DVC Resale Contracts

DVC Resale Contracts: What Buyers Should Know

DVC resale contracts are existing Disney Vacation Club ownership interests being sold by current members through the secondary market. Understanding what these contracts include and how they work helps buyers make informed purchase decisions.

What Is a DVC Resale Contract?

A DVC resale contract represents a deeded real estate interest in a Disney Vacation Club resort being sold by an existing member. The contract specifies the home resort, annual point allocation, use year, and ownership duration. When you purchase a resale contract, you acquire all these ownership characteristics.

Each contract is unique based on when and how the original owner purchased. Point counts, home resorts, and use years vary between contracts. This variety allows buyers to find contracts matching their specific vacation needs.

What Resale Contracts Include

Resale contracts include the legal ownership interest, annual point allocation, and the right to book at DVC resorts using your points. You receive the same booking access as direct purchasers: priority at your home resort during the 11-month window and general availability at all resorts at 7 months.

Point management features including banking and borrowing work identically for resale contracts. Your ability to manage points, make reservations, and enjoy DVC resort stays is equivalent to direct purchasers.

Contract Restrictions

Disney has implemented restrictions on resale contracts affecting supplementary membership benefits. These may include limited access to Member Getaways, Disney Collection options, and certain discounts. The specific restrictions depend on when the original contract was purchased.

These restrictions affect benefits beyond core resort booking. Most buyers accept the restrictions given the substantial cost savings resale provides. Evaluate which benefits matter to your vacation planning when deciding between resale and direct purchase.

Evaluating Contract Details

When shopping for resale contracts, examine several key details. The home resort determines your booking priority. Annual point allocation defines your vacation capacity. Use year timing affects when your points become available. Current point status impacts immediate usability.

Price per point serves as the primary comparison metric, but consider the complete picture. A slightly higher priced contract with better point status or preferred use year might provide better overall value.

Contract Documentation

Resale contracts include various documents. The deed establishes legal ownership and is recorded with the appropriate county. Purchase contracts document the sales transaction terms. The estoppel certificate from Disney confirms current point status and account standing.

Review all documentation carefully before and during closing. Understanding what you are purchasing prevents surprises and ensures you receive what you expect from the transaction.

Contract Duration

DVC contracts have expiration dates when the resort land lease ends. Original resorts like Old Key West expire earlier than newer properties. While all current contracts have decades remaining, expiration timing affects long-term value calculations for some buyers.

Research your target resort's expiration date and consider whether it aligns with your ownership timeline. Most families plan to use their membership for specific periods rather than maximum duration, making expiration dates less concerning for practical purposes.

Transferring Ownership

When you purchase a resale contract, ownership transfers from the seller to you through legal deed conveyance. Title companies handle this process, ensuring proper documentation, recording, and registration with Disney. The transfer makes you the owner of record with full membership privileges.

After closing, Disney registers you as the new owner and activates your membership account. At this point, you can begin making reservations and enjoying your DVC ownership.

Making Your Purchase Decision

Purchasing a DVC resale contract requires evaluating multiple factors including price, home resort, point allocation, and restrictions. Research thoroughly, work with reputable brokers, and choose contracts aligned with your vacation goals and budget constraints.

The resale market provides legitimate opportunities to acquire DVC membership at significant savings. Understanding what contracts include empowers informed decisions about this valuable vacation investment.

Understanding the Resale Process

Buying a DVC resale contract typically involves several steps. Initially, potential buyers should identify their preferred home resort, point allocation, and use year. Once a suitable contract is found, an offer is made to the seller. If accepted, a purchase agreement is signed, and a deposit is usually required.

Following the agreement, the transaction enters a due diligence phase. During this period, the buyer reviews all contract documents, including the estoppel certificate, to confirm the details of the contract. It's crucial to verify the current point status and any upcoming dues or fees.

After due diligence, the closing process begins. A title company or closing agent manages the transfer of ownership, ensuring all documents are correctly filed and the transaction is legally binding. This process can take several weeks, but once completed, the buyer becomes the official owner and can start utilizing their DVC membership.

Working with a Resale Broker

Engaging with a reputable DVC resale broker can significantly simplify the buying process. These brokers specialize in Disney Vacation Club transactions and can provide invaluable insights into the market, helping buyers find the best contracts to meet their needs.

A broker can assist in navigating the complexities of the resale market, from identifying potential contracts to negotiating terms and managing the closing process. Their expertise ensures that buyers are well-informed and confident in their purchase decisions, making the investment in a DVC resale contract a rewarding experience.