This article contains our First Quarter DVC resale report which includes Right of First Refusal (ROFR) and average sale prices from offers that were accepted and sent to ROFR during the months of January, February and March.
The first quarter of the year is typically the busiest time for the DVC resale industry and coming after an unprecedented year like 2020, it certainly lived up to expectations. This year started off with limited inventory, a higher than average demand from buyers but a lower ROFR rate compared to the end of 2020. All these have influenced and helped maintain a very strong DVC resale market. As you can see from the chart below, average sale prices have increased as more buyers are looking to make a purchase creating a shift in supply v. demand. Disney exercising ROFR on resorts like Old Key West and Boardwalk has also lead to higher and more stable sale prices in attempt to get contracts waived through. Disney’s higher Direct Purchase prices can influence resale prices as well since DVC has Right of First Refusal on every contract and as the value of direct points goes up, the value of resale does as well. Currently 9 out of 14 resorts are being sold for over $200 per point direct.
What is Disney’s Right of First Refusal?
The purpose of Disney’s Right of First Refusal (ROFR) is to control the value of their property. When there is an accepted offer and a signed contract, DVC will do an analysis of the terms of the contract and decide if they wish to “step in” as the buyer. The criteria DVC uses for ROFR is not public information but one important factor for exercising ROFR would be if they feel the selling price, including who pays closing costs and maintenance and taxes, is below the target price they have established.
January – March 2021
When viewing the data below, keep in mind that individual sale prices can easily vary based on the size of the contract (in points) and the current point availability of the contract – “loaded” (having current points + banked points) or “stripped” (having no current points). Smaller point contracts tend to sell for around $10-$15 per point higher due to high demand and lower inventory. Prices below do not include closing costs or annual dues – two separate features to the sale terms.
|RESORT||Avg. Sale Price
|Avg. Sale Price
|DVC ROFR EXERCISED
|Animal Kingdom||$118||$114|| 175 points @ $106
480 points @ $108
|Bay Lake Tower||$149||$142||100 points @$140
100 points @ $145
300 points @ $143
320 points @ $151
|Beach Club Villas||$146||$142|
|Boardwalk Villas||$139||$133||180 points @ $100
200 points @ $120
210 points @ $118
|Old Key West (2042)||$110||$104||210 points @ $95
220 points @ $95
260 points @ $99
260 points @ $100
300 points @ $103
|Old Key West (2057)||$115||$100|
|Vero Beach||$66||$66||350 points @ $56|
|Wilderness Lodge: Boulder Ridge||$99||$101|
|Wilderness Lodge: Copper Creek||$147||$135|
SALES BY RESORT
Contract sizes sold this quarter ranged from 25 points up to 600 points with the most common amount of points purchased being 115 points and the average amount of points purchased at 163 points. The most points were sold at Saratoga Springs, followed by Animal Kingdom and Old Key West.
Working with a trusted brokerage with the knowledge and experience you need to make sure you get a fair price and have a successful purchase or sale is so important in times like these. If you are unsure of what you should offer or what you should accept as far as an offer goes, please contact us! We are here for you every step of the way. If you have any questions about Disney’s ROFR or want more details on a particular sale or resort, please email us at email@example.com or call 866-544-2919.