StitchesGr8Fan
DIS Veteran
- Joined
- Jul 17, 2009
if we buy, do our annual dues cover the property taxes, or will we get a separate bill?
Plus as proven a few years ago, there really are no limits on increases of dues or reallocation other than the limit per year. So it could go up the limit every year if needed to hit a goal or like the reallocation, they just spread it over 2 years to stay within the 10%/yr limit.And when people talk about there being limits on how much dues can increase in a year, those limits exclude property tax. Property tax follows actual assessment.
Wow, so this is in addition to dues?
Thanks, we are thinking of buying. The rep did not mention property taxes.Property taxes are a part of the annual dues calculations. Annual dues cover a number of items - maintenance, member services, capital expense, transportation, property tax and a few other things.
It's worth noting that when they talk about dues increases being capped to a max increase each year, they mean the non-tax elements. If property tax goes way up, they can assign the actual increase to dues, regardless of percentage increase.
It's rolled in to the current calculations but members pay for them regardless. There is also the possibility of a special assessment in addition to the dues.Wow, so this is in addition to dues?
If DVC makes sense otherwise (use at DVC resorts, plan 7-11 mo out, OK with the compromises of a timeshare, afford it (to me that's pay cash and really no other consumer debt) and you're sufficiently educated on the situation and processes, I wouldn't let the risk of dues increasing be a deal breaker. However, for one who's stretching to buy, they really shouldn't buy anyway. Just look at it as wasted money and assume dues will go up at 3-4% per year and the risks otherwise from a DVC standpoint should be OK.This is a bit scary for us because our home's property taxes have almost doubled in the last 5 or so years. We were paying about 8k in 2012, now about 14k. So it can happen that they go through the roof. Ugh. Still kind of want to do it though.
Keep in mind that any big property tax increase will also pass through in cash rates.
This is a bit scary for us because our home's property taxes have almost doubled in the last 5 or so years. We were paying about 8k in 2012, now about 14k. So it can happen that they go through the roof. Ugh. Still kind of want to do it though.
Thanks, we are thinking of buying. The rep did not mention property taxes.
... And parking, which is why they don't charge the daily fee because you're already paying for maintenance of the parking lot in dues. So while it seems like a "perk", it's actually never been free for DVC owners all along.DVC dues pays for everything, electricity, security, administration fees, front desk, new roof, painting the buildings, pool maintenance, insurance, water, cable, housekeeping, new carpet and furnishings and property tax. That is why DVC has so many resorts and why Disney considers DVC a cash cow, they build a resort, buyers pay for the construction and all costs from that point forward. Plus the owners now are locked in to using their points each year for a Disney vacation that brings Disney millions and millions of dollars.
Bill
Keep in mind that any big property tax increase will also pass through in cash rates.
They have been protesting DVC assessments.That's a good point.
Just started wondering... is it ever possible that dvc property would be assessed significantly higher than regular hotel property? Like I am sure Disney protests big property tax increases, but do they do that for DVc property? I guess you are best off buying in Florida over CA or HI. Disney seems to have more sway in Florida.
That's a good point.
Just started wondering... is it ever possible that dvc property would be assessed significantly higher than regular hotel property? Like I am sure Disney protests big property tax increases, but do they do that for DVc property? I guess you are best off buying in Florida over CA or HI. Disney seems to have more sway in Florida.