He won’t be able to cover her mortgage payment since he’s already driven her off the lot incurring massive depreciation.
If we're able to use my parents property, they don't live in an HOA. Also, the city of Portland has essentially made it legal to put a maximum of one RV on your property to live in.
That aint true everywhere (certainly aint true in my neighborhood). Make sure it's actually (not essentially) legal on your parents land specifically. barfo
Just saying be careful to check it out before you plunk down money on an RV. Just because there isn't an HOA on your parent's property doesn't mean that there aren't CC&Rs recorded by the developer that would restrict parking and/or living in an RV and allow any neighbor in the subdivision to file a complaint against you. Also, the Portland Zoning Code says: "• Recreational Vehicle. A vehicle with or without motive power, which is designed for sport or recreational use, or which is designed for human occupancy on an intermittent basis. Recreational vehicle is divided into two categories as follows: – Accessory recreational vehicle. Accessory recreational vehicle includes nonmotorized vehicles designed for human occupancy on an intermittent basis such as vacation trailers and fifth-wheel trailers. A camper is considered an accessory recreational vehicle when it is standing alone. Accessory recreational vehicle also includes vehicles designed for off-road use, such as off-road vehicles, dune buggies, and recreational boats. – Motor home. Motor home includes motorized vehicles designed for human occupancy on an intermittent basis. A camper is considered a motor home when it is on the back of a pick-up or truck. Motor homes are regulated as trucks unless the regulations specifically indicate otherwise. See also Truck" Note the "intermittent basis" language. Maybe there's something in the way of a policy elsewhere that I'm not familiar with, but it would be worth dropping by the Planning Bureau and checking it out. I help people with land use issues all the time and nothing sucks worse than to have to tell them that something that they just spent big bucks on isn't allowed by code.
You want to pay off debt, so you are taking out a $70k loan? The loan will be over 20 years, so you will be paying a tiny fraction of principle each month relative to the depreciation? In 2038 you will make the final payment on this "asset"? How much value does a 1998 5th wheel have today? You've lived in a trailer for longer than 1 week before, so you know it is a lifestyle change you and your wife will be happy with for years? Renting out your home for positive cash flow sounds like a great idea. Moving into inexpensive housing to save money is a great idea. Would you tell a couple of poor college students who wanted to spend the least money possible on housing to buy a brand new $70k 5th wheel?
1) I'm not planning on taking out anywhere near a $70k loan. That's the list price - key word being "LIST" price. Are you one of those people who walk in and pay sticker? Because if you do, that's kinda sad. I'm planning on financing around $50-$55k because that's the minimum for a 20 year loan. 2) I'm not going to keep the trailer for more than 4 or 5 years, so the long term value of the trailer is a moot point. I only care if we can sell it for what we owe. That's it. We're going to pay down our debt and then either sell our house in five years, or keep it as a rental and buy a new house. We already have built up around $110k in equity over the past three years. If things continue the way they have been, and with the entire $2k rent going towards the mortgage (after we build up a safety net), we figure we'd be able to sell for at least $150k more than what we owe by year four or five. Maybe we'll keep the trailer and rent it out. I like options, and our plan has lots of options. 3) We lived in a tiny apartment under someone's house for the second year of our relationship. That apartment was smaller than the trailers we are looking at. We don't need much space. Thanks for your concern though. 4) I'm not sure what poor college students have to do with anything. My wife and I are both employed. We make decent money. If a young couple, fresh out of college and gainfully employed, came to me and asked if they should get a trailer for a few years while they pay down their debt, I'd say go for it. You can't rent an apartment for $500-600 a month anywhere near Portland. Some of the negativity in this thread is a little surprising, considering I didn't ask for an opinion on WHY I want an RV. I asked if anyone has bought one in the past, and if there are any brands or dealers that people recommend. We are doing research right now and we will only move forward with this if it makes sense.
I'm familiar with the code. I linked the article above. https://www.portlandoregon.gov/bds/article/659268 My parents built their own house. No developer. There aren't any CC&Rs.
My only concern was how brown the inside of the one Cupwizzer linked was. Thinking about it now, my main concern would be how to cover yourself if the renter trashes your house. I remember watching a show where renters had a billion rabbits and destroyed a couple's house. I suppose there has to be insurance you can buy.
lol, it was merely an example as what might be available in the used market. Cabinet colors are a personal choice and what you or i like is irrelevant to what NB3 and his wife like.
I assume that you will be paying for a company to come pump out your waste tanks. If you are living in it full time like you plan, I imagine those tanks will fill up quickly if you both shower everyday or at least often along with all the day to day type uses. My dad lived in a 35' 5th wheel for a few years but they were in a nice park on the Sandy River that had sanitary hookups so waste tanks were never really needed.
I wasn't accusing you of bad taste. That thing was nice. I haven't been in one for years and haven't looked at them online even. I do vaguely recall many of them being made of tons of wood. Dark colors in a small space in a rainy area would be depressing to me after a while.
1. I used $70k as you wrote in post #15 your wife loved a unit with a $74k price. Yes the final OTD (out the door) price paid is what anyone should consider, MSRP is an irrelevant advertising tool. Some dealers will also quote prices without many features buyers want, taxes, license, registration, fees etc so yes an accurate estimate of all costs at purchase is what the buyer needs. 2. I would suggest to anyone looking for a 4 or 5 year ownership to look at the value of comparable units after 4 or 5 years. The difference from the purchased OTD price to the disposal sale price price is what matters. Add to that maintenance, interest, insurance, other expenses for the time of ownership and we will have the actual true cost to own. The monthly payment for a purchase of this type is very deceptive as when it is amortized over 20 years it hides the true cost of ownership. Even with a 5 year loan the buyer has large negative equity the first year. With a 20 year loan the buyer would never have positive equity. 4. My example of a college student is to consider if this is a luxury purchase or an option for affordable living. If someone makes decent money and is able to afford more than a poor college student, then perhaps their purchase is a luxury. But if the finances and decision made sense for a poor college student then perhaps it is not a luxury purchase and a good option for low cost housing. Generally speaking new RV's are luxury items that quickly depreciate in value. 5. This is a discussion forum so I will discuss anything I find of interest. Your situation to rent out your home and live in an RV to save money is interesting, because there are factors that could make this work financially but also factors that could make this a huge waste of money as well as a source of unhappiness and frustration. If you did not want a discussion on those details then do not share those details. You could have just said I am looking at buying X item for Y uses what do people think? Instead you offered personal details of your financial situation, so you may get personal discussion of your financial situation; whether you like the resulting feedback or not. Thank you -Wesley Matthews
If someone wants to buy something it's a personal choice...my original post here was that going into debt to pay a debt is probably not a wise move....it's just advice...not important. You may not rent a house for 5-600 a month but you can rent a room in a house for 300......if you and the wife make great money...then the student loans shouldn't be a big deal. Good luck with whatever you choose to do. My son moved home after college and lived rent free for a year to save the money to buy a house. He now rents a room Airbnb style in his house to visitors ...he's not far from Autzen stadium...it helps with his mortgage payment.
