Should I take my dad's offer ?

[Jack_Sparrow_NJ]

If you are going to sell all of the points it would be better to have your father just sell them, take the tax hit, and do as he pleases with the money. Keep it, gift it to each of you etc.

If it were me I would take all of the points. Not sure how your siblings would feel about that. Use the points I needed and rent the rest.

Yes the resale / rental market may go down but the stock market goes down too.

 

[starry_solo]

Ok, this is what I would do (besides take the points).

Get the value of all the points, divide by 3, and give your siblings each 1/3 of the value. That's BLT and SSR points.

 

[lorilaismommie]

I think your siblings are counting on free riding with you. Once you go all the points, they will send their kids to beg free trips from you. Auntie auntie can we go to Disney with you? Would you be able to say no to your nephews and nieces?

How can she turn down those cute little faces?!

If you keep the points it is highly likely you will be funding your extended families WDW vacations for the foreseeable future and paying the maintenance fees yourself. I do it all the time but I offered in the beginning but found over time it became an expected perk. I'm not complaining mind you as I love my family and can afford to do it but I could easily see the burden falling on you and causing friction if you aren't prepared for it.

I have found a solution for this...
my family wants to join us or use our points they have to pay what I would get renting those points them..
its a win win… its cheaper for them than renting and I'm not out the MF. 'I would just be up front with them from the start. they have to understand to afford that many point some will need to rented out from time to time.

good example
my sister and her husband want to join my family for a trip..
we were only planning on getting a 1 bed.
We end up with a 2 bedroom lock-off.
We figure out the difference in points and they pay the rental price I would get from David's per point. ( think right its bout $14ish)

most times we work out they buy X amount of tickets/meals for my family and I got the room. (Just Bc is easier)
this has work for my family for many years but in the end its all about family dynamics!

 

[bumbershoot]

My dilemma is that my father has offered to "gift" me the other points and I would in turn "gift" my brother and sister with some cash. It's a decent price, somewhat lower than what contracts are selling for right now. I have the money to buy them if I want to do it though it would come out of the stock market.

My heart says to buy them

Ok what do you mean by buy them?

 

[we"reofftoneverland]

I would not buy them all because your siblings will still see them as theirs and try to get you to let them use them. Maybe not now but down the road. I would only take the points you will use and let your dad do what he wants with the rest.

 

[KAT4DISNEY]

I have a dilemma and would appreciate some opinions. My parents bought into DVC about 10 years ago, adding points until they have 600 points now. 480 points are at SSR split between three contracts of 110, 170, and 200 points. 120 points are at BLT in two contracts of 30 and 90. They did this with the expectation that my two siblings and I would eventually each get 200 points apiece.

The time has come where my dad is ready to stop paying the maintenance fees and pass the points on. My family is the only one that is really into Disney, so my two siblings want to sell their points. I want to keep mine. I plan to keep the BLT points and probably the SSR 110 point contract, so we would sell the SSR 170 and 200 point contracts. I would give my siblings the equivalent after-commission cost of the other 30 points.

My dilemma is that my father has offered to "gift" me the other points and I would in turn "gift" my brother and sister with some cash. It's a decent price, somewhat lower than what contracts are selling for right now. I have the money to buy them if I want to do it though it would come out of the stock market.

My heart says to buy them, but my head isn't so sure. Realistically we really don't need that many points. I think that the 230 points would be plenty for how we would typically use them, so I would probably rent the majority out to pay for the MFs. We don't typically book more than 7 months ahead so I could rent out the BLT points for more and some of the SSR too.

So which way do I go? How easy is it to rent them? I know that renting them should cover the MFs but there is a pretty big expense up front to buy them. If I buy them I would see it as somewhat of an investment. Is this a good investment or not?

Any thoughts or advice would be appreciated. Thanks!

I would only keep what I intended to use. You do want to receive your points as a gratuitous transfer from your parents and then your parents can sell the remainder of the points and gift the proceeds to your siblings with the calculation of the additional 30 points you intend to keep.

 

[DisEye]

Thank you everyone for your comments. They were all helpful in helping to decide what to do. I think that I wanted to be convinced that the best thing to do was to keep all of the points. Though I would love to keep them all in my family, I think that the reality is that I will probably keep the 200 points that my dad is going to gift me, gift my siblings some money to cover the other 30 points that I want to keep and let dad sell the rest. It would be a lot of fun to keep them all but that would be a significant outlay of cash right now plus the extra $$ each year for MFs. As I think about how we travel to Disney, I think that 230 points is enough. Although I do love to vacation at Disney, I also love to vacation other places too so I think that I will use that cash to do other traveling.

As for the rest of my family, my sister's kids are already in college or beyond and have shown little interest up to now in traveling to Disney so I doubt that will change. Her family really hasn't gotten as much use from the points as I have so I am not surprised that she wants to sell. My brother's kids are a little younger and have used them a little more. I wasn't sure what he would want to do but I'm not really surprised that he's ready to sell too. If they want to use them in the future, then I plan to rent them for what they cost me for the year, if I'm not using them myself. That way we both win.

These points were bought direct from Disney, so as long as my dad gifts them to me, I can keep all the perks.

I have one more question that I would appreciate opinions on. For all the years that we have had the points, I've been in charge of taking care of them. My parents have always paid the MFs by automatic payments, but I'm the one who has always monitored use and banked them when we had some left. When we have all gone on family trips together, I have been the one to make all the arrangements, usually spending a decent amount of time on the phone with member services to get everything taken care of. I'm also the one who is now supposed to take care of arranging the sale of the points. Would it be reasonable for me to charge a "commission" to my siblings for the time that I have spent on all this? I had thought that perhaps the extra amount that the BLT points are worth could be my commission (20% of our points are BLT, the rest are SSR). Is that reasonable or is that too much? Or should I just forget about that? My siblings probably have no idea that the BLT points are worth more but I want to be fair, and avoid any potential conflict in the future.

Thanks again for your input! I knew that this would be a good place to ask this!

 

[KAT4DISNEY]

Thank you everyone for your comments. They were all helpful in helping to decide what to do. I think that I wanted to be convinced that the best thing to do was to keep all of the points. Though I would love to keep them all in my family, I think that the reality is that I will probably keep the 200 points that my dad is going to gift me, gift my siblings some money to cover the other 30 points that I want to keep and let dad sell the rest. It would be a lot of fun to keep them all but that would be a significant outlay of cash right now plus the extra $$ each year for MFs. As I think about how we travel to Disney, I think that 230 points is enough. Although I do love to vacation at Disney, I also love to vacation other places too so I think that I will use that cash to do other traveling.

As for the rest of my family, my sister's kids are already in college or beyond and have shown little interest up to now in traveling to Disney so I doubt that will change. Her family really hasn't gotten as much use from the points as I have so I am not surprised that she wants to sell. My brother's kids are a little younger and have used them a little more. I wasn't sure what he would want to do but I'm not really surprised that he's ready to sell too. If they want to use them in the future, then I plan to rent them for what they cost me for the year, if I'm not using them myself. That way we both win.

These points were bought direct from Disney, so as long as my dad gifts them to me, I can keep all the perks.

I have one more question that I would appreciate opinions on. For all the years that we have had the points, I've been in charge of taking care of them. My parents have always paid the MFs by automatic payments, but I'm the one who has always monitored use and banked them when we had some left. When we have all gone on family trips together, I have been the one to make all the arrangements, usually spending a decent amount of time on the phone with member services to get everything taken care of. I'm also the one who is now supposed to take care of arranging the sale of the points. Would it be reasonable for me to charge a "commission" to my siblings for the time that I have spent on all this? I had thought that perhaps the extra amount that the BLT points are worth could be my commission (20% of our points are BLT, the rest are SSR). Is that reasonable or is that too much? Or should I just forget about that? My siblings probably have no idea that the BLT points are worth more but I want to be fair, and avoid any potential conflict in the future.

Thanks again for your input! I knew that this would be a good place to ask this!

Personally I'd probably just take that as the "cost" of having the most interest in Disney. Ultimately it's really up to your parents how they would like to handle the gifting though.

 

[bobbiwoz]

Personally I'd probably just take that as the "cost" of having the most interest in Disney. Ultimately it's really up to your parents how they would like to handle the gifting though.

I agree, and would not bring up the idea of “commission “ for planning. JMO.

 

[we"reofftoneverland]

Personally I have always been turned off by family members who want to benefit financially by taking the role of executor, etc., but that is just me. Usually those family members already benefit in some way by being in control anyway. On the other hand, I also do not think parents have to give to each child equally, but that's just my opinion too. There may be times when one child ends up with "more" for whatever reason. So if your parents want to give you an extra 30 points because you like Disney, that's not a big deal. If they want to give you points and not give your siblings anything, that's their choice. It's like if I have a membership at a country club and one of my kids takes advantage of it by playing golf every weekend and the other kid does not take advantage of it, I do not have to pay the kid who doesn't use it to make it "even." That's just life. You mention renting points at cost to your siblings down the road-- that also seems like it could be a bad idea to me. It suggests that you owe them or something. Or that you are the caretaker of the "family" points. Maybe you do want that role? I would not, but that comes down to personality type.

 

[KAT4DISNEY]

Personally I have always been turned off by family members who want to benefit financially by taking the role of executor, etc., but that is just me. .

Though in this situation I would not suggest asking for anything I will say that in general it can be a lot of work to be an executor (which is not what this situation is of course). Every situation is different - some are small estates and some large but I'd argue that a general it's not unreasonable to hope for or even expect compensation in an executor or trustee role. Every other person/firm involved will be collecting a lot because it can take a lot of work that is getting added in to their lives. It's crazy to me how lawyers and accountants who will charge thousands of dollars for their part will suggest that family do it for nothing. I would suggest that it be outlined in the will so it's clear. If the persons setting up a will do not feel the time required deserves compensation then so be it but if they do it's good to outline so there's no question. Wills and inheritance can be tricky enough within a family without adding thoughts that the work to fulfill the deceased wishes has no value IMO. My executor will most definitely receive compensation.

 

[DVC Doctor]

These kinds of things are always a little aggravating for me to read as your parents bought DVC with the intention of gifting 200 points per kid, but a timeshare is not really a great gift IF the receiver does not value the experience as much as the parents.

Also with the annual dues, it is actually a burden for most children.

However, in the case of DVC, there is inherent value and if I was you, I would take 230 points and sell the rest BUT give the money back to your parents as it is their money and if they want to give that money to your siblings, then so be it.

I would NOT discuss BLT vs SSR and if they ever bring it up, just say "you were not interested so I had first ROFR and took BLT"

Just using round numbers, 600 points at $100 per point = $60,000

Each sibling is getting $20,000 worth of timeshares, but it may be a different situation when you sell and then your parents have to give $40,000 to two kids. I am not certain that is their intention, as they probably wanted to give a gift of vacations and experiences to their kids, just not hard cold cash.

 

[sndral]

I have a dilemma and would appreciate some opinions. My parents bought into DVC about 10 years ago, adding points until they have 600 points now. 480 points are at SSR split between three contracts of 110, 170, and 200 points. 120 points are at BLT in two contracts of 30 and 90. They did this with the expectation that my two siblings and I would eventually each get 200 points apiece.
...

I’m confused, when you say your dad will “gift” you the points, then you mention the price will be below market rate - do you mean your dad expects you to pay for your 200 points? Or do you mean he will give you your siblings’ points and he’s set the price you must pay them for those points?
If the later, I’d urge my siblings to accept their gifted points from dad and sell them themselves telling them they could probably get more than dad’s price. If they’d rather just accept the lower price dad has set, I’d go ahead and accept the lot, paying my siblings whatever amount dad set, sell enough points to recoup what I’d paid the siblings and keep the rest. I’d also be open that I was planning on selling some of the points to pay them off. That way they had a choice and decided money from you now is better than the hassle of the transfer and selling the points themselves. Plus in the future if they ask about using the points you can say don’t you remember I sold those points to pay you.

 

[bumbershoot]

Would it be reasonable for me to charge a "commission" to my siblings for the time that I have spent on all this?

Not IMO. If your parents had been doing all of this would everyone have been happy to pay them the commission?

These kinds of things are always a little aggravating for me to read as your parents bought DVC with the intention of gifting 200 points per kid, but a timeshare is not really a great gift IF the receiver does not value the experience as much as the parents.

Yep.
And the parents did this kind of weird, too. Made it harder.

I’m confused, when you say your dad will “gift” you the points, then you mention the price will be below market rate - do you mean your dad expects you to pay for your 200 points? Or do you mean he will give you your siblings’ points and he’s set the price you must pay them for those points?

Yep that was my basic question, too.

If the later, I’d urge my siblings to accept their gifted points from dad and sell them themselves telling them they could probably get more than dad’s price.

Though first it has to be put in siblings’ names, which does cost some money.

 

[DSLRuser]

I would take / buy all 600 points. Work out a deal with the siblings that they can have access to them as needed within in reason.

Any points not being used, rent on the open market, and split those proceeds after maintenance fees 3 ways each time with your siblings.

Gives YOU access to large number of points as needed. Gives YOUR SIBLINGS access to DVC just in case. Gives ALL 3 OF YOU some extra income each year or so and will more then cover all maintenance fees.

 

[verleniahall]

I would keep them all and use the $$$ from rental to pay on the MF's - that way you have access to the larger points IF NEEDED! plus, later on, if you deicde you REALLY don't need them, you can do that after taking the time to think about it instead of looking back and wishing that you had kept them

 

[Frederic Civish]

Realistically we really don't need that many points. I think that the 230 points would be plenty for how we would typically use them, so I would probably rent the majority out to pay for the MFs. We don't typically book more than 7 months ahead so I could rent out the BLT points for more and some of the SSR too.

So which way do I go? How easy is it to rent them? I know that renting them should cover the MFs but there is a pretty big expense up front to buy them. If I buy them I would see it as somewhat of an investment. Is this a good investment or not?

Any thoughts or advice would be appreciated. Thanks!

Renting is extremely easy. Just contact David's Vacation Rentals or DVC-Rental Store. List them with the broker as soon as you are sure that you will be renting them out. This increases your chances of an easy rental. If you give them at least a few months, they seem to always be able to rent them for you, even during those months when no it seems that no reservable times are still available. It might take longer if nothing is available at Disney World (like in Food and Wine Festival), but even then, with enough time they can almost always come up with someone who wants to rent SSR or Aulani. If you contact them with even more time, or in less busy periods, they can always find something. Eventually. I have had them contact me with some potential renters within hours of listing my points with them. And I once had 218 points become available in early September, which were going to expire January 31st. It took about 3 different renters, but they placed them all within a month, even during that season.

If you go with someone like David's or DVC-Rentals, and you give them adequate time, the rentals are pretty much worry free.

If you take all the points, and rent all the points out the first season, you should get enough money to cover Membership Dues, and a nice chunk of change to give to your siblings, as part of their payment.

I would not consider co-ownership with siblings, unless they were staunch Disney people, too. I also would not plan on arrangement with siblings where you maybe keep all the points, and do all the work, and you are responsible for all the Maintenance Fees (even though you pay them by renting points out), because there IS additional work, additional risk, and additional problems with trying to co-ordinate the mutual ownership and interest with them. Better to make some deal with them, agreeing on how much you will pay them, per point, for their shares, and also over what time period, and then rent those points out, over however many years it takes, to get the money to pay them.

You also should make arrangements with them that if they want to use points, they can pay for them at something like the rate that David's pays (currently around $14 per point) minus $2. In other words, they would get a 'deal' and only pay you $12 a point.

 

[kniquy]

Is that reasonable or is that too much?

I also do not think parents have to give to each child equally, but that's just my opinion too.

This does bring up a great point! I would leave the decision up to your parents how to make a fair division- they can take into consideration how else they have supported or given to the other siblings and have them see what would be fair.

Prime example is my siblings --My brother was gifted a house (which was my uncle's), my parents have also extended many thousands of dollars in interest free loans to him, which he is making very small payments back to them. Then there is my sister - constantly hitting up my parents because they need a new roof (was literally leaking on my niece and nephews so my parents felt they had to pay to have a new roof installed) then it was the washer and dryer which both went and my parents paid to buy new ones. And here i am - I only once borrowed $5000 and paid it back in a matter of a few months and have never asked for another dime from them since. They are retired, worked hard for their money so it isn't mine to soak from them. My siblings think of my parents as their personal bank or free hand out.

So in my scenario you have 3 siblings who have all received different things or money from the same parents -- So really put it into your fathers hands to divide up what would be fair. There is nothing wrong with you stating your case for how you have managed the contracts all these years, but tell him that you want him to think about each sibling and what would be a fair stake for each. It shouldn't be for you to decide besides letting him know you are interested in the SSR contract and the BLT contract. If he needs to know a fair price for the BLT points then print out info from the ROFR thread to let him know what they have been selling for. Wipe your hands of making any decisions in this.

You'll have to let us know how it works out for you.

 

[SgtTibbs]

When dealing with financial matters I always try to give my head more authority than my heart. Sometimes the heart get's a veto over the head but I try to make that the exception not the rule.

 

[BroganMc]

I'd ask my father to put my name on the 120 BLT and 110 SSR contracts as a Joint Tennant with right of Suvivorship. Then have him add each of your siblings to the 170 SSR and 200 SSR contracts. By adding a name, you avoid having the sell the points outright. The siblings can either chose to continue paying the MF fees for their contracts or sell them. Either way, when your dad passes, you all would inherit your contracts.

Back in 2001, my parents also began buying timeshares. I was part of the decision-making with my dad since I was single. My siblings had each married and were busy investing in houses and children. My parents bought 3 legacy weeks with Marriott. Then after my mom passed in 2004, my dad and I continued to invest in timeshares together. My dad wanted to gift each of his kids one Marriott week. We went on to buy two more legacy weeks in Marriott and 3000 Destination Club points. In 2006, I wanted to invest in DVC as well. So we purchased 200 SSR points. Because we wanted my siblings to have DVC member benefits and right of survivorship, we setup that contract with all of our names on it. 4 siblings and my dad (you can have up to 5 names on the deed). My dad and I paid the MF fees. We used the timeshares, but we also brought our family along. We also had large Marriott Rewards point accounts which we've used to gift my siblings hotel stays over the years.

Over the years, we added onto that original DVC membership. (Another 110 and 120 SSR contracts and a 60 & 50 BLT contract.) We did encounter a problem with one SIL who didn't understand my dad's and my intent. (In-laws can be the worst, especially if there are resentments and animosities at play.) That combined with the cumbersome nature of having to get 5 signatures everytime we wanted to add-on, led us to purchase a second Use Year contract with just my dad and I. We own 100 combined BWV points and 231 SSR points in that. I've just recently added a 160 BLT resale and am ::fingers crossed:: in the process of adding a 180 pt contract.

I have ALWAYS acted as the family travel agent. Whether it be getting a hotel stay with Marriott rewards or vacation clubs or arranging rooms for everyone on a family trip. My dad always paid the MFs. We would plan our trips based on our schedules but also with the sibs in mind. Now that my dad has passed, the contracts have reverted to his kids, but is managed by me as part of a Trust he left behind. Nothing has essentially changed. I still act as family travel agent. We still use the vacations as a way of getting the family together or escaping our lives for a bit. Vacationing together has made our family stronger.

There were some difficulties initially between my brothers and I after my dad passed (he failed to brief them on how he set things up and who he was leaving in charge), but they've been mostly settled. Money is sadly the one thing that can tear any family apart. Especially when both parents die and the kids are left to settle things. Money becomes a substitute for parental affection and approval. But the clearer your parents can be when they're living about what they expect and intend, the easier it is to avoid conflicts.

I have a dilemma and would appreciate some opinions. My parents bought into DVC about 10 years ago, adding points until they have 600 points now. 480 points are at SSR split between three contracts of 110, 170, and 200 points. 120 points are at BLT in two contracts of 30 and 90. They did this with the expectation that my two siblings and I would eventually each get 200 points apiece.

The time has come where my dad is ready to stop paying the maintenance fees and pass the points on. My family is the only one that is really into Disney, so my two siblings want to sell their points. I want to keep mine. I plan to keep the BLT points and probably the SSR 110 point contract, so we would sell the SSR 170 and 200 point contracts. I would give my siblings the equivalent after-commission cost of the other 30 points.

My dilemma is that my father has offered to "gift" me the other points and I would in turn "gift" my brother and sister with some cash. It's a decent price, somewhat lower than what contracts are selling for right now. I have the money to buy them if I want to do it though it would come out of the stock market.

My heart says to buy them, but my head isn't so sure. Realistically we really don't need that many points. I think that the 230 points would be plenty for how we would typically use them, so I would probably rent the majority out to pay for the MFs. We don't typically book more than 7 months ahead so I could rent out the BLT points for more and some of the SSR too.

So which way do I go? How easy is it to rent them? I know that renting them should cover the MFs but there is a pretty big expense up front to buy them. If I buy them I would see it as somewhat of an investment. Is this a good investment or not?

Any thoughts or advice would be appreciated. Thanks!