Determining shop’s value over time?

[crashz]

Wow - take it easy. She just asked a question.

I think its good that you guys have things planned out. But likely you'll both lose a little if things do not work out. The finer details of actual costs and actual assets will make things fuzy around the edges. Talking to your insurance company is a good start.

I don't know how old you guys are, but it would not hurt to have a lawyer draft up two updated wills for each of you. If one of you passes, the other will be left holding the bag and fighting the deceased relatives for his/her own property. Estates are always messy.

 

[ning]

Re: Determining shop痴 value over time?

Then also agree that either of you can purchase the building and assets for 50% of what you both determined to be the value - or sell it and split the value.

The shop will be on her land, which slightly complicates the "either can purchase - or sell it" bit.

 

[Budweiser John]

Re: Determining shop痴 value over time?

I’m inclined to recommend you two just hang out together and call it good.
The words ‘with thee I do wed’ are forever binding.

 

[Gator6x4]

Long story short: Planning a pre-nup type of situation. Both of us are home owners with a similar debt to income ratio but I have a larger net worth because of my farm property (my main source of income/self employment).

In order to accommodate him, we would need to build a metal shop (budget $50k). As much as I would LOVE a shop, itç—´ not in the cards for me financially for a few years so he would have to shoulder the majority of the expense for now and either sell or rent out his house.

Obviously, we want to be fair and still protect our assets in a worse case scenario(s) and put it in writing before we move forward.

The rough plan we致e come up with so far is:
I pay the mortgage, proportional insurance and property tax costs...split utilities/community type expenses 50/50. I will pay for majority of maintenance/repair expenses (still need to figure out whatç—´ fair there too). Credit cards/checking/retirement all stay separate... possibly agree to contribute monthly to a savings account for more assurances? Survivorship percentage guarantees?

So what we need to figure out is how to calculate how much the shop is worth over time taking into account for things like value added, appreciation.... depreciation(?) minus my property tax and insurance contributions... anything else? My main concern is being able to buy him out if we separate within the next 2-5 years. Ideally, I could refinance and just pay a lump sum but self employment, ag exemptions, businesses on site make that a messy process and not a guarantee. We both agree to plan for a monthly payment scenario in case I can稚 refinance... but want to make sure we can both afford it and make it work.

I知 in a more rural area in north central Texas but is quickly developing... I read the national average ROI for a shop/garage is 63-81% and home values have increased an average of 3.4%.

Can anyone shed some light on their experiences? Ideas? Also how did the property tax assessor value the addition of your? What kind of insurance increases are we looking at?

This alone makes me think you are being taken advantage of: The rough plan we have come up with so far is:
I pay the mortgage, proportional insurance and property tax costs...split utilities/community type expenses 50/50. I will pay for majority of maintenance/repair expenses (still need to figure out what's fair there too). Credit cards/checking/retirement all stay separate... possibly agree to contribute monthly to a savings account for more assurances? Survivor ship percentage guarantees?

Run away from this situation as fast as you can. You are in my opinion dealing with a womanizer who will leave you just like he did the last women, broke and in debt. I don't care what his bedroom powers are, he is not worth it.

 

[sdquick]

Re: Determining shop痴 value over time?

So... Not knowing very much. My opinion (worth what you pay for), is that you should stay completely independent financially. That could be the living arrangement or the Pre-nup agreement. It sounds like that is where the issue is. What I mean is that you both own homes and are fine on your own. Why mix assets and incomes?? If you want to live together (as it sounds like he would move in with you). Then split utilities and food, etc in half. You pay your mortgage and he pays his. If you are really moving in together (he is moving out of his place) than I would have him rent his house out and and pay you a reasonable rent to live with you. If it is done fair and reasonable then there is no reason to mix anything. If you split, you just both go your own way.
The shop is the big question. What does he use now? Could he rent something? Why does he NEED a shop? Is there a small shop that could meet his immediate needs and you would be willing to build (pay for and have be part of your property) that he could use (added into his rent). Again, then any day or years down the road it is a clean split. If designed right it could be added onto later (I.E. Extend the shop to 2 or 3 times it's size at a later date when you guys decide to share everything or you have the money to build it and he can pay more rent for it...

 

[Steppenwolfe]

My opinion... Stay single, you and your friend. No relationship can last when each of you has a plan"B". You are either in 100% or nothing... But, that's me.

 

[CobyRupert]

Re: Determining shop痴 value over time?

Wow - take it easy. She just asked a question.

:thumbsup:

Geez.....she's not looking for relationship or marriage advice.

Isn't this similar, but different, to having a tenant who wants to build a building on land they lease. How to protect all?

How about: He pays to builds shop (with real money). He owns shop (the materials). He leases shop land from you for $X per year. He rents room and board from you for $Y dollars per year. No real money changes hands, but all payments ($X+$Y) go towards you purchasing shop. If he leaves before $X+$Y = $Shop, then you owe him the balance.

The problem may be agreeing in what $X and $Y and $shop are year to year.

Somebody is going to have to risk something if one builds a structure on the other's property.

 

[piaffepony]

Apologies to the OP for being blunt and even thinking your a nut case and the guy should run for the hills...

This post is kind of deja vu per the OP, strange...

I got married at 38. Fist time married in my life. We now have 2-14 year old boys...

The key IMO is my own living father, at age 88 loves my wife as much as me.

If I were ever to get divorced, anything and everything I own goes to my wife. I'd live in a shack and pay whatever the judge would say I'd owed if it ever came to a divorce. I knew this going in getting married.

My feeling is if you can't feel the same way about your partner (someone you love and want to spend the rest of your life with), you shouldn't get married to begin with.

I told my dad to take my name off his estate and put my wifes name there. She TRUELY loves him as much as I do.

I'm a bigger dick than my wife by far and she is a much better person than myself, one reason why I finally decided to get married.

This whole topic seems like a repeat. Girl from Texas wanting to get married but not certain. The avatar looks different, but I remember the exact same topic.

Kicker is, per the OP, kind of remember the same dog in the avatar, just on a porch.

EDIT

After looking, I do think the op is nut case and I understand why her boyfriend never married her...

https://www.tractorbynet.com/forums/rural-living/392959-farm-dogs-new-neighbors-ugh.html?highlight=

If I have it correct, HER dog went off HER property and hurt another dog, but in her mind, it was the other dog who was the instigator, so the OP is wondering what she should pay. Coo Koo, thus the reason for the pre nup.

Pre nup = just live together and forget getting married.

Technically it was my boyfriend’s dog that did the damage although my dog (much older, not many teeth left) was there to add fuel to flame. It happened on neutral ground. I went ahead and paid 1/2 of the atrocious vet bill to keep the peace and my boyfriend paid for and installed the underground dog fence. My neighbors also fenced off a place for their dogs...so everyone is cool.

I can’t remember if I posted this question here before... but if I did, I’ve figured out more pieces of the puzzle since then and have tried to narrow down my questions a bit. I don’t pay a lot of attention to who is posting... and something has to really ring a bell before I go creeping/google stalking someone posting on a forum....so I assume other people probably don’t either and may not remember... or a chance to been seen by fresh eyes. Is that coo koo?

Even though you’re calling me coo koo, I think it’s awesome that you love and trust your wife that much. It does help restore another speck of my faith in humanity and in the male gender regarding relationships. I tried it your way with my first marriage and it didn’t work out and I was an inch away from having to start my life over from square one, including my career. With the help of my wonderful family, I was able to save the farm and make it worth their time. Even then, it was still a lot to ask of them and would never dream of asking again. I got a second chance, I’m not going to make the same mistake twice for anyone. Even if I fell madly in love with a far richer man willing to give me the world... I want to make sure that neither person leaves with no less than what they came with at the very least. I’m not going to co-own or invest in anything else that I can’t afford to lose.

If that makes me cold, coo koo or whatever.. then so be it. I have a 11 year old son to provide for... my parents are getting up there in age... it’s not just about me, but the people and pets that depend on me. I’m not a princess that has to have the latest and greatest... I work harder than most men. I’m not looking for a provider or a protector.. just a best friend that I can have fun with, confide in, and can curl my toes on a regular basis lol. I’m willing to take some risks for love... but I’m sure as ***** not going to risk it all.

Sorry, that turned out to be a lot more than I was intending to say... lol

 

[randy41]

i didn't see where you said if the metal shop is his source of income. if it is then he would need the building whether you are a couple or not.

 

[piaffepony]

It's a repeat question, yes - I recall the same - but it's definitely best not to rush things. Neither of us know why they didn't tie the knot yet (she's specifically stated that the institution of marriage isn't crucial for her), and while you're welcome to speculate, it's pretty rude to publish your assumptions. As to why they haven't built the shop yet, it's obviously a complicated situation, and I have plenty of much simpler projects that I revive sometimes and then fail to see through for a few more years.

Personally, from what I've seen of TBN, it's a fantastic resource for tractor-specific questions, but it's got to be one of the worst places to ask this sort of question - especially from the woman's viewpoint.

I love TBN! I fiercely admire the knowledge and creativity that you guys bring to this forum and one of the reasons I posted my question here.

I feel like I have waaay more in common with this group of people than normal, suburban/city folk. While this situation isn’t unique to the general population this day and age, y’all probably have a better understanding of the life style and what’s at stake. A lot guys here have shops similar to what we are wanting and could share their general costs associated and help me ballpark a value.

Even though I’m a 33 year old women, my circumstances are probably more similar to (what I assume) the avg 45 year old man going into a second “marriage”. I also like to hear from the “men’s” prospective in general. I was taught that considering others point of view was crucial to problem solving and compromise PLUS it makes me feel like a super secret double agent.