Downturn Survival & Planning

SlumTodd_Millionaire

Evil Landlord Capitalist
The other thing we need to be thinking about is how we can help others through this. Some of us will be fine, we have an obligation to try to help those who are not.

We may see 20% or 30% unemployment, or godforbid even crazier numbers. How can we feed our hungry neighbors, how can we keep a roof over the heads of the vulnerable.

It is NOT every man for himself during these times - now is when we (after social distancing) need to start coming together to make sure that nobody suffers. Good luck, we're all counting on you!
Okay, so I’ll be the a-hole who says this is a really bad idea and discourages it. However bad you think this all might be, it could end up being 10x worse. The great depression could be a cake walk by comparison. Now is the time to look out for you and yours, because the savings that you think is more than enough might not be. Runaway inflation destroying the value of what you do have is also a very real possibility as government starts taking drastic action to put cash into the economy. Now isn‘t the time to be generous. Call me a jerk if you’d like. But I’ll be the one saying I told you so later.
 

killbilly

Vocals, Lyrics, Triangle, Washboard, Kittens
Do this yesterday. Rates on a refinance or HELOC were fantastic in the last few weeks, but actually getting the deal done may become impossible. And rates may well not reflect reality for a while.
We got a pretty amazing rate when we bought the house in May, so doing a re-fi doesn't make a lot of sense for us....cutting half a point won't make a lot of difference since we have a lot of equity in the place now. I've been keeping an idea like this in my back pocket, though.
 

nibake

Powder hound
Okay, so I’ll be the a-hole who says this is a really bad idea and discourages it. However bad you think this all might be, it could end up being 10x worse. The great depression could be a cake walk by comparison. Now is the time to look out for you and yours, because the savings that you think is more than enough might not be. Runaway inflation destroying the value of what you do have is also a very real possibility as government starts taking drastic action to put cash into the economy. Now isn‘t the time to be generous. Call me a jerk if you’d like. But I’ll be the one saying I told you so later.
Maybe they don't have to be mutually exclusive ideas.
 

drunkenbeagle

Gang Member
We got a pretty amazing rate when we bought the house in May, so doing a re-fi doesn't make a lot of sense for us....cutting half a point won't make a lot of difference since we have a lot of equity in the place now. I've been keeping an idea like this in my back pocket, though.
Taking out a HELOC and hoarding the cash on the line is more what I was getting at, so the bank can't change their mind later is more my thought.
 

drunkenbeagle

Gang Member
The great depression could be a cake walk by comparison. Now is the time to look out for you and yours, because the savings that you think is more than enough might not be. Runaway inflation destroying the value of what you do have is also a very real possibility as government starts taking drastic action to put cash into the economy. Now isn‘t the time to be generous. Call me a jerk if you’d like. But I’ll be the one saying I told you so later.
This is one of those times that Gold makes a lot of sense to own. Everything else can go to zero.

Governments will spend so much that they are forced to print money later to pay for it. Inflation is the painful way to maintain solvency, and is likely inevitable.
 

bike21

9-5 Ruins Lives
A career set back always happens in the middle of my home renovation project!
Yep, been working on our 1960's fixer since last summer and now basically 100% done with the immediate interior stuff. I have trim work left and such and most of the material on hand so that's good. Might have plenty of time to finish it soon. Had planned to do some larger exterior & HVAC projects but that ain't happening now. Guess I'll be laying insulation on my own, hate that crap.
 

bike21

9-5 Ruins Lives
Alyeska is still open but asking those “who have recently flown on an airplane” to stay home. Ok fine. It could be worse though. Imagine being a liftie, groomer, patroller and having your work season whacked by 2 months or more when you were barely squeaking by as it was.
Sucks for them, I know A-basin committed to paying their folks for at a few weeks through this as they are hoping to reopen. Vail is now sending everyone home, not sure what kind of pay they are getting.
 

KLB

Well-Known Member
Yep, been working on our 1960's fixer since last summer and now basically 100% done with the immediate interior stuff. I have trim work left and such and most of the material on hand so that's good. Might have plenty of time to finish it soon. Had planned to do some larger exterior & HVAC projects but that ain't happening now. Guess I'll be laying insulation on my own, hate that crap.
Yeah. I'm at a point in my home ownership where I want things done right. I can research and do the work. But it never turns out 100% right when I do it. So I've been paying to have all the work done. $$$$

I am/was finally reaching a position to have my home looking the way that I want it to look. We'll see how this all turns out. At the very least, it will look super nice if I have to put in on the market.
 

bike21

9-5 Ruins Lives
Yeah. I'm at a point in my home ownership where I want things done right. I can research and do the work. But it never turns out 100% right when I do it. So I've been paying to have all the work done. $$$$

I am/was finally reaching a position to have my home looking the way that I want it to look. We'll see how this all turns out. At the very least, it will look super nice if I have to put in on the market.
Gotcha, yeah it's amazing what one can find on YouTube these days for DIY projects. I'm fortunate to have grown up in a construction family glad to have the skills nowadays. But if I ever get stumped on a project someone, somwhere has made blog or video about it. Or I pick up the phone and call Dad who is truly a jack of all construction trades.
 
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KLB

Well-Known Member
Gotcha, yeah it's amazing what one can find on YouTube these days for DIY projects. I'm fortunate to have grown up in a construction family glad to have the skills nowadays. But if I ever get stumped on a project someone, somwhere has made blog or video about it. Or I pick up the phone and call Dad who is truly a jack of all construction trades.
The high school I attended had two tracks. A collegiate track where they prepared you for a 4 year university after graduation or a trade school track. I took the collegiate track. The trade school track prepared you for 2 year degrees at community and junior college. People on that track to wood working, shop, auto mechanic, paint and body repair, and nursing. I took pre-caculus and more advanced classes. So I missed out on on the good stuff.

I can do mechanical task and light house repairs. I learned a ton from my Dad (and mom for that matter). But I know my limitations!
 

NovemberEcho

Dergs favorite member
I can do mechanical task and light house repairs. I learned a ton from my Dad (and mom for that matter). But I know my limitations!
I’m same as you. I can do most projects myself, and theyll even work, but it will look like I did it myself. So anything more advanced than putting up shelves or mounting a TV or changing a light fixture I’m calling someone.
 

Richman

Well-Known Member
I’m same as you. I can do most projects myself, and theyll even work, but it will look like I did it myself. So anything more advanced than putting up shelves or mounting a TV or changing a light fixture I’m calling someone.
If I'm doing anything more complex than replacing a light switch, I wind up breaking 2 things for every 1 thing I fix. It's actually more cost effective for me to hire a pro.
 

Yakob

Grand Prognosticator Nominee
Runaway inflation destroying the value of what you do have is also a very real possibility as government starts taking drastic action to put cash into the economy.
That's looking more and more likely, I don't see any other way they could stimulate the economy at this point. I know you were saying in that other thread house prices are likely to drop, and most people have tons of consumer debt. Causing hyper-inflation could be a good way to stop people's houses from losing value and help people with consumer debt. Of course like a complete chump I have a decent amount of savings and no debt. I've been toying with the idea of buying a house for a few years but reckoned it wasn't financially feasible. Looks like the money I was saving for a down payment will be worthless soon. I'll probably be destitute by the end of the year if not sooner.
 

SlumTodd_Millionaire

Evil Landlord Capitalist
Anyone in the bottom 50% of their seniority list who owns a house with equity in it: TAKE A HOME EQUITY LINE OF CREDIT OUT NOW!

There is a looming liquidity crisis that is going to shut down the lending markets. You are at severe risk of furlough in a job market that will likely have 20% unemployment. You need that money. Don’t wait until next week. It might be too late. Do it now. Fill out the application today. You can always close the line later if you don’t need it.
 
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