Wednesday, May 05, 2010

80/20 rent

80/20 RENT


One of these days all and sundry shall fall to their knees in abject horror at the thought of my disapproval, voices raised, “we’re not worthy”. And indeed they are not. But I am benevolent and just and so I shall pretend. One day everyone will see how right I am and how wrong they were. I hope that even now some will realize the error of their ways and repent. Because if they wait too long it will be a very bad thing for them. What am I babbling about now? Again with the buying junk land. Waste the money now or live in your car later. I really don’t care as long as you don’t park near me, throwing Wal-Mart plastic bags full of fresh turds out the windows, heating up your cans of pork and beans with a bonfire that gets out of control, or trying to shoot a rabbit with your AR-15, spewing bullets all over the place. But since it is in my nature to try to help out ingrates I’ll go ahead and tell you again anyway.

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I’m doing my daily donated food pick-up and I checked out the grocery store bulletin board, the one where everyone is desperately trying to sell their garage sale crap for retail prices. I guess they figure that since they took a picture and printed it out from the computer some sucker will pay top dollar for it. If it looks pretty it must be worth more, right? Anyway, there was an ad for lot rent in one of towns little Podunk parks at the astonishing low rate of $235 a month. The norm around here is $300, with $275 being considered a deal. Two years ago I was paying $285 winter rates in Carson City and around $350 in the summer. Of course, Carson was long ago conquered by the invading hordes of Yuppie Scum, causing prices to hyper-inflate and making me want to flee for blue collar country. So they must be having trouble keeping the park filled at high prices and dropped the rent for the smallest lot ( defined as having two feet distance between trailers instead of four ). Which of course got me thinking that even at this super duper discounted low, low rate, you would still be a damn fool for renting it.

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I know, you know, and even Ross Friggin Perot knows that you simply must have a paid for piece of land or dwelling. It is silly to think that the bank will be instantly vaporized and fail to collect during our melt down. And you do have other things to worry about besides being unable to pay the mortgage after unemployment. I can almost money-back guarantee you that the banks will have their loans tied to inflation soon. Look at what the bankers did during the last depression. They had their bitch, their syphilitic whore FDR devalue the gold instantly 40%, with the bonus of confiscating it all, making military weapons illegal and criminalizing drugs. Do you honestly think they will be more kind this time around? Get off that crack pipe you moron! Your only hope of having a safe harbor in this storm is to own your own place. Even if it can’t grow crops. You can buy a desert junk lot for a grand, and five years worth of grain and beans for less than that, or you can assume a thirty year mortgage of that perfect farm which you will soon have repoed. A farm is better, but I don’t think very realistic. In thirty years the US will be balkanized and our welfare state and economy long dead and buried. Unless we never run out of oil. The only way you can keep hold of a mortgaged asset is if an asteroid or solar flare or nuclear war instantly drops the ass out of society.

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Now, let’s do the financial numbers. This is the fun part. Telling yourself you must sacrifice for the future is never fun. But just looking at the financials will make the pain go away. A trailer lot rental is $235 a month. This includes trash and sewer and water, plus grid hook up. Living on your junk land costs you, at most, $135 a month ( Yes, you are in debt-but only for two or three years rather than thirty ). That is if you can’t buy it outright, not an impossible thing if your land is two grand. Unless you were an idiot and bought land sixty miles from town, your commute should basically stay the same. If you aren’t living in a trailer due to the cost, just pitch a tent. That motivates you to build your cabin quickly before winter. You can add a solar panel every month and still spend less than that trailer rent. You go from $1200 a month mortgage to $200 payment, half of which is an investment to get you independent of the grid. On that rental lot you are just a slave to the electrical company. As well as your job. If you build your cabin modeled on the recently reviewed book ( the solar projects book ) you can have a cabin built in two months for the same cost as your mortgaged payments. Then you can build raised beds, water storage, etc. Soon, for under ten grand you have a food producing paid for dwelling with no extra money out of pocket. It isn’t twenty acres with a wood lot ( substitute insulation for wood heat ) and a babbling brook, but it is a good 80/20 solution. 80% of the benefits at 20% of the cost.

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I know your spouse is the weak link here. That is what I meant that I hope more people are listening to me. With no recovery in sight, with neighbors and friends increasingly unemployed and homeless, hopefully the trophy wife might be persuaded to get the heck out of dodge now. I wouldn’t wait. At any one time, nationally, there are about one hundred E-Bay properties under two grand for sale ( obviously there might be local land available ). How long before this catches on and the property disappears or increases in price? Look at it this way. Most people hate Bison. My frugal survival way is uncomfortable and a step down. So my subscriber base is limited. Only the hard core and worthy keep coming back. And my numbers are up several hundred in the last year or two. If half my minions bought junk land the surplus would disappear. And certainly many more are independently figuring out the junk land route. I don’t think I’m the only one. I’m just trying to popularize it. You must act before the masses, whether it be cheap grain or cheap bolt guns or cheap land. It is only cheap because no one wants it right now.

END

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3 comments:

Anonymous said...

really enjoyed paragraph 4 of your post regarding the cabin and solar panels idea.

thank you for the insight.

chinasyndrome said...

Excellent post.

China
III

Anonymous said...

My neighbor built a 100sq foot cabin, with wraparound porch. He finally got electricity, but went 2 years without. He paid as he went, and pays almost nothing in tax, since its a seasonal dwelling.

My wife is pretty cool with most things, and outdoors type lady, but my neighbor's toilet is a mini-table saw, with cut out and seat, and he uses wood chips from his construction jobs or people he knows. Needless to say, the lack of a toilet, particularly in the winter around here--makes his chances with the ladies very seasonal as well.