(no subject)

[jianantonic]

I really did plan to stay up late doing laundry, but I ended up nodding off around 9:30. I got two loads done, which is about 437 fewer than I intended, but that's what the weekend is for, I suppose. I've been sleeping a lot lately, but not sleeping well, which makes me worry that I may be coming down with mono again. I don't think that's it, though. I don't feel much like I did last time I got it, but it was this time of year, two years ago. I'm so much healthier now than I was then, though...so here's hoping it's just allergies and that crap.

It's supposed to rain all day today and tomorrow. At least that'll help me get laundry done.

I've been looking seriously at buying some rental property in Harrisonburg. Apartments around here are going for anywhere between $70K and $150K, and we have about $200K in home equity, so I figure we might do well to take out an equity loan, make a cash offer for an apartment (lower price that way, hopefully), and turn it over to the property management company to rent it for us. We're researching the possibilities at the moment. Right now isn't a great time to buy, because prices are way up, but on the other hand, we don't know if they'll keep going up or what. We'll see. We're not going to buy until sometime next spring or summer anyway, given the lease season. But it'd be nice to work it all out before then. I'm just afraid of getting in over my head. Like, I don't have the actual income to support it if it goes unrented. So we may have to wait. Anyway...lots of work all of a sudden. Peace.

Comments

[flamingophoenix.livejournal.com]

Hmm. I've never done this before (obviously, as I don't own a house) but is it smart to get a home equity loan if you've already got a mortgage? If my parents were home, I'd ask them, but they're not.

Check out http://clarkhoward.com/ and see if he says anything about it.

I *think* equity is usually used for things like renovations, which increase the value of the property that has been equitified. But I could be wrong.

You should also take into consideration what your financial situation would be if one of you suddenly got sick and could not work. Could you still afford everything?

However, buying rental property is often a good thing, because rent income can be a huge boost (assuming you don't spend it all on maintaining the rental property). That is, if it's in a location that's pretty guaranteed to get rented. For example, something within walking distance of W&M's campus is GUARANTEED to rent. No question. And they can pretty much charge whatever they want, too. At least, that's the impression I've gotten.

Good luck! And yay for doing research on stuff.

[jianantonic.livejournal.com]

Hmm, maybe I should look in Williamsburg...I bet it's more expensive to buy, though. I think JMU apartments have a pretty good shot at renting, too, though. We'll see. I've read Clark Howard out my ears, and he doesn't really have much comment for my specific situation. I guess not too many folks find themselves in my sort of situation. Wealthy, but no income. Heh.

My parents are on board, which makes me think it must not be a terrible idea. Lots of people take equity loans for any old reason - buying a car, paying credit cards...it's safe, as long as you don't borrow too much, because if the value of the home depletes and you can't make the payments, then selling the house won't even cover your ass, so...yeah. But I think it's feasible. Let me know if your parents have an opinion.