What are additional expenses for DVC?

[Johnnie Fedora]

I've read the FAQ for DVC, but would like more info--as in the following example:
If I purchased 200 points (using current price), what are the expenses, property taxes, and any other yearly fees involved in ownership? Both at time of original purchase and the yearly costs?
We are expecting the BCV to be more money (under $80 per point?), and, we're trying to consider all of the costs of DVC ownership.
Your input is greatly appreciated!

 

[NJParkhopper]

Hi, Johnnie. The only other cost you will have are monthly dues which vary from resort to resort. Your dues can be between 45 to 50 some-odd dollars. Dues can change but do not undergo radical adjustments. At the BCV's, they'll be more than VWL. Disney picks up the misc. closing costs. If you plan to stay at a non-DVC property, you pay a 75 dollar fee for these types of reservations. Other than that, you're all set.

 

[NJParkhopper]

Sorry, Johnnie. One other thing... at the time of closing, your dues and payments are pro-rated because depending on when you buy. Your taxes are a percentage by the way, of your dues. Best wishes as you consider buying.

 

[WebmasterDoc]

No details about BCV have been released yet, but annual maintenance fees (which can be paid on a monthly basis- as indicated above) currently range from $3.12 per point to about $4 per point- depending on the resort. These fees include all taxes, service fees, operating expenses and maintenance costs for the resort. They have averaged approximately a 3% increase each year, but have decreased the past couple of years. For 200 points, annual fees will be around $625- $800 (again- no details yet about what they may be at BCV).

Hope this helps!

 

[ripleysmom]

Johnnie, if you buy direct from Disney, there are no closing costs, just the purchase price of your points. Thereafter you have annual dues that range from $3 to $4 per point.

 

[Caskbill]

As stated, your dues will be between 3.15 and 4.00 per point, depending on which resort you purchase at. (OKW is lowest, BWV/VWL are highest, with HH and VB in between.) Dues are annual, Jan thru Dec, and are independent of your use year. Dues for your first year would be pro-rated, so if you purchased at the end of July, you would have 5/12th (Aug-Dec) of your annual dues to pay. You may pay dues in one lump sum annually, or you may pay monthly via a Disney direct draft from your checking/savings account.

Property taxes are included in your dues. Disney estimates the yearly taxes, and collects them, and then makes an adjustment at the end of the year when actual taxes are paid. In the past, Disney has always overestimated taxes, so the adjustment has always been a rebate automatically applied to your next year's dues. (For example, they may have estimated $200 for the year, and collected $200, but only had to pay $180. So the $20 would be credited toward the next year's dues.)

If you buy from Disney, you will have no closing costs so the only thing you would have to pay would be your down payment (if you finance) and your pro-rated dues.

Also remember, that if you itemize on your income taxes, then the portion of the dues that are for property taxes are deductible. Also, if you finance, the finance charges are most likely deductible. (This assumes you have no other finance charges on other properties aside from your main residence. I believe the IRS allows deductions for only one vacation property at a time)

If you purchase resale, you will need to arrange your own financing, and pay the entire sale amount at closing. Also, depending on what type of 'deal' you make with the seller, you will also probably wind up paying all closing costs (assume $500 here), and reimbursement to the seller the dues already paid for the remainder of the year. (You would only pay this if there are still points available for the year. How points are banked or borrowed determines your negotiations for what dues should be paid by whom for which points, etc.)

 

[Johnnie Fedora]

Thank you to all who replied. This board really helps gather information faster than numerous calls to DVC information and all have been very generous with posted replies.

I have thought of more questions that I would like to add to this thread.

For anyone who has purchased directly from Disney....What is the going interest rate (I know this is probably variable with prime rate) that they charge if you finance through them?? And how much down....a fixed amount or percentage??

Thanks in advance.........Johnnie

 

[Goofy&Sleepy]

I believe the going rate is about 10.9% and $500 down minimum.

 

[KNWVIKING]

Don't forget the $$$ for DVC hat, DVC t-shirts,DVC golf shirts, DVC robe,DVC luggage, DVC coffee mug,DVC shot glass,DVC....................................................... :-}

 

[BillM]

As you indicated the interest rate changes with the prime, and also DVC rates vary according to the length of the loan. The least finance and interest rate is for 1 year loans.(the only one I have used). I think they have 3,7 and 10 year rates. Call DVC for the current rates.

 

[BillM]

Also I forgot one other thing. If you use direct draft of your banking account the rate is less.

 

[PamOKW]

Of course we are all just guessing about BCV but I think expecting under $80 per point might be wishful thinking. I'd plan on at least $85 per point and be pleasantly surprised if it comes in under that.

 

[Richnj]

Can we refinance with Disney? I'm paying 9.somthing for 10 years. This was back in feb of 98.