Incentives ending and prices increasing

[quote="Mkeef"] How do these price increases typically effect the resale market?? Does Disney exercise its ROFR more in order to bring the resale market up to keep them in line with the direct from disney purchase prices? [/quote]

[quote="wdrl"] [QUOTE=Mkeef;131996]How do these price increases typically effect the resale market?? Does Disney exercise its ROFR more in order to bring the resale market up to keep them in line with the direct from disney purchase prices?[/QUOTE] In my opinion, there is little correlation between Disney's direct price and the prevailing resale prices. When we bought BLT in May 2009, the direct price was $112 (without incentives). Disney then raised BLT's price to $120, then to $130, $140, $150, and $160. Yet, the resale prices have remained in the $90s almost the entire time. When making an offer on a deed, resale buyers don't seem to look at the price difference between direct and resale. Rather, they consider the lowest price they have seen on the resale market and bid accordingly. Sellers also seem to price their deeds based on what has sold on the resale market. Currently, Disney rarely exercises ROFR. Personally, I don't think Disney uses ROFR to support resale prices. Instead, I believe Disney exercises ROFR only when it has a definite need for specific points (Resort, UY) for its inventory of points it can sell to the general public. And then Disney only exercises ROFR when its total acquisition price (cost per point, closing fees, etc) is no more than a set amount (which only Disney knows). In 2010 and early 2011, Disney was exercising ROFR on BCV deeds priced around $75 to $80 a point. More recently, OKW seems to have had several deeds ROFRed in the $45 to $50 range. See [URL="http://www.disboards.com/showthread.php?t=2529191&page=11"]here[/URL] for more information about recent ROFR activity. [/quote]

[quote="DisneyGeek"] I agree with WDRL; ROFR only seems to happen when Disney needs points to fulfill a direct purchaser's desire to buy at a sold out resort. However, it is very had to tell if that is really what is happening behind DVD's black box... [/quote]