Buy Low, Sell High: Tips About the Disney Vacation Club Timeshare
“Buy low, sell high” is the famous investing advice about taking advantage of the market’s propensity to overshoot on the downside and upside.
When it comes to the Disney Vacation Club® (DVC), its resale market is currently experiencing an unprecedented high. Having been actively involved in watching the ups and downs of this industry since 1997, if you ever thought about selling your DVC, there hasn’t been a better time.
The Early Risk of Owning a Disney Vacation Club Timeshare
Sellers back in the mid to late ’90s, generally took a loss when it came time to sell their piece of the magic.
Related to buying a new car, once the owner drove out of the “Mickey” parking lot with their brand new timeshare, there simply wasn’t any way to recoup the initial cost (roughly $50+ per point) of the property on the secondary market. That trend continued for years.
Used with permission from DVCinfo.com.
Even as Disney built new resorts and continued raising prices, the secondary market sales remained at a fraction of the direct price beckoning the savvy consumer to save 25-50% on average.
The Turning Point of the Resale Market
Then came a tipping point!
As Disney’s resort numbers increased, so did their direct price per point. New resorts added a few extra years of ownership to justify the cost but the demand on the older resorts stayed in place.
Whether you call it nostalgia, or simply great branding, the prices of the older properties have risen to an all-time high on the resale market.
The Best Time to Be a Disney Vacation Club Member
Today, those same Old Key West contracts are selling for $90 per point on the resale market! That’s right, a seller who bought at $50 per point in 1992 can sell their property and make a profit. A pretty decent one, in fact!
The same applies to DVC Members who own:
The resorts which expire in 2042 are now selling for record high dollars on the secondary market!
If you ever considered switching your home resort, the time couldn’t be better to sell if you are one of those owners. Even the off-site resorts, Hilton Head and Vero Beach are selling higher than they have in years.
Looking Ahead
So, if the old adage holds true, it may be time for the 2042 resort owners to sell and perhaps let their children or grandchildren take the reins and acquire the resorts who have later expiration dates.
As with all markets, the trend will shift. But if we are going to predict it… well, let’s leave that to the statisticians.
Contact the experts at DVC By Resale if you’re considering selling your Disney Vacation Club in this sellers’ market before it shifts in the other direction.
