Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Gonna Travel--Sell The House?
Old 04-11-2005, 10:34 AM   #1
Thinks s/he gets paid by the post
 
Join Date: Jul 2003
Location: Pasadena CA
Posts: 2,695
Gonna Travel--Sell The House?

This is a spin off from another thread about what a house costs. My wife & I expect to retire in the next couple years. We have a very small but paid off house and I am trying to figure out the best approach to it. We want to travel a lot and maybe even live abroad for a while. If we keep the house we could easily rent it out but it is old and needs a lot of maintnance. We would have to hire someone to look after it. Or we could sell it and invest the money to defray some conts of lodging whereever we may end up. We like the house and my wife has done a lot of work on the garden. But I do not look forward to the perpetual maintenance of an old house. It can be a financial asset whether rented or sold.

How have people who full timed in RVs or gone to live elsewhere for extended periods handled the house issue?
__________________

__________________
T.S. Eliot:
Old men ought to be explorers
yakers is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: Gonna Travel--Sell The House?
Old 04-11-2005, 04:21 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,385
Re: Gonna Travel--Sell The House?

I would say that if you like and would like to return to this house, or want to be sure than you don't get priced out of this neighborhood if things go wild, probably you should keep it. A PITA, but selling it means-A) it's gone; and B) you may not be able to afford the old nighborhood when you return.

OTOH, if you feel you can get more than it is worth, and your wife won't hate you for it, you are more free if you sell.

Mikey
__________________

__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-15-2005, 09:39 PM   #3
Confused about dryer sheets
 
Join Date: May 2005
Posts: 6
Re: Gonna Travel--Sell The House?

Another idea is to keep the house but swap with someone else who has a house where you want to live. I have seen swaps for as long as a year and some people even swap cars and such (for overseas locations). My wife and I are thinking of doing this but have not done it yet.

Greg
__________________
gstander1 is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-16-2005, 03:32 AM   #4
Thinks s/he gets paid by the post
 
Join Date: Dec 2002
Posts: 3,875
Re: Gonna Travel--Sell The House?

Quote:
Originally Posted by gstander1
but swap with someone else * My wife and I are thinking of doing this but have not done it yet.*

Greg
This site is getting way too kinky!

JG
__________________
MRGALT2U is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-16-2005, 06:11 AM   #5
Early-Retirement.org Founder
Developer of FIRECalc
dory36's Avatar
 
Join Date: Jun 2002
Posts: 1,826
Re: Gonna Travel--Sell The House?

Quote:
Originally Posted by yakers
How have people who full timed in RVs or gone to live elsewhere for extended periods handled the house issue?
On three different occasions, we tried to keep a house while we were far away for an extended period. (Fool me once, shame on you. Fool me twice, shame on me. Fool me three times, I'm an idiot.)

I'm sure it is possible to be successful, but doing so requires just the right tenant. You'll have to depend on them to do a lot that you could take care of otherwise -- or else pay someone to handle minor stuff that will run your costs through the roof. Lots of other disadvantages to being away, including collections, if things go sour for the tenant.

If you are gone for more than a few months, how will you find the replacement tenant when the one you so carefully selected moves away?

I could describe all sorts of stuff that happened to us, but I'll just summarize by suggesting that you only keep the house if you really want to come back to it because you love the house and its location, not for any financial reason. I don't think being an absentee landlord of a single home can work financially (unless you are perhaps in a popular resort area, and can profitably engage a management company to rent it out to vacationers, and clean and maintain it between rentals.)

Don't look at the rent as income -- look at it as prepayment for the costs you will incur later to get the place back the way you left it and/or prepayment for the loss of resale value if you sell it. (The carefully cultivated garden will be dead, the house will need to be repainted in and out, the floors will need to be recarpeted or refinished, the systems will age faster due to a lower level of attention to maintenance issues - meaning a new heating/AC system earlier rather than later, just for example.)

__________________
Often uninformed, seldom undecided.

Twenty years from now you will be more disappointed by the things you didn't do than by the ones you did do. So throw off the bowlines. Sail away from the safe harbor. Catch the trade winds in your sails. Explore. Dream. Discover. Mark Twain
dory36 is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-16-2005, 08:03 AM   #6
Thinks s/he gets paid by the post
Eagle43's Avatar
 
Join Date: Jan 2005
Location: DFW
Posts: 1,883
Re: Gonna Travel--Sell The House?

Plus when people "screw" the house up, it takes an act of Congress to get them out. I think it's called tenant rights or some such euphemism. Not for me. Sell the house, invest the money safely, and when you feel the urge to get back into a house, you will have at least a down payment or more.
__________________
Resist much. Obey Little. . . . Ed Abbey

Disclaimer: My Posts are for my amusement only.
Eagle43 is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-16-2005, 08:16 AM   #7
Thinks s/he gets paid by the post
 
Join Date: Dec 2002
Posts: 3,875
Re: Gonna Travel--Sell The House?

Quote:
Originally Posted by dory36
On three different occasions, we tried to keep a house while we were far away for an extended period. (Fool me once, shame on you. Fool me twice, shame on me. Fool me three times, I'm an idiot.)

I'm sure it is possible to be successful, but doing so requires just the right tenant. You'll have to depend on them to do a lot that you could take care of otherwise -- or else pay someone to handle minor stuff that will run your costs through the roof. Lots of other disadvantages to being away, including collections, if things go sour for the tenant.

If you are gone for more than a few months, how will you find the replacement tenant when the one you so carefully selected moves away?

I could describe all sorts of stuff that happened to us, but I'll just summarize by suggesting that you only keep the house if you really want to come back to it because you love the house and its location, not for any financial reason. I don't think being an absentee landlord of a single home can work financially (unless you are perhaps in a popular resort area, and can profitably engage a management company to rent it out to vacationers, and clean and maintain it between rentals.)

Don't look at the rent as income -- look at it as prepayment for the costs you will incur later to get the place back the way you left it and/or prepayment for the loss of resale value if you sell it. (The carefully cultivated garden will be dead, the house will need to be repainted in and out, the floors will need to be recarpeted or refinished, the systems will age faster due to a lower level of attention to maintenance issues - meaning a new heating/AC system earlier rather than later, just for example.)

I basically agree with this. Having a condo makes it a bit easier.
All outside maintenance is done and professional management is in place.
Still, one bad tenant can really mess things up for you.

JG
__________________
MRGALT2U is offline   Reply With Quote
Re: Gonna Travel--Sell The House?
Old 05-17-2005, 12:25 AM   #8
Thinks s/he gets paid by the post
 
Join Date: Mar 2004
Posts: 2,083
Re: Gonna Travel--Sell The House?

Several weeks ago I got a call from a socalled private investor offering to buy my 2 fam house for $800k. The offer was made with very little hesitation so I don't know if it was legitimate. I was under the impression that my house was worth upto 650k. But it was very tempting offer since I just got laid off and I do have future plans to do a lot of travelling. I am just not ready yet. Timing is sooo important.

MJ
__________________

__________________
I look to the present moment because that's where I live my life.
MJ is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Retirement Travel mickeyd FIRE and Money 34 12-16-2006 10:38 AM
The Travel Window shorttimer Life after FIRE 24 11-13-2006 03:10 PM
Good Travel Site or Boards for the RE Travel Lifestyle???????????? dex Other topics 6 11-05-2006 12:43 AM
Selling a house Brat FIRE and Money 61 09-27-2005 05:49 PM
A House, not a Home Martha Other topics 41 04-12-2005 05:34 AM

 

 
All times are GMT -6. The time now is 06:13 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.