| # | Author | Message |
11
| davewasbaloo
Wed 9/19/2007 12:54a | Really? We have found MVCI to be excellent so far, but I suppose we are fairly new members. |
12
| jonvn
Wed 9/19/2007 12:54a | Timeshares in general are a ripoff, DVC in particular, since the timeshare goes back to Disney after a certain length of time is doubly so.
Folks, if you care at all about your finances do not ever buy:
1) A condo
2) A timeshare
Friendly word of advice. |
13
| 8 ilovemickey 8
Wed 9/19/2007 1:43p | Actually it wasn't so much a poor investment as just a hassle to organize it all. My dad's a CPA so he doesn't make to many bad investments. Haha.
davewasbaloo...I think our problem is that our home resort is the most popular one by far...Maui. And due to school we are currently limited to summers. So I think as we get older it will prove to be slightly easier. |
14
| davewasbaloo
Wed 9/19/2007 2:12p | Aha, I totally understand...the Hawaiian resorts are a whole load of craziness. |
15
| dennis-in-ct
Wed 9/19/2007 5:33p | << 1) A condo >>
Please explain.
Isn't buying a condo as your primary home as good as any other real estate purchase?
|
16
| Sport Goofy
Wed 9/19/2007 5:38p | << Isn't buying a condo as your primary home as good as any other real estate purchase? >>
Historically, no.
Developers tend to overbuild condo units and when real estate busts take place, condo prices fall the fastest because there is a huge amount of oversupply. If you compare the number of condos on the market to single family homes right now, the figures for condos is downright scary. Additionally, it is incredibly difficult for condo associations to maintain building standards and upkeep. Condo owners detest high condo fees and the associations usually struggle to make ends meet after a development has reached the 10-year point. Look around at the older condo communities and you will see a lot of age and neglect for the most part. It's hard to maintain property values if condo residents aren't willing to fork out the dough to maintain their communities. |
17
| jonvn
Wed 9/19/2007 5:40p | No, because
1) They do not appreciate as quickly
2) They are more difficult to sell
3) In a real estate downturn, they are the first to lose their value and the last to regain it. Further, they become almost impossible to sell for not a loss in a market downturn when house prices drop.
4) Association fees never stop, and your house can be foreclosed upon if you do not pay the fees.
5) The value of your property rises and falls on the back of the homeowners association, its ability to maintain the property, and its financial strength.
I know a lot of people bought condos and buy them. It's just not a good idea. |
18
| Sport Goofy
Wed 9/19/2007 5:44p | If you are going to invest in a condo, I recommend that you do a good profile of the community. Condo communities that are filled with retirees are usually the best. Old people who don't work are really good at being "condo police" and running off the people in the neighborhood who tend to drag down property values. Additionally, the market for old people looking to downsize is increasing. I stay away from the trendy condo developments in the suburbs that appeal to young professionals or just those without the wherewithal to buy a single family home -- they are the quickest to deteriorate and have very poor resale value in a downturn. |
19
| dennis-in-ct
Wed 9/19/2007 6:17p | Thank you jonvn and sport goofy - that was great insight. I have a house.
<< 2) A timeshare >>
You are keeping me grounded on my potential DVC purchase. I keep wanting to buy a DVC eventhough I can't see how it's a good deal.
Buying a DVC seems more of an emotional purchase. Like buying a car. A real *sporty* car. It makes no financial sense but it satisfies an emotional need.
I think if I bought in the begining when Disney through in the ANNUAL PASSES each year, it may have been a better deal.
This website does a cost analysis
http://www.mousesavers.com/dvc
.html
(download spreadsheets and all). Do they do a good job with the numbers?
Mousesavers says it takes 20 yrs to break even and don't ever *EVER* enter into a DVC purchase if you have to finance - always pay the buy in up front or don't consider it at all.
|
20
| dennis-in-ct
Wed 9/19/2007 6:19p | urgh ..
" when Disney threw in " |
