Or any day after he gets it. "The Geological Service predicts Yellowstone is gonna blow and take out the entire NW in a week" Nate Bishop trailer hooked up ready to go.... SEE YA BITCHES!!!!!!
I don't think it falls apart. You still come out ahead. It would be awesome if you could sell it and not lose much.
Yup. You have to spend money to make money. Buying a trailer would allow us to rent out our house, which would bring in $2,000 of income every month. Some of that money will go towards the mortgage. Some of that money will go into a bank account to build up a safety net. The whole point of this endeavor is to be able to rent out the house. We could sell the house, cash out our equity and pay off a big chunk of the debt, but that would still leave us in debt and at that point we'd be building zero equity. I don't like that plan. I like the plan that keeps the house, has someone else paying our mortgage (and then some) and continue to build equity while putting the $1400 towards other debt. Let's take the trailer out of the equation completely, because we're not planning on using any of the rent money for other things in the next 5 years. We plan to put aside the extra $600 every month until we have around $15,000 built up. At that point we will put the entire $2,000 towards the mortgage. We could have our mortgage paid off entirely in 12 years, and that's with the $15k safety net in the bank. It feels like everyone is hung up on the cost of the trailer, which to me seems like a small piece of the puzzle.
So, We're almost to our mid 40s. I'll be 44 this summer and the wife turns 43 any day. I was thinking we'd sell when we're 55 and move into one of the retirement communities even though we'd still work. Barring a crash long term I'm leaning towards renting this place out instead and renting or buying there. Our house is more expensive than comparable houses where we'd want to live then. We'd basically be paid a few hundred a month to live somewhere else while our house is paid off.
The RV is a depreciating asset. I imagine you'll lose at least 20-25 grand in equity in 5 years so you have to factor that in.
It's not just about paying debt. We're essentially spending $50k to start a business. Call it Nate Bishop Rental Properties if that makes it easier for you. Would you spend $650 a month if it meant you could make $2000 a month? The long term goal would be to keep our house and turn it into a rental property that would one day be retirement income.
Plus if you take care of it you'll minimize the depreciation. I bet we could get 5 grand trade in on our 3 year old focus!!!!
I said that was the list price. We're not planning on spending that much money. If we can't get that particular model for less money, we won't get that particular model. It's hard to compare apples to apples because many of the configurations that we like weren't made five years ago. The RV industry is making trailers that are built more for full time living. They have bigger tvs. They have full sized residential fridges. Those options didn't come on older models. You're not going to find a 40"+ flat screen TV in a 2013 model RV. A college student would not already own a home that's +$100k in equity. You're right, new RVs are usually a luxury, but this is a completely different scenario. In fact, it has been difficult for me to find any blogs about my specific situation. Most people either sell their house and buy a trailer for full time living, or they never had a house to begin with. They're not usually trying to keep their house as an income property. That's fine, but your tone felt rather condescending. I know all these other guys. We have talked for years. They have earned the right to tell me I'm a moron, and they do it regularly.
Check out these suckers @bodyman5000 and 1 https://www.athensparkmodelrvs.com/ https://www.rvtrader.com/listing/2018-Athens-Park-Homes-Athens-Park-Series-504-Loft-5002241967
Nate, it's not about me....I didn't ask the questions...just answered with my own logic....good luck to you...in real estate you could borrow against the house and put a down payment on another house....which will appreciate in value...RVs don't appreciate in value...I've purchased several homes...once you have one, you can turn it into two.....if RV is your dream I hope it works out for you. Personally, I wouldn't go that route....a trailer can be bought for a few thousand and parked at the parents as well....ways and means....as I said..good luck. I owned a mini Winnie back in the day but wouldn't care to live in it.
The drawback to that plan, and to NB's, is that you've got to play landlord, including maintenance issues. You are both capable guys, I don't think you'll have a problem doing it - but do you want to? Why move to a retirement community and at the same time take on more responsibilities? That part doesn't completely make sense to me. But I'm unfamiliar with the appeal of retirement communities in Vegas (or anywhere else, I suppose). barfo
I think that depends on the values at the time too. There are tons of property management companies here. If there is enough money to let them take a cut and keep me from having to do a lot of work then it seems more plausible.
