OLD KEY WEST - Why Buy Non-Extended Contract?

Discussion in 'Purchasing DVC' started by Dan1, Apr 13, 2019 at 9:53 AM.

  1. Dan1

    Dan1 Mouseketeer DVC Gold

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    I’m looking to buy an OKW contract and I’m stuck trying to rationalize why someone would pay only $20 / point (give or take) less for a non-extended contract vs an extended contract.

    Why would someone be motivated to buy a contract that expires 15 years sooner than an extended contract? :rolleyes1

    Even Disney doesn’t have one price for the extended OKW contract vs non-extended OKW if one buy a resale directly from the Mouse.

    Appreciate everyone’s insures and experiences. :thanks:
     
  2. crvetter

    crvetter DIS Veteran

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    A number of reasons I suppose come to mind quickly: age, lining up with other contracts that expire in 2042, $20 a point is fairly expensive though I think the savings is actually less than that
    Anything bought from Disney is extended so that explains the singular price from them.
     
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  4. Deb & Bill

    Deb & Bill DVC-Trivia Contest, Apr-2006: Honorable Mention

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    Because they don't expect to be alive past 2042? I'll be 91 in 2042, so my OKW points will probably be sold long before that.
     
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  5. jarestel

    jarestel DIS Veteran DIS Lifetime Sponsor

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    A few intriguing questions regarding OKW purchases might be "What happens to OKW in 2042" when some contracts expire and some don't? Does half of the resort close down? With fewer members paying dues, will the remaining members have to pony up more for transportation costs and for the upkeep of the common areas? Will the food service areas remain open just to service a subset of the current OKW population?

    I'll admit I don't know the answers to any of these questions, but if I were contemplating buying an extended OKW contract, I'd be giving these uncertainties more than a little bit of thought.
     
  6. _auroraborealis_

    _auroraborealis_ I like marshmallows. And adult beverages.

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    Disney do not sell 2042 OKW because technically, every OKW contract goes to 2057 whether someone took the extension or not. They legally messed up, because in extending the land lease they extended everyone, period.

    People who sell 2042 contracts that make it through ROFR have to sign all the stuff from the extension opting out. And even those documents may be legally subject to challenge in 2042.

    So Wanting to try to get a 2042 and wash ome's hands of the mess that is going to happen, leaving half the resort either held by Disney or in legal limbo? There is some sanity to such a desire.
     
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  7. heynowirv

    heynowirv DIS Veteran DVC Gold

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    In 2009 or so( I actually don't remember what year it was) we were offered the chance to extend our contract to 2057 .The price was 15 $ pp to do that .I believe most of us here turned that offer down.I will be 88 and my DW 83 when OKW contract's expire and will be fine with that
     
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  8. chalee94

    chalee94 <font color=green>I thought all sand was ground up

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    I agree that you are paying more to take on more risk. Owners of OKW-2042 may find themselves with a free extension in 2042 but I will be old enough that I won't care...
     
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  9. miTnosnhoJ

    miTnosnhoJ DIS Veteran

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    I think the supply of 2042 resale is much greater than extensions, because most owners did not purchase the extension. If you are buying resale, that could be your only choice.
     
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  10. msjprincess

    msjprincess DIS Veteran

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    We bought a 2042 resale. I didn't come across many if any extended contracts when I was searching. One of the reasons I bought OKW is the price. If I was going to spend an extra $20 per point I would probably buy somewhere else. I also purchased at SSR for about $10 more than OKW. The end date doesn't really bother me. I'l be almost 80 in 2042. I may or may not still be interested in WDW.
     
  11. lovin'fl

    lovin'fl DIS Veteran

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    Glad there are people who don't mind the 2042 OKW as I am just listing my contract.
     
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  12. Jerry@dvcstore

    Jerry@dvcstore DIS Veteran Approved Advertiser

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    A common reason I hear why people choose the 2042 over the 2057 is they don't want to own DVC that long. The 23 years remaining is enough vacations for what they are looking for.
     
    Last edited: Apr 17, 2019 at 10:23 AM
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  13. skippytx

    skippytx Bay Lake Tower

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    I've always thought one of the advantages of DVC no one really considers or talks about is that it actually ends. I'll be in my mid 70's when BLT expires and I would bet I don't own it that long unless my kids want it. Other timeshares, from my understanding, never ever end and are difficult to get out of.
     
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  14. KAT4DISNEY

    KAT4DISNEY Glad to be a test subject

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    I've always considered it a "benefit".
     
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  15. GrumpyInPhilly

    GrumpyInPhilly Mouseketeer

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    Agree completely. We own at BCV and will be in our mid-80s in 2042. That'll be enough.
     
  16. miamimama

    miamimama Fan of the Hurricanes - Carolina and Miami

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    Same here - at BWV - although Sometimes I think about selling now because I don’t want my child to be stuck with the maintenance fees in 10 years when we’re in our 70s and I doubt if anyone will want to buy BWV or BCV at that point.
     
  17. KAT4DISNEY

    KAT4DISNEY Glad to be a test subject

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    Why do you think people won't want to buy for accommodations next to one of the busiest themes parks in the world? The price may be less but I don't believe it will disappear.
     
  18. lovin'fl

    lovin'fl DIS Veteran

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    So I contacted broker to list and my contract is still not listed on their website....4 days later. How long does it take?
     
  19. cedricandsophie

    cedricandsophie DIS Veteran

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    We just bought 275 OKW points that expire in 2042. We are already 70 and have over 1400 points but none at OKW. And that has turned into our favorite resort. We wanted to be sure to be able to get our annual two weeks there at 11 months. We are in our 70s so the 2042 date doesn’t bother us. We are leaving all our points in our trust to our adult disabled daughter with the caveat they be used for her benefit every year. If Disney offered us an extension for OKW we might do it. Hard to believe they will just disappear in 2042 but we hope to be alive and still active then. For us it just made sense especially at the price. Now just waiting for Disney to clear our sale.
     
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  20. KAT4DISNEY

    KAT4DISNEY Glad to be a test subject

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    I believe that most brokers verify with Disney the details on the contract so it might be a little dependent on their response time. At least when I've sold on the past that had been something they did after experiencing incorrect listing info at times.
     
  21. miamimama

    miamimama Fan of the Hurricanes - Carolina and Miami

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    Maybe not. I’m not really sure as to how the expiration date will affect resale when it gets within 10 years of the expiration date.
     

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