Will Restrictions on DVC Rentals Really Help?

DVC offers a lot of flexibility in how Members use their points, which helps everyone get the most out of their DVC contracts.  Part of that flexibility is the ability to rent out DVC points that Members are unable to use.  On the DVC website, the FAQ explains:

Members may rent their Vacation Points.  However, the use of your Vacation Points for commercial purposes is expressly prohibited.  Commercial purpose includes a pattern of rental activity or other occupancy by a Member that the Board of Condominium Association, in its reasonable discretion, could conclude constitutes a commercial enterprise or practice.

All of this is to say that renting the occasional reservation when you cannot travel is permitted, but using your contract frequently to rent out reservations for a profit is not.  

When DVC room availability is very limited, people are often quick to blame the lack of rooms on “walking” or rentals.  While renting does help Members use points that they would otherwise be unable to use, the impact of renting on availability is frequently debated, and the complaints have caught the attention of DVC.

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What Is DVC’s Stance on Renting?

The topic of renting came up during the December 2024 condo association meetings. Shannon Sakaske, Vice President of Member Experiences & Club Management, has said that they are reviewing owners who seem to own large numbers of points just to make a profit and that DVC “is actively figuring out ways to go after that, and stop that to the best of our ability.”

Could There Be Unintended Consequences?

Limiting Modifications

If DVC were to take action and limit rentals, how could that possibly work?  Well, perhaps it could mean limiting the number of times that you could modify your reservations.  For example, if you could only change the guests on say 2 reservations per year or once per reservation, that could be effective in decreasing rentals, but it could also be a pain if you have an actual change of plans and/or want to add friends or family to a few trips in the same year.

Removing Helpful Options

If DVC were to prevent third party companies from renting, that could help eliminate availability issues that stem from companies renting out points that they own.  However, this could entangle companies that are merely brokers and do not have their own points to rent.  These are the kinds of companies that Members often turn to as a trusted facilitator when wanting a more secure means to rent out their DVC points.

As a personal aside, I felt more comfortable renting out points through the DVC Rental Store instead of attempting to rent them myself, not just because I was familiar with them as the sponsor of DVC Fan, but because I knew that I was protected by their policies.  My full payment was guaranteed as long as I kept my end of the rental agreements, and the guest made the initial payment.  Moreover, they took care of the communications with the renter, including collecting payment, which made everything smooth and easy for me.  

Third parties like the DVC Rental Store also help guests safely rent DVC reservations at a great price to try out DVC accommodations.  In fact, rentals are sometimes how people go from guests to DVC Members themselves.  Banning third party rental companies could actually negatively impact DVC in that sense.

Decreasing Flexibility

For those who complain that renters book up holidays and other high demand dates just to rent them out, DVC could prohibit the rental of confirmed reservations versus point rentals as some have suggested as a means of curtailing commercial renting.  However, this too could hurt DVC Members.  

There are so many reasons why DVC Members put their reservations up for rent.  Whether it’s a death or illness in the family, job loss, or an unexpected expense, being able to rent out an existing reservation can be a huge help when you need it most.  It’s a nice safety net to have.

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Bottom Line

DVC prohibits commercial renting, but that’s not what the majority of DVC Members engage in.  While DVC absolutely should be able to take action against commercial renters who break the rules, DVC points are ours to use whether it’s to book a trip for ourselves, friends or family, or the occasional rental for points that would otherwise go unused.  No matter for whom that reservation is booked, it ultimately still has the same impact on availability. My hope is that any efforts to go after commercial renting don’t unintentionally hurt the average DVC Member.

Timeshares are meant to be booked up at capacity; there are a finite number of rooms, and some room types and times of year are in great demand.  A hard truth about DVC is that apart from Favorite Weeks (formerly called Fixed Weeks or Guaranteed Weeks), DVC Members aren’t guaranteed to always get the reservation they want.  The best that we can do is to plan ahead, aim for the 11-month mark, and waitlist/stalk availability if we aren’t successful.