Greg Mead mentioned a topic with which we are wrestling presently:
Lease-option versus renting the homes. Our dilemma arises from the facts
that our country is in reality financially bankrupt, and that the Federal Reserve with the endorsement of our government deliberately devalues our dollar and consequently forecasts a major price-inflationary period. Inflation (caused by the unlimited printing of paper money) is the enemy of a lender. If we should experience stagflation (simultaneous price inflation and loss of jobs and reduced income) we will be confronted with a double whammy.
How do we prepare (lease-option vs. renting) for the inevitable difficult economic times we are all about to be challenged with? We would appreciate any and all replies.
Thank you,
Bernd. H and Alexander
Alexander& Bernd., While I agree that US curency has been de-valued by policies of the Federal Reserve, and I agree that some consideration should be made as to strategies to profit most from economic conditions, I believe the talents, and skill sets that the individual entrepenuer brings are the factors which carry the most sway. One hard-working individual will get filthy rich in a business that another hard worker will go broke at. Focus on what you do best. If you have a knack for rentals, and you consistantly have low expenses and high revenues compared to others in your market, that is the best reason for operating a rental operation; inflation protection would be a secondary benefit. If your aptitude is buying-selling-dealmaking it would in my opinion be a disaster to hunker down and wait until the perfect economic conditions appear. Dealmakers make deals ($$) in all economic conditions.