At this time, I am putting construction of the new cabin on hold. The demolition will go ahead as scheduled for April 2016, but for now, I have no solid plan to move forward with the construction. I’ll detail exactly why.

I sent out an email a month ago regarding the surprise bill for the Parishville-Hopkinton CSD taxes. I have heard from only two people (Lyn and Michelle) and have received money from them (thank you!). I stated in that email and a subsequent email that I did not expect full payment right away but that a payment plan or some other acknowledgement of the bill would be appreciated. In a nutshell, ignoring it won’t make it go away.  What it will do is keep me from investing anything in the property. This is not to be mean, vindictive, or punitive in any way.  Rather, it is the only financially intelligent thing for me to do if I do not have a commitment from everyone involved. I’ve been crunching numbers and, frankly, I’m not liking what I see.

The Internet is a wonderful tool. I was quickly able to find an amortization calculator and some current loan rates and was able to come up with a general idea of what the monthly mortgage payments would be if I borrow to build the cabin. I did this months ago and recently redid the figures based on the rough estimate that Randy had given me. If I were to borrow $40,000 for 15 years at 3.75%, the monthly payments would be around $300.00 a month. That’s a payment I can make even if the interest rate increases by next year when I am planning to get the loan.  The issue is that this would not be the only payment.

The Internet also offers a plethora of information on the properties around Lake Ozonia. After being unpleasantly surprised by the Parishville-Hopkinton CSD tax bill, I decided to do a little research.  Not only can I see what our tax bills are, but I can see what the current taxes are for all of the surrounding properties, both county and school. It’s a matter of public record (you can see it yourself at www.taxlookup.net), so here’s a breakdown of some of what I found:

Emlaw/White:
$2350.00 county
$2171.00 school
——–
$4521/yr combined

Curran:
$2840.74 county
$2624.39 school
——–
$5465/yr combined

White/Harrington:
$2568.49 county
$2716.99 school
——–
$5286/yr combined

Mike White:
$2056.00 county
$1900.23 school
——–
$3956/yr combined

I looked at a few others with Kingston’s being the least amount at $3185.83/year.  Even looking at the low end of these tax bills, the taxes on the kamp will go up significantly once the cabin is built.  If I were to low-ball it at $3600/year, that’s $300/month.  Couple that with the mortgage and whatever the insurance might be, and I’m looking at a monthly bill that I cannot afford.

So, before I make my commitment and move forward on construction, I need an absolute commitment from each one of you that you will pay your share of the taxes and insurance.  That means starting next month (November 2015), you commit to paying $50.00 a month, paid to me or deposited in the North Country Savings account.  For November and December, unless you’ve already paid me, this will cover what is currently owed on the P-H CSD tax bill (plus $10).  From January on, those monthly payments will cover the tax bills for 2016.  Yes, I realize that the taxes are not that high yet.  The reason I’m making $50.00 the requirement now is four-fold:

1. You’ll have paid your share of the 2016 tax bill each month.
2. The extra monies will be stored as escrow in the account in case the taxes are higher than anticipated after construction.
3. You’ll get used to paying $50.00 a month as a normal monthly bill, a rate that may increase once the cabin is complete.
4. I’ll know you’re committed to this project.

Without that commitment of your share of the taxes, I cannot afford and will not feel comfortable to move forward with a construction loan.  I cannot afford a $300.00/month mortgage payment and a $300/month tax bill (and whatever the insurance might be).  I have my own living expenses to consider just like everyone else.  I’m committed to the mortgage and my share of the taxes and insurance.  If you’re not willing to make the commitment to your share of the taxes and insurance, then we’ll have an empty lot at the lake; I have to take down the current building no matter what because the liability of leaving it standing is too great.

That’s where I stand on the camp project. I’m having issues with the user registration, so you’ll have to comment on the Facebook group for now.  Or shoot me an email if you don’t want to discuss it in public.

I’m also thinking a gathering in Google Hangouts or my virtual office at GoToMeeting might be in order soon rather than trying to work out all these details over email and blog posts.  Let me know, either on Facebook or through email what days/nights/times work best.