Riviera Resale Potential

[Thegoatfeeder]

Hey guys, firstly just wanted to say how useful this site/forum has been over the last few years, me and my girlfriend have pretty much relied on it for various trips we’ve taken to Disney.

Ok, so my question and I’m massively sorry if this comes up all the time, but I might just be missing the relevant threads.

Me and my GF are in the process of decided which DVC resort to pick for our home, we’ve never been members and had points before so we’ve been doing tonnes of research. We live in the UK so would be visiting WDW every 18 - 24 months and are looking to buy at the 150 point level meaning we have 300 points to spend every other year for a 10 to 14 day trip.

Finally made it to the question! Our leading choices are Riviera or Copper Creek both direct through Disney (our advisor has told he we can get 150 points at CC for the same price as 150 at Riviera). Initially we settled on Riviera but I’m worried about the resale market, am I right in thinking that if we decide to sell our contract in 10 years time for example that anyone buying it would only be able to see use them at the Riviera resort as opposed to the other 14, where as if we sold a CC contract it could be used anywhere BUT Riviera (or other new resorts).

My assumption is that it would be much harder to sell Riviera contracts in the future if that’s the case than say a Copper Creek one which offers points to be used at numerous resorts as opposed to just a couple.

Any feedback would be massively appreciated!

 

[crvetter]

Not sure how you would get CCV ($220 a point) for the same price as Riviera ($188 a point). At 150 points for Riviera you would also qualify for $500 incentive but I wouldn’t let that have you decide.

Also are you paying cash or financing. If cash I would break the contracts into 3x50 point contacts. If financing into 2x75 point contacts. I could be wrong and even with financing they might let you do the 3x50 point contracts. You’ll pay about 400 extra in closing costs with the 3 contract case and 200 extra in the 2 contract case. This allows you to downsize to pick up different resorts or to simply downsize. Also smaller contracts are worth a premium on the resale market to help mitigate what you are worried about. Currently the resale at Riviera seems to be in the 120-140 range. However, that is a super small sample size with basically no supply and a little demand.

Also depending when you want to sell (if you do) the pool of the L14 starts to shrink. In 2042 you lose 3 of the WDW resorts so as we get closer to that date CCV contracts should lose some value (same with all L14 resorts) cause 2 of the popular ones won’t be available to all resale buyers at that point (if everything goes as it currently is).

Also is there a reason for direct. CCV is much cheaper in resale then direct. With a plan of going every 18-24 months the AP discounts (main reason to go direct) won’t be useful especially with you qualifying for the UK tickets. The other reason is now access to new resorts (Riviera, Reflections and a small maybe a new Disneyland Hotel).

Also 150 at CCV goes much further than 150 at Riviera so you might need less or more depending. Consider the cost of the rooms too in the decision also trading at 7 months outside the summer is much harder than the guides make it out to be (fall is almost a no go for studios and 2 beds).

 

[jkips]

If you do decide to go with CCV let your advisor know why. Disney, making the changes they have, hurts all existing DVC members. As much as we all might like to think we’ll be enjoying our DVC points as much as we do now in 10 years or 20 years time, situations change and having a large and deep resale market provides all DVC holders with additional peace of mind and - I believe - more confidence to add more points. If I knew from day 1 that I was taking an 80% hit in value in buying DVC points like is the case with some other timeshare programs I wouldn’t have bought in. As is, if things stay the way they are now, DVC holders will be fine. The bigger issue/concern for me is the trend of these changes. Feedback to the sales force is essential.

 

[we"reofftoneverland]

Go resale and save thousands.

 

[we"reofftoneverland]

And yeah, riviera resale value will suck. I personally wouldn’t buy there.

 

[Soap_1984]

If you love riviera I'm not sure what your options are; I couldn't love a resort enough to pay 60-70 more a point for the same thing (ccv direct vs resale).

You have to do what you'll be happy with, but I wouldn't buy riviera either; personal decision but I don't love it enough to buy there, and buying there is a tacit approval of the resale restrictions which I am adamantly opposed to. If the choices really are what you mention above, I don't know why you wouldn't buy ccv resale and buy fewer points and have your one bedroom for less. I think ccv one bedroom sleeps 4 so look into that as well; I can't remember if you mentioned your normal party size.

 

[_auroraborealis_]

What draws you to these two very different resorts? Given the two involved, is it simply that they're what Disney is offering you that is not Aulani?

If so, steo back 10 steps and research if resale will work for you.

 

[Sandisw]

If resale value is a big concern for you, then I would probably stay away from buying RIV. No one knows what will happen, but we do know that due to restrictions, the pool of buyers interested in purchasing there on 5he resale market will be much smaller than resorts with trading power into other DVC resorts,

Smaller buying pool = having to sell for a lower price.

 

[mustinjourney]

As someone else said, if the annual pass discount doesn’t help you (which based on your travel patterns would not), then you should really consider just buying resale.

 

[SG131]

I’m going to echo what everyone else said and repeat why direct?? I am a two hour flight away and I couldn’t justify the cost to buy direct. Coming all the way from the UK it would be really tough to get enough use out of the benefits to make up the difference in cost.

 

[Thegoatfeeder]

Thanks everyone for the replies, that’s massively helpful.

My instinct is to avoid Riviera, purely because I am not comfortable with how Disney has acted in regards to it and secondly because as others have mentioned I have no clue how my travel patterns have changed.

I personally have wanted to do Copper Creek resale salon opposed to anything direct but my girlfriend is concerned about missing out on newer DVC resorts that we wouldn’t have access too etc, I think it’s something we’ll have to discuss again though because the savings are obviously massive

 

[Cyberc1978]

I assume you have been looking at CCV or DRR because thats what Disney offered?

Direct or resale there are more options available with resale being the more affordable choice.

If you are going every 18-24 months then the direct perk of an annual pass does not matter. The Annual pass discount is the reason why most buys direct.

If you are looking for a resort with a cheaper buyin price then SSR or BLT could be an option. You didn't mention what time of year your are going, so I assume during Summer during which will have most resorts available at the 7 months mark. If you tend to go during fall then the available resorts will be much more iffy and you need to buy where you want to stay.

In any case, i'd recommend doing some more research.

 

[Thegoatfeeder]

Yeah I think we need to look into resale even further. AP discount is definitely not relevant to us, the only benefit of buying direct is access to Riviera and future DVC properties, that seems unlikely to make up for the price difference!

 

[we"reofftoneverland]

Kl

Yeah I think we need to look into resale even further. AP discount is definitely not relevant to us, the only benefit of buying direct is access to Riviera and future DVC properties, that seems unlikely to make up for the price difference!

we were in your shoes a couple of years ago. We were not comfortable with resale and thinking about buying around 250 points direct. Well we started reading more and more. It took me a while to convince my husband to go resale. But we ended up going that way and getting almost double the points. The price difference between direct and resale is literally insane. One thing to think about is if you are going once every about 2 years, 14 resorts to choose from is a lot. You will only be able to go to each one a few times in your lifetime.

 

[_auroraborealis_]

And, arguably, if a new resort becomes something you must have, the savings from resale would allow you to buy a smaller contract at such a place a few years on, and bank and borrow for split stays.

 

[holden]

I too recommend resale. Which resorts have you stayed at? I also recommend vacationing at a resort before buying. You have to buy where you would not mind staying. You'll be booking your home resort 11 months in advance and trying to move to a different resort (if you want) at 7 months out. What if there are no other resorts available? What if you don't have enough points to move to a different resort? Ultimately you have to be happy with your home resort.

You didn't specify if you have kids, but if you do or plan to, consider that in your decision. Think about how you'll travel to Disney in 10, 15, 20 years. With two teen girls in our family, BLT is the perfect fit for us. We get 2 bathrooms in the 1BR unit and they can walk to MK on their own. We let them take Disney transportation too, but it's nice that they can walk there. When they were little, a hotel room was fine for the 4 of us. Now we need more space.

If you buy Riviera, you may have difficulty selling your points (or at least sell them for much less than you'd like) should you decide to do that. The restrictions alone on Riviera resale points would keep me from ever buying there.

Personally, BLT is the best value for us. Walking to MK (priceless after the fireworks when everyone else is waiting for transportation), extra bathroom in the 1 and 2BR units, easy access to the Contemporary and Top of the World Lounge, beautiful lake views, many dining options on the monorail...it has a lot to offer. SSR is another lower cost option too. It's not one of our favorites, but it has an attractive price point.

Best of luck with your decision!

 

[jerseyduke]

I would personally not touch Riviera, at least at this point in time.

1. The resale restrictions. It is still unclear how they will affect the resale prices. Maybe they wont really have much of an effect. To me, it is just too risky, and you could be buying an asset what will depreciate a lot. It is just too risky in my eyes. I like that my 2 contracts can sell for the same amount (more actually) than I paid for them. Hopefully you wont have to sell, but life happens, and DVC is an asset that you can convert to cash if needed. A poll on this site has more people thinking the resale price will be about 90-100$. If thats right, that is a huge drop.

2. Have you been to the resort? Do you like the vibe? It may be fantastic, I really do not know. But for me, I need to at least go to a resort and experience it if only for a few hours to get a feel for it.

3. The studios that sleep 5 now sleep 4 - so there is clearly construction concerns (that will probably pass) -

RESALE

ETA: the studios still sleep 5. I was making light of the fact that all the murphy beds are now out of order. Guests are being instructed to call the front desk if they had planned on using that bed for alternate arrangements.

 

[we"reofftoneverland]

I would personally not touch Riviera, at least at this point in time.

1. The resale restrictions. It is still unclear how they will affect the resale prices. Maybe they wont really have much of an effect. To me, it is just too risky, and you could be buying an asset what will depreciate a lot. It is just too risky in my eyes. I like that my 2 contracts can sell for the same amount (more actually) than I paid for them. Hopefully you wont have to sell, but life happens, and DVC is an asset that you can convert to cash if needed. A poll on this site has more people thinking the resale price will be about 90-100$. If thats right, that is a huge drop.

2. Have you been to the resort? Do you like the vibe? It may be fantastic, I really do not know. But for me, I need to at least go to a resort and experience it if only for a few hours to get a feel for it.

3. The studios that sleep 5 now sleep 4 - so there is clearly construction concerns (that will probably pass)

RESALE

The RIV studios now sleep 4?

 

[sethschroeder]

No one seemed to address this. Are you splitting the cost with your GF?

I know not everyone gets married these days so not judging as you could have been together for 20 years.

Remember you are putting a rather large amount of money in to something that lasts 50 years. I would suggest splitting the points down the middle in to smaller contracts.

If you are just paying for it keep it just in your name.

 

[CanadaDisney05]

I personally have wanted to do Copper Creek resale salon opposed to anything direct but my girlfriend is concerned about missing out on newer DVC resorts that we wouldn’t have access too etc, I think it’s something we’ll have to discuss again though because the savings are obviously massive

What we did was split our purchase. We needed about 200 points on average for our stays (we want to try all of the resorts, and some are more expensive than others). We bought 75 direct, and 125 resale. With 75 direct, we can bank and borrow which would give us 225 points every 3 years to stay at a "new" resort. So we ended up saving a boat load of money on the resale contract, but still have access to the new resorts. The only limitations is that we can only go to the new resorts once every 3 years (or split stay).