I've never had a problem but there are no guarantees that the rental market will remain strong.Thanks in advance!
Sheryl
Did you recall seeing this happen in 2001/2002? I remember tourism/economy in general took a big hit post 9/11. Or 2008/2009? Does anyone remember what rentals were like then? I know the rental market in general wasn't as robust then, but did you see a dip in prices or anything during the economic downturns?Probably won't be an issue unless / until the spread between renting and Disney cash prices gets a lot smaller, or the economy weakens enough to stop people from wanting to go to Disney.
I just rented some of my Grand CA points. When I saw what the renters are paying, especially compared to rack, I thought, "why the heck do I own???"Probably won't be an issue unless / until the spread between renting and Disney cash prices gets a lot smaller, or the economy weakens enough to stop people from wanting to go to Disney.
Did you recall seeing this happen in 2001/2002? I remember tourism/economy in general took a big hit post 9/11. Or 2008/2009? Does anyone remember what rentals were like then? I know the rental market in general wasn't as robust then, but did you see a dip in prices or anything during the economic downturns?
Agree with Bill - Don't recall that there even was a rental market back then - I'm sure there was, but it really wasn't talked about much (if at all) on the various internet discussion boards. I don't even recall much talk about resale. I knew it existed, but when we bought in 1999, the only on site DVC resorts were OKW & BWV.Did you recall seeing this happen in 2001/2002? I remember tourism/economy in general took a big hit post 9/11. Or 2008/2009? Does anyone remember what rentals were like then? I know the rental market in general wasn't as robust then, but did you see a dip in prices or anything during the economic downturns?
Prior to brokers getting into the business, points usually rented for $10 a point with some about to expire points going for less. Now you pay $16 or $17 a point to rent through a broker, so individual owners are asking the same or close to that. As dues go up and owners or brokers raise their prices, it won't be a big a selling point for those wanting to rent. It will cost more to rent than to book with a discount.
Respectfully disagree. IMO, the primary driver is demand and the growth of the internet discussion forums such as the DIS. The general public has become a lot more informed about the rental market and the ability to stay in villas for about the same price as a moderate.....(snip)....... The primary driver of rental prices are the maintenance fees. When points were renting at $10, maintenance fees were typically $4 per point (i.e., rental prices 2.5 times the maintenance fees). As maintenance fees have gone up, with many now in the $6 per point range, rental prices have risen at the same proportion (2.5 * $6 = $15). Brokers have expanded the marketplace for points, and get a fee for handling the transaction. However, there are plenty of points available from private owners at $15 or less here on disboards. So, while you might pay more to rent through a broker than direct, it isn't required for you to do so.
is assumes that cash prices don't similarly rise. I think it is safe to say that Disney hasn't been lax about raising prices every year. As a result, I believe the spread between cash price and rental price will track similarly
They also provide an escrow service to alleviate some of the concerns re getting scammed.
Agreed! I think it even starts on property hotel prices. You start with what a moderate/deluxe hotel prices. The rental market will rise with those prices, but always be lower because of cancellation terms, ease/availability of reservations/points, dealing directly with Disney, maid service, and other reasons. The direct rental market will be lower than the rental company market because of escrow service, availability and scammers. In general, the only offerings you see substantially lower then the $13-$14 7 month booking window offered by the rental companies are distressed points, which the brokerages won't pay $13-$14 for.Respectfully disagree. IMO, the primary driver is demand and the growth of the internet discussion forums such as the DIS. The general public has become a lot more informed about the rental market and the ability to stay in villas for about the same price as a moderate.
The brokers helped spread the word & educate the public. They also provide an escrow service to alleviate some of the concerns re getting scammed. Much of the demand will not gravitate to private rentals due to that concern.