DVC Right of First Refusal Report (ROFR): May ’22
DVC Exercises Right of First Refusal (ROFR)
Year-to-date (YTD), Disney has exercised their right of first refusal (ROFR) on 483 Disney Vacation Club (DVC) contracts, and DVC Resale Market (DVCRM) has sold 2,239, resulting in a 21.6% buyback rate (Contracts Bought Back in 2022/Contracts Sold in 2022). The 2022 waiver rate is 78.4%.
Key ROFR Updates
If you thought, based on last month’s ROFR report, that Disney was slowing down their buyback efforts, you might not want to read any further. May 2022 marked the highest buyback rate ever for DVC Resale Market, with Disney exercising its Right of First Refusal (ROFR) on 176 out of 423 contracts sold.
This month marked multiple records and firsts. Here are a few of the highlights:
- Saratoga Springs saw 76 contracts bought back in May 2022 and also set a new record for its highest buyback price per point at $145.
- Old Key West and Bay Lake Tower also saw significant increases to their highest buyback price this month. Bay Lake Tower saw a staggering 8.9% increase to $184 per point. Old Key West climbed by 5.2% to $141 per point.
- As we start June 2022, we sit just 96 buybacks away from the total number of ROFR’d contracts for the entire year 2021, which was 579. Through May 2021, we only saw 227 bought back as compared to our current 483.
Despite Disney’s aggressive ROFR activity this year, buyers should remain optimistic and take advantage of the current buyers market. We hope that the data provided in these monthly reports can help you make informed offers that will avoid the ‘ROFR monster’ and get you that Disney Vacation Club contract you’ve been dreaming of.
What is Right of First Refusal (ROFR)?
For those new to the concept, Right of First Refusal is the option Disney Vacation Club has to purchase any resale contract after a sales price has been agreed upon, and the contract has been executed. Each contract must be forwarded to DVC for review.
DVC typically takes no more than 30 days to review the contract. At their discretion, Disney may step in and purchase the property themselves at the terms agreed upon by the seller and original buyer. DVC then becomes the buyer, and the purchase is complete. Once DVC is the buyer there is not an opportunity to come back with a better offer in hopes of still purchasing the contract.
Highest Monthly Buy Back Numbers by DVC Resort
Highest Buyback Price Per Point by Resort from May 2021 to May 2022:
Disney Vacation Club Resort Resale Contracts Bought Back in 2022
The graph below shows the total amount of buybacks at each DVC resort for contracts sold by DVC Resale Market in 2022:
Buy Back Rates for Disney Vacation Club Resorts in 2022
The table below shows the percentage of buybacks for all 9 different resorts that have had at least one contract bought back in 2022. Note, there have been no buybacks of the following resorts in 2022 thus far: Aulani, Grand Californian, Riviera Resort, Grand Floridian, Polynesian, and Hilton Head.
|Resort||Buybacks||Number Sold||% Bought Back|
|Bay Lake Tower||42||183||23.0%|
|Old Key West||88||178||49.4%|