How many years before V1 DVC resale is worthless?

The last set of points will be awarded in 2041. Someone with a Feb UY might borrow those points for a stay in early February 2040. So the earliest a contract will be worth absolute zero (even for its owner) is Feb 2040. *
I think the last year at least, possibly the last two DVS might remove the possibility to bank points. They cannot remove the possibility to borrow, otherwise people with a Dec UY would have just 2 months to use their 2041 points and they would have to compete with every owner who didn't use their last set of points earlier in the year.


* Just a thought: someone using this strategy might stop paying dues in 2040 and 2041. DVC cannot freeze their account anymore because it's empty. They might ask to pay the dues in advance in order to borrow points in the last two years.
 
Last edited:
The last set of points will be awarded in 2021. Someone with a Feb UY might borrow those points for a stay in early February 2020. So the earliest a contract will be worth absolute zero (even for its owner) is Feb 2020. *
I think the last year at least, possibly the last two DVS might remove the possibility to bank points. They cannot remove the possibility to borrow, otherwise people with a Dec UY would have just 2 months to use their 2021 points and they would have to compete with every owner who didn't use their last set of points earlier in the year.


* Just a thought: someone using this strategy might stop paying dues in 2020 and 2021. DVC cannot freeze their account anymore because it's empty. They might ask to pay the dues in advance in order to borrow points in the last two years.
I know the years are typos and that you meant 2041 and 2040....
 
Not to be daft but what does "sell off" mean in this context. As in, they would no longer be locations available for people to stay?
Yes, exactly. As of January 31, 2042, DVC members who owned points at VB and HHI will no longer have any ownership at those resorts, and Disney will be free to close the resorts and sell the land and buildings to whomever they choose.
 


Not to be daft but what does "sell off" mean in this context. As in, they would no longer be locations available for people to stay?
DVC would sell the properties to someone else once the DVC obligation expires. Hilton, Marriot or some other hotel would be the buyer and the property would no longer have any ties to Disney.
 
It's my understanding that the extension @ OKW applied to all the rooms, even if the current owner didn't buy the extension. Any OKW bought direct is now a 2057 expiration date. There are some owners who bought a 2042 contract, and never replied to the extension - they didn't refuse it or accept it, and so now they are kind of in limbo. I assume they won't get to use the contract past 2042, and that all those will be repo'ed or whatever legal process is required to put those contracts back into Disney hands, and they'll have another 15 years to sell.
 
We bought BWV in 2000 and 2011.......250 and 50pts....direct....no loans......We have brought our kids,their spouses and grands all that time...sometimes just hubby and I...I can bearly think of selling, although hubby is open to it....I say let it run out , with the BW location it will always be easy to rent out the points...right now we are 74 and 79 this year.... Twenty years or so left...is a long time in my opinion....
 


There will be value until the last points available have either been used or expired. My guess is that points are more likely to have rental appeal rather than resale value the nearer we get to expiration. Imagine what room rates will be in 20 years at Disney.
 
Not to be daft but what does "sell off" mean in this context. As in, they would no longer be locations available for people to stay?

Correct, in 2042 they revert back to Disney and could be sold. And before then if the management of the resorts were changed to someone else other than DVC they also could be removed. Very unlikely to happen but could be done.
 
I know a lot of people who OWN the 2042 resorts are wondering how it will end , but how about this ............

What happens to all the DVC owners who own at the later expiring resorts in 2042 ?!?!? :crazy2:

In one instantaneous date on the calendar , what is it , January 31 2042 ???
ALL of the 2042 resorts will be gone from the vacation pool ! (except OKW ) .
Thats 3 WDW resorts , plus HHI and Vero Beach .........GONE !
  • Disney's Beach Club Villas.
  • Disney's BoardWalk Villas.
  • Boulder Ridge Villas .
  • Disney's Hilton Head Island Resort.
  • Disney's Vero Beach Resort .


At least OKW, will hang on for a while , but what will happen with it ? Thats a very large resort to fill with mostly 7 month bookers at that point . Perhaps they will change the OKW 11/7 rule at 2042 ? Can they close half the resort ? Curious to see what happens with OKW !

Just something to think about for all of us non 2042 DVCers !
 
I know a lot of people who OWN the 2042 resorts are wondering how it will end , but how about this ............

What happens to all the DVC owners who own at the later expiring resorts in 2042 ?!?!? :crazy2:

In one instantaneous date on the calendar , what is it , January 31 2042 ???
ALL of the 2042 resorts will be gone from the vacation pool ! (except OKW ) .
Thats 3 WDW resorts , plus HHI and Vero Beach .........GONE !
  • Disney's Beach Club Villas.
  • Disney's BoardWalk Villas.
  • Boulder Ridge Villas .
  • Disney's Hilton Head Island Resort.
  • Disney's Vero Beach Resort .


At least OKW, will hang on for a while , but what will happen with it ? Thats a very large resort to fill with mostly 7 month bookers at that point . Perhaps they will change the OKW 11/7 rule at 2042 ? Can they close half the resort ? Curious to see what happens with OKW !

Just something to think about for all of us non 2042 DVCers !
Well, since the 2042 resorts won't be available to trade into, the owners of the later-expiring resorts will just have to be content to trade into those remaining resorts, or (here's a shocking thought) just book and stay at their own resorts. Hopefully they bought where they don't mind staying....
 
I know a lot of people who OWN the 2042 resorts are wondering how it will end , but how about this ............

What happens to all the DVC owners who own at the later expiring resorts in 2042 ?!?!? :crazy2:

In one instantaneous date on the calendar , what is it , January 31 2042 ???
ALL of the 2042 resorts will be gone from the vacation pool ! (except OKW ) .
Thats 3 WDW resorts , plus HHI and Vero Beach .........GONE !
  • Disney's Beach Club Villas.
  • Disney's BoardWalk Villas.
  • Boulder Ridge Villas .
  • Disney's Hilton Head Island Resort.
  • Disney's Vero Beach Resort .


At least OKW, will hang on for a while , but what will happen with it ? Thats a very large resort to fill with mostly 7 month bookers at that point . Perhaps they will change the OKW 11/7 rule at 2042 ? Can they close half the resort ? Curious to see what happens with OKW !

Just something to think about for all of us non 2042 DVCers !

It still won’t be like it was for the original OKW owners who had a single resort to stay at.

When we bought there were 8 resorts total with 6 of those onsite. Now there are 15 and they are starting 16 and 17. For what we know as announced that leaves 12 after 2042 if you include Reflections and 9 of those are onsite at WDW. OKW, SSR, AKV, BLT, VGF, PVB, CCV, RIV, Reflections, Aulani, VGC and the new DL Tower. It’s likely it will keep going too so I don’t know that non-2042 owners have too much to be concerned about.
 
I think Disney will do something prior to 2042 to give at least existing direct owners a chance to re-up in some form or another. Why? Because there is no way they will allow all of those properties to sit vacant for any length of time.

That in mind;
Would you rather own a (forgive me) timeshare that will expire as you get older or would you rather own one that never expires? Personally, I'd rather not hand that obligation off to my kids.
 
I think Disney will do something prior to 2042 to give at least existing direct owners a chance to re-up in some form or another. Why? Because there is no way they will allow all of those properties to sit vacant for any length of time.

That in mind;
Would you rather own a (forgive me) timeshare that will expire as you get older or would you rather own one that never expires? Personally, I'd rather not hand that obligation off to my kids.
Absolutely agree..not handing obligation off to the kids....One family would be able to pay dues each year the other vacataons differently...Although about every year some of the family goes with hubby and I....
 
To answer the OP;
The rule-of-thumb that I am hearing in podcasts and youtube videos from the resalers themselves is the value will start to drop off at 10 years from expiration. Looking at numbers, that makes sense. For example, I bought enough points for a 5 night stay in a 1 br in BLT every year. That's 160 points, running about $150/point right now, $150 x 160 = $24,000. So now lets say the rack rate on that room is $500/night (good luck getting a deal that good). $500 x 5 nights x 10 years = $25,000. So, sure, the price per point is going to fluctuate, annual dues, inflation on the room rate, etc. but it gives you a feel for the value of the contract @ 10 years from expiration. I think from that point on you have to start talking about the value of the stays that are left on the contract rather than recouping your cash outlay and coming out ahead if you sell.
 
I can not find a rational path that allows DVD to not do something significant well before 2042 This is because DVD did not stagger expiration at 50 years like they do now for the first 6 resorts which boxes themselves in due to the magnitude of the problem. I do think that VB could just be shut down and sold off at 2042 due to the high maintenance due the small size, though with 1.6 m points if they could sell them at a reduced cost it could generate about 250M so maybe even that will not happen.

The remaining 2042 points is about 17 M. or about 3,000 hotel room equivalents. In planning for this DVD has to be prepared that this could occur in a weaker economic period where only a small percentage of those rooms could be let out as cash and similarly at 100K in point sales per month, that would take more than 14 years to sell out. Even in strong times cash reservation without damaging WDW's price structure could only be a limited percentage of these rooms could be expected to be reserved. Even with very strong point sales and assuming new resort construction stops it would take 6 yo 8 years to sell all these points (200k+ per month)

Leaving a thousand or more rooms empty for years is simply not practical.

For DVD the good news is that with limited additional investment DVD will gross 3 Billion in today's dollars from the 2042 rollover even if it is done in roll over based on 50 year of extended use
 
Last edited:

GET A DISNEY VACATION QUOTE

Dreams Unlimited Travel is committed to providing you with the very best vacation planning experience possible. Our Vacation Planners are experts and will share their honest advice to help you have a magical vacation.

Let us help you with your next Disney Vacation!









Top