Decisions Regarding Owning or Renting Your Homestead

VannFe · #1 09/15/13, 04:31 AM

I am facing a dilemma that I would like everyone's opinion on. I am currently living in NM, not my hometown, for school and I still have at least 2 years left, more like 3. I'll move to wherever I get work when I'm done. I'm not getting any younger, nor is my daughter, and we want to have a small homestead again. I had rented a place a couple years ago, that the landlord decided that he wanted to move back into, and since I've been in an apartment that I'm sick of. I'm boarding my 2 horses at my school, roughly 8 miles away. And I'd like to have them with me again.

My situation is this... My credit needs some work, which I'm working on, and I won't be able to buy a place based on my FICO for probably close to a year. I'm not really sure I want to buy a place here either, even though I've been here for 6 years. I've been looking at houses to rent and have found 2 that I'm considering. One has a much more efficient, and just plain nicer, home and property, but it's 30 minutes outside of town and from any grocery, less land, and inconvenient to get too. The other has a little over double the land, 10 min closer to town and 5 from a grocery store, and has an outbuilding that the other does not, however the house is MUCH less efficient and although bigger, not as nice. Same rent. I wish i could switch houses. ;0)

I cannot decide if I want to just stay in my apartment and wait until my credit will support a mortgage, or just rent someplace again. It will realistically be 3 years until I'm done with school due to finances and able to move from this area, possibly longer. And if I choose to rent, which place should I choose, or just wait and see if I find another property that has the best of both worlds (house/land/location)?

Thank you for any input! I've been mulling this over all week. Checking my credit and everything.

BTW I realize that a 30 min drive for most is nothing, I was raised in So. California so I grew up driving 2 hours in to work each morning. But now I really don't want to waste the gas (in a truck), or my time, driving further than I have to for school and then anything else that comes up (i.e. doctor apts...of which we usually avg 2 a week).

Grumpy old man · #2 09/15/13, 06:25 AM

If your visiting a Dr twice a week you need to stay in town ! I have to ask why ?

Whisperwindkat · #3 09/15/13, 06:56 AM

I agree, if you have to visit the doc that much you need to stay in town and the downside of renting a homestead is that there is always work to be done and you will be doing it for someone else's property. You will also be limited by what they allow you to do to their property. I would wait if at all possible, unless renting one of them will allow you to save more money than you are now for the homestead you want to buy later. Blessings, Kat

Grumpy old man · #4 09/15/13, 07:04 AM

Or better yet I will come out your way and buy a property and give you low rent so you can build the ultimate homesteading dream .... for me after your lease is over !

Alice In TX/MO · #5 09/15/13, 07:07 AM

Stay put, build credit, build savings account, get health as good as you can.

When it's time to move, you'll know.

Laura Zone 5 · #6 09/15/13, 07:17 AM

Never, ever, 'settle'.
Never.

If it were me? I would rent, sit tight, finish school, build credit.
Find a place to 'rent' (small home / small yard) if you can....for now....if you cannot, find a community garden or go to your local extension and see if there is an older couple that would be willing to allow you to grow a garden, etc in exchange for your help (weeding, cleaning out coops, etc).

Patience is NOT one of my virtues, and I have made MANY mistakes in my life because of my lack of patience and lack of 'big picture' vision.

karenp · #7 09/15/13, 07:30 AM

Would you be able to keep your horses at either property? Around here you can see what the utilities run at least for electric. Compare the cost of fuel for driving against the cost of the added utilities. Unless you can save the money from the horse boarding, I wouldn't worry about the land. You don't want to put too much effort into someone elses property.

Appalachia · #8 09/15/13, 07:31 AM

If you're going to move in two or three years you're crazy to buy something unless you get a ridiculously good deal on a foreclosure.

Keep on renting, saving, and building that credit score up.

Grumpy old man · #9 09/15/13, 07:37 AM

Your best option would be to worry about yourself and daughter 1st and medical issues . So the best option would be to sell anything you don't absolutely need (YES including your horses )and get your credit right to have a stable life for your daughter first ,Hobbies and wants can wait till you are in a better situation for the both of you . Harsh but true ! Reality sucks .

Irish Pixie · #10 09/15/13, 08:02 AM

There is also something to be said for being happy, and some people just can't be happy without horses.

Reality doesn't have to always suck.

fordy · #11 09/15/13, 08:16 AM

................Are you working and paying for your monthly living costs , or , are you using student loans to pay your living costs ? I'd minimize my living costs to mimimize student loans ! Once , you finish school , your monthly loan REpayments will significantly inhibit your ability to finance a homestead . , fordy

VannFe · #12 09/15/13, 08:22 AM

Quote:

Originally Posted by Grumpy old man

If your visiting a Dr twice a week you need to stay in town ! I have to ask why ?

My daughter is epileptic, dyslexic/dysgraphic, asthmatic and now has sleep apnea (which explains why she is always sooo tired). We were at a sleep study when I created this thread fitting her for a breathing machine that I think is totally messed up that an 11yo needs in order to get quality sleep.

I have other health issues...you really don't want to hear about them. ;0) Needless to say, shoeing horses for years wasn't so good for my back and poor blood circulation can have an array of effects that I'm trying to keep on top of before they get out of hand.

So the Dr appointments are a rough average of 2 a week. Sometimes its none, other times we're going a couple times in one day. This month, it's 1x a week, except this week was 2. I really hate doctors. When I was a kid I was never sick. I went years between visits, other than the annual, until 5 years ago when I messed up my back. I still don't get colds and the like, neither does my daughter, I just have structural issues.

Grumpy old man · #13 09/15/13, 08:28 AM

Quote:

Originally Posted by Irish Pixie

There is also something to be said for being happy, and some people just can't be happy without horses.

Reality doesn't have to always suck.

Some people (NO ONE IN PARTICULAR) just can't afford horses and to fulfill a want over a need is a bad Idea for you and the horse .

VannFe · #14 09/15/13, 08:40 AM

Quote:

Originally Posted by Whisperwindkat

I agree, if you have to visit the doc that much you need to stay in town and the downside of renting a homestead is that there is always work to be done and you will be doing it for someone else's property. You will also be limited by what they allow you to do to their property. I would wait if at all possible, unless renting one of them will allow you to save more money than you are now for the homestead you want to buy later. Blessings, Kat

That is part of the dilemma. The one property with more land, but more convenient, will require more money to make it more efficient. And even then it still won't be as efficient as the other unless I replace water heater and stove (both are currently propane which is RIDICULOUSLY expensive here). The LL doesn't care what changes I make, as long as they're improvements, however whatever I put in it, I'm losing because I'm renting it and I don't own it. Renting a house at all won't save me money. I'm in a very energy efficient apartment and my rent combined with my stall rent is still $15 less than what I'd be paying in rent in either house. My apt is $585, stall rent is $25 per horse, and the houses are both $650. I'm currently on the edge of town, 9 miles east from the one that's larger and 18 south from the smaller and it takes me exactly 8 minutes to get to school or to feed my horses (fwy and I have it down to a science so I can be to class on time...although once I'm at school I need to add an extra 10 to that in the morning

)

Irish Pixie · #15 09/15/13, 08:44 AM

Quote:

Originally Posted by Grumpy old man

Some people (NO ONE IN PARTICULAR) just can't afford horses and to fulfill a want over a need is a bad Idea for you and the horse .

I don't see where the OP said anything about money problems, she did say credit problems but that could easily be from the past, she's boarding her horses so I don't think care is an issue.

VannFe · #16 09/15/13, 08:48 AM

Quote:

Originally Posted by Laura Zone 5

Never, ever, 'settle'.
Never.

If it were me? I would rent, sit tight, finish school, build credit.
Find a place to 'rent' (small home / small yard) if you can....for now....if you cannot, find a community garden or go to your local extension and see if there is an older couple that would be willing to allow you to grow a garden, etc in exchange for your help (weeding, cleaning out coops, etc).

Patience is NOT one of my virtues, and I have made MANY mistakes in my life because of my lack of patience and lack of 'big picture' vision.

That's what I had originally intended, but I've been here, working on my degrees, for almost 6 years and I'm not done. I'm 35 now and my daughters 11. I never wanted to raise her in an apartment. This was supposed to be temporary. I have the down for a place, but not the credit, and I'm really not sure I want to set down any more roots here than what I have. I would really like to move to a 'greener' place, in many ways.

Our local community garden is taking a 'break' for unknown reasons until next year. I hadn't thought of asking someone else to borrow their yard though... I have also been looking at little houses in town. Haven't found much. Most want rent that's way above my price range. But I can hang in there and keep looking.

Grumpy old man · #17 09/15/13, 08:52 AM

Sorry but I have to say it if your counting your money right down to the point of a $15.00 difference you are putting the cart in front of the horse and can't afford either .sounds like 1 extra vet bill or God forbid Dr visit would put you in serious trouble and from what you've said you can't afford it .

Grumpy old man · #18 09/15/13, 08:54 AM

Quote:

Originally Posted by Irish Pixie

I don't see where the OP said anything about money problems, she did say credit problems but that could easily be from the past, she's boarding her horses so I don't think care is an issue.

debating a $15.00 difference between a house or apt payment is a serious money problem wouldn't you agree ?

Irish Pixie · #19 09/15/13, 08:56 AM

Since you have stated you have the down payment VannFe but not the credit to get a mortgage right now I'd wait to find the perfect place even if it is after you finish school. I'd keep looking for nice places to rent in the meantime tho, you never know what will pop up. Good luck.

joebill · #20 09/15/13, 08:56 AM

If you want to stay in NM, there are lots of opportunities to buy land, at least, on contract. Someof it has utilities, etc.

If you don't need real major stuff, rural clinics are abundant, competent and reasonable in price.

If you could finish school online, you could live anywhere in NM, pretty much, providing you can afford it.

Feel free to ask for any details that interest you......Joe