The Landlord-Lessee Joint Venture

[TheSheep]

Why not?

The Sheeps own a loverly home in Virgin "Wool" Gorda :floor: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 :pissed:). 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. :biggrin:

For a share of the equity, of course. :yikes:

"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. :clap:

[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............:blush:

[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 :floor: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 :pissed:). 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. :biggrin:

For a share of the equity, of course. :yikes:

"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. :clap:
So now that you did it:clap: 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?:idontno:

[Smiling JOe]

Are you calling them ....not smart?:idontno: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.

[JUL]

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?

Sounds like Hitllary has some competition!:floor:

[TheSheep]

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.
Smiles, we covered the Realtors with a fee for services, once that was determined, Realtors quit rolling logs. :shock: We met with the Owner(s), Ram and I have no interest in doing business with a voice on a phone. The rest of the above is covered no diffferently as multiple ownerships are typically arranged (LLC, inside the Lease Agreement, etc). Remember, we are Owners too! :biggrin:

[elgordoboy]

Between this one and the other one I was looking for help on, we really could use someone conversant in Cuckoo. I could anyway.

[TheSheep]

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.
We covered the cancer and death issues with appropriate insurances, this is a business after all :cool: The inability to follow through with payments are issues for both Landlord-Owner and Lessee-Owner (foreclosure = "Sheeps hit the road":cry:), these too must be addressed and are.

[TheSheep]

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.
Yes, righty-right, Bdarg, in many ways it is a throwback with modern day tweaks:D. It reflects what I consider the problem of the Panged Owner and the Long Term Occupant, how do they partner fairly, each gets his cookies. :wub:

The '89 housing market which is being paralleled today (sayeth Mr. Fannie Mae) didn't see the proliferation of the equity sharing techniques being discusssed in this here thread. Bud <spit>. :blink:

But they also did not have the severe loss of equity (that truly never existed in the first place) that Pangers today are OH Woe Is Me-ing about. That unrealized equity won't be back for any close term of time, enter the Long Term Occupant-Partner. :clap::welcome:

[TheSheep]

So now that you did it:clap: Tell us what you bought
My partner, Mr. Bear, was facing $5,500 per month in HOA, note, taxes, insurances every month. He bought a Centex property, 2770 sft HVAC in a very nice golf neighborhood. Quiet, private, 36 of those sticks with flags, larege developer owned, 1500 acres, 1/3rd developed....and deader than a sheep's hoofnail. :eek: Paid $829,000, worth, oh, $730,000 today's market (what there is of one).

Lanai, heated pool 15x30, hot tubby-wubby, Office-den 3Br, 3.5 baths, 2 car grg, top of line interior, golf/lake lot blah blah blah

I pay up to half of the $5,500, everythng over $2,750 goes to lower the price of the home. First option to purchase. 5 year lease, (2) 5 year Options, we split any upside over Sheep Basis in the house and the eventual Sales Price with a $950K "must sell" number. He gets all the write-offs, I am not on either the deed or the note just the lease (which is in the name of Sheep, Ram, Ewe1 and Ewe2, LLC - family business, we sell sweaters. Nylon sweaters. :rolling:) so we get an expense write-off, sweater business is good in Moscow! ;-)

[TheSheep]

The Sheep is always sheepish about detail.
Ask and ye shall receive ~ Jesusheep :lol:

[TheSheep]

Financially, wouldn't you be better off just paying rent at the market rate and investing the difference between that and all household expenses?"
Market rent is our minimum payment; potentially, yes, but now we have two places Ram is happy, we can live as long as we want (more or less) and cash out on any over minimum payments we make (especially if the market turns and "runs" again in SW FL.

Ram knows real estate, we are comfortable with what we know.

And fleece, we know fleece.

I know high heels. Obviously. :leaving:

[TheSheep]

I like the outside the box thinking, and you get a 10 on effort for this one.
Heh, Ram has a company named after that thinking. :eek: For another thread but thank you so kindly, Mr. Smiles, for your compliment.

May I eat your lawn? :idontno:

[elgordoboy]

:rofl:..I have always found your posts amusing..way back when I first started lurking on Sowal even. I do wonder if you are drunk :floor:. Do you think that writing off your payment as a business expense is legal?

[up4golf]

sheepskin covers in the mas. maybe you can offer to pay partial motoring costs

[TheSheep]

:rofl:..I have always found your posts amusing..way back when I first started lurking on Sowal even. I do wonder if you are drunk :floor:. Do you think that writing off your payment as a business expense is legal?
Why not? And please, get off the floor, yo Momma doesn't like having to do yo wash because you decide to flip around like a soon to be dead fish on a dock. :roll:

[TheSheep]

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.
Don't be fillying, me droog, when domy gollies are drat. We horned nothing anew, we're no prestoopnicks. Tek your rook finger and spin your vermin wheel, asked and answered reclearifications.

:lolabove:

[elgordoboy]

:lolabove::floor::floor::floor::floor: Mama is gonna have to wash more.

[elgordoboy]

Why not? And please, get off the floor, yo Momma doesn't like having to do yo wash because you decide to flip around like a soon to be dead fish on a dock. :roll:
On the legality--I missed the "has two places" in the earlier post- my brain was reeling from being pummeled. Worth a shot shhh......eep

[SHELLY]

Let me get this straight...some sclub bought an overpriced home he couldn't afford in an incomplete golf course community; you came along and are paying 50% of his $829,000 bank note and expenses for a home valued at $730,000 (and falling every day); your name is not on the deed.

Who has the responsibility to pay the bank note and expenses monthly? Are you sending him a check every month and trusting he's paying the mortgage/taxes/insurance/HOA on the house?

How long has Mr Bear been living in this home and how much was his initial downpayment on the property?

How much good-goody equity do you and Mr Bear currently share in the home?

Please explain to me what type of risk is involved in this deal? What could be your losses and what events would trigger those losses?


.

[elgordoboy]

You hold 'em Shelly I'll go get the waterboard! :lol: I want answers also.

[TheSheep]

Let me get this straight...some sclub bought an overpriced home he couldn't afford in an incomplete golf course community; you came along and are paying 50% of his $829,000 bank note and expenses for a home valued at $730,000 (and falling every day); your name is not on the deed.
No sclub, could afford, 50% or more, no longer falling, yes.

Who has the responsibility to pay the bank note and expenses monthly? Are you sending him a check every month and trusting he's paying the mortgage/taxes/insurance/HOA on the house?
He does,yes and no

How long has Mr Bear been living in this home and how much was his initial downpayment on the property? How much good-goody equity do you and Mr Bear currently share in the home?
Brand new, 10%, depends on how you value equity (golf club membership is saleable and at what market value?)

Please explain to me what type of risk is involved in this deal? What could be your losses and what events would trigger those losses?
.
Risks are that all parties, collectively or individually, fail to upkeep necessary payments, losses would be any payments that accrue to the reduction in house cost to purchase (assuming that part of the rent is over market and that we ever wished to option the purchase) triggered by foreclosure.

[SHELLY]

Brand new, 10%, depends on how you value equity (golf club membership is saleable and at what market value?)



He put $82,900 (10%) down, leaving a $746,100 mortgage on a property now worth $730,000, so currently the equity is -$15K and his $83K has gone to money heaven.

I wouldn't count subsidizing the guy's golfing as part of the "investment."

BTW: Is this place in Florida?

[elgordoboy]

It's like punching smoke. And by asking if this is in FL you are assuming that "this" is on Planet Earth.

[TheSheep]

He put $82,900 (10%) down, leaving a $746,100 mortgage on a property now worth $730,000, so currently the equity is -$15K and his $83K has gone to money heaven.
Heaven can wait and it is with this very premise that we see a Long Term Occupant of value.

I wouldn't count subsidizing the guy's golfing as part of the "investment."
Most assuredly, it is a private equity club, memberships have sold for as high as $150,000, Mr. Bear is in at the "stated" net cost of zero (allured by the free membership). One could extrapolate applying elmentary (school) algorithms)and say

$830,000
-125,000
=======
$705,000 True Housing Cost

Mr. Bear has assigned his membership rights (part of the Lease Agreement); Ram has learned to putt with his butt! We enjoy the daylight-ending romps, hoof n hoof, along the cart pathways and golf fairways, nibbling at the Champion Turf, dodging the ever present allicroc

YIKES! :yikes:

and prancing in the sand traps and waste areas, as if we were young sheeps, back at Fleece U, aw, those were the Daze (and Confused). :cool:

BTW: Is this place in Florida?
The Italian Capital of SW FL may I boast! :blink:

[TheSheep]

It's like punching smoke. And by asking if this is in FL you are assuming that "this" is on Planet Earth.
Punch less,
read more.
All evidence
is before
your very grasp
to see
what is real
and not to be.

[elgordoboy]

Punch less,
read more.
All evidence
is before
your very grasp
to see
what is real
and not to be.
I don't want to hurt your feelings or anything I am just having some fun. I really do enjoy looking at your posts. Reading would imply some comprehension. You take it well :D

[up4golf]

do sheep eat fish?

[SHELLY]

Most assuredly, it is a private equity club, memberships have sold for as high as $150,000, Mr. Bear is in at the "stated" net cost of zero (allured by the free membership). One could extrapolate applying elmentary (school) algorithms)and say

$830,000
-125,000
=======
$705,000 True Housing Cost


The Italian Capital of SW FL may I boast! :blink:


Ah, Naples....where every home for sale boasts stainless steel appliances, granite counter tops and a golf club membership.

I guess having the golf membership rolled into the 30-year mortgage and property taxes looks good when one uses elmentary (school) algorithms.

This investment is just perfect.....for the current owner.



.

[fisher]

Brand new, 10%, depends on how you value equity (golf club membership is saleable and at what market value?)




Is the membership full or are there still openings available? How many memberships have been resold? Does the troubled developer have any ownership interest in the course and is said developer funding any operating shortfalls? Do you get equity back only if someone else is lining up to buy your membership after all founding memberships are sold? Unless this is a premiere championship venue that has a waiting list for members--good luck getting any equity out of the membership?

[fisher]

..., no longer falling, yes.





No longer falling:confused: Where in Florida have prices stopped falling?

http://www.swfl4u.com/CurrentReport.htm

[TheSheep]

No longer falling:confused: Where in Florida have prices stopped falling?

http://www.swfl4u.com/CurrentReport.htm
In our subdivision where Centex has lowered prices of new builds to their pre-boom numbers.

This is a good/bad scenario. It's a closed pricing system with major builders. in high end dvelopments. As demand dictates, prices rise with no real value attached. As prices fall, major builder drops to his pre-boom pricing for new construction. Either way, there is a known up limit and down limit (as long as new homes of the same kind are being built). Knowing the known (knowingly?), we are at pre-boom minimums, if you are looking in our subdivisions, prices are set (within small +/- %). That is, you can buy a "build-to-suit" at or less than existing home sales.

[TheSheep]

Is the membership full or are there still openings available? How many memberships have been resold? Does the troubled developer have any ownership interest in the course and is said developer funding any operating shortfalls? Do you get equity back only if someone else is lining up to buy your membership after all founding memberships are sold? Unless this is a premiere championship venue that has a waiting list for members--good luck getting any equity out of the membership?
Memberships are near full, there are openings but only for residents (at this time). The developer is not troubled, the initial developer was, the new developer is very strong financially. If a membership is sold, it must first be offered to the "club" for a period of time, if they choose not to repurchase (at the closing cost number), then it goes to the open market.

Thank you for the expression of Good Luck but we do not see cashing in our membership equity at anytime in the next 5+ years.

[TheSheep]

Ah, Naples....where every home for sale boasts stainless steel appliances, granite counter tops and a golf club membership.
Who stole the stainless steel? We have white! :pissed: Every home in Naples has a golf membership? Wait until I tell the Ram. I was hoping someone would come along and point out how st00pid he is. :clap:

I guess having the golf membership rolled into the 30-year mortgage and property taxes looks good when one uses elmentary (school) algorithms.

I suppose, I really don't know what you mean, I , let me try to explain, I thought I, well, er, ok go on....

This investment is just perfect.....for the current owner.

I think your trying to hurt my feelings. I don't think you are being honest at all. I think you try to would poke holes in Swiss Cheese and claim VICTORY when you accomplished one a micron wide.

I don't like you.

I think I will now go snuzzle up in my hot tub, take a swing and a napsy wapsy in my hammock (under the beautiful, bug-free night skies), turn on our lanai TV and cry, in 5.1, with The Phantomn Of The Opera. :cry::cry:

I hope you're happy, Little Missy Troll, all I tried to do was to put forth a very viable alternative that Loverly Landlords and Loverly Lessees could share, to avert their miseries and all live in perfect peace. One that works for us and can work for many, many others. But OH No, YOU have to..wait, Ram calls...

"What?.. Do what?...Flunk..no, Ponk.." <excuse, Ram mumbles when drunk :eek:>

"Plonk the *****?"

Got it.

PLONK

[up4golf]

sheep writes to much. go back and listen to your bg's disc you probably don't have any biggie sounds.

[Bob]

The sheepster has found a perfect place to be in Naples. He speaks plainly when the pool guy screws up. Sheepster, your're going to need O2 up there.

[TheSheep]

The sheepster has found a perfect place to be in Naples. He speaks plainly when the pool guy screws up. Sheepster, your're going to need O2 up there.
It's a dream home, yes, we are very lucky in all respects. Our pool guy, he's from the Land Of Alamo Winners, is a grrl. Loverly young lady who I always leave cookies and either cold milk or a Jarritos. :D

[elgordoboy]

It's a dream home, yes, we are very lucky in all respects. Our pool guy, he's from the Land Of Alamo Winners, is a grrl. Loverly young lady who I always leave cookies and either cold milk or a Jarritos. :D
Tamarindo? Jamaica?

[TheSheep]

Wishing to update, there are 37 Lessor-Landlord co-joint ventures that we have introduced, with no profit incentive, to this financial reality.

[ClintClint]

Hey Mutton Head, you're getting good advice from the members. NOW TAKE IT
I hope this works on your planet, but not here. The complex nature of your scam, excuse me--I meal deal, is a guarantee that the attorneys will be the only people to make any money.
Sarcasm aside, Shelly, Smilin Joe, and Elgordoboy are knowledgeable and straight forward with their advice. It's good that you have confidence in your abilities, but including myself, you are getting well-intentioned advice from four fairly sophisticated investors/owners. Unless your motives are not good, I suggest you work with the other party to equitably dissolve this arrangement
to avoid the very, very, high probability that this will end ugggggly.

[Miss Kitty]

Skeeter...save your angst for something worthwhile. :wave:

[ClintClint]

You're right Miss Kitty--AGAIN!
I just can't help giving my 2 cents when I can see a wreck about to happen!

[TheSheep]

Hey Mutton Head, you're getting good advice from the members. NOW TAKE IT Sorry to have plucked your sore spot, Skeets, I wasn't aiming for your head, I promise.
I hope this works on your planet, but not here. The complex nature of your scam, excuse me--I meal deal, is a guarantee that the attorneys will be the only people to make any money.[/quote[Quite not, nothing complex at all, Skeets, of course complexity is in the brain of the (least) beholding. :D
[quote]Sarcasm aside, Shelly, Smilin Joe, and Elgordoboy are knowledgeable and straight forward with their advice. It's good that you have confidence in your abilities, but including myself, you are getting well-intentioned advice from four fairly sophisticated investors/owners. Unless your motives are not good, I suggest you work with the other party to equitably dissolve this arrangement
to avoid the very, very, high probability that this will end ugggggly.No, don't think so, Skeets, all is well I am so impressed that you would take time from your busy day to think about l'il ole TheSheep :clap: sarcasm aside, of course.:cool:

MOF, Skeets, several members of this fine Forum have emailed with questions, I believe at least two have entered into this equity sharing arrangement, one as a Landlord, another as a Tenant, separate properties. For you see, Skeets, everyone is well served in this arrangements, Skeets, but do as you like, Skeets, no nevermind to me, Skeets, none at all.

[TheSheep]

do sheep eat fish?After Mass at Friday's, er, on Fridays.:shock:

[Shnicklefritz]

;-) con artist or on a mania-high.... or maybe drunk....

[fisher]

;-) con artist or on a mania-high.... or maybe drunk....


...or full of sheep! ;-:lol:

[MissCritter]

So this is what it feels like to fall through the looking glass. . . :blink:

[fisher]

In our subdivision where Centex has lowered prices of new builds to their pre-boom numbers.

This is a good/bad scenario. It's a closed pricing system with major builders. in high end dvelopments. As demand dictates, prices rise with no real value attached. As prices fall, major builder drops to his pre-boom pricing for new construction. Either way, there is a known up limit and down limit (as long as new homes of the same kind are being built). Knowing the known (knowingly?), we are at pre-boom minimums, if you are looking in our subdivisions, prices are set (within small +/- %). That is, you can buy a "build-to-suit" at or less than existing home sales.

Looks like prices in Naples continue to fall. Closed system?? Don't think so. Full of sheep, not you are?????

http://www.swfl4u.com/CurrentReport.htm

[fisher]

Heaven can wait and it is with this very premise that we see a Long Term Occupant of value.


Most assuredly, it is a private equity club, memberships have sold for as high as $150,000, Mr. Bear is in at the "stated" net cost of zero (allured by the free membership). One could extrapolate applying elmentary (school) algorithms)and say

$830,000
-125,000
=======
$705,000 True Housing Cost

Mr. Bear has assigned his membership rights (part of the Lease Agreement); Ram has learned to putt with his butt! We enjoy the daylight-ending romps, hoof n hoof, along the cart pathways and golf fairways, nibbling at the Champion Turf, dodging the ever present allicroc

YIKES! :yikes:

and prancing in the sand traps and waste areas, as if we were young sheeps, back at Fleece U, aw, those were the Daze (and Confused). :cool:


The Italian Capital of SW FL may I boast! :blink:

Highest priced Centex community posted on the Centex website (http://www.centexhomes.com/Naples/) tops out at less than $700K???? What's that closed system theory again? Ever thought the developer might just start building smaller and cheaper homes next to the bigger more expensive ones that will hurt the value of the other homes.

[TheSheep]

Highest priced Centex community posted on the Centex website (http://www.centexhomes.com/Naples/) tops out at less than $700K???? Hardly, Centex has a four model line that exceeds $1M (in 2004-5 sales), up to 3,200 sft; with pricing depndent on the quality of the lot you choose. What's that closed system theory again? Ever thought the developer might just start building smaller and cheaper homes next to the bigger more expensive ones that will hurt the value of the other homes.Ever? How about now? I'm looking at two homes recently sold by Centex for $525Kish that are exactly the same, next door on each side, to one bought in March 2006 for $725K. I dast to ask what they has to do with L-L JVs?

[TheSheep]

Looks like prices in Naples continue to fall. Closed system?? Don't think so. Full of sheep, not you are?????

http://www.swfl4u.com/CurrentReport.htmMisinterpreatation of "closed, Sir. Closed as in "they manipulate the pricing", it is not so much supply-demand driven. Centex, Pulte, Lennar, KB etc can choose to sell at whatever price point they want. Traditionally, they will follow the S-D curve but they do not have to unless it be-hoofs them, sir. :lol:

In 2005, when sales were soaring, I saw Centex dump a 2,100 sft home, golf course, new, full featured for $510K. why? The flipper walked off his 20% down (+ 10% of the amenities package), it was end of month or some such timing, they wanted to move the house and they did. CTX took 100% financing as well.

Closed = they move to the beat of their own drummer...if they choose.

[ClintClint]

So that's why Centex stock is down 80% in the last 2 1/2 years---because they choose to. The joint venture you propose is more about the joint someone one needs to smoke to get involved in this scheme. Even Chill Wills was hooping and hollering as he sat backwards riding the atomic bomb down--enjoy the ride while you can because reality is going to s**k.
This is a baaaad, baaaad idea. Terrible marriages are easy to get into but ugggggly to get out of. If it looks like sheep dip, walks like sheep dip, and smells like sheep dip then sheep dip it is----and it's so deep here waders won't help.

[TheSheep]

So that's why Centex stock is down 80% in the last 2 1/2 years---because they choose to. The joint venture you propose is more about the joint someone one needs to smoke to get involved in this scheme. Even Chill Wills was hooping and hollering as he sat backwards riding the atomic bomb down--enjoy the ride while you can because reality is going to s**k.Yeah, that's why.

Do you drool? :roll:

[fisher]

Yeah, that's why.

Do you drool? :roll:


?????? :confused::confused::confused:

I'm beginning to think the sheep really does hang around in the pasture with real sheep.

Regardless, me thinks the sheep is about to get sheared.

[fisher]

I'm looking at two homes recently sold by Centex for $525Kish that are exactly the same, next door on each side, to one bought in March 2006 for $725K. I dast to ask what they has to do with L-L JVs?

Because at the beginning of this thread you were saying " we got some goody-goody equity" --doesn't appear to be any goody-goody equity here for the many reasons noted in several posts above. Actually, looks more like baaaady, baaaaaady equity.

[AAbsolute]

I don't understand. How does Sheep get paid in this deal?

[TheSheep]

I don't understand. How does Sheep get paid in this deal?TheSheep doesn't. WTS, TheCompleteSheep is assisting clients, potential clients and the Landlord-Lessee community as a whole. Clients are humanoids, many have moved to SW FL and want not to pay rent for a couple of years until Sheep Beach Development Company finishes our entitlement/permitting work. They are pre-sales on SF lots or condos. Email me if you want particulars on the Sheep Beach Development Company, AA.;-)

Edited: There is no reason why one should not discern a commish if one weds two parties to this wunnerful transactional state of realty matrimony!

[TheSheep]

Because at the beginning of this thread you were saying " we got some goody-goody equity" --doesn't appear to be any goody-goody equity here for the many reasons noted in several posts above. Actually, looks more like baaaady, baaaaaady equity.If a Lessor makes a baddy-bad deal on an upside down Landlord equity, nothing can be done about baddy bad investment decisions. With risk there is reward or quicksand. There is an investment decision here for the Lessee to make. Caveat pooper.

In a sitch where the Landlord-Lessee both show positive gain, or not for that matter, turning rent money into (potential) ROI and securing a Lessee with good intentions over a long term, excactly what is so baddy-bad about that may I enqueer?

[ClintClint]

I smell money laundering!!

[TheSheep]

I smell money laundering!!I see Ignorance!!

[ClintClint]

Knock , Knock
Who's there?
The Feds!!

[TheSheep]

Mr. ClintClunt, if I were you, I'd spend more time trying to figure out land costs before you dump a bunch of your hard-inherited money into Draper Lake.

*snicker*