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Old 10-23-2019, 04:45 PM   #1
Great3
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Default Rumor: Disney Vacation Club Raising Sold-Out Resort Prices by $50 Per Point

What do you all think? Riviera isn't selling well, and DVC needs to make it look like a bargain? If anything, I would question why Riviera is priced so low compare to other sold out resorts, is something wrong with it?

You know, if chicken only cost 30 cents a pound instead of $1 a pound, something must be wrong with it?

Eagar to heard the comments on this one.

ETA: The source of rumor: https://dvcfan.com/2019/10/23/rumore...rice-increase/

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Last edited by Great3; 10-24-2019 at 09:56 AM.
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Old 10-24-2019, 08:49 AM   #2
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I think Riviera is a little unique because it is a brand new resort so people aren't sure what to expect which is leading to lower than expected sales. I think once it opens people will be able to stay and that could lead increased sales. I think you are also seeing less than normal buy-ins from current members because of the new restrictions.
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Old 10-24-2019, 08:52 AM   #3
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Wow!!!! What is the highest direct legacy 14 price? $260/pt?
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Old 10-24-2019, 09:00 AM   #4
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Trying to think of this in terms of economics. And, I only know VERY basic economics, so keep that in mind:

The supply of "sold out" resorts is very low. They aren't making new points for those resorts, so they basically don't have any to sell, yet some people still want them. The ONLY source (from Disney's point of view) is to ROFR contracts from the resale market - still a very low supply. So it makes sense that the price would go up.

Of course, buyers do have the option to buy those points on the resale market. Here, the supply is much higher so the price is lower. Yes, there are restrictions, but when you're saving thousands of dollars, and in some cases tens of thousands, that could be worth it.

I'm curious as to how much the resale prices increased at sold out resorts that have in recent years seen large direct price increases. Have the resale prices gone up proportionately? I don't follow the resale market close enough to know the answer to this but I'm betting there are some here who do.
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Old 10-24-2019, 09:14 AM   #5
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Sounds like Disney will quickly become a place where repeat visitors have deep pockets. DVC was a way to prepay your vacations and save a little along the way for yearly visits. Yet they aren't making it very attractive to repeat visitors to actually be able to afford coming. At least for new owners. Existing owners are doing very well in terms of their purchses and uses of points, resale or direct. New owners, not so much. Contract length is getting shorter and the cost to buy in is going up. Harder for the average Joe to make this purchase and realize much value. No wonder we see quiotes of most people only own 10-15 years!

How riviera will look in 5 years will be very telling on how this new legacy 14 and new resale home resort only split in the system will be. DVC is quickly becoming just like any other timeshare, just with better resalability - for now.
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Old 10-24-2019, 09:15 AM   #6
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IMO with RR they basically put lipstick on a pig and expected everyone not to notice. For one, it is not a deluxe location hence the old moderate (CBR) being there. Another thing is the high point cost as if it's a deluxe location like Poly....and it aint. Then add in the resale restrictions and I would not pay even $90pp for this. And I also want to point out that while the rooms are cute (we toured the models) they aren't high end. They cheaped out with the furnishings much like at BLT so it will all be dinged up in a couple years. I also don't think that gondola disaster helped. Anyone already leery of it likely totally crossed it off after that. The sales at RR will be a slow burn, IMO.
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Old 10-24-2019, 09:20 AM   #7
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Quote:
Originally Posted by Quellman View Post
Sounds like Disney will quickly become a place where repeat visitors have deep pockets. DVC was a way to prepay your vacations and save a little along the way for yearly visits. Yet they aren't making it very attractive to repeat visitors to actually be able to afford coming. At least for new owners. Existing owners are doing very well in terms of their purchses and uses of points, resale or direct. New owners, not so much. Contract length is getting shorter and the cost to buy in is going up. Harder for the average Joe to make this purchase and realize much value. No wonder we see quiotes of most people only own 10-15 years!

How riviera will look in 5 years will be very telling on how this new legacy 14 and new resale home resort only split in the system will be. DVC is quickly becoming just like any other timeshare, just with better resalability - for now.
In what reality is DVC becoming just like any other timeshare? DVC has always been far more expensive and limited and location. My dad and I came to that conclusion over a dozen years ago when we first bought into it. Owning DVC was a way to stay in luxurious Apartments at Disney so we could use Disney transportation. It was strictly a way of prepaying on-site visits and getting discounts on annual passes. Are Marriott timeshare investment is more of a traditional timeshare company. We get weeks and points and a multitude of destinations across the world. I don't see DVC ever competing with that.
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Old 10-24-2019, 09:31 AM   #8
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Quote:
Originally Posted by Lamima View Post
IMO with RR they basically put lipstick on a pig and expected everyone not to notice. For one, it is not a deluxe location hence the old moderate (CBR) being there. Another thing is the high point cost as if it's a deluxe location like Poly....and it aint. Then add in the resale restrictions and I would not pay even $90pp for this. And I also want to point out that while the rooms are cute (we toured the models) they aren't high end. They cheaped out with the furnishings much like at BLT so it will all be dinged up in a couple years. I also don't think that gondola disaster helped. Anyone already leery of it likely totally crossed it off after that. The sales at RR will be a slow burn, IMO.
That's exactly how I see it. Back when Saratoga was new it got a lot of criticism for being so far away from theme parks. Usually the criticism came from people who devalued Downtown Disney. But Riviera truly deserve the criticism. That Gondola system is nice but you're still relying on Disney transportation to get anywhere. You cannot walk to any entertainment.

I have not been impressed with that Resort at all. I don't even care to see it or visit it let alone own it. I'm guessing that Resort is going to remain on the market for quite some time. I wouldn't expect the prices to drop too much because Disney does not like admitting mistakes. They are also very slow to learn.

Baylake was huge hit. Grand Floridian was also a hit. So DVC jumped up all the prices and got away with it. Polynesian was foisted on everybody with their idiotic Studio rooms and skated by on the high price simply because of its location. DVC planners assumed people would pay anything if they built it. They probably saw the resale Market as just an annoyance easily dealt with by their new resale restrictions. However their analysis failed to anticipate this would just kill sales of newer resorts.

What they should have done is look at the DVC rental market to determine how successful a property would be. People will pay top dollar to be near a theme park. They will pay even more do you have a view of the theme park. But they pay only average prices for just being on property.
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Old 10-24-2019, 09:32 AM   #9
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Quote:
Originally Posted by Lamima View Post
IMO with RR they basically put lipstick on a pig and expected everyone not to notice. For one, it is not a deluxe location hence the old moderate (CBR) being there. Another thing is the high point cost as if it's a deluxe location like Poly....and it aint. Then add in the resale restrictions and I would not pay even $90pp for this. And I also want to point out that while the rooms are cute (we toured the models) they aren't high end. They cheaped out with the furnishings much like at BLT so it will all be dinged up in a couple years. I also don't think that gondola disaster helped. Anyone already leery of it likely totally crossed it off after that. The sales at RR will be a slow burn, IMO.
This.....
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Old 10-24-2019, 09:44 AM   #10
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Quote:
Originally Posted by Lamima View Post
IMO with RR they basically put lipstick on a pig and expected everyone not to notice. For one, it is not a deluxe location hence the old moderate (CBR) being there. Another thing is the high point cost as if it's a deluxe location like Poly....and it aint. Then add in the resale restrictions and I would not pay even $90pp for this.
$50-60 is what I put on another thread and I dont even think I want it for that. Restrictions are the killer. Should sit longer than Aulani.
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