I am contemplating purchasing a home about 40 miles outside the city in which I work. I keep debating the own vs. rent over and over in my head. Any suggestions?

-- choo choo (555@y2k.com), February 07, 1999

Answers

Can you pay cash for the property? If not, rent the property now and sign a 1-years lease. If you have cash, liquidate it into consumable goods and cash (whichever liquidable cash you wish). The property your going to be at may turn out to be your final roosting quarters. If not, at least you aren't stuck there and can find something better down the road.

-- ~~ (~~@~~.com), February 07, 1999.

Choo Choo, Advise sellers whose homes have not sold, in the area that appeals to you, that you are prepared to rent for a year at a reasonable rate if they will give you a written first refusal to buy the place after a year at a 20% discount from their sale offer price. Such arrangement can leave your options open for a later decision according to circumstances. No harm in asking a few sellers. You may be surprised by responses that you may like. Could save you the disruption and costs of moving if you come to like the place and conditions warrant the first refusal price. Best wishes,

-- Watchful (seethesea@msn.com), February 07, 1999.

@, thanks for your reply, but, thats the issue. No!!! I cannot pay for it in cash, in fact the bank will own it all. However, If I rent/lease, then I am at the mercy of the owner. Lets say things start to get a little nasty, gas is scarce etc. and he/she shows up and says GET OUT! Were would one go in that situation. Does a lease have any tangability in that circumstance with panic. How does one just get up and move all your stuff. In addition, owners have the right to access. On the other hand, buying a property almost guarantees a major net loss and lack of mobility.....I'm not sure there are any good answers, but I'm still listening!!!

-- choo choo (555@y2k.com), February 07, 1999.

They can't kick you out if you have a lease! Get a lease for at least one year or a lease option to buy. If the owners show up and want their property back, make them find you a comparable property to locate to. A lease is a lease. Leases protect you from being kicked out at the landlords whim, and protects the landlord from you skipping out on a whim. Tell them to come back to see you when the lease is up. Pay your rent on time and don't give them an excuse to evict you.

-- ~~ (~~@~~.com), February 07, 1999.

Unfortunately, it looks like we (like all peons) are screwed when TSHTF.

If you can't pay cash, and you can get a "loan", and we suffer deflation (very likely) or lose income source in the depression (likely), then you will probably not be able to make the payments. May not be too bad, though, the bank may not be so quick to kick you out as a landlord for non-payment, so you may get through the first six months with a place to stay.

Renting, got the same problem, may not be able to make the rent. Lease or not, non-payment means possible eviction. Hard to say how long you can stay.

Unfortunately, also, where you gonna hide your cache?

Anyone with any suggestions?

-- nocash (nocash@poor.com), February 08, 1999.

Put your stuff in a storage unit that is near your house and make sure the storage business has someone who lives on site. If gas is scarce get a bike. Have any credit cards that have 0 balance? Run those puppies up and buy gold or silver.

-- ~~ (~~@~~.com), February 08, 1999.

choo choo,

Standard economic depression rules apply:

When economic conditions get really bad, landlords will beg for tennants who can pay the rent. If you have the money to pay the rent, you will have a place, and at a lower rent than before. If you do not have the money to pay the rent, all bets are off. So, either save enough money to be able to pay the rent, or be on very good terms with friends and/or relatives who may take you in if the landlord puts you out.

We will have many tough choices to make before this is over.

Jerry

-- Jerry B (skeptic76@erols.com), February 08, 1999.