To sell or not to sell?

[Maddiesmum03]

I would appreciate the opinion of other UK DVC owners on whether now is a good time to sell quite a large 2042 contract ( my only contract ) or not.
I don’t think I will use the points myself for WDW holidays anymore as the children have grown and I have mobility problems. I have rented points out in the past, but said I would be a little reluctant to do so again after getting stung with the whole rental during COVID problems.
I know the value of the 2042 contracts will decline as time moves on, and I thought now would be a good time to sell because of the dollar to pound exchange rate, but there are a LOT of contracts for sale at present and I know I would need to offer it at quite a low price to appeal to a potential buyer.
My dilemma is do I try to sell now, or wait?
Part of me thinks that the number of 2042 contracts for sale will keep increasing and even if the pound crashes even more and now might be a good time to bite the bullet, but another part of me keeps thinking that I might be better to hold off. There is also part of me that thinks maybe holding onto the contract and renting points until it goes “poof” in 2042 might actually be a better option!!!
What do you all think?

 

[RoseGold]

If DVC is no longer useful to you, sell. There are always buyers, and cutting the price a few $s to be competitive doesn't matter in the big picture.

The complication here is that the IRS is going to tax you on the gains. You have to decide if that is less hassle than the hassle of renting, which technically they tax you on as well.

The only 2042s I would consider holding right now are BC/BW (and maybe OKW) to sell in 5-10 years. The rest I would be selling now.

If you plan to hold this, you need to have an actual plan for when you die. It is not easy to handle an estate with international property interests. Florida requires a Florida attorney and their own process. It's a lot for a timeshare that you were on the fence about anyway. That alone might be enough to sell.

 

[RoseGold]

Oh, and if you were to die, your heirs would have to go through probate and also square all of this with the IRS, which sounds pretty awful to me. There's something to be said for getting the IRS out of your life and your heirs' lives.

If you are going to hold this, I would have a plan down to who they are going to call and how it is going to go. I can't even imagine where to start if my mom left me a mess like that where I need to hire international lawyers and deal with international tax law, over a timeshare we haven't even used in years.

 

[Maddiesmum03]

Oh, and if you were to die, your heirs would have to go through probate and also square all of this with the IRS, which sounds pretty awful to me. There's something to be said for getting the IRS out of your life and your heirs' lives.

If you are going to hold this, I would have a plan down to who they are going to call and how it is going to go. I can't even imagine where to start if my mom left me a mess like that where I need to hire international lawyers and deal with international tax law, over a timeshare we haven't even used in years.

LOL, I’m not planning on dying any time soon, but thank you, that is not something I had ever thought about!
I’m going to mull over my decision over the weekend and make the final call next week

 

[MICKIMINI]

We've sold a handful of 2042's this year. The thought for our family is to buy 2057 OKW and AKV and we have replaced most of our 2042's. Our last contract (hope I don't jinx it) is under agreement after three offers of which two people backed out in the 10 day recission period. Buyers are skittish IMO and I don't see it getting better in the next couple years. Just a few months ago, DVC bought back several during ROFR at really high prices.

If you are thinking of selling, I'd just put it out there and see what happens, but be ready with your bottom line price. Our first offer used to be our best, however our first offers now are ridiculous IMO. Choose your broker wisely!

Good luck!

 

[Maddiesmum03]

We've sold a handful of 2042's this year. The thought for our family is to buy 2057 OKW and AKV and we have replaced most of our 2042's. Our last contract (hope I don't jinx it) is under agreement after three offers of which two people backed out in the 10 day recission period. Buyers are skittish IMO and I don't see it getting better in the next couple years. Just a few months ago, DVC bought back several during ROFR at really high prices.

If you are thinking of selling, I'd just put it out there and see what happens, but be ready with your bottom line price. Our first offer used to be our best, however our first offers now are ridiculous IMO. Choose your broker wisely!

Good luck!

Thank you!

 

[Ronaldo17]

We've sold a handful of 2042's this year. The thought for our family is to buy 2057 OKW and AKV and we have replaced most of our 2042's. Our last contract (hope I don't jinx it) is under agreement after three offers of which two people backed out in the 10 day recission period. Buyers are skittish IMO and I don't see it getting better in the next couple years. Just a few months ago, DVC bought back several during ROFR at really high prices.

If you are thinking of selling, I'd just put it out there and see what happens, but be ready with your bottom line price. Our first offer used to be our best, however our first offers now are ridiculous IMO. Choose your broker wisely!

Good luck!

Good advice.
Also I would add that if you decide to sell, consider using the board sponsor as they use a very good IRS tax specialist for UK residents who can help you with the tax implications of your sale. We used her when we purchased DVC and she obtained our ITINs for us no problem.

 

[zavandor]

With a recession looming, I cannot see resale prices increase more. The higher dollar more than compensate the slightly lower prices. If you don't use them anymore, then I would sell.

 

[DL1WDW2]

Did you sell or hold?