Dear Bug, I am in a dilemma.... I own a farm and own it free and clear. However, the main way I pay for our animal’s feed and care and other bills is by working my “main” job which I have had for 18 years. This is the dilemma- I am very worried about losing my job due to the pandemic and loss of income for the business. I could not easily replace this job and/or income. I could POSSIBLY replace that income if I modified my farm for weddings and other events but I would need to borrow about 75k to do it the right way. My dilemma is should I risk my home to try and improve the farm (by getting a loan) or risk losing everything else if I lose my day job? I cannot figure out the right thing to do?
Dear Betting the Farm: The first thing I would do while still employed is take out a LINE OF CREDIT on the farm. This way you will have the funds available for improvements. If you end up not needing it, no harm or debt is incurred.
Keep in mind that the pandemic is busy putting small businesses out of business. The reality may be that starting a new small business from your farm will not be possible for a long time.
You may have to make the sad decision if you lose your job that the line of credit may have to be used to get the property ready for sale.
While selling your farm may be the last thing you want to do, you could always buy a smaller farm or house and still be able to live your dream, just on a smaller more manageable scale. All is not lost. The equity you have in your home is a lifeline many don't have.
Sometimes if we look at all we have instead of what we might lose, it makes the painful decision less painful to complete. Please let us know what you decide and how it all works out.
Dear Readers: If you have a question that has been weighing on your mind, please email to: [email protected] or message through Facebook page at https://www.facebook.com/LadyBugDeliveryService
Dear Bug, I am in a dilemma.... I own a farm and own it free and clear. However, the main way I pay for our animal’s feed and care and other bills is by working my “main” job which I have had for 18 years. This is the dilemma- I am very worried about losing my job due to the pandemic and loss of income for the business. I could not easily replace this job and/or income. I could POSSIBLY replace that income if I modified my farm for weddings and other events but I would need to borrow about 75k to do it the right way. My dilemma is should I risk my home to try and improve the farm (by getting a loan) or risk losing everything else if I lose my day job? I cannot figure out the right thing to do?
Dear Betting the Farm: The first thing I would do while still employed is take out a LINE OF CREDIT on the farm. This way you will have the funds available for improvements. If you end up not needing it, no harm or debt is incurred.
Keep in mind that the pandemic is busy putting small businesses out of business. The reality may be that starting a new small business from your farm will not be possible for a long time.
You may have to make the sad decision if you lose your job that the line of credit may have to be used to get the property ready for sale.
While selling your farm may be the last thing you want to do, you could always buy a smaller farm or house and still be able to live your dream, just on a smaller more manageable scale. All is not lost. The equity you have in your home is a lifeline many don't have.
Sometimes if we look at all we have instead of what we might lose, it makes the painful decision less painful to complete. Please let us know what you decide and how it all works out.
Dear Readers: If you have a question that has been weighing on your mind, please email to: [email protected] or message through Facebook page at https://www.facebook.com/LadyBugDeliveryService
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