How to Finance a DVC Resale Contract
Whether you have a found a Disney Vacation Club resale contract or you are just beginning to research how it all works, I wanted to provide some simple steps to follow in obtaining financing for a DVC resale contract. The company most commonly used for financing a DVC resale purchase is Monera Financial. Moreover, they provide loans based on the collateral and not your credit. So the approval is quick and simple.
Step 1: Go to https://monerafinancial.com/loan-application/
On this webpage you can enter the resort, amount of points on the contract and the cost per point.
Once the information is entered Monera will instantly on the same webpage provide various financing options based on how much you want to provide as a down payment. There will be 3 options presented as A, B and C with Option A providing the lowest down payment and highest rate (12.9% on a 10 year loan), Option B providing the medium down payment and middle rate (10.9% on a 10 year loan) and Option C providing the highest down payment and lowest rate (8.9% on a 10 year loan). The appearance of the options will look similar to the picture below:
Step 2: Select the option that works best for you, and then complete the rest of the application. The options will be laid out as follows:
Once submitted Monera will notify you within a couple of business days of the approval.
Step 3: Submitting an Offer on a DVC Resale Contract. Whether you are in the process of getting approved or are already approved you can make an offer on a DVC Resale contract. Be sure to let the broker you are working with know where you are at in the process and which lender you are working with. Once you have a contract in writing be sure to send a copy to your lender. Typically, there are lender fees for obtaining the loan (i.e., loan origination fee) that will be collected at closing, so be sure to understand what those fees are. These fees are typically in addition to any closing costs presented by the broker as brokers advertise closing costs assuming the buyer is paying cash.
Step 4: Your DVC Resale contract gets waived by Disney. Assuming Disney does not exercise their ROFR (right of first refusal) be sure to notify your lender you have passed ROFR. Typically, your resale broker will update you of this once Disney notifies them. Typically, Disney provides this notification 3-4 weeks after the contract is submitted to Disney.
As one of the final steps in the closing process, the title company will request the funds from the lender. Magic Vacation Title and Timeshare Title & More are two of the biggest title companies for DVC resale and they will accept funds directly from Monera Financial and Timeshare Lending.
For additional questions regarding DVC Resale financing, we recommend reading through the following link https://monerafinancial.com/faq/ or contacting the friendly professionals at 1-844-DVC-PROS (382-7767).