Just a thought..........

[Jaga]

With the current economic climate in the US .....lower interest rates, a volatile stock market and apparent impending recession, has anyone considered investing in DVC.

Just a thought......with confirmation of VEP in 2004 and general agreement that points will cost about $100 at this time, buying DVC resale now for <$65 a point incl closing (full complement of 2001 points) should be a reasonable investment.....(I know the purchase of timeshare property should not be considered an investment........)

My thinking

Resales probably sell for about 15% less than DVC directly (with full complement of year points) and there is a 12% (Timeshare store) broker fee.

Therefore 200 points at $65 = $13000 purchase in 2001.
200 points sold at $85 (est DVC direct $100) in 2004) = $17000.
Minus comission of $2040 = $14960

.....or a small profit of $1960 and 200 points a year for 2001, 2002 and 2003 for only the maintenance fee of approx $4 a point

Any takers......any flaws in this investment advice from across the pond

Jaga

 

[Niki & Mini]

I agree with you that any timeshare shouldn't be looked at as an investment. However, we were thinking the same thing. We bought one through the Timeshare Store last year at $52 per point, it looks like if we sold it today we would possibly make close to $2500. after commissions (conservative). In addition I estimate we used approx $3500. worth of DVC vacations with our points this year. This happened during the same year we lost substantial amounts in our "real" investments. We are in the process of purchasing another DVC timeshare!