[DiZ NeE O8]

that I know of exactly what you said woohoo. I was wondering why is it that Disney would lit others sell their DVC property at resale; for example; I was looking on the TSS and they have a bunch of AKV properties with any amount of points that somone would want, like me I bought 160 at $104/point and I found on the TSS website the same amount of points at AKV too for about $88 - $94 per point (which I think is amazing but I preffered to buy directly fro disney due to my my g/f preffering it. but w/e)

[DisneyTeacher]

Originally Posted by tinkerbelle24

Have you tried to give it back to disney? I called to get my pay off total and they advised me I didn't have to sell because they would just take it back.

You may want to check and see what that will do to your credit if you default on your loan.

[tinkerbelle24]

Disney told me they are not a credit reporting loan BUT if you let it go to foreclosure it will go on your credit. I actually had my cousin look over my contracts since he is a atty and he spoke to member accounting.....they do not report on the credit. In fact I pulled a credit report and it doesn't even show I purchased the membership.

[MissDisney]

Originally Posted by DiZ NeE O8

that I know of exactly what you said woohoo. I was wondering why is it that Disney would lit others sell their DVC property at resale; for example; I was looking on the TSS and they have a bunch of AKV properties with any amount of points that somone would want, like me I bought 160 at $104/point and I found on the TSS website the same amount of points at AKV too for about $88 - $94 per point (which I think is amazing but I preffered to buy directly fro disney due to my my g/f preffering it. but w/e)

I think I understand what you are asking. Disney retains "right of first refusal" which means that if a resaler sets up a sale with a price tha tis too good, Disney can nix that loan and buy the membership back itself.

I understand that a lot of the resales are shut down by Disney, and so the reputable resale companies make sure their resale prices are within the range of acceptable so that Disney will allow the deal to go through.

[woohoo]

Originally Posted by MissDisney

I think I understand what you are asking. Disney retains "right of first refusal" which means that if a resaler sets up a sale with a price tha tis too good, Disney can nix that loan and buy the membership back itself.

I understand that a lot of the resales are shut down by Disney, and so the reputable resale companies make sure their resale prices are within the range of acceptable so that Disney will allow the deal to go through.

we actually looked into resale but after an acceptable price and the closing fees we were walking away paying the same amount and the developer points were so high when we did it that it made sense to go direct.

I wonder if them taking it back is the same as putting it up for sale at a lower price and then Disney buys it back themselves. You lose the deposit money but it is not like there is a depreciation for Disney at all. Its just a stake of claim not an actual tangible property. I suppose that would be a fast way to sell it.

[Dopey]

I have a really strange question.

All of you you have bought DVC because they lured you with extra "free" points at sign-up and have used those points already - is Disney just eating that loss?

[MissDisney]

Originally Posted by Dopey

I have a really strange question.

All of you you have bought DVC because they lured you with extra "free" points at sign-up and have used those points already - is Disney just eating that loss?

Good question!
When memberships are usually in the $15000-$20000 range, I doubt they are taking too much of a loss. They will turn around and re-sell thememberships at roughly the same price, I bet, meaning that Disney has no significant out-of-pocket losses and they have benefitted form expenses while those trips were taken, like park passes and food.

[woohoo]

Originally Posted by Dopey

I have a really strange question.

All of you you have bought DVC because they lured you with extra "free" points at sign-up and have used those points already - is Disney just eating that loss?

I dont think so- you have to put down a deposit right? Im sure that you dont get anything back. I wonder how much they chalk off to loss too. Im sure that they are not at 100% capacity all the time so there is always filling the building and having $$ spent on parks and food and such. There has to be some kind of equation that they use to balance things.

I keep forgetting that I actually have a lot more points to use if we go in May- I keep forgetting that we have our real points because we used the developer ones when we went last year-

[mickeysgirlz]

Originally Posted by Dopey

I have a really strange question.

All of you you have bought DVC because they lured you with extra "free" points at sign-up and have used those points already - is Disney just eating that loss?

A company I worked for sold land in AR. The owner "financed" the property. It worked in his best interest. He owned the land, collected interest and a down-payment, then when the customer defaulted, he just resold and did it all over again . . . so really "owner financing" is a win win. (since he already owned it and payed for it)

I'm sure Disney is like this. They built it, own it, and have to pay for it either way. Ownership fees, downpayments, etc. cover the maintenance. And in this case it's not even a real "foreclosure' since there isn't one particular unit a member owns. (like here in SoFlo, people are defaulting on their loans, then gutting the kitchens and baths to sell the parts for cash, then walking away from the homes and the banks are left with fallen down trashed homes to TRY and resell . . . it's terrible!)

[Dopey]

Originally Posted by mickeysgirlz

A company I worked for sold land in AR. The owner "financed" the property. It worked in his best interest. He owned the land, collected interest and a down-payment, then when the customer defaulted, he just resold and did it all over again . . . so really "owner financing" is a win win. (since he already owned it and payed for it)

I'm sure Disney is like this. They built it, own it, and have to pay for it either way. Ownership fees, downpayments, etc. cover the maintenance. And in this case it's not even a real "foreclosure' since there isn't one particular unit a member owns. (like here in SoFlo, people are defaulting on their loans, then gutting the kitchens and baths to sell the parts for cash, then walking away from the homes and the banks are left with fallen down trashed homes to TRY and resell . . . it's terrible!)

yes, I am familiar with land contracts. But there might be people who financed it through their bank and then what?

[mickeysgirlz]

Originally Posted by Dopey

yes, I am familiar with land contracts. But there might be people who financed it through their bank and then what?

Well the land baron I know didn't allow outside financing. But I don't know how that works with Disney, do they let you use an outside source?

Well if you got a bank loan and paid cash to Disney, then your DVC would become property of the bank . . . no?

[Boss Mouse]

You guys are marshing my mellow.

[DiZ NeE O8]

well, actually I work for wachovia bank and I get a pretty good rate on loans, so when I decided to purchase into DVC I asked if I could get the loan from another bank and they said NO! that what we needed to do is get the Disney Loan and then we could go to our bank and get a loan for the total and pay Disney off then pay the bank for the loan. which to me it sounded A LOT better because the difference between 10.75% from Disney to a 5.5% currently is an extremely good and big difference. I don't wanna go through the trouble of getting the loan from my bank and then paying Disney and then Paying the bank loan off!

[Dopey]

Originally Posted by DiZ NeE O8

well, actually I work for wachovia bank and I get a pretty good rate on loans, so when I decided to purchase into DVC I asked if I could get the loan from another bank and they said NO! that what we needed to do is get the Disney Loan and then we could go to our bank and get a loan for the total and pay Disney off then pay the bank for the loan. which to me it sounded A LOT better ...

I am sorry, that makes no sense to me

[Dopey]

Originally Posted by mickeysgirlz

Well the land baron I know didn't allow outside financing. But I don't know how that works with Disney, do they let you use an outside source?

Well if you got a bank loan and paid cash to Disney, then your DVC would become property of the bank . . . no?

absolutely they do allow outside financing. What if I have cash which is the only way to own luxury like that.

Originally Posted by DiZ NeE O8

well, actually I work for wachovia bank and I get a pretty good rate on loans, so when I decided to purchase into DVC I asked if I could get the loan from another bank and they said NO! that what we needed to do is get the Disney Loan and then we could go to our bank and get a loan for the total and pay Disney off then pay the bank for the loan. which to me it sounded A LOT better ...

I am sorry, that makes no sense to me
I am thinking that if you finance through Disney and then pay off that loan (early) you'll be hit with an early payoff penalty And you'll have to pay points for your loan at whichever bank will pay off the loan. They won't do it for free. It does not make sense.