Question about purchasing About This Page:

[dolphin041599]

I have a question about purchasing DVC. If you have to finance, is it through a Disney company? Or do you have to apply for your own loan?

Also, I'm assuming that you can pay it off early (i.e., like with my tax return)?

And one last question, the annual dues - about how much are those? I know it varies, but that was the one point I couldn't quite understand. And are those due in one lump sum? On a certain date? I was wondering if it was the beginning of the year or when you purchased your membership.

Thanks!

[tjkraz]

Originally Posted by dolphin041599

I have a question about purchasing DVC. If you have to finance, is it through a Disney company? Or do you have to apply for your own loan?

You can do it either way. Disney will finance, although their rates run from something like 9% - 17% depending upon the amount of down payment and credit history.

Many people obtain a home equity loan against their primary house, which typically has a much lower rate.

Also, I'm assuming that you can pay it off early (i.e., like with my tax return)?

Disney's loans can be paid early with no penalty.

And one last question, the annual dues - about how much are those? I know it varies, but that was the one point I couldn't quite understand. And are those due in one lump sum? On a certain date? I was wondering if it was the beginning of the year or when you purchased your membership.

Yes, dues vary by resort owned. They currently average around $5 - 5.50 per point, per year.

DVC is a timeshare. And a timeshare is basically a physical building (room) shared by multiple owners. As such, the annual dues are your share of the operating costs and upkeep for that room.

When you purchase a house, there's an up-front cost just like with DVC. But as a homeowner, you then have monthly bills for utilities, property taxes, insurance, lawn care, and long-term maintenance obligations (new roof, driveway repaving, painting, plumbing, electrical, etc.)

DVC dues are the equivalent of that upkeep. Dues pay for everything from utilities to resort staff salaries to Disney theme park transportation (buses, boats, monorails.)

Dues are billed on a calendar year basis. If you purchase mid-year, the dues for that first year will be pro-rated. Buy on July 1 and you'll pay 50% of the dues for that year. Buy on October 1 and you'll pay 25% of first year dues.

Then in December you'll get a bill for the next year's dues, which is payable by January 15. You can also schedule the dues to be debited from your bank account on a monthly basis, but it must come from a US checking or savings account--no credit cards or non-US accounts for the monthly payment option.

[dolphin041599]

Originally Posted by tjkraz

You can do it either way. Disney will finance, although their rates run from something like 9% - 17% depending upon the amount of down payment and credit history.

Many people obtain a home equity loan against their primary house, which typically has a much lower rate.

Disney's loans can be paid early with no penalty.

Yes, dues vary by resort owned. They currently average around $5 - 5.50 per point, per year.

DVC is a timeshare. And a timeshare is basically a physical building (room) shared by multiple owners. As such, the annual dues are your share of the operating costs and upkeep for that room.

When you purchase a house, there's an up-front cost just like with DVC. But as a homeowner, you then have monthly bills for utilities, property taxes, insurance, lawn care, and long-term maintenance obligations (new roof, driveway repaving, painting, plumbing, electrical, etc.)

DVC dues are the equivalent of that upkeep. Dues pay for everything from utilities to resort staff salaries to Disney theme park transportation (buses, boats, monorails.)

Dues are billed on a calendar year basis. If you purchase mid-year, the dues for that first year will be pro-rated. Buy on July 1 and you'll pay 50% of the dues for that year. Buy on October 1 and you'll pay 25% of first year dues.

Then in December you'll get a bill for the next year's dues, which is payable by January 15. You can also schedule the dues to be debited from your bank account on a monthly basis, but it must come from a US checking or savings account--no credit cards or non-US accounts for the monthly payment option.

Thank you!!! This really helps a lot.