Use Year Questions

[BruinEd03]

We are thinking of buying 100 pts direct and later add on resale (probably at Saratoga Springs). Before anyone asks: Yes, we are buying direct first for the perks as they are important to us. I also have no interest in resale restrictions at Riviera (and higher point totals). Yes, we are OK with staying at Saratoga Springs if necessary.

We would most likely travel to D-World around the week of Labor day, and potentially end of December. However, as a wrinkle, we may also occasionally consider a visit, either to D-World, D-Land, or HHI/VB in March (short 3 night trip to get away from the winter) or May (memorial day - though less likely than March). I don't think we would travel all that much to Disney Resorts in January, February, June, or July.

What is the optimal Use Year? I'm thinking August, and maybe June? If we wanted to add on later, it seems like June and December has a LOT of resale contracts. August, a little less. Does that factor into the equation at all? I mean we can just wait for the right contract to come along.

Also, if we buy direct, is the optimal strategy to buy before the use year month? E.g., if buying a June UY, then buy before June 2020 (April or May) to get 2019 UY points. Similarly, for an August UY, then buying before August 2020.

 

[Sandisw]

I’d say August is the optimal one for you. June UY is not good for Memorial Day.

That is what I started with, and ended up adding on a Dec UY for those May trips...

 

[D-Trick]

What is your timeline for adding on the resale? Within a year? Two? If you're looking to add on sooner rather than later, then I would recommend resale first because purchasing a direct contract to match an existing resale UY is generally much easier than the other way around. I don't see them raising the minimum from 100 anytime soon, but if they do they usually announce the changes in advance, allowing you time to jump on the current policies.

You are correct in that the ideal situation is to buy right before the UY month to get last year's points-- however, that would require that DVD/C has points available from the last calendar year. If you wanted to buy a June UY direct contract in May, then you're hoping that DVC exercised their ROFR on a contract that still has 2019 points. Most likely they'll tell you there is a waitlist, and as soon as June 1 hits, points will be available (not because they're being shady, but because they can now sell you 2020 points they ROFR'd which are more plentiful). DVC can now change the UY on points, but has to remain within the same calendar year.

 

[drusba]

Use year does not determine when you can go (which is always anytime of year) or when you can make the reservation (always 11 months out at home resort or 7 at others). As to ideal use year, the issue to focus on is the risk of cancellation of reservations and last banking date for points. If you have a usual time of year to go, then it is better to have a use year that begins a little before the time you go. Example:

Assume an August use year. If you usually go in Sep (or even Oct or Nov), the reservations you will make will be in the earlier part of the use year. Now assume you usually reserve Sep 15-22 at 11 months out. You could reserve that Sep 2021 time in Oct 2020 and use your Aug 2021 points as your "current" use year points for that trip at the time you make the reservation. Now assume in June 2021 something occurs that requires you to cancel that trip. If you do so, you will still have until July 31, 2022 to take a trip using those Sep 2021 points, and until March 31, 2022 to bank the points so you can use then in the Aug 2022-23 use year.

Now assume instead that you have an Oct use year and usually take that Sep trip. The "current" use year points for that trip in Sep 2021 would be those that begin in Oct 2020, and you make that reservation using those points. Now come June 2021, when you have to cancel, you are totally screwed. Those Oct 2020 points will expire by Sep 30, 2021 and you cannot bank them because you are beyond the eight month banking window.

Thus, the usual recommendation when you have a usual time for going annually is to get a use year that begins shortly before that usual trip time. However, if your time of going annually varies a lot or you typically do multiple trips many months apart then choice of use year loses its importance for the simple reason that you will likely have some trip where the cancellation/losing points issue can arise.

I agree with the above suggestion that if your intent is to purchase 100 points from Disney to get incidental benefits, and also resale, that you do resale first. Under DVC's current rules, you will then more easily be able to later purchase points from Disney in the same use year as your resale purchase, since Disney can change the use year of points it takes via ROFR when reselling them as new.

An additional point as to your decision is your mention of other resorts. If you intend to do Disneyland by reserving a studio at VGC at 11 months, you are likely to have some disappointments since VGC has a 7-month availability issue year round. Moreover, the same disappointment could occur for HH or VB if you want a studio Memorial Day weekend.

 

[4luv2cdisney]

August or September. Only go with September, if you never plan on starting your trip in August.
June is not good for your plans at all.

As for resale first, yes it can be ideal if you are open to several UYs but if you are spreading out your purchases and want the direct benefits, do direct first. SSR resale in a Aug or Sep UY won’t be a hard find and it really doesn’t matter if you buy resale first or later if you KNOW you only want ____UY.
If you want 2019 points on a direct buy AUG / SEPT UY, I’d call now or by April at latest. You can wait until the month before, but you’ll likely be screwed. Plus, you’ll want your points at least 11 months before your next trip, right? So, if you’re going anytime this year, you want them now. You’ve already missed home booking priority for a Labor Day trip and availability is probably already getting low for December.

 

[BruinEd03]

How long are people normally on the “waitlist” if they buy a sold out resort? Do they normally wait until the month of the use year to magically have availability?

 

[Sandisw]

How long are people normally on the “waitlist” if they buy a sold out resort? Do they normally wait until the month of the use year to magically have availability?

All depends on resort, Sometimes, people have gotten them quickly. Sometimes, not. It all depends on whether they have current UY points to give you.

So, with an Aug UY, they have to have acquired a contract via ROFR that still has 2019 points in it, If they don’t have that, they can’t sell it that way to you.

But, we have heard that people went on shortly before the new UY started, and didn’t hear until right after. So, not going to say that Disney doesn’t at times hold off.

 

[D-Trick]

Do they normally wait until the month of the use year to magically have availability?

I wouldn't call it magic. It's a matter of if they can legally sell you.

Let's say in 2019, DVC exercised ROFR on a stripped contract that didn't have points available until 2020. Disney is taking ownership of those points and paying the seller the price he agreed to sell at. Disney can't sell it to anyone though, because all direct contracts need to have current UY year points.
Fast forward to today, 2020, and you ask for a June UY. Disney can now reassign those 2020 points to whichever UY you want, but since it still needs to be the current UY, they cannot legally sell it to you until June 1.

 

[CarolMN]

Spend some time with this thread - it should help with your decision:

Understanding Use Year