I should have known

[Robby]

Four years ago, I found this house just down the road from where we where the 5 of us were living in a a small 3 bedroom trailer, that was empty. So I tracked down the owner to see if he would be interested in renting it. He had to talk to his brother that lived in another state first, as it was their mother's house and she was in the nursing home with Alzheimer's. So he called me the next day and asked me to stop by his house, so I did, and he said they would be happy to rent it, or if I would prefer they would be glad to sell it to us. (for $20,000 even though it was valued at about 60,000). I told him that because of our financial situation because of my health condition, there was no way we could go to the bank and get a loan. So he offered to do a lease-to-own situation.

Which I talked to Dawn and we jumped on the idea. So he contacted his lawyer to get a contract drawn up. At that point he found out that when they put his mom in the nursing home, there was a mistake of some kind made on the Power-Of-Attorney form, and legally the house was still in her name, and he couldn't do a contract to sell it, because it wouldn't hold up in court.  So we made a verbal agreement on the terms. The last 4  years we've been a few days late on the rent a few times, mostly though because he worked a full time job, and he also raised cattle, and it's just hard to catch him at home. We've got to where we just take the payment to his door, and he drops off a receipt.

So the other day Garrett, (our middle son), started asking questions about how much we had left on the payments and that kind of stuff. We figured up about what we owed, and he said, that he could pay that off now, and he had been thinking that instead of him trying to find a house somewhere to buy, what he wanted to do was just pay off the house, and then he would buy a trailer to put on the land, for the rest of us. This way when he gets married and has a family he's already got the big house. So I go over and talk to the landlord about the situation, and "he doesn't remember it that way". According to him, when it was brought up about the rent to own, I told him I didn't konw if Icould do that or not, so all this time when we thought we were making payments toward purchasing, he thought we were just paying rent.

I acted like it was my misunderstanding, I've learned sometimes you take the blame when it wasn't your fault, just to keep the other party happy so you get what you want, instead of alienating them. So I told him that if this was something that he was still interested in, to talk to his brother, and his kids or whoever he needed to, and decide what they wanted to let us know. If he tells us they no longer want to sell, we will just find somewhere else and move, as much as I hate to. But, I'm not paying 4 years worth of payments tobuy something, just to be told it's no longer for sale.

Now there is still the matter of him not having the authority to sign the deed over to us, which he said his attorney told him there's not much he can do about it. I told him I had spoken with a real estate attorney, and she told me that if he gets two Dr's to write letters saying she is incompetent, he can then go to court and get a conservator appointed that has the authority to sign the deed over to him, and then he can sign it over to us.

Problem with us moving is even though our son has excellent credit, (he listened and did everything I told him to do), if he buys another piece of property/house, that will have all his credit tied up, and won't be able to turn around and buy a trailer or whatever for us. So right now it's a waiting game, I'm just not real happy at the moment. To be honest I really wanted to move anyway, I just don't like it here, and it's not just the house, it's just this area, but having to move because we got screwed, isn't the way I wanted it to happen.

[looneylane]

That is terrible on his part making an agreement with no real ability to see it through. Hope he is a man of his word and works it out for you .

[Robby]

I forget to specifically say that Garrett wants to live next door to us. He wants to buy a place where we both could have a house, this place isn't exactly set up in a way that would be real convenient for having two houses on the property, but it could be done. Really we need to have two acres of land, at least 1.5, but after looking today I don't know it is either over 100 acres, or it's one acre in a private community, where they don't allow trailers, and we can't buy two lots, and build two houses.

I told them I would let them decide what we did, if they wanted to stay we would stay, if they wanted to move we would move, because of my feeling about this place I can't be impartial. So I'm letting them decide and I'll gladly do whichever. I just makes me so mad thinking that we have sat here for 4 years thinking we were making payments on the property, and now find out we find out that he "thought we decided" something different. I don't think he's going to screw us intentionally, but that just might be what happens. 

[Barberian]

It really sucks this is happening to you. I hope things work out. I've always stressed the importance of a written, signed contract to avoid these kinds of "misunderstandings".

[Robby]

It really sucks this is happening to you. I hope things work out. I've always stressed the importance of a written, signed contract to avoid these kinds of "misunderstandings".

Yeah, I know you have to put it in writing, or it didn't happen. However, when we moved in and were talking about this, we were going to have something drawn up, but I knew that it wouldn't hold up in court since he legally did not own it, and he said his lawyer advised him that putting something in writing, could actually get him in trouble, because "he would be trying to sell something he doesn't own, which would be embezzlement". So we left it at something verbal thinking that he mother would probably die before we got it paid off, and could do the paperwork then.

I don't know if there was a misunderstanding and we were just thinking something different, or if he intentionally "forgot" what was said. We'll see what happens. At this point I don't care.

[looneylane]

To put his intent stating that once the papers are in order is not considered embezzlement as long as he clearly states the status and that it is a plan not a legal document

[Robby]

To put his intent stating that once the papers are in order is not considered embezzlement as long as he clearly states the status and that it is a plan not a legal document

That's what I told him. However I don't think his lawyer is very smart, because he screwed up the Power of Attorney to start with.

So this time I called a real estate attorney myself, and she said that all we had to do was get two Dr's to write a statement that she is incompetent, then he can petition the court, the judge will appoint a conservator, who has the authority to sign the deed over to either him, or me, immediately. Then depending on just what the judge ordered, once the deed was signed their job would be over.

[Lonesome George]

This guy has seen how much long term money he can make renting instead of selling. With selling the money comes in, then it stops. Renting, it keeps on coming, and he still owns it if he decides to sell later.

I once bought a whole business, customers, inventory, building, land, ect. Several years later I sold the customers and trucks for more than I paid for the whole thing just a few years ago. He also rented my building, land and equipment for the next 12 years. The rent he paid me was just a very few thousand less than I originally paid for the whole business, and I still own the building, land and equipment.

I own it all to this day. I get rent on one building and use the other for storage. It's all for sale, but commercial property is very hard to sell these days. I would much rather sell it and be rid of it. The rent isn't all that much, but it along with what my wife makes is what keeps me from loosing my home and pays a bill or two. Oh how I wish I was able to open up my old business again. I could do darn well for myself, but as you all know from your own experience, my fibro health wouldn't even allow me to show up most days, much less run the business and do what needs doing physicially and mentally.

I got off topic...He has seen the long term income from renting property he doesn't have to keep up, and likes it. Unless he gets to the point he needs a large lump sum of money, he would rather rent it.

[looneylane]

Hopefully he is decent enough to try and work it out

[Robby]

We've already started checking the websites of the Realtor's in this area, and have found a couple of very promising properties. Now what we find out about the property after contacting the realtor that listed it, rather than just what they have listed, is another story. 

[DatonK]

Hope it works out for you. 

[ronr]

George,  Have you thought of looking for a manager?  IF you could find the right person, he would more than make his own salary.  That still would not satisfy your need of wanting to do something constructive and the gratification of completing that task but would make you more money.

[Lonesome George]

My problem is if I didn't do it myself I would have to hire two people just to start with, plus buy equipment to replace what I did sell. There is also probably 6-8 thousand dollars of repairs and maintenance needed to get things back in shape. Then I have to spend the time acquiring customers again, which would be a long slow process as I would have to take them away from other suppliers.

If I could do it all as a one man show the way I started it the first time many years ago, and worked my way up to purchasing a larger company and hiring employees, that would be good. Trouble is I can't physically be a one man show anymore. I don't have the money to open back up, and if I borrowed it I would most likely be broke before I got enough customers to make it pay.  

If I had my health back I would give it a shot, but this business requires mental, physical, and people skills, all of which I am very short on at this time. The wife and I went to Cracker Barrel Sunday night to eat with her brother.  Those hard butt seats had me in misery before I finished. I could hardly walk out my hips and back were hurting so bad, and every other step my knee would almost give away.  There is no way I could ever do my old business again. I had to sell it 15 years ago because of this illness. As much as I have deteriorated since then and my now older age, I'm only fooling myself.

I have been looking into getting back into it, found equipment, worked on a plan, ect, then the week of lesser pain went away and reality slapped me in the face. I don't know why when I felt a little better I got myself excited and ready to earn money again. I only get knocked back down and end up depressed when this happens. I have taught myself not to do this over the years, but this time I didn't follow my own advice about geting excited when I have a few good days. So here I sit, broke, unable to work, no disability, savings gone, in pain and depressed. Oh boy.....

[looneylane]

  its all i got this am.

[Lonesome George]

its all i got this am.

That's more that I had.......Thanks