 foot travel trailer for about $28,000. Let’s say we use it once a year for about five days. Yeah, free vacation. Of course there are some maintenance fees. And upkeep. And driving it anywhere is expensive because I get 6 1/2 miles per gallon when pulling it. Driving to Yellowstone or other National Parks is not cheap. But let’s assume that if I only use it for five days of vacation per year, then there are other days that I could ‘rent it out.’ And by renting it out, BESIDES my own 5 days of vacation, I could earn $1,100. Now, suppose that after a few years I got tired of ‘trailer’ vacations and decided I didn’t want to take them anymore. So, instead of using some of my days and renting some of my days, I rented them all out. Well, now I could get paid around $2,250 per year, to NOT take vacations. So, lets suppose I do this every year for 25 years, taking some vacations and renting some out and earning an additional $25,000 to $50,000 in the process, and THEN I decide I am tired of it and I want my money back. So, I take the trailer to the dealer and give him the trailer and ask for my money back. He says, “Oh, okay. Thank you. The trailer is worth more now than it was when you bought it. So, here is $45,000 back. Have fun.”
Well, that is kind of how it is with DVC. If you bought 150 points at Copper Creek (Direct from Disney) for $182 a point, then it would cost you around $27,500. You would have to pay Maintenance Fees of about $1000 a year, BUT, I just spent 5 days in Pop Century and with ‘Room Tax’ the room cost me $1,150. (There is no room tax on DVC nights). For about the same cost in Maintenance Fees, you could stay 5 days at Copper Creek in October for 77 points. And it is MUCH nicer than Pop Century. Then you could rent out your remaining 73 points. The 73 points could bring in about $1,100. You could use that for vacation or use it to pay maintenance fees or use it to defray the initial purchase cost. If you rented out ALL of your 150 points, you could get about $2,250. AND, when you sell it 25 years down the road, it will probably be worth significantly more than $45,000. So, I think that is a heck of a lot better deal than buying a stupid travel trailer. I wish I had the money back that we spent on our nice shiny trailer, that mostly just sits by the side of my house.
Bill
