Is Buying Direct Worth it in my case?

[AKNOTTS66]

Okay so we are looking to buy our First DVC Contract. Some backstory. Its just me and my wife so far, no kids yet but hopefully soon. I am 30 wife is 29. I took my wife to Disney World for the First time in 2015 for our Honeymoon for 7 nights and she was instantly hooked. 2016 we went to Disneyland for her first time. 2017 in June we went for 12 nights. 2018 July went for 13 nights, this was the first time we bought a Platinum Pass AP. 2018 November we went for 7 nights for a Christmas Holiday Trip. 2019 we went for 14 nights on that same Annual Pass. 2019 December Christmas trip for 8 nights we also bought an annual pass for this trip since 8 Day tickets for the both of us is half the cost of an Annual Pass so if we go longer than 8 nights in 2020 we come out ahead not even considering Photopass, Discounts, Hopper Ability.

So as you can see we like to buy an annual pass to go in July one year and June the Next to get at least 24-28+ days our of it.

That Brings to the Gold Pass which is $700 currently. That is $420 savings per person. If we plan to go year after year for 10-14 nights a year in the future getting 2 trips out of our Gold Pass or AP does this justify paying For Direct?

Direct in our case would be 100 points at either Riviera(2070 Exp date to pass along to kids) or Saratoga(2054).

Riviera 100 x $188 = $18,800
Wouldn't buy Resale
Saratoga 100 x $165 = $16,500
Resale estimate 100 x $110 = $11,000

Say we go for 30 years with our Contract and Points. Does it make sense to buy 100 points Direct Now and add more points via Resale Later just to get the Member Benefits and mostly to be able to buy the Gold Pass for years to come?

 

[JETSDAD]

One other option is to buy far more resale points at SSR. The 100 points is not going to get you the nights that you currently stay so either you would be reducing your number of nights or offsetting the points with cash stays (kind of negating the savings on the AP). Instead you could buy a larger SSR contract of 180-200 points around the $100 mark and be able to cover your trips without offsetting with cash stays while still being around the same cost as 100 pts direct. Yes this would mean higher dues but by the looks of your travel you're going to be wanting to be there more than what 100 points will cover.

Not saying to not go direct, just throwing out another option.

 

[CarolMN]

Kids change everything. Emotionally, AND financially. You are still young. Just based on your current travel patterns, DVC seems to make sense. However, DVC is a long-term FINANCIAL commitment and this may not be the right time for you to make that commitment.

My advice would be to make sure you are on track for higher priorities before purchasing. Those would include risk management (life, disability & health insurance), retirement, perhaps paying off education loans and shorter term goals such as buying a home or car. Once children arive, you'll probably want to save for their educations

Good luck with your decision.

 

[Sandisw]

As already mentioned, the point charts are higher at RIV and your 100 points will not go as far at that resort

But, if RIV is a resort you think you’d like to own,.,and it seems like the AP would be worth going direct...you would have the 11 month advantage to book the Tower Studios, which can help stretch points. With summer travel, I don’t think that getting one then at 11 months should be that difficult.

Yes, these rooms are smaller, but with just the 2 of you, it May be a unique option,

IMO, DVC is too expensive to buy in to a resort thst you don’t mind staying at if things can’t be switched. Summer is definitely a lower demand time, but they are working on reducing the points to stay then.

I would only buy SSR if you think that is a good fit for you. if you see the perks of direct and the benefits of having points at RiV to stay there, and newer resorts down the road, I say buy there,

Resale will always be there. The minimum for direct perks could go up as it has over the last few years.

Good luck!

 

[jerseyduke]

I think @CarolMN makes some going points vis-a-vie your future, however, and for those reasons, I would stick to resale. To date, DVC contracts have held there value pretty well. If you buy resale, you can hit the eject button with little financial loss.

Riviera worries me with the restrictions on the resale. A poll on here had the majority of people thinking DRR contracts will be going for less than 100 per point. Perhaps they are right, perhaps not, but we have no real data yet. DRR contracts COULD suffer significant depreciation. I myself am watching it closely because if it is the case, Reflections will become a hard pass for me, despite my interest in it.

Other thoughts - you mentioned December in there a bunch. Know that at some resorts rooms can be quite hard to get even at 11 months. IF i were to buy direct again, I would buy a fixed week, 48 or 49. Note that a fixed week is not fixed at all, it is just a guaranteed reservation.

If you buy SSR, and go in December, you will most likely be staying at SSR - that may be perfectly fine, just be aware of that fact.

If you buy direct first, be aware that when you go to add on, you are going to want to match UY, which could limit your options. Buying Direct down the road you can tell Disney your UY, and just have it matched.

Also, 100 points isn't enough for a studio for a week, let alone 2 with few if any exceptions.

Another thought, again since you mentioned December, I would throw Animal Kingdom resale into the mix. Its in line with SSR and is great at Christmas.

 

[AKNOTTS66]

Kids change everything. Emotionally, AND financially. You are still young. Just based on your current travel patterns, DVC seems to make sense. However, DVC is a long-term FINANCIAL commitment and this may not be the right time for you to make that commitment.

My advice would be to make sure you are on track for higher priorities before purchasing. Those would include risk management (life, disability & health insurance), retirement, perhaps paying off education loans and shorter term goals such as buying a home or car. Once children arive, you'll probably want to save for their educations

Good luck with your decision.

We are in a Good Position Financially. No Student Loans, No Credit Card debt. We just bought our first home last year and it was a very modest house nothing extravagant. I even told my wife that instead of buying a more expensive home that this one could come with the possibility of buying DVC . When we buy DVC we plan to pay in cash so no financing. We wouldn't just be buying 100 points total I meant 100 points from Disney to get the Member Benefits. No sense in Buying more than 100 from Disney. We also don't mind split stays at all. Last summer we actually stayed at 3 different resorts over 14 nights.

We looked at RIV over our christmas trip and we liked it a lot. We liked Caribbean Beach also before so being close doesn't mind us like some others do. It could be more themed IMO but we did like it and the Skyliner is a unique option to get to Epcot and the Boardwalk area so quickly. It took us 7 minutes form the time we got in line at Epcot to getting off at Riveria. Most of the time your waiting 7 minutes just for the Bus or Boat or longer at places.

We also like Saratoga for its proximity to Disney Springs. We used to stay at Riverside when I was little so thats a nice option to be at Disney Springs easily. I actually like Saratoga's theming too and OKW if we had to stay there as a backup. The other Resorts Direct are just too pricy per point for me to justify it over resale.

 

[skippytx]

The Gold Pass discount has only been this large for like 6 months now. Banking on this sort of discount staying the same for the next 30 years is not realistic.

2 Short years ago you could get the Gold AP for 559 when the plat was 779. I expect the Gold AP will see another increase or two in the future, they just couldn't increase it so much all at once without making a bunch of people mad. A 799 Gold AP is coming, just a matter of when.

 

[AKNOTTS66]

I think @CarolMN makes some going points vis-a-vie your future, however, and for those reasons, I would stick to resale. To date, DVC contracts have held there value pretty well. If you buy resale, you can hit the eject button with little financial loss.

Riviera worries me with the restrictions on the resale. A poll on here had the majority of people thinking DRR contracts will be going for less than 100 per point. Perhaps they are right, perhaps not, but we have no real data yet. DRR contracts COULD suffer significant depreciation. I myself am watching it closely because if it is the case, Reflections will become a hard pass for me, despite my interest in it.

Other thoughts - you mentioned December in there a bunch. Know that at some resorts rooms can be quite hard to get even at 11 months. IF i were to buy direct again, I would buy a fixed week, 48 or 49. Note that a fixed week is not fixed at all, it is just a guaranteed reservation.

If you buy SSR, and go in December, you will most likely be staying at SSR - that may be perfectly fine, just be aware of that fact.

If you buy direct first, be aware that when you go to add on, you are going to want to match UY, which could limit your options. Buying Direct down the road you can tell Disney your UY, and just have it matched.

Also, 100 points isn't enough for a studio for a week, let alone 2 with few if any exceptions.

Another thought, again since you mentioned December, I would throw Animal Kingdom resale into the mix. Its in line with SSR and is great at Christmas.

Honestly if we went in November or December we would be fine staying almost anywhere. Our last 2 christmas trips we ended up staying at All Star Movies. Thats kind of a bones trip for us so its just a night stay. For as hard as it seems to book in November December we might just stay off site then or Value again. But Honestly I don't see us going back for Christmas for a while now after 2 trips back to back.


My big question I'm really looking for is buying 100 points direct vs resale and buying Gold Passes enough to justify paying more direct for those 100 points.

 

[AKNOTTS66]

The Gold Pass discount has only been this large for like 6 months now. Banking on this sort of discount staying the same for the next 30 years is not realistic.

2 Short years ago you could get the Gold AP for 559 when the plat was 779. I expect the Gold AP will see another increase or two in the future, they just couldn't increase it so much all at once without making a bunch of people mad. A 799 Gold AP is coming, just a matter of when.

Thats really good to know. Outside of the Gold pass and AP discounts, The Member Benefits of buying direct are really not there unless we see disney Continue to add DVC resorts that follow Riveria and Reflections restrictions.

 

[AKNOTTS66]

As already mentioned, the point charts are higher at RIV and your 100 points will not go as far at that resort

My thought Process was if we have 2 100 point or more contracts then I can bank them in offsetting years so I have 200 at one resort one year then 200 the next or also do split stays of 5-6 nights at RIV then 5-6 at another.

 

[Sandisw]

Thats really good to know. Outside of the Gold pass and AP discounts, The Member Benefits of buying direct are really not there unless we see disney Continue to add DVC resorts that follow Riveria and Reflections restrictions.

And they will. When the 2042 resorts expire, especially BCV or BWV, those will be redone and sold as new resorts. Granted, this is 22 years down the road, but I think..and only my opinion..,this is the long range plan for DVC...slowly eliminate resales from staying anywhere but own resort.

 

[AKNOTTS66]

And they will. When the 2042 resorts expire, especially BCV or BWV, those will be redone and sold as new resorts. Granted, this is 22 years down the road, but I think..and only my opinion..,this is the long range plan for DVC...slowly eliminate resales from staying anywhere but own resort.

This is also another reason I was looking to buy 100 points direct to be able to stay at any new DVC resorts that come. I think I'm one of the few on here that Actually really liked Riviera. Its the French Quarter of DVC's, Small and Self Contained.

 

[Sandisw]

This is also another reason I was looking to buy 100 points direct to be able to stay at any new DVC resorts that come. I think I'm one of the few on here that Actually really liked Riviera. Its the French Quarter of DVC's, Small and Self Contained.

There are a lot of us who love RiV already so you are not alone! I sold BWV a few months ago to give myself a contract that lasts until 2070, and gave my adult children ownership and direct benefits


Of course, there are people here who just don’t like it and will always point out, every chance they get, everything they see as it not being worth it, but remember, those are opinions, and only you can decide what works best for you.

I just changed 3 nights of my upcoming March trip to RIV, and am spending an extra 16...yes, 16..points more s night then I could have to stay at BWV or BRV. Why? Because RIV, after having walked around, fits me and my style! So worth it...even if it means next year, I have to spend a few extra nights here or there at SSR, during one of my 6 trips to make up for it!

 

[AKNOTTS66]

There are a lot of us who love RiV already so you are not alone! I sold BWV a few months ago to give myself a contract that lasts until 2070, and gave my adult children ownership and direct benefits


Of course, there are people here who just don’t like it and will always point out, every chance they get, everything they see as it not being worth it, but remember, those are opinions, and only you can decide what works best for you.

I just changed 3 nights of my upcoming March trip to RIV, and am spending an extra 16...yes, 16..points more s night then I could have to stay at BWV or BRV. Why? Because RIV, after having walked around, fits me and my style! So worth it...even if it means next year, I have to spend a few extra nights here or there at SSR, during one of my 6 trips to make up for it!

What do you think about the point cost per night at Riv? Is seems a little high IMO. Seems similar to BLT category. Which I think is a little high. I like Riv a lot but It isn't exactly right next to MK or on Crescent lake either. Or a Monorail resport but it does have the Skyliner.

 

[Sandisw]

What do you think about the point cost per night at Riv? Is seems a little high IMO. Seems similar to BLT category. Which I think is a little high. I like Riv a lot but It isn't exactly right next to MK or on Crescent lake either. Or a Monorail resport but it does have the Skyliner.

It is definitely closer to VGF, Poly, BLT LV and TPV. For me, those are my other resorts of choice, so I used that as my guide,

I also knew that owning would give me the best shot possible for staying in SV rooms, and for my solo trips, the Tower Studios are an attractive opition that will not cost me more than other places.

Having said that, my situation may not match your situation, Other than the ability to walk from BWV or BCV, those resorts don’t hold a lot to me, I own BWV and could certainly save points if I booked SV rooms, but I view everything when I book, not just bottom line point costs.

There are a lot of owners, however, who have resorts that they enjoy just as much and those come with much lower points. Only you can decide how to value the pros and cons of being at a home resort that will cost more. There are times of the year where a SV rooms might be only 3-5 points more a night, but if forced to book PV, you could be looking at 6 -8 for studios,

One thing to note, the RIV studios are larger than most others that are less points. They sleep 5..as do some others..but also have the split bath area that allows two people to shower at the same time. With a family, that can be a plus.

 

[AKNOTTS66]

It is definitely closer to VGF, Poly, BLT LV and TPV. For me, those are my other resorts of choice, so I used that as my guide,

I also knew that owning would give me the best shot possible for staying in SV rooms, and for my solo trips, the Tower Studios are an attractive opition that will not cost me more than other places.

Having said that, my situation may not match your situation, Other than the ability to walk from BWV or BCV, those resorts don’t hold a lot to me, I own BWV and could certainly save points if I booked SV rooms, but I view everything when I book, not just bottom line point costs.

There are a lot of owners, however, who have resorts that they enjoy just as much and those come with much lower points. Only you can decide how to value the pros and cons of being at a home resort that will cost more. There are times of the year where a SV rooms might be only 3-5 points more a night, but if forced to book PV, you could be looking at 6 -8 for studios,

One thing to note, the RIV studios are larger than most others that are less points. They sleep 5..as do some others..but also have the split bath area that allows two people to shower at the same time. With a family, that can be a plus.

Very Good Points

 

[AKNOTTS66]

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[CraigInPA]

My big question I'm really looking for is buying 100 points direct vs resale and buying Gold Passes enough to justify paying more direct for those 100 points.

Let's do the math using your SSR example:
$5500 extra to buy direct.
$5500/$400 savings per pass = 13.75 annual passes to break even.
With 2 of you, that means the premium you pay for buying direct would be paid for in 7 years (*)

Remember that this discount is considered a "membership extra" and not guaranteed to continue. Your guess is as good as mine as to whether this particular discount will continue at the present savings amount, a lesser or greater savings amount, or be discontinued entirely.

Craig

(*) before others argue time value of money, let me point out that the direct owner would also receiving other perks such as dining discounts and moonlight magic (if these continue) which may offset any gains made by investing the surplus funds.

 

[AKNOTTS66]

Let's do the math using your SSR example:
$5500 extra to buy direct.
$5500/$400 savings per pass = 13.75 annual passes to break even.
With 2 of you, that means the premium you pay for buying direct would be paid for in 7 years (*)

Remember that this discount is considered a "membership extra" and not guaranteed to continue. Your guess is as good as mine as to whether this particular discount will continue at the present savings amount, a lesser or greater savings amount, or be discontinued entirely.

Craig

(*) before others argue time value of money, let me point out that the direct owner would also receiving other perks such as dining discounts and moonlight magic (if these continue) which may offset any gains made by investing the surplus funds.

Thanks Craig. This is exactly the same calculations I was thinking. My thoughts is they will continue these membership extras because they want to keep a valid reason to get customers to buy direct or at least 100 points. Outside of the AP discounts nothing else really is a material gain. I'm kind of at a cross roads on what do do. That 13.75 AP's might be paid off faster if we buy our kids AP's. I'm not sure what ages kids are no longer allowed into the parks free but that would make it faster. So through in a Family of 4's AP's and buying Direct and Disney Continuing to keep the Gold Pass or AP discounts it starts to make much more sense. I also imagine as time goes on Disney would likely create more membership benenfits to even more incite new owners to buy direct. But Who knows.

 

[CanadaDisney05]

Thanks Craig. This is exactly the same calculations I was thinking. My thoughts is they will continue these membership extras because they want to keep a valid reason to get customers to buy direct or at least 100 points. Outside of the AP discounts nothing else really is a material gain. I'm kind of at a cross roads on what do do. That 13.75 AP's might be paid off faster if we buy our kids AP's. I'm not sure what ages kids are no longer allowed into the parks free but that would make it faster. So through in a Family of 4's AP's and buying Direct and Disney Continuing to keep the Gold Pass or AP discounts it starts to make much more sense. I also imagine as time goes on Disney would likely create more membership benenfits to even more incite new owners to buy direct. But Who knows.

Just remember that they can keep the annual pass discount, but the delta can change. Others correct me if I'm wrong, but I believe the AP discount has historically been closer to $200 PP rather than the current $400. The $400 difference really just stemmed a few months back when they increased the price of the platinum but not the Gold. If it goes back to $200, your break-even time frame would double.