The Landlord-Lessee Joint Venture

[TheSheep]

Why not?

The Sheeps own a loverly home in Virgin "Wool" Gorda but my ram, Ram, gets his horns in a knot when he doesn't get his NFL football fix (St. Louis RAMS, who else!!). We did not wish to invest additional fleece in more US real estate (the young rams have yet to vacate the original Family Sheephouse ). Ram said, "Let's find an Owner who feels the pangs of today's market and offer our assistance!" Off we headed to the computer and type, type type we typed.

We emailed here, called there, put up a blog (ewe, awful), we went to fine homes, on golf courses (Fore!), on the beach ("Surf's Up!), up in high rises ("burp; yellow sicko"), all about SW FL!

We offered to pay (all, part, some, most, any, a little, nothing, everything) of the Panged Owner's household expenses.

For a share of the equity, of course.

"No, no, no that won't dew, the Panged Ones said.
"Butt, butt (Ram talking, of course), we will stay for X years"
"NO NO NO NO!!, a gazillion times NO!"

We were ashocked! It appeared to be a square deal, no one gets fleeced, why shouldn't a Panged Owner-Landlord give us some of his goody-goody equity for the Sheeps long term commitment if we offered to pay (all, part, some, most, any, a little, nothing, everything) of the Panged Owner's household expenses (wrong term let me reclearification this - all expenses = monthly mortgage payment, taxes, HOA, insurances, etc)? :angry:

Just when all was forsooken, Ram got a call from a (GASP!) a Real Realtor. (They weren't too shiny-penny on the idea; no commissions maybe?)

"Mr. Panged Mucho Owner would like to talk to you about your blog and his home!"

So we did. And he did. And we did together. And we got some goody-goody equity and he got some Serious Relief and we are all happy as clams, er, sheep in summer hay.

The End

Questions are now taken, the floor is open.

 

[Smiling JOe]

Why would any reasonably smart person want to share ownership with someone whom they don't know? There are many potential headaches involved in sharing ownership with a person you do know, and likely even more, when shared with someone you don't know, but you do know is financially strained. What happens when the other owner gets divorced and her husband makes her sell in a down market? What happens when any emergency takes funds out of whatever equity may be in the house? There are way too many problems with this scenerio, and maybe that is the reason why the Realtor wasn't too excited.

I own some properties jointly, and have been lucky thus far. They are with people whom I've known for a very long time, and have a good financial history. Even so, you never know when cancer may come along and wipe out someone's finances. I can give you plenty of examples of partnerships that haven't worked.

I like the outside the box thinking, and you get a 10 on effort for this one.

 

[joho]

A fool and their money are soon partying............

 

[elgordoboy]

I don't understand the household expenses thing. Is this like giving them one of my extra bedrooms and partial ownership of the house and they pay the utility bills, garbage removal, and new lightbulbs etc..? I enjoy reading it like I enjoy listening to the dialogue in "Clockwork Orange" but no comprendo.

 

[rapunzel]

Financially, wouldn't you be better off just paying rent at the market rate and investing the difference between that and all household expenses?"

 

[Bob]

The Sheep is always sheepish about detail.

 

[JUL]

Why not?

The Sheeps own a loverly home in Virgin "Wool" Gorda but my ram, Ram, gets his horns in a knot when he doesn't get his NFL football fix (St. Louis RAMS, who else!!). We did not wish to invest additional fleece in more US real estate (the young rams have yet to vacate the original Family Sheephouse ). Ram said, "Let's find an Owner who feels the pangs of today's market and offer our assistance!" Off we headed to the computer and type, type type we typed.

We emailed here, called there, put up a blog (ewe, awful), we went to fine homes, on golf courses (Fore!), on the beach ("Surf's Up!), up in high rises ("burp; yellow sicko"), all about SW FL!

We offered to pay (all, part, some, most, any, a little, nothing, everything) of the Panged Owner's household expenses.

For a share of the equity, of course.

"No, no, no that won't dew, the Panged Ones said.
"Butt, butt (Ram talking, of course), we will stay for X years"
"NO NO NO NO!!, a gazillion times NO!"

We were ashocked! It appeared to be a square deal, no one gets fleeced, why shouldn't a Panged Owner-Landlord give us some of his goody-goody equity for the Sheeps long term commitment if we offered to pay (all, part, some, most, any, a little, nothing, everything) of the Panged Owner's household expenses? :angry:

Just when all was forsooken, Ram got a call from a (GASP!) a Real Realtor. (They weren't too shiny-penny on the idea; no commissions maybe?)

"Mr. Panged Mucho Owner would like to talk to you about your blog and his home!"

So we did. And he did. And we did together. And we got some goody-goody equity and he got some Serious Relief and we are all happy as clams, er, sheep in summer hay.

The End

Questions are now taken, the floor is open.

So now that you did it Tell us what you bought

 

[JUL]

Why would any reasonably smart person want to share ownership with someone whom they don't know? There are many potential headaches involved in sharing ownership with a person you do know, and likely even more, when shared with someone you don't know, but you do know is financially strained. What happens when the other owner gets divorced and her husband makes her sell in a down market? What happens when any emergency takes funds out of whatever equity may be in the house? There are way too many problems with this scenerio, and maybe that is the reason why the Realtor wasn't too excited.

I own some properties jointly, and have been lucky thus far. They are with people whom I've known for a very long time, and have a good financial history. Even so, you never know when cancer may come along and wipe out someone's finances. I can give you plenty of examples of partnerships that haven't worked.

I like the outside the box thinking, and you get a 10 on effort for this one.

Are you calling them ....not smart?

 

[Smiling JOe]

Are you calling them ....not smart?

Anyone going into a financial partnership with a COMPLETE stranger, with no concern for the what-ifs, may want to rethink it. Of course, there is the possibility that things will work, but I think the odds would be against them. Maybe it has nothing to do with their intelligence, but more so with their willingness for risk. I'm sure many "smart" people have lost plenty of money due to taking risks. Some people are willing to risk it all, and start from scratch. Intelligent people can make bad business decisions. How is that for a political answer?

 

[Bdarg]

Sounds like a slight variation of what use to be called a land contract. They were popular in the late 70's early 80's when interest rates were extremely high.