DVC Resale Contract Advice Needed

[ELMC]

Glad to hear it, now perhaps you can apologize to the agent and revise your accusations, that would be the right thing to do.

See post #91. She did, IMO.

I hadn't thought about it that way -- I am looking at this as a real estate transaction I suppose. Perhaps in that case I have not been fair to agent. I actually am not unreasonable I am just very cautious perhaps because I am a newb. Thanks for sharing that!

 

[Lumpy1106]

I will disagree with you on one thing, this thread is NOT a TLDR situation. Seriously, it's a wild ride and you should read every post. And it has a happy ending...what more could you ask for?

Oh no, don't misunderstand, that's on me. I'm usually a "the book was better" kindof guy, but in this case I only have time for the Cliff Notes.

 

[kcall13]

Glad to hear it, now perhaps you can apologize to the agent and revise your accusations, that would be the right thing to do.

Well I don't know if I would go that far because yes I understand that my chances are better of hitting the powerball than running into a financing issue -- people do in fact hit the powerball so Agent's advise still puts me at risk and I think it is bad advice. I also don't like doing things to get around the terms of the deal and I want a deal with terms I can feel comfortable complying with. If some folks are ok with risk taking on their money that is certainly their choice to make but I am not one of those people.

 

[luvdisneyland]

See post #91. She did, IMO.

Yeah, I just image that the agent isn’t seeing all of this and as probably had his own fair share.

 

[kcall13]

But I will agree that my lack of knowledge about these types of transactions had me seeing agent as nefarious and that was not at all accurate. He seems nice I just don't like the contract and understand that he has no ability to change it. Again the only issue here for me is I need to come back and do this as a cash buyer in December where a funding contingency is not going to cause me to worry.

 

[kcall13]

Gee, we hadn't noticed.

Seriously, though, it was a rough entry, but welcome to the DIS. We are glad to have you and there is a lot of great information on here. I'm sure you will find it helpful as you investigate DVC.

Thank you!!

 

[Disneybuckeye]

I have bought 7 contracts for over 400 points over the past 6 years and never had an issue. We did not finance any, but I am not sure why financing is such an issue for you. If you think you might not be able to obtain financing then you have no business making this purchase. If you know you can afford it you really have nothing to worry about.

We recently built a new home. The company who approved us for financing up front is not who we ended up using as we received a much better interest rate somewhere else. You have plenty of time to obtain financing. Of course I would not finance a time share, but to each their own on that issue.

Based on your info I am not sure if you have one child or three or four children. Either way I think you should do some research on best places to stay. Poly might not be the best fit for you.

Good luck with your wedding and it is probably best to step back and do some more research to make sure this is the right move for you.

 

[Sandisw]

But I will agree that my lack of knowledge about these types of transactions had me seeing agent as nefarious and that was not at all accurate. He seems nice I just don't like the contract and understand that he has no ability to change it. Again the only issue here for me is I need to come back and do this as a cash buyer in December where a funding contingency is not going to cause me to worry.

I went through Lightstream for a short term loan a few years back and it was not contingent on a contract. I did not have to submit anything regarding what I was using the funds for and approval was within minutes.

Maybe check them out?

 

[kcall13]

I went through Lightstream for a short term loan a few years back and it was not contingent on a contract. I did not have to submit anything regarding what I was using the funds for and approval was within minutes.

Maybe check them out?

Thanks Sandi!

 

[kcall13]

I have bought 7 contracts for over 400 points over the past 6 years and never had an issue. We did not finance any, but I am not sure why financing is such an issue for you. If you think you might not be able to obtain financing then you have no business making this purchase. If you know you can afford it you really have nothing to worry about.

We recently built a new home. The company who approved us for financing up front is not who we ended up using as we received a much better interest rate somewhere else. You have plenty of time to obtain financing. Of course I would not finance a time share, but to each their own on that issue.

Based on your info I am not sure if you have one child or three or four children. Either way I think you should do some research on best places to stay. Poly might not be the best fit for you.

Good luck with your wedding and it is probably best to step back and do some more research to make sure this is the right move for you.

Thank you! We love the Poly and it will be perfect for us. I don't need a kitchen for sure and while it would be awesome if they were set up like the 1 bed at some of the others for space -- I don't think I would want to trade location for a little more space OR for less time (2042 vs 2066). I was rushing this so I can make my wedding reservation for the dates we need -- this is the only reason I considered financing. The resorts I want are sold out for what I need but I thought I might be able to get them thru DVC when they opened for reservations at 11 months plus save a TON of money doing it this way. But based on a lot of excellent advise given here I now think that I am best served waiting until December when I can purchase with cash vs financing. Either way I was paying off in 60 days because it isn't worth it after the finance charge!

 

[luvdisneyland]

Thank you! We love the Poly and it will be perfect for us. I don't need a kitchen for sure and while it would be awesome if they were set up like the 1 bed at some of the others for space -- I don't think I would want to trade location for a little more space OR for less time (2042 vs 2066). I was rushing this so I can make my wedding reservation for the dates we need -- this is the only reason I considered financing. The resorts I want are sold out for what I need but I thought I might be able to get them thru DVC when they opened for reservations at 11 months plus save a TON of money doing it this way. But based on a lot of excellent advise given here I now think that I am best served waiting until December when I can purchase with cash vs financing. Either way I was paying off in 60 days because it isn't worth it after the finance charge!

I think you’re making the right decision, congratulations on your wedding.

 

[kcall13]

Another question - if I rent DVC from say Davids is my investment reimbursed if I show up and there is no reservation? Pretty sure I would have credit card protection in that event anyway. Also, how hard is it to get a booking if I connect with them 12-months out and are any resorts easier to get than others? Would really like Beach Club or Boardwalk for this specific trip since we will need some space. Thanks!

 

[disney11fan]

Buying a timeshare on credit in my opinion is utter lunacy. Please step back and talk to your family lawyer.

 

[ELMC]

Another question - if I rent DVC from say Davids is my investment reimbursed if I show up and there is no reservation? Pretty sure I would have credit card protection in that event anyway. Also, how hard is it to get a booking if I connect with them 12-months out and are any resorts easier to get than others? Would really like Beach Club or Boardwalk for this specific trip since we will need some space. Thanks!

While you would be covered for the cost of your rental, should something go wrong (less than 1% chance by the way) you would find yourself on property without a reservation during a very busy time on the eve of your wedding. But as I said, there is a greater than 99% chance that you will be ok. You should let them know your dates as far in advance as possible. Chances of getting what you want are very good.

 

[crvetter]

While you would be covered for the cost of your rental, should something go wrong (less than 1% chance by the way) you would find yourself on property without a reservation during a very busy time on the eve of your wedding. But as I said, there is a greater than 99% chance that you will be ok. You should let them know your dates as far in advance as possible. Chances of getting what you want are very good.

I would also add, for the OP, that the reservation will be linked to the OP's MDE so if the person that is supplying the points cancels the reservation (or modifies it) the reservation linked in their MDE would disappear or any modification (check-in/check-out or resort change) would be reflected. So the super low remote chance something happens could be monitored before showing up at the desk.

 

[kcall13]

While you would be covered for the cost of your rental, should something go wrong (less than 1% chance by the way) you would find yourself on property without a reservation during a very busy time on the eve of your wedding. But as I said, there is a greater than 99% chance that you will be ok. You should let them know your dates as far in advance as possible. Chances of getting what you want are very good.

Oh boy wouldn't that be something. I would cry -- so bad. When I have cash in hand perhaps I can just buy direct from Disney and make them give me my reservations as part of the contract. My mom can reserve Saratoga Springs for me for next to nothing thru RCI -- she has a club from Wyndham. The reviews on how far from everything Saratoga is are just not good though.

 

[_auroraborealis_]

The resorts I want are sold out for what I need but I thought I might be able to get them thru DVC when they opened for reservations at 11 months plus save a TON of money doing it this way.

What do you think you need that is sold out? Cash DVC villas won't be available for December 2020 for several months yet, and the resort itself has plenty of availability.

Also, how hard is it to get a booking if I connect with them 12-months out and are any resorts easier to get than others? Would really like Beach Club or Boardwalk for this specific trip since we will need some space. Thanks!

No owner can book prior to 11 months, and agencies won't "hold" an owner for you for a month before you book, especially not for fall bookings. The first two weeks of December are the highest demand weeks for DVC all year. OKW and Saratoga will be your easiest bookings. You won't get AKV Value or Club, CCV studios, BRV studios, VGF studios, or BWV Standard, no matter when you request with an agency.

If booking studios, Poly studios are larger than BWV or BCV. If booking larger units, OKW is going to have your largest everything.

And FWIW, booking Saratoga via RCI is actually kind of hard for specific dates. I'd not rely on that at all given your dislike of uncertainty.

 

[ELMC]

Oh boy wouldn't that be something. I would cry -- so bad. When I have cash in hand perhaps I can just buy direct from Disney and make them give me my reservations as part of the contract. My mom can reserve Saratoga Springs for me for next to nothing thru RCI -- she has a club from Wyndham. The reviews on how far from everything Saratoga is are just not good though.

I think you will find when you do your research that going direct is a lot of extra money just to get a one-time reservation. You may very well come to the conclusion that it is not worth it.

 

[tnicks]

Thanks for your respectful disagreement. I'll try to address your points.

I am defending the broker because I believe that the OP is engaging in speculation and is accusing the broker of being unscrupulous while providing no evidence to support that. I feel this is unfair and unwarranted in this situation. The broker is not here to defend themselves and I took it upon myself (rightly or wrongly) to say something.

My understanding of the situation is that the OP is asking for a funding contingency that persists right up until closing. In that case, I do not think the broker should put that contingency in the contract or even bring it to the seller as an option. It is non-standard and it puts the seller and the contract at significant risk. If the OP is simply asking for the contract to reflect the fact that she is financing then there is no harm in having the contract reflect that. I'm a stickler for accuracy and that would be the most accurate way to word the contract. But even that won't change or necessitate the removal of the clause that the contract is not contingent upon the buyer obtaining financing. That clause exists so that the buyer can't back out after the ten-day recission period. Given that financing eligibility can always be determined prior to the expiration of the ten-day period (some companies GUARANTEE approval - no credit check at all) this conversation is essentially moot. The ten-day recission period accomplishes the same thing that the funding contingency would accomplish and is therefore redundant.

I want to be clear here because it has come up twice...I am not advising that the OP ignore any omissions or put herself at risk in any way. What I am saying is that the request for a financing contingency that extends past the ten-day period is non-standard and is very biased towards the buyer. It will not be approved and in my opinion, is an unreasonable request. Accusing the broker of misdealings because of this is also not appropriate.

We strongly agree on one thing, nobody should put themselves in a situation where they risk losing their deposit or otherwise put themselves in a position where they can't follow through on a contract. Where we disagree is that I am saying that if the OP follows the proper steps that this will not occur given the parameters of the transaction. Asking for a funding contingency that extends past the ten-day recission period because the funding company might go out of business is unreasonable.

Ironically enough, I don't think we actually disagree at all, as I also do not believe OP should be asking for a contingency period up until the closing. I do however believe that the broker should have included a contingency from the beginning simply stating how long the buyer had to secure funding. Every broker I have dealt with has asked whether funding was needed. One of those brokers told me that they would typically hold off on submitting for ROFR until funding was secured. I think a lot of this could have been managed through education (OP) and better guidance from the broker.

All that said, I really don't believe financing a timeshare is economically wise, but to each their own.

 

[ELMC]

Ironically enough, I don't think we actually disagree at all, as I also do not believe OP should be asking for a contingency period up until the closing. I do however believe that the broker should have included a contingency from the beginning simply stating how long the buyer had to secure funding. Every broker I have dealt with has asked whether funding was needed. One of those brokers told me that they would typically hold off on submitting for ROFR until funding was secured. I think a lot of this could have been managed through education (OP) and better guidance from the broker.

Agreed. For what it's worth, the broker did try to accomplish this by asking the OP to sign the contract and hold off on the deposit until she was able to secure funding. That got them labeled as dishonest.

All that said, I really don't believe financing a timeshare is economically wise, but to each their own.

We didn't even get there.