Disney ROFR DVC Updates and Information

1. Disney ROFR DVC Updates and Information

2. DISNEY ROFR DVC MEANING Let’s start with a quick introduction to what ROFR stands for and means. The letters ROFR stand for Right of First Refusal. This legal, real estate term refers to a part of every Disney Vacation Club contract. The Right of First Refusal gives Disney an advantage on buying timeshare contracts back. When a Member selling their Disney Vacation Club contract accepts an offer from a buyer, Disney is then able to buy the contract back at the agreed upon rate. This happens instead of letting the sale go through if they choose to do so. If Disney does not choose to buy the contract back during the ROFR, the sale will go through for the original buyer as planned.

3. The Disney timeshare follows some standard real estate rules. Technically, a Disney Vacation Club Membership is a deeded real estate. One of those rules in DVC contracts is the Right of First Refusal. Disney Vacation Club contracts say Disney has the Right of First Refusal, or the first opportunity, to buy a contract back when a Member chooses to sell DVC points. ROFR buybacks happen during the closing process when a Member is selling a DVC contract.

4. WHY DISNEY ROFR DVC STATISTICS MATTER The Right of First Refusal is a very important part of the process for those who are buying DVC points. If Disney chooses to buy back the contract during the Right of First Refusal process, the sale does not move forward for the buyer. When this happens, DVC Resale Experts is happy to help the buyer find the next right contract that will make their vacation dreams come true.

5. We aim to serve potential buyers by sharing monthly and annual Disney ROFR DVC stats blog post updates. It’s helpful to be informed of recent price trends in order to place a competitive offer. There is no guarantee a resale transaction will go through but looking at the high prices Disney Vacation Club has paid recently and pricing your bid accordingly can help lower the chances of a ROFR buyback. The resort Disney Vacation Club is most interested in buying back change at random, seemingly based on their inventory needs. Knowing if the home resort you want to buy at has recently been favored by Disney for buybacks is helpful as well.

6. FAQS Can you avoid Disney ROFR? The Right of First Refusal is a part of the resale buying process when the Experts can really help. It’s not possible to completely avoid the Disney ROFR part of the closing process when buying or selling DVC. However, our team has noticed a trend that may be of interest to buyers. It’s noticeably less likely for Disney to buy a contract back if the seller is foreign.

7. How long does Disney ROFR take? In general, it usually takes about 10 to 12 weeks overall to sell DVC once a buyer is found. The Disney ROFR timeline takes place a little later in the closing process. It’s estimated around week 9 to 11 sellers and buyers will reach the ROFR DVC point. After a seller has accepted an offer from a buyer, Disney can say they would like to buy the membership at that price instead of the buyer. As soon as the seller and the buyer sign, DVC Resale Experts sends the Purchase Agreement to Disney for the Right of First Refusal review. This process may take 3 to 5 weeks depending on how busy things are.

8. Does Disney ROFR matter for sellers? The Right of First Refusal is not as important for someone who is selling DVC points. Sellers make the same amount from a sale if Disney chooses to buy it back because they must pay the rate the seller agreed upon. What happens if Disney buys my contract back? In the event Disney exercises the Right of First Refusal and chooses to buy back your contract, Disney will take over the closing process. At this point you’ll need to ensure your Expert has all Members’ updated contact information and that it matches what Disney Vacation Club Member Services has. You can expect to receive the closing document packet from Disney about 1 to 2 weeks prior to your estimated closing date to sell DVC Membership.

9. What happens if Disney doesn't buy my contract back? In the event that Disney waives the Right of First Refusal, the original identified buyer proceeds to buy the contract. In this case, the title company provided to you by DVC Resale Experts will continue the closing process. Typically, sellers will receive closing documents within 10 to 14 days of Disney sharing their Right of First Refusal decision.

10. How can I find out about recent Disney ROFR trends? Each month here at DVC Resale Experts, we round up the Disney ROFR DVC stats for the previous month and go over the numbers in a blog post. The statistics we discuss are based on DVC Resale Experts’ own sales and data from the time period. We include which resorts Disney decided to buyback and the high price for buybacks at each resort. Following along with this information can help you have a successful sale as a potential DVC resale buyer. Even if you’re not up for keeping up with the market, you can relax knowing that our real estate professionals are.

11. Why does Disney buyback certain contracts and not others? The amount of points at a Disney Vacation Club Resort is fixed. Once a DVC resort sells out, Disney needs to stock their inventory of that resort, partially through buybacks. Disney is usually actively selling a few different Disney Vacation Club Resorts at any given time. At this time, those resorts are Aulani, Disney Vacation Club Villas, Disney’s Riviera Resort and The Villas at Disney’s Grand Floridian Resort & Spa. Additional properties allow for all new contracts based on the point matrix for that home resort. In the case of a DVC resort expansion, more points are added. This is the reason the Grand Floridian is actively selling for a second time.

12. When another resort debuts, prices for the new property can be higher than other resorts. Not all potential DVC Members want to buy at one of the specific resorts Disney is actively selling or spend over a certain budget. It’s good for Disney Vacation Club to have inventory that suits buyer’s needs. For example, a buyer may be interested in a contract at Disney’s Saratoga Springs Resort because it’s cost effective and has a great location next to Disney Springs. That could be a reason Disney buys back regularly at Saratoga. It is one of the lowest priced resorts when you compare direct Disney Vacation Club prices.

13. How will I know if Disney ROFR will stop me from buying a resale DVC contract? Whether Disney Vacation Club will exercise their chance to buy a contract back or not during the Right of First Refusal isn’t something we can predict. However, we can follow pricing trends. This helps us come up with a number that will give a buyer the best chance possible at a successful sale. Also, based on past sales, we can assume placing a bid on a listing with a seller based outside of the U.S. is more likely to go through.

14. Will you help me find another resale contract if Disney buys mine during ROFR? The Experts will absolutely help you find the next right resale DVC contract if necessary. In the event Disney does buy back a contract during ROFR, the team is ready to find you an excellent replacement. We know you’ve probably carefully chosen your home resort, point value and use year. Perhaps just a few details of the contract are important to you and you’re flexible on the others. Whatever the case, our real estate professionals will be ready to assist.

15. How long will it take to find a new contract if mine is a ROFR DVC buyback? If you’re buying a resale DVC contract and the sale doesn’t go through because it’s a Disney ROFR buyback, we’re ready to help. Resale DVC contracts are those sold by Members. The DVC Resale market and listings depend solely on who decides to sell their Membership at any given time. How long it takes to find the right replacement depends on the availability and demand of a contract with the specifics you’re after.

16. For example, Disney’s Saratoga Springs Resort often has many contracts listed with all different point values. It would be quick and easy to place a bid on a comparable contract. On the other hand, not many contracts at The Villas at Disney’s Grand Californian Hotel come on the market. It will take longer for resorts that typically have fewer contracts available. You can always join the DVC Resale Experts Buyer Wish List. This ensures you will be notified as soon as a contract that’s the right fit becomes available.

17. What affects Disney ROFR prices? Each home resort has its own price per point when buying direct from Disney Vacation Club. Resale DVC prices are usually much lower but also affected by the same details. Some factors that determine the price per point are the home resort and popularity of that particular hotel. Remember per point prices also vary based on the amount of points on the contract. Contracts with higher point values typically sell for a little less per point. In contrast, contracts with lower point values usually sell for a bit more per point.

18. If you want to buy a contract at a home resort that seems to be a current popular buyback for Disney, talk to an Expert about pricing your offer competitively. DVC Resale Experts helps buyers reach a number that makes the most sense based on the market and current trends. Following buyback trends and high prices paid by Disney Vacation Club continually gives insight. Paying attention to these statistics also provides an understanding into what is necessary to submit a strong offer. This makes it more likely to have a contract successfully close for resale buyers.

19. What's really important in Disney ROFR updates? There are two details in the Disney ROFR updates that you will want to consider closely as a buyer. The first is, which resorts regularly have ROFR DVC buybacks. Over the last year, Disney’s Animal Kingdom Villas, Bay Lake Tower at Disney’s Contemporary Resort and Disney’s Saratoga Springs Resort have been the most popular for Disney to buy back. If you want to purchase at one of these resorts, pay attention to this next part.

20. The second important detail is the high price paid for a ROFR Disney buyback at your resort of interest. Meaning, if Disney bought back a contract at a $170 per point high recently, comparable bids might be of interest as well. You may also want to consider other resorts’ high buyback prices. This can give you a better idea of the market and what Disney might be willing to pay.