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what would you do with this windfall?  

post #1 of 31
Thread Starter 
First a little background. Carlin and I have been living in my RV since he was born. It's currently parked on friends acreage Way out in the sticks. Last winter I took a live-in nanny job for the coldest months. This winter we rent bedspace in a friends computer room. I have a fairly portable home microbusiness selling games but have pretty much bled it dry. We have spent the last 4 years surviving on less than $10,000 annually, last year much less. The acreage is way out in the foothills, about 30 minutes from groceries/schools/library/park.

I signed my son up under his deadbeats SSDI benefits and Carlin now recieves $528 a month. The windfall came first, unanounced and totally unexpected. A check for $9680 for 18 months back pay from SSDI.

Full pantry, bills caught up, clothes for Carlin and socks and underwear for me. fixed the van up and a pizza night or two. I have $9000 left.

I would like to work on housing. My longgggg term goal is to be selfsufficient, just me and my boy. My own land and my own house, paid for, that no one can take away from me.

1) go back to the RV, fix the roof, floor, septic and brakes and give it some upgrades like solar panels and solar hot water. It's been vacant except for the mice all winter, and will need a reallllllly good scrubbing and no doubt some repairs before it is livable again. 'Rent' on my friends land is $100 plus 10 hours land labor a month.

2) buy a cheap mobile home in a trailer park with enough room to park the RV next to it. I've seen old tiny ones as low as $7000 with $350/month space rent.

3) buy a tiny parcel of unimproved land in the suburbs and drag the RV there. trailers come up for free on Craigslist often enough, just pay to move them. but need water/septic/electric and city permits.

I have spent the winter looking for work, but have figured out that I really don't want to work for someone else. I'd like to have enough space to really get my games going again.

My credit is poor, and without a steady paycheck I don't qualify for a standard mortgage or even a market rate appartment. I have looked into getting a fixer cottage and even a small one around here is running about $100,000. too much. My brother is willing to give me a $$ hand and I think he would co-sign or back a small loan to get into a $15,000 mobile home fixer.

I'm thinking along the lines of getting a mobile home, fixing it with sweat equity, pay the space rent with the SSDI, running my business to save for 'real' land. then I could move my improved mobile home onto my own land.

I guess I just need reassurance that my ideas are valid, and if you guys have any other ideas please feel free. Thanks for listening.
Bryanna


I can't decide. I can't make the first steps. I feel like I'm in quicksand.
post #2 of 31
I would definitely make sure your $9000 is held in a high-interest bearing account while you weigh your options. You can easily make 5% interest on your money while you keep it safe until you decide what to do.

As far as advice on your options, I don't know much about RVs, etc. or what is available in your local market in regards to housing, but I would advise you to be careful about investing in a mobile home. They do not appreciate in value as other homes do, and I have friends who have ended up losing money on this. It would probably be better to rent a cheap apartment while you save more for a house downpayment than to invest in a mobile home.

I was just listening to Dave Ramsey on the radio last night and he was advising against buying mobile homes since they depreciate much like cars do.
post #3 of 31
I second the PP's caution about mobile homes. If you do decide that is the best option, I would say that you should probably not purchase one that you plan to move. A little checking around with those who sell them might bear this out a little more, but I think they older ones would not hold up well to repeated moving. KWIM? You might find you had a whole lot of repair to do after you'd moved the mobile to a new location. If you want one, try to leave it on-site.

Is relocating to a cheaper living area a possibility for you?
post #4 of 31
I think you might want to prioritize a year-round living space, so that you don't have to depend on others for a place to live in the winter. But I don't have any suggestions as to how to do that!
post #5 of 31
If you chose option 1, would the RV be livable year-round?

If it were just me and one kid (hmmm, which of my kids would I choose ) and I could make an RV a year-round home, that is the option that would appeal most to me. Especially since it gives you a rural location, low rent, and, imo, the most self-sufficiency. You own the RV. You can live anywhere you park it.

dm
post #6 of 31
Quote:
Originally Posted by dharmamama View Post
If you chose option 1, would the RV be livable year-round?

If it were just me and one kid (hmmm, which of my kids would I choose ) and I could make an RV a year-round home, that is the option that would appeal most to me. Especially since it gives you a rural location, low rent, and, imo, the most self-sufficiency. You own the RV. You can live anywhere you park it.

dm
THIS is exactly what I was thinking as well. How often do you drive the 30 min to get into town? I guess that's the only major con I see with this situation, if you can live in the RV year-round that is.
post #7 of 31
Be extremely careful with buying a mobilehome. We bought one a couple of years ago, but only because we live on free land (my Grandma's) and because it was a lot cheaper than renting. We went into it knowing we'd never be able to sell the trailer for a profit and we're ok with that because we are saving money by not renting. With $350 lot rent there's no way I'd consider buying a trailer.
post #8 of 31
Quote:
Originally Posted by dharmamama View Post
If you chose option 1, would the RV be livable year-round?

If it were just me and one kid (hmmm, which of my kids would I choose ) and I could make an RV a year-round home, that is the option that would appeal most to me. Especially since it gives you a rural location, low rent, and, imo, the most self-sufficiency. You own the RV. You can live anywhere you park it.

dm
: I think it would be worth it to fix up your rv and make it livable again. I would NOT buy a mobile home. As pp's have mentioned, they don't appreciate, in fact, most ppl lose money on them. I would fix up the rv and maybe try to find another area that's closer to town to park it, if that's what you want. If you wish to stay where it is now, I would try to do all errands that are in town maybe once a month so you don't have to waste gas getting there and back.



ETA: I re-read your post and realized that you were thinking of fixing up the mobile home and then moving it to land that you buy. If you do plan to live in the mobile home long term I think it might be ok. You could probably get a fixer upper cheap and start saving up for land. If you think it may only be for a year or two I think it would be a waste of money.
post #9 of 31
I would fix up the RV (if its really livable and fixable year round) and find a long term spot.

If no that then may small piece of land out in the sticks with a yurt?

Just my 2 cents!
post #10 of 31
That's weird. Around here Mobile homes go up in value in fact some sell for over $200 thousand now, if they are on even a small lot, about $150 thousand if on a rented lot.
post #11 of 31
My neighbor runs a mobil home park....makes a ton of money...buys the trailers for nothing, spends 2K fixing them up and rents them out for $650 a month.

To me, as long as one doesn't expect to sell the home, or have to pay lot rent, then a MH to me, is the way to go. And from what I've seen of MHs lately, they are MUCH better than apartments, especially where the kitchen and storage are concerned!

Would the friends who let you keep your RV on their land let you put a MH there? That to me would be the best option, especially if you think they'll let you rent your space findefinitetely.

Steph

ITA w/ putting it in an interest bearing account for now!
post #12 of 31
I don't know what to tell you, except to say we had a mobile home of my uncles which we tried to basically give away - it was so rotten and falling apart, we couldn't do that. Don't expect something you got for free on craigslist will be moveable, it could end up costing you a lot more money when it falls apart mid-move, etc.
post #13 of 31
My FIRST reaction would be that you ALREADY have the RV. The RV is movable (without transpost/hauling costs). The RV can go anywhere you need to go. You don't know what will happen in the future.


I would fix the RV (if nothing else it will make it worth more for resale later). Maybe NOT oufit it with solar just yeat. And then I would find the best place to park it (land if that works or pay for an RV space that has all the hookups you need to live through the winter). While you are comfy through the winter... work on your biz or a decent job. Save THAT money for land of your own.


Buy said land and move RV to it and then build something else later.



Windfalls go away quickly. Save what you can and stock up on everything you can now!
post #14 of 31
I was recently reading "The Hand Sculped House" and the authors wrote about this same situation. Their suggestion was to find someone with acreage and make the following deal with them: you will build a cob house on their land and you get to live on it rent free for Xnumber of years. At the end of the term, the land owner gets his or her land back along with the house.
Cob is really cheap to build and you could do it yourself. Save the leftover windfall along with the money that you would have paid for rent over the X number of years and then buy your own land and build a new cob house.
post #15 of 31
If you can afford the land and would consider a cob house why not build one of your own to live in permanantly? If the RV can get you by until it's done and you have some friends and family to help you out with building the home it could really be worth it! I wish my husband were interested in a cob home, because I want one SO badly. They're beautiful!
Google Cob House if you want to learn more. If you check out google images you'll see how beautiful they can be. Scavenge building supplies and you could have a home for that $9,000, and if your brother would back a loan for the land you could be in business!
post #16 of 31
Thread Starter 
Cob houses is where I started. get an RV (done), have friend buy property (they bought 32 acres in 2004), park my RV next to the garage with electric and phone, clear a chunk of their land and build something with my own 2 hands while saving for my own land. $100 rent plus 10 hours of sweat equity a month.

well, things have just gotten progressivly worse with friends. They have moved 'my spot' 3 times now. and have now strung electric fence for the goats, and my current spot is an island in the middle with no access. and my RV is down along the driveway because I can't cut a new driveway across the electric fence lines. so I have cleared plenty of spaces, and now have no electric, no phone, and no space. and nothing has been built, not even the privy. I have also learned that I don't want to be that far into the foothills. I don't like 2-3' of snow. It's just too cold. It's time to cut my losses/gains and head out.

I've found a couple of options that require just a minimum of help.

Plan C: buy a 1977 singlewide in Puyallup on a large lot. $13,500 list price plus $450 lot rental. has gorgeous view of Mt Rainier and excelent solar exposure. Plenty of room for my rv in the driveway, 20'x10' shop with electricity and fully fenced for Carlin to run.

Plan B: buy an older singlewide in Des Moines on an older elbowtoelbow lot. $5000 list plus $445 lot rental. RV probably won't fit in driveway. Comes fully furnished right down to the nicknaks, a bunch of it would be sold. There is a new city park/playground right across the street. Could certainly offer like $2500 in green cash, with reciept and title, clean it up, and flip it for rental of $600/month.

Plan B+: buy 1.75 acre lot in Arlington Heights. on a salmon stream with a 150' setback. steps down 20' down to stream over the 400' of length of site with a floodplain at the bottom. was logged long ago, but the soils are that nice loamy old growth mast that doesn't perk. listed for $29,000 with a 2007 assessed value of $21,000. I could use it as 'recreational use for 180 days per year' but currently won't get septic approval, and without septic. It is located about 10 minutes from town and well below the snow line and above the floodplain. and has an excellent multi-age school. I could park my RV next to a deck with a yurt and haul water from town. I have a design for a micro septic/biofilter for gray water that would water a garden. would just have to haul septic out, perhaps get a honey bucket/portable privy. The guy at the City said quietly that they don't have anyone to count the number of nights you sleep there. I would be back to roughing it, but on my own lands.

Brother has money in CD's and checking accounts, plus he has credit. I was thinking of offering a steady $250 per month payments, that's half of Carlin's SSDI a month. $30,000 loan with $250 payments = 10 years, not including some interest nor additional optional payments as my home business allows.

Thanks for letting me talk this through.
Bryanna
post #17 of 31
Thread Starter 
oh, and I have been scrounging materials for the last 3 years. I have enough wood to build a privy, propane fridge, propane furnace, propane stove, several windows, and a flat top wood stove. 20 pounds of nails, a wheelbarrow. 150watts of solar panels, new batteries and the inverter. I also have some hand tools for clearing brush and building, but would probably splurge and get a used DR brush cutter and a small chainsaw.

perhaps I'm answering my own questions. guess I need to talk to brother about that loan.....
Bryanna
post #18 of 31
Quote:
Originally Posted by bryannastreasure View Post
Plan B+: buy 1.75 acre lot in Arlington Heights. on a salmon stream with a 150' setback. steps down 20' down to stream over the 400' of length of site with a floodplain at the bottom.
It sounds beautiful and it sounds like that's where your heart is. What are the barriers to septic installation? I have to think this certainly has the most reasle value potential, as well!
post #19 of 31
Thread Starter 
I just got an email back from Brother. his family has made other plans. they have made an offer on a 9plex in Wallingford that will tie up $everything$ for years.

crushed.....

bryanna
post #20 of 31
Thread Starter 
I have found a 1981 double wide in Bremerton, fixer, listed for under $9,000. It is $350 a month lot rent. My brother and I are going out to see it this afternoon.

Part of me is really excited, perhaps I'll be moving soon to my very own house. Part of me is scared breathless, that my very own home would start as such a pit.

Pros:
large outside corner lot, backs to embankment.
gradual slope down to southeast with some trees on west side.
affordable lot rent
room to park my RV, and a shed
room for garden and fruit trees
2 fenced yards with gates
master bath is almost remodeled
doublewide, 3br/2Bath with plenty of room for business studio
seller is very motivated, should be able to talk him $down$
possible to move a doublewide to future land

Cons:
really needs work!
roof is dead and covered with a 5 year tarp.
ceiling drywall has 'melted' in places and begining to show mold/mildew
will need roof, insulation, drywall, carpet, subfloor and accessories.
no appliances
no cupboard doors, interior doors
wallpaper/paint has been peeled off the wood panelling, looks ugly.
only 4 years left before the house turns 30 and can't be moved in Washington.

This is at my limits of both money and skills. I'm willing to work really hard to get a place for me and my son, especially if I'm working for my goals of own home/own land. Carlin will be in ECEAP preschool starting September, I will look for parttime work then.

I do have a variety of friends and resources that would be able to help me with repairs. Concentrate on getting it livable for winter, even if that is only kitchen, one bath and the living room and leaving the rest demo'd to the studs and sealed off.

Quick search of craigslist turned up a house worth of blown in insulation, several sheets of drywall and plywood, paint, carpets and furniture for free. And fridge, freezer and diswasher for under a $100 each.

I'm thinking of low-balling my first offer and use cash for the big repairs, and scrounge hard for everything. Work hard, buy land and move the house there.

Just trying to sort out my thoughts, thanks for listening.
Bryanna

ps: Original URL: http://seattle.craigslist.org/kit/rfs/336012728.html
pictures at http://picasaweb.google.com/mollybosco
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