DVC Exercising ROFR

[CastAStone]

Do you know if the limit they can sell is listed somewhere as well? Like 10 Studios for week 50 at RIV (just as an example).

Finding the deeds wouldnt be terrible I don't think because you could sort by taxes paid (since FW have to be stand alone).

No I think you could do that if you’re feeling up to it. 35% was what they set it at for Aulani. Not sure if that has changed with subsequent resorts.

 

[i<3riviera]

͏

 

[sethschroeder]

The 35% rule but not requirement might explain how they suddenly got more RIV Week 49 Std Studios. Back in June it was completely sold out but now its available again.

I suspect then Disney is not going by the 35% and instead has a much lower cap likely to avoid long term issues. Interesting and possibly this means as long as you buy before its sold out you likely can get a Fixed Week it just might not be automatically available.

 

[Cyberc1978]

They haven’t acquired very many contracts recently. Typically they require a lot via foreclosure and auction, and supplement with ROFR as needed. The last several months - no auctions, no foreclosures, no ROFR, and Disney has likely just flat out run out of salable contracts.

Until something changes on the foreclosure/auction side I imagine we will see Disney ROFRing all resorts except CCV and RVA (and perhaps Poly).

Aaaarh now I get it

Thanks for the clarification

 

[TCRAIG]

I don't think I've seen this speculated about yet. But is it possible that there is a different reason than direct sales inventory needs that is causing Disney to exercise ROFR? There was a theory a few months ago when Disney extended points that were going to expire during the time the resorts were closed that Disney was actually dipping into its own pool of points to extend those points and gifting them to the owners. I believe @Sandisw mentioned this theory. We've also seen Disney move hotel cash guests to DVC properties. I know they are allowed to do this with breakage points, and by predicting breakage patterns. But I don't think I've seen any mention that the general members know what those numbers typically look like. Could it be that Disney found itself short on points? Could it be that between these two scenarios, Disney found itself in need of more points to own in order to both extend expired points and house cash guests at DVC resorts? Just something I've been mulling. I have a very hard time believing that there is high demand for direct sales right now.

I got some of those ‘extended’ points for VGF - but they showed up on my acct as RIV points - MS told me that’s what they were using as they couldn’t really give me 2018 GF points...

 

[dvc lover 1970]

I don't think I've seen this speculated about yet. But is it possible that there is a different reason than direct sales inventory needs that is causing Disney to exercise ROFR? There was a theory a few months ago when Disney extended points that were going to expire during the time the resorts were closed that Disney was actually dipping into its own pool of points to extend those points and gifting them to the owners. I believe @Sandisw mentioned this theory. We've also seen Disney move hotel cash guests to DVC properties. I know they are allowed to do this with breakage points, and by predicting breakage patterns. But I don't think I've seen any mention that the general members know what those numbers typically look like. Could it be that Disney found itself short on points? Could it be that between these two scenarios, Disney found itself in need of more points to own in order to both extend expired points and house cash guests at DVC resorts? Just something I've been mulling. I have a very hard time believing that there is high demand for direct sales right now.

This was my thought process...that disney is trying to balance all the potential 2021 points flooding into the system. If they purchase some points back at rofr, rent out the rooms for cash or use them to offset 2021 Covid points, then they can resell them in 2022 at a profit. I do think 2021 - 2022 reservations might be very tight.

 

[andyman8]

Follow-up question then: I've been talking with a guide for the last few weeks and have just been floating questions (haven't gotten into specifics about use year and/or points, other than some general recommendations on his part). He's been incredibly low-pressure, which I really appreciate. We've left it off at I'm very interested and just need some time to hammer out the details and finances which could take some time. He said he completely understood and to take whatever time I need. He said we'll have flexibility with use year and such but he'd suggest acting "before Christmas" (his timeline, not mine; I don't plan on waiting that long).

I then found a resale contract at a good price, so I decided to move forward with that, but I still very much want to buy direct (really hoping to do so before the minimum goes up, but it'll be tight likely). I'm looking at a September use year. My question is, given @sethschroeder's advice, should I tell my guide I've found a resale contract but still want to proceed with direct after/if that closes? Keep the conversations going? What would you recommend? I don't want to increase my odds of getting ROFRd.

Any advice on this? Just trying not to ROFR myself, now that they've started buying back again.

 

[limace]

I wouldn’t worry about it for a second.

 

[LadybugsMum]

I was in ROFR for a contract when I bought direct. It actually helped me get a Dec UY since it wanted my direct contract to match the resale contract.

 

[CastAStone]

Any advice on this? Just trying not to ROFR myself, now that they've started buying back again.

When did you submit for ROFR?

 

[andyman8]

When did you submit for ROFR?

Today. It's for VGF. I've accepted that it likely won't get through before the minimum point increase unless something extraordinary happens, though it would be great if I could get in before the minimum raises. Either way, still want to position myself to act quickly.

 

[CastAStone]

Today. It's for VGF. I've accepted that it likely won't get through before the minimum point increase unless something extraordinary happens, though it would be great if I could get in before the minimum raises. Either way, still want to position myself to act quickly.

You’re a first time member, correct? I’d suggest calling tomorrow and asking if they already have points available for you to buy right now that you could have in your account this week. if they say yes, you won’t be competing with yourself because you’ll be taking from their stock of points. If they say no, get as wishy-washy as you possibly can; my working assumption is they’re not going to ROFR points while cash is tight that they can’t immediately resell to someone on a waiting list. That may not be true, but it’s my working assumption.

 

[CastAStone]

You’re a first time member, correct? I’d suggest calling tomorrow and asking if they already have points available for you to buy right now that you could have in your account this week. if they say yes, you won’t be competing with yourself because you’ll be taking from their stock of points. If they say no, get as wishy-washy as you possibly can; my working assumption is they’re not going to ROFR points while cash is tight that they can’t immediately resell to someone on a waiting list. That may not be true, but it’s my working assumption.

Just to add to that, the other option is to wait as long as you possibly can, so that even if you haven’t heard back, at least they may have gotten your contract past the point where it’s being evaluated against new purchases coming in.

 

[andyman8]

You’re a first time member, correct? I’d suggest calling tomorrow and asking if they already have points available for you to buy right now that you could have in your account this week. if they say yes, you won’t be competing with yourself because you’ll be taking from their stock of points. If they say no, get as wishy-washy as you possibly can; my working assumption is they’re not going to ROFR points while cash is tight that they can’t immediately resell to someone on a waiting list. That may not be true, but it’s my working assumption.

Just to add to that, the other option is to wait as long as you possibly can, so that even if you haven’t heard back, at least they may have gotten your contract past the point where it’s being evaluated against new purchases coming in.

This is great advice! Yes I’m (hoping to be) a new member. Thank you, as always, for your advice!

 

[Cyberc1978]

This is great advice! Yes I’m (hoping to be) a new member. Thank you, as always, for your advice!

How much did you end up paying per point at VGF?

Remember to update the ROFR thread with your purchase info

link: https://www.disboards.com/threads/r...ost-for-instructions-formatting-tool.3806556/

 

[andyman8]

How much did you end up paying per point at VGF?

Remember to update the ROFR thread with your purchase info

link: https://www.disboards.com/threads/r...ost-for-instructions-formatting-tool.3806556/

$162 for a 100 point contract. There was a delay on the seller's end so it ended up getting sent out today, not yesterday. Just updated the ROFR thread! Fingers crossed.

 

[1983DisneyFanatic]

I just called to purchase 100 points direct at SSR. The agent told me he had points at all resorts. I had heard the rumors about the blue card and without me mentioning it, the agent brought it up when I said I wanted to buy the minimum to get the benefits. I missed out last time when they raised it from 75 to 100 and then ended up not purchasing. We are first time buyers, so we really don’t know what we’re doing and I hope we’re not making any bad decisions. We really wanted more points, but plan to get the rest through resale. I found a small contract for 50 points at AK and put in a full offer at $140 because this is where we really want to stay. We will try to use our SSR points at other resorts at the 7 month window. I was really surprised that Disney would increased the minimum for benefits at this time, but I’m proof that it will increase their short term sales.

 

[poofyo101]

I just called to purchase 100 points direct at SSR. The agent told me he had points at all resorts. I had heard the rumors about the blue card and without me mentioning it, the agent brought it up when I said I wanted to buy the minimum to get the benefits. I missed out last time when they raised it from 75 to 100 and then ended up not purchasing. We are first time buyers, so we really don’t know what we’re doing and I hope we’re not making any bad decisions. We really wanted more points, but plan to get the rest through resale. I found a small contract for 50 points at AK and put in a full offer at $140 because this is where we really want to stay. We will try to use our SSR points at other resorts at the 7 month window. I was really surprised that Disney would increased the minimum for benefits at this time, but I’m proof that it will increase their short term sales.

Why not buy direct at AK?

 

[1983DisneyFanatic]

Why not buy direct at AK?

I’m actually kicking myself for that now, but we went with SSR for the direct purchase because it was less expense overall, including annual dues. In actuality, it was only a couple thousand less, though. We aren’t financing, so that amount does make a difference, but we could have managed it. We figured we would buy AK resale now and either BW or BC sometime in the future. Most of our stays will probably be Booked in the 7 month window anyway.

 

[CastAStone]

I’m actually kicking myself for that now, but we went with SSR for the direct purchase because it was less expense overall, including annual dues. In actuality, it was only a couple thousand less, though. We aren’t financing, so that amount does make a difference, but we could have managed it. We figured we would buy AK resale now and either BW or BC sometime in the future. Most of our stays will probably be Booked in the 7 month window anyway.

You legally have a week to change your mind on the direct purchase.