So will we! Our son and DIL just called and we had a good discussion about a lot of things, whined about our 401K's and discussed "retail therapy" - waiting for DVC contract prices to drop. We'll have further discussions about which resorts we'll actively pursue...soooo let's try to think positive and keep the DVC economy going!
You might want to rethink your position on DVC if you travel to WDW frequently, and are putting out $10K for 14 nights. I average 10N per year for $1650 in MF, and my buy in cost at this point equates to another $2000/year and that cost decreases each year I stay in.
Who is to say what the situation is...and real estates professionals shouldn't be discussing personal info anyway. We've bought and sold over the years and made profits. Even if the market drops a member may be selling for a profit in order to buy a bigger contract or a desired resort...look for the sunshine as they may be moving up the ladder, not down!
The difference, though, is that stock pricing has nothing to do with DVC pricing. Stock prices used to be based, at least partly, on the long term financial health of a company. Now they are based on short term capital gains, rumors and innuendo. Yes, most companies are, in the short term, not making their normal income. But unless this issue goes on for months, most large companies should weather the storm just fine. People no longer consider stock a long term investment, they just want immediate profits....partly due to fund managers who are paid based on the immediate short term profitability.
).
While I agree with the chill part, I do think this is more complicated than we are making it seem here. I doubt that the Coronavirus "scare" will have any long term impact on prices. However, it has caused tremendous turmoil in the financial markets at a time when many were already forecasting a recession. It is that financial drop combined with a possible recession that will likely drive DVC prices down. But here's the problem: unlike stocks, DVC contracts have an expiration date. So while one's shares of Disney stock will likely revisit the 140 price range eventually, if prices drop on 2042 resorts and we take five years to pull out of a recession, the damage may be irreparable.
DVC "Vultures" - I think you coined a phrase!Fortunately, from reading this thread it sounds like there are enough vultures around (myself included) to still compete for DVC contracts and keep prices somewhat up.
The media isn't scaring the heck out of people. It is to get people to act appropriately given the lack of information. It is 10x deadlier than the flu right now, there is insufficient testing in the U.S. to determine the extent of the spread, and for some population, it is much deadlier.Well I can tell you this boomer isn't planning on selling my DVC anytime soon. The market will bounce back once the news media stops scaring the c____p out of everybody with the 24/7 coverage of the Cvirus. This too will pass and the world will go on. I am with you on the buying aspect, if the resale prices do drop I would consider adding on again. My DH might not like that idea but one can always dream (meaning me
If a frog had wings...
This is exactly what it is. Prepayment and protection from future room rate increases.
Exactly. For years we have used CRO pricing (with appropriate discounts) as the comparison point in order to determine the value of DVC. And for years (although not as much recently) DVC has come out way ahead. But if we enter a recession and Disney is forced to deeply discount CRO rooms (like for real discount, not the shady, jack the rack rate up to $700 a night and then sell it at 30% off type of discount) then DVC will not look as good by comparison. This, combined with fewer buyers should inevitably lead to a decrease in prices. It's coming.
DVC resale is nowhere close to as fluid as stock prices. I don't think you'll see big shifts for at least 6 months. Dues have already been paid. Only people selling now are those that are over-leveraged. Next January will be a different story.
this is going to go on for months
The death rate in Italy is currently almost 7%. That's because people without symptoms are not tested. When they say the death rate is 1-2%, it accounts for that.
