Extensions on 2042 Contracts?

It's too soon to predict anything. Who knows how the tourist, timeshare and overall economy will look as we near 2042.

I think that a primary reason the OKW extension was a "failure" was the timing. It was offered way too soon. How many people know if they're still going to be DVC owners 35 years out and would be compelled to extend for another 15?

Our AKV contract expires in 2057. I'll be 80 years old (if I'm even alive). By that time DVC will be in the hands of our kids (assuming they even want it or can afford it, etc., as they get older). I think use cases like that are the reason why a lot of people didn't bite on extensions. 30, 40, 50 years in the future - who knows.
 
Well, yeah. But from what I've heard, the guides are suggesting that resale points can't be used that way. (They're also reviving the "will never be able to switch at 7 months!" rumor, which is obvious rubbish when you consider that would mean direct buyers couldn't switch TO those units.)

I suspect it would be easier to restrict RCI trades in the future, however. RCI and trade partnerships are NOT 50 year deals.
From a logic standpoint, I don't understand how a direct 'selling point' could EVER be based on the 'low availability at 7 month' argument; afterall, how could buying direct vs resale have ANY effect on that?
 
From a logic standpoint, I don't understand how a direct 'selling point' could EVER be based on the 'low availability at 7 month' argument; afterall, how could buying direct vs resale have ANY effect on that?

Dishonest and misleading advertising. "Just to warn you, I heard a rumor that..." and then complete that sentence with anything they want to help make a sale. Hey, don't blame me! It was just a 'rumor' I was passing on to help my potential customer.
 
My opinion based on no facts, just pure conjecture. I don't see them offering extensions at the Epcot 2042 resorts. The land there is way to valuable. It's not like OKW. Letting everything expire gives them options. Expand the hotel presence, do a major refurb to the DVC units and resell at stupid high prices. I think it makes sense to offer extensions at the standalone dedicated DVC properties like OKW and SSR, but the ones that share space or are close to hotel resorts, I don't think that would make sense. I could see them offering WL extensions to match up with BRV but that would be a long ways away probably.

I'm not really worried about it though, I'll be almost 80 when my BLT contract expires, assuming I keep it that long and I live that long, I won't probably care.
 


To the people hearing that resale will not be allowed to stay anywhere but their home resort, they aren't plugging in the logic process that if resale cannot switch, direct will have limited places to switch to. That rumor is dependent on dealing with people who do not understand the system. While sure, some buyers will hold thcontract life of contract, a lot do change hands over time, and if the people buying are locked into home resort, it blows up the system.

The only way it really works is to ramp up ROFR. To a ridiculous extent, really.
 
The unable to switch resorts is pure hokum. It’s not permitted by the declaration of condominiums, they can’t be changed unilaterally to the detriment of members. It says so in black and white.
It would destroy the resale market, and badly damage direct sale prices as it would become another junk timeshare.
 
Re RCI trades, there seems to be something else coming. Over 6 months ago Ken Potrock was in the industry press, talking about a new and exciting exchange programme they are working on coming to DVC.
 


Re RCI trades, there seems to be something else coming. Over 6 months ago Ken Potrock was in the industry press, talking about a new and exciting exchange programme they are working on coming to DVC.

That would be great assuming they would lower the amount of DVC points required (not happening)
Why would I exchange my DVC points for a vaca I can get cheaper if I rent my points and then rent the new vaca directly.

But new options are always welcome. :yo-yo:
 
If we leave Vero and Hilton Head out of the discussion, there are only 3 resorts: BoardWalk, Beach Club and Wilderness Lodge. Combined they represent about 700 DVC villas. Not a huge number, and all very popular destinations.

Assuming Disney doesn't embark on any major plans involving demolition / reconstruction, they will start by offering new 50-year contracts to existing owners. Barring any legal hurdles, they could begin that process 12-18 months before the 2042 end date. IMO, they'd sell several million points to owners willing to extend with very little sales & marketing expenses involved.

Then they could open sales to the general public, also well before January 2042 when the new owners would be able to start using their points. DVC has pre-sold resorts in the past, giving the buyer developer points for use at a different location until their owned site is available for use.

They could also choose one or more of the resorts for an elaborate re-build. Beach Club would seem to be a prime candidate. Use the existing land and perhaps extend out into the parking lot for something larger than the current 200 villas. With BCV out of the picture, DVC is only re-selling the 500 or so rooms at BWV and VWL/BRV.



To the best of my knowledge, the 15 year extension is still available for OKW. It was initially offered at $15 per point for a limited time, with the price later increasing to $25 per point.
I called my DVC rep a couple of days ago and left a message about still being able to buy the extension at OKW. He checked with higher ups and the definitive answer is no.
 
Re RCI trades, there seems to be something else coming. Over 6 months ago Ken Potrock was in the industry press, talking about a new and exciting exchange programme they are working on coming to DVC.
Very intrigued about this! Wonder what it could mean?
 
I called my DVC rep a couple of days ago and left a message about still being able to buy the extension at OKW. He checked with higher ups and the definitive answer is no.
I'm a little surprised they wouldn't for the $25 per point though it's not worth it IMO. Makes me wonder if they're going to reduce the size of the functioning resort. They couldn't have sold them already as add ons.

Very intrigued about this! Wonder what it could mean?
Hard to say but one things for certain, it's unlikely to make financial sense. About the only thing they could do that would be truly good for members would be to allow the member to control and deposit to the account as they see fit. That would likely come with assuming the membership fee but it would be well worth it for those that wanted to exchange routinely.
 
I called my DVC rep a couple of days ago and left a message about still being able to buy the extension at OKW. He checked with higher ups and the definitive answer is no.
In the last five years, I have run across a handful of records showing that Disney and an OKW owner have filed an "Extension Deed" to cover the ownership interest from February 1, 2042, to January 31, 2057. If I remember correctly, I saw one just a few months ago, and I kept a copy of one from September 2016. They are quite rare.

The fact that Disney was permitting OKW owners to purchase the extension in the recent past doesn't mean that it would allow them to do it today.

By the way, even though its been about 10 years since the OKW extension first rolled out, I still see a few Quitclaim deeds being filled by OKW owners who did not extend their ownership to 2057. Usually, those Quitclaim deeds are being filed now because the owners are selling their deed and Disney is requiring that the Quitclaim be filed before the resale transaction can close.
 
In the last five years, I have run across a handful of records showing that Disney and an OKW owner have filed an "Extension Deed" to cover the ownership interest from February 1, 2042, to January 31, 2057. If I remember correctly, I saw one just a few months ago, and I kept a copy of one from September 2016. They are quite rare.

The fact that Disney was permitting OKW owners to purchase the extension in the recent past doesn't mean that it would allow them to do it today.

By the way, even though its been about 10 years since the OKW extension first rolled out, I still see a few Quitclaim deeds being filled by OKW owners who did not extend their ownership to 2057. Usually, those Quitclaim deeds are being filed now because the owners are selling their deed and Disney is requiring that the Quitclaim be filed before the resale transaction can close.
What they should have done instead is place a lien that was only enforced upon sale. Essentially every direct and resale would be for a 2057 deed because the resales would need be converted.

That would have put teeth into the quitclaim deed at the time. Sign or don’t, but if you don’t, we’ll get it when you go to sell.

If they offered BCV on those terms today, it’d be a much different outcome. Even if people didn’t want to spend money for trips 24 yrs from now, an extension would bump and/or preserve the investment.

And resale buyers would probably want the extension.
 
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What they should have done instead is place a lien that was only enforced upon sale. Essentially every direct and resale would be for a 2057 deed because the resales would need be converted.

That would have put teeth into the quitclaim deed at the time. Sign or don’t, but if you don’t, we’ll get it when you go to sell.

If they offered BCV on those terms today, it’d be a much different outcome. Even if people didn’t want to spend money for trips 24 yrs from now, an extension would bump and/or preserve the investment.

And resale buyers would probably want the extension.
No doubt they did it poorly. On the front end they tied the ownership to the ground lease. That choice tied their hands going forward IMO. Then when they did the extension they tried to threaten a Special Assessment they don't have the legal right to enforce as a strong arm tactic. I'm sure this is the reason we have never heard of them trying to do so. I recall one person who bought resale and was able to extend because the previous owner had never acted on the option one way or another IIRC. My guess is that's the same situation for the others Tim mentions but it'd be impossible to know for certain unless any of those owners came forward or were contacted. The reasonableness of extending for any offers will depend on specifics. At the time offered, OKW was overpriced by about double. I'm not very optimistic of a reasonable deal for other possible extensions. IMO what DVD/DVC should have done, and still could, would be to tie extension to future retail purchases as a sales incentive. Something like a free extension with a retail purchase equal to at least the number of points being extended. Another $50 per point for 15 more years for BCV, BWV or VWL does not seem like a reasonable choice to me if done now, it might be a great deal in 10 years.
 
Haha ok so depending on # of years it would have to be scaled to what the current selling price at CCV was. I would assume a 50 year extension would cost around CCV.

It would be interesting to see their pricing. Not sure if they would extend current owners for $50 per point or not. I would assume direct pricing would start at CCV levels or higher.

I am suspicious that contract issues will keep them from extending BCV but you never know.
 
It would be interesting to see their pricing. Not sure if they would extend current owners for $50 per point or not. I would assume direct pricing would start at CCV levels or higher.

I am suspicious that contract issues will keep them from extending BCV but you never know.
For BCV $50 per point sounds like an extra $15 years. A full round of 50 years might be a stretch for OKW but it would be doable for some of the others. The more I think about it the more I tend to think letting them sundown and starting with a DVC II with better rules from a company standpoint. They could get away from the ground lease issue and likely tighten up some of the other rules if they wanted.
 
For BCV $50 per point sounds like an extra $15 years. A full round of 50 years might be a stretch for OKW but it would be doable for some of the others. The more I think about it the more I tend to think letting them sundown and starting with a DVC II with better rules from a company standpoint. They could get away from the ground lease issue and likely tighten up some of the other rules if they wanted.

There's no way they would extend BCV for anything less than $115 for 15 years. Current prices having it costing $7.40 per year. $115 / 15= only $7.66 per year. A bargain in Disney's minds. More likely it would be in the $200 range, but then some people would decline to extend.
 

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