DVC vs off-site condo

[MY KIDS MOM X3]

We visited a DVC open house on our last visit and I'm sold. DH is interested, but also wants to look into buying a condo off-site that we could rent out when we're not visiting. Does anyone have input on pros and cons for either option?

I love staying on property and feel we wouldn't enjoy an off-site condo as much, but need to weigh that with long-term investment potential.

I'd also love to hear about the DVC re-sale market if anyone has any opinions there.

[OKWTink]

DVC resale is a great option, particularly if you want your home resort to be in one of the DVCs that are already sold out. There are a couple of reputable resale realtors, so you shouldn't have too much trouble exploring that option.

Purchasing an off site condo for investment purposes can be a tricky business. You'll need a management company (on site) to take care of cleaning and repairs, letting the renters in, collecting the keys when they leave, assessing for damages, etc. That will cost money. Right now the market is flooded with resale options for vacation condos and homes. The tourist trade has taken a hit, regardless of what you may or may not hear on the news. Friends of mine have a condo in Naples. They rent it out for the majority of the year (intend to move there permanently, but not until retirement). It seems that they can never use their own place when they want because there are people renting it. They can only visit during the conventional vacation times (Christmas, summer, other national holidays) because of work . Their management company always has the place booked. Not so sure I'd like to be in competition for my own place.

If you truly enjoy staying on site, don't disregard that. It is a critically important factor. I have a friend who thought I had lost my mind when I bought into DVC. He and his wife had purchased Orange Lake time share for what seemed to be a much more reasonable price. Yep, it was LOTS cheaper. The difference between the two programs is astounding. Now that he has three children he really regrets not being on Disney property and having to always have a rental car to travel back and forth from the parks. The place, although quite nice and under expansion, simply cannot compare with Disney's DVC resorts. Nor does his time share afford him the gazillion options for use that the DVC does.

Weight everything very carefully. Be as practical as you must, but absolutely do not disregard the subjective needs of your vacation trips. After all, vacations are supposed to provide fun, relaxation, time to rejuvenate, not a time to be stressing over where it is you are staying! :ears:

Take care and best wishes with your decision making!

[MY KIDS MOM X3]

I have lots of concerns about buying an off-site condo. tHose you mentioned are just a few. Hadn't really thought about having to compete with renters to use my own place though.

My biggest worry is that since we aren't very familiar with the surrounding area we'd end up buying somewhere that we'd eventually regret because we didn't shop around enough. But I don't want to spend all of my Disney vacation time shopping for condos either.

[Scoootch]

Another option you could consider is buying into DVC and renting out your points when you won't be using them. That way you get to stay on-site when you get to go and when you rent your points out, Disney will be there already to hand out the keys and handle check-ins for your guests. And it will help to pay for it.

Just a thought;)

[BigThunder]

Not saying DVC is cheap or anything but buying a condo seems like a WAY more expensive thing to do than buying into the DVC! I don't think your talking about just buying a time share that is 2 weeks every August right? YOu mean buy the whole thing & then rent it out. I would think that would cost a lot. But then again, maybe you could rent it out & make back some money.

[MY KIDS MOM X3]

Exactly. It's not the cost that's the concern, but rather the long term investment potential. I think it bugs DH just a little that he'll be spending $20,000+ for our DVC membership and at the end of our membership we have nothing tangible to show for it. He has it in his head that we can buy a nice condo now, rent it out when we don't want to use it and have it to retire to someday. That's a great thought, but...I WANT TO STAY ON-SITE!!!

I think I'll just leave the off-site research to him and when he doesn't do it I can add that to my list of pro-DVC arguments.

[djgiffordrn]

We spoke with a couple that was going to sign up for the Hilton, I htink, because it never expired. I think staying on sight offers a whole and totally different experience. The little perks for being onsite, can't be beat...Just my opinion!

[draje01]

djgiffordrn,

I agree with you, staying onsite is the only way to go.

Scootch,

We also just rented some points out to someone for the first time this year as we had some extra and we've been to WDW twice in the last year!


We don't care about the fact that it does expire, we'll both be in our 70's when that happens and we're perfectly fine with that.

Just wanted to put my 2 cents in!!!

[Mickeymac]

Draje - great to see you again!!

MKM, when he says "nothing to show for it" after it expires, point to his vacation dollars that he's already spent and say "you mean, like those?" DVC dollars spent are not sunk, they are turned into magic and memories. :D

[czarina]

Originally posted by MY KIDS MOM X3
That's a great thought, but...I WANT TO STAY ON-SITE!!!



There's your answer.

This is not a "head" thing; it is a "heart" thing.

There is no financial logic to buying DVC. Your husband is probably right about the logic of owning something tangible.

However, I suspect that the finest off-site place will not thrill you the way that Beach Club Villas will.

Throw logic and caution to the wind here. Make yourself happy.

[BigThunder]

Oh but I DO think you have something to show for it in the end. Years of family vacations & not in just one place either. Yes many of the places are at WDW but we are going anyway. This way we can stay somewhere nicer than we could have afforded paying with cash & have many to choose from. This year we will have spent a week at VEro in a studio & a week in WDW at BCV in a 1BR. To me you have to take into account what that would have cost us if we were paying for it. I keep records of what each trip would have cost even with discounts so I can see at what point our investment has paid for itself.

[draje01]

I think that's a good idea Thunder. (to figure what each trip would have cost) That really makes you realize just how much you have saved and I agree, memories are priceless!!! I can't say how much I am glad that we've joined!:ears: :bounce: :ears: :bounce: :ears: :bounce: :ears:

[MY KIDS MOM X3]

I think I have won the battle. We decided to go down this weekend for a last minute trip and I couldn't get us anything on-site. We stayed at the Hyatt Orlando, which was fine, but DH really missed all the extras that you get on-site. He has already declared that we won't come again if we have to stay off-site. I gently reminded him that he wanted to buy a condo... wouldn't that be off-site?

[draje01]

There you go!!! Keep reminding him of how inconvenient it was to stay off-site and you may just talk him into it!! Also, remind him of how you get to deduct the interest for taxes too! That was a good selling point for us. WE LOVE IT!!:ears: :bounce: :ears: :bounce: :ears:

[djgiffordrn]

Also, isn't a portion of the maintenance fees deductible as property tax?? that is what the closer woman said to us...

Dolores

[draje01]

I'm pretty sure it is. Although, it wouldn't hurt to ask someone else to be sure.

But you know, even if it wasn't tax deductible, it would still save you money. I know we save tons by cooking meals in the room. For example, last December, we brought frozen waffles, cereal and one morning, my hubby made scrambled eggs, sausage and toast. Then, before we left, I made a pot of chili and a pot of gumbo, froze it and then put it in an ice chest when we left. I also brought a crock-pot with us and then after we got there, plugged the crock pot in, dumped the chili in and when we got back from the parks, dinner was ready!!! It was very convenient, needless to say the time we saved by not waiting for a bus/monorail/boat to go to a restaurant and also not waiting for our table!!! Tell him that too!!

[dcfromva]

Originally posted by djgiffordrn
Also, isn't a portion of the maintenance fees deductible as property tax?? that is what the closer woman said to us...

Dolores

This is true. DVC itemizes your dues paid in at the end of the year-to account for your property taxes. From my statement last year, it turns out, the property taxes were a small percentage of the total dues. (Still, a small deduction is better than no deduction :) )

-DC :ears: