Poll: Your Riviera Resale price

[Lyusuf27]

In my opinion it should be priced at less than SSR. The reason is the lack of flexibility, I’d probably be happy staying in only Riviera but that would depend if I could guarantee getting a reservation there. If it has the same problems booking studios as CC it could turn out to be a real issue for many of they can’t stay anywhere else, at least with resale at the others you have other options if you can’t book where you want

 

[EYL]

You are correct. I tried to buy a contract from him a few years ago. It got taken by ROFR, but he did mention that he and family members buy and flip DVC contracts.

I just saw a post on the RIV resale broker's FB page introducing the people in her company. Seems like he's the owner of the company. Unless its a same name, different person scenario...

 

[TexasChick123]

I just saw a post on the RIV resale broker's FB page introducing the people in her company. Seems like he's the owner of the company. Unless its a same name, different person scenario...

That’s him. Interesting...

 

[skier_pete]

I just saw a post on the RIV resale broker's FB page introducing the people in her company. Seems like he's the owner of the company. Unless its a same name, different person scenario...

Yes - the owner of the company bought the RIV contract for $100 - likely to flip it. Not sure what I think about dealing with a company that's going to low ball me to make a profit.

 

[JimC]

I doubt I would pay anything for that property because I have no use for it. But if I were interested, I would wait until there is a much more robust resale market for it and then make offers at low end or below. Patience is the key word.

 

[Katie2]

I have to agree with so many who have commented, but as someone who is kind of considering buying direct, I could never pigeon hole myself. I want to be able to not only experience many Disney World DVC properties, but also great places like Vero Beach, Hilton Head, and especially Aulani. For me, part of the appeal of a DVC contract over a typical timeshare is the fact that you get options and flexibility.

Ummmm you can still do that with MOST resale contracts...

 

[badeacon]

Yes - the owner of the company bought the RIV contract for $100 - likely to flip it. Not sure what I think about dealing with a company that's going to low ball me to make a profit.

I agree, the owner should not be bidding on a listing after publicly listed.

 

[DaveNan]

We bought our first contract through one of the smaller brokers. Turns out the person we purchased from was the owner of the brokerage. He also owns a rental company. I think he buys loaded contracts, rents the points, then resells the contracts. As the buyer, I agreed to a price and have always been happy with my purchase. The agent never shared I was buying from the owner and even always talked about the owner like they were a true 3rd party in the negotiations and contract dealings. In the end, the transaction went smoothly and the property was fairly represented, so I am not upset at all. If I was the seller, and the agent "pushed or convinced" me to settle, I might be upset. I hired the agency to represent my interests, and they were really representing someone else's interests. Now, if the agency shared the potential conflict of interest and the seller still decided to accept the offer, I have no problem with it.

 

[PSUDinsey]

How would a flip work on this? Rent the points for a year and hope the resale price hits over 120 next year?

 

[crvetter]

Yes - the owner of the company bought the RIV contract for $100 - likely to flip it. Not sure what I think about dealing with a company that's going to low ball me to make a profit.

And got their 8-10% commission too. This essentially says that the brokers involved in this transaction believe that the contract is worth well above $90-95, which is really the net cost to them when you factor in the commission. I have to wonder if this was really just a "marketing" ploy by a new company to get their name out there, something I wondered when the whole "I can't say what it sold for because my client would be mad; however, I can tell you it was much less than asking" which seemed contradicting. Also are timeshare brokers in Florida licensed real estate agents (I think that is true) thus this purchase seems rife with conflicts of interest, I hope the seller was made well aware the situation.

Also I wonder if he tries to rent out the points if DVC will catch it. As this seems directly against the spirit of the rule that points are not to be utilized for commercial purposes, thus renting points out on a contract to immediately flip seems like a commercial purpose to me.

 

[Katie2]

And got their 8-10% commission too. This essentially says that the brokers involved in this transaction believe that the contract is worth well above $90-95, which is really the net cost to them when you factor in the commission. I have to wonder if this was really just a "marketing" ploy by a new company to get their name out there, something I wondered when the whole "I can't say what it sold for because my client would be mad; however, I can tell you it was much less than asking" which seemed contradicting. Also are timeshare brokers in Florida licensed real estate agents (I think that is true) thus this purchase seems rife with conflicts of interest, I hope the seller was made well aware the situation.

Also I wonder if he tries to rent out the points if DVC will catch it. As this seems directly against the spirit of the rule that points are not to be utilized for commercial purposes, thus renting points out on a contract to immediately flip seems like a commercial purpose to me.

I thought the same thing...this seems like a marketing ploy if I’ve ever seen one. Cheap way to get on all the DVC blogs and boards, because right now they are everything everyone has been talking about for the last month. Nonetheless, I think it backfired. Who in their right mind would use this company after they obviously did not serve their client’s interests? Disturbing.

 

[Randywatson79]

Sorry if I missed it, but which agency sold it? Or where can I look it up? I'd probably want to avoid them in the future.

 

[crvetter]

Sorry if I missed it, but which agency sold it? Or where can I look it up? I'd probably want to avoid them in the future.

DVC Shop was the agency.

 

[KAT4DISNEY]

I only got into DVC last year, but is it typical to see resells before a resort even open? Is this just a case of someone purchasing direct, that got caught up in the moment? Just curious.

Yes it has. It because life happens or just people getting caught up in the emotion of a happy vacation and signing up then and there. And the further in advance that DVC starts selling then the more likely it is. I think this may have been the fastest though followed by a VGF contract. Other resorts have been anothe month or two longer before the first resale’s showed up. PVB was sold on such a short time frame before opening that I don’t think it had one show up before opening but I think there were contracts sold that were never used so in general it’s the same.

I have to agree with so many who have commented, but as someone who is kind of considering buying direct, I could never pigeon hole myself. I want to be able to not only experience many Disney World DVC properties, but also great places like Vero Beach, Hilton Head, and especially Aulani. For me, part of the appeal of a DVC contract over a typical timeshare is the fact that you get options and flexibility.

A resale at one of the original 14 resorts gets you trades into all the ones you list and for much less than direct prices in many cases. And there are always ways to stay at the new resorts - you don’t have to own there to stay there. Rent out your points and rent Riviera points. Transfer in points. Rent your points and pay cash. Or just pay cash for the odd stay. With so many other locations to also stay at it would be years and many vacations before you’d gone thru all of them that you qualified to stay at with resale points and the “next one” on the list to not run into a repeat would be Riviera or a different not yet built Resort. And by that point you might want to try and revisit resorts you liked from the first stay and be just fine not stayed not staying at the new. But still, not owning qualified points doesn’t mean there isn’t someone to stay there too. And too, if you found you absolutely loved one of the new resorts and wanted to stay there always you could sell what you own and buy where you want to stay and you’ve not lost the direct price premium if you do so. Your not locked into any contract until it’s end if you don’t want to be.

 

[skier_pete]

I don't usually like to hawk the show on the various threads on the DISboards, but in this particular episode - I actually invoke the results of this poll on the show - so I thought folks here might be interested in the discussion. There''s some conversation of the first resale contract that's been talked about as well.

 

[Jiminy76]

Given the circumstances of this sale it is tough to say this is the true market value of RIV resale. Will need to see another 2 - 3 sales to start to get a feel for the market. After the resort opens it will be interesting to see if there is a change either up or down on pre opening resale prices that may come up in the next few months prior to opening.

I know there has been speculation of walking back the restrictions. I am highly doubtful this will occur or it it does the decision will need to be made sooner than later by DVC, as I could see people who sold prior to the restriction being lifted would have cause for a lawsuit against DVC if the resale prices rebounded after the restrictions were lifted. Each resale that happens prior to the walking back of the restrictions could be a potential lawsuit against DVC if the wait too long.

 

[Katie2]

Given the circumstances of this sale it is tough to say this is the true market value of RIV resale. Will need to see another 2 - 3 sales to start to get a feel for the market. After the resort opens it will be interesting to see if there is a change either up or down on pre opening resale prices that may come up in the next few months prior to opening.

I know there has been speculation of walking back the restrictions. I am highly doubtful this will occur or it it does the decision will need to be made sooner than later by DVC, as I could see people who sold prior to the restriction being lifted would have cause for a lawsuit against DVC if the resale prices rebounded after the restrictions were lifted. Each resale that happens prior to the walking back of the restrictions could be a potential lawsuit against DVC if the wait too long.

There are no grounds for a lawsuit as the contract explicitly provides for the restrictions. If DVC would like to roll back the restrictions, they are in their full right to do so. However, this will only happen if it benefits their pocket.

 

[Drewferin]

Im waiting on the total July sales data to be posted for DVC. It should be interesting to have another full month of sales to see trends.

 

[skier_pete]

I fully admit that it is way too early to tell anything. I honestly think even if sales are slow there's an argument to say that this is because the resort doesn't actually exist yet and people are waiting for it to open. Unlike CCV, PVB, and VGF that were at existing resorts - this is really nothing more than a sample room and some drawings. Once it opens will be the true test that will decide where Disney goes with this.

I thought about the lawsuit issue, but @Katie2 is completely right - Disney will pull out the "Change was made due to member demand." and any members that sold beforehand will just be hosed. But I have to say that anyone that buys and sells a DVC property before it even opens is either (a) under extreme duress or (b) a real knucklehead.

 

[Jiminy76]

I fully admit that it is way too early to tell anything. I honestly think even if sales are slow there's an argument to say that this is because the resort doesn't actually exist yet and people are waiting for it to open. Unlike CCV, PVB, and VGF that were at existing resorts - this is really nothing more than a sample room and some drawings. Once it opens will be the true test that will decide where Disney goes with this.

I thought about the lawsuit issue, but @Katie2 is completely right - Disney will pull out the "Change was made due to member demand." and any members that sold beforehand will just be hosed. But I have to say that anyone that buys and sells a DVC property before it even opens is either (a) under extreme duress or (b) a real knucklehead.

Yes they do definitely have the upper hand as the contracts basically allow for them to change what ever they wish for the most part. I can still see people trying to bring suit against them given this change could have a direct effect on the resale value should they decide to walk back the restrictions. More than likely these suits would not go anywhere, but they would still have to deal with them within their legal department. We have people bringing suit against Disney now stating they should know the path of migratory birds and claiming this makes them liable for injuries sustained by birds, so this would defiantly ruffle some feathers with people who already sold prior to any walk back.