Thoughts on Lowball Offer

[DisMomKY]

How many points were on the AKL contract?

160 no 2020 points

 

[Anuhea35]

Did you get it?

I did That was my contract that just passed this week. Happy dance for being bored and taking a chance

 

[ABE4DISNEY]

We’ve also been lowballing on SSR, offers ranging from $75-80 per point. Some have countered low 90s, some point blank refused to go below $100 which I think is crazy. How the sellers can think they can get the same price as 2 months ago with all that is going on right now with closures, decreased borrowing rights, availability issues etc. I think they are delusional about maintaining Jan / Feb highs.

Yes, it is sad but things are quite different now compared to just 6-7 weeks ago. There is actually quite some risk associated with even purchasing right now--we have heard many scenarios of it taking 2-3 years before things turn back to normal in society--let alone WDW. However, I'm hoping and praying for a better scenario than that!

This morning I received an email with new listings for SSR, and they are still pricing at $100 for 100 points. I guess it will just take time for price adjustments to occur.

 

[E2ME2]

Thanks @E2ME2, so no data for March. Or has it just not been published yet?

The March data for SSR is N/A, which indicates NONE of the SSR contracts were taken via ROFR in March. April data should be coming out by early next week...

 

[E2ME2]

I did That was my contract that just passed this week. Happy dance for being bored and taking a chance

Congrats on passing ROFR with that one!

 

[ljlaurajane]

Out of interest, as a seller which is more attractive on an offer, a higher price per point but with the seller paying closing fees, or a lower price per point with the buyer paying closing, working on the assumption the overall cost to the buyer is broadly the same? Is there any tax implications etc. that make it beneficial to increase or decrease the price ppt without increasing the amount the buyer is spending?

 

[DisMomKY]

Out of interest, as a seller which is more attractive on an offer, a higher price per point but with the seller paying closing fees, or a lower price per point with the buyer paying closing, working on the assumption the overall cost to the buyer is broadly the same? Is there any tax implications etc. that make it beneficial to increase or decrease the price ppt without increasing the amount the buyer is spending?

I’d assume the broker would prefer higher per point for data, as a seller it wouldn’t impact me either way-I just looked at the bottom dollar I needed

 

[MICKIMINI]

It has a lot to do with how you present your offer. Figure out your bottom line and do the math with every scenario and whichever offer looks most appealing to you (from their perspective) probably looks most appealing to the seller. The seller may not take the time to do the math and a higher price per point may fetch you the same net result. It IS about the bottom line!

 

[ljlaurajane]

It has a lot to do with how you present your offer. Figure out your bottom line and do the math with every scenario and whichever offer looks most appealing to you (from their perspective) probably looks most appealing to the seller. The seller may not take the time to do the math and a higher price per point may fetch you the same net result. It IS about the bottom line!

Thanks, I wasn't sure if there was anything tax deductible from one vs the other (I have zero understanding of US tax rules, it's very complex to me!)

I kind of figure at the moment it's better to go with a lower price ppt and paying the fees, as if they then switch to paying the fees we can increase the price ppt vs the other way as I'm sure lowering the price ppt wouldn't go down well!

 

[CastAStone]

Out of interest, as a seller which is more attractive on an offer, a higher price per point but with the seller paying closing fees, or a lower price per point with the buyer paying closing, working on the assumption the overall cost to the buyer is broadly the same? Is there any tax implications etc. that make it beneficial to increase or decrease the price ppt without increasing the amount the buyer is spending?

When I was buying a house our agent mentioned that sellers prefer the higher official sale price because that's the only number they see for everyone else's homes, so emotionally it makes them feel like they swung a better deal.

 

[Sandisw]

Contract was already sold...website not updated.

 

[holyrita]

Contract was already sold...website not updated.

Seeing this a lot myself too. I have an offer that has been accepted, initial paperwork and escrow docs signed, sent to ROFR (I believe.. agent still hasn't gotten back to me ) but the contract is still showing on their site as "available" .

As a first time DVC buyer this made me very anxious at first. Now I just chock it up to lack of diligence on their side.

 

[Sophie Weaver]

All of you have been super helpful in looking at possible offers for varying places. I know we have one successful under 100 point contact for OKW that settled in at a nice rate. Any of you guys have opinions on SSR right about now? I've been looking at a few 50-100 point contacts but they're all sitting at $115+. Just like AKL, we want a little piece of SSR or AKL but asking $115-135 in this market seems like crazy talk! I might be unreasonable; looking at too many numbers. LOL.

 

[Drewferin]

$65 pp for a stripped until 2021 Aulani contract was rejected. I will find myself a deal as buyers dry up and more contracts hit the market. Supply and demand will soon benefit those looking for a new contract. I've already seen $88 pp at Aulani listed with 2020 and some banked points. This would mean a decrease of $8 to $12 a point for a stripped contract. Means $76 to $80 could be accepted right now. These contracts range from 120nto 220 points. Maybe I'm to opportunistic for our current environment. But hell a guy has to dream right?

 

[Anuhea35]

$65 pp for a stripped until 2021 Aulani contract was rejected. I will find myself a deal as buyers dry up and more contracts hit the market. Supply and demand will soon benefit those looking for a new contract. I've already seen $88 pp at Aulani listed with 2020 and some banked points. This would mean a decrease of $8 to $12 a point for a stripped contract. Means $76 to $80 could be accepted right now. These contracts range from 120nto 220 points. Maybe I'm to opportunistic for our current environment. But hell a guy has to dream right?

Someone had a $75pp contract accepted. Waiting to see if it passes Disney

Gumbydom---$75-$15000-200-AUL-Oct-12/18, 0/19, 400/20, 200/21-Split Closing Costs- sent 4/28

 

[Drewferin]

Someone had a $75pp contract accepted. Waiting to see if it passes Disney

I'm pretty sure a resort that is not currently sold out has never been taken back in ROFR... This would mean Disney will never ROFR Aulani, or Riveria right now. CC is another story since its kinda sold out right now.

 

[Anuhea35]

I'm pretty sure a resort that is not currently sold out has never been taken back in ROFR... This would mean Disney will never ROFR Aulani, or Riveria right now. CC is another story since its kinda sold out right now.

Yes I know. Just mentioned it incase you didnt see it

 

[Drewferin]

Yes I know. Just mentioned it incase you didnt see it

Thinking my dreams of Aulani in the mid to upper 60s is a real possibility if I'm patient. Dues at Aulani are similar to Riveria but having an 11 month window with Aulani would mean a Standard view and a longer stay.

In June of 2019 we enjoyed 8 nights and had an amazing time. Flights to Hawaii with Southwest really dropped that expense since we used frequent flyer points and a companion pass

 

[Anuhea35]

Thinking my dreams of Aulani in the mid to upper 60s is a real possibility if I'm patient. Dues at Aulani are similar to Riveria but having an 11 month window with Aulani would mean a Standard view and a longer stay.

In June of 2019 we enjoyed 8 nights and had an amazing time. Flights to Hawaii with Southwest really dropped that expense since we used frequent flyer points and a companion pass

Since I live like 20 minutes away from Aulani I told myself I would only buy if it went down. The 11 month window means more to me at WDW. BUT...... I may have to pick one up if it gets into the 60s!!

 

[Cyberc1978]

A few days ago I put in an offer for a 125 VGF contract and ending up settling with $145 and sellers paying closing. All points from 2019 going forward is available.