Financial

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For What It’s Worth….

Don’t know if anyone even reads these posts, but here comes the latest update.

I had called my insurance company last summer to find out what might be involved with insuring the property at the lake.  I knew they wouldn’t insure the camp as it was, but I wanted to find out what options I might have once the demolition had taken place.  I was told that an empty lot would be covered by my homeowner’s policy even if it was in another state.  That was great except for the fact that there is still a building of a sort on the property, and I really wanted to have some kind of coverage in case a tree or something fell on the boathouse.  So, after chatting with someone at USAA, we worked out a policy that covers the structure as well as includes liability for $150 a year.  Definitely worth it for the peace of mind.  That expense will be incorporated into the monthly bill for everyone who decides they want to contribute to this collective effort.

And speaking of the boathouse….

The other thing I want to ensure is that the boathouse remains standing.  There’s no problem replacing structures not on the lakeside, but replacing a lakeside structure might be a nightmare of paperwork if it were even possible.  As such, I want to do everything possible to keep that structure standing.  As of last summer, the two supports on the dock side of the boathouse have started to lean due to the ice pushing them over.  So, while I was up north last weekend, I met with Randy Sherman to see what might be done to keep the thing standing.

We both agreed that the best option was to pour a much bigger and more substantial pier on which the boathouse will rest.  Essentially, he wants to copy what is on the other side.  This will hold up much better and provide much more stability.  Similarly, he wants to put a large concrete pier down the middle (replacing much of dock that is there).  This will provide the support for the center of the building and, again, be much more stable than the support it has now.  Of course, this will set the Kamp Fund back anywhere from $5,000 to $7,500, which may push out the final kamp build by a year or so.  But, I’d much rather make sure the boathouse remains before I concentrate on the kamp.  If all goes well, this construction might be completed this fall.

Lyn and some of her krew are going to help out by clearing out the dock extensions from inside the boathouse.  This will help in two ways: first, it gets that stuff out of the way for Randy, and second, it relieves some of the stress on that side of the boathouse.  It will be piled behind the boathouse and covered with a tarp for now.  Anyone interested in helping out with that should give her a call to find out when she’s going to get up there.  I know she and I would both appreciate any help on this.

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These Financial Times

The day for demolition is coming.  I’m going to call the Town of Hopkinton offices tomorrow to find out if the road is open yet.  I’m also going to find out what the fee is for the demolition permit so I can complete that paperwork and send it to Randy, the contractor, so it will be ready when the road opens.

I’m happy to see that the account at North Country Savings continues to grow, but I have some major misgivings regarding the payment of everyone’s share of the taxes.  First, I haven’t seen anything from one member of the Konsortium.  I won’t name names here, but it’s pretty obvious who it is if you look at the Google spreadsheet.  Couple that with the tardiness in the payments from others and I have to take a step back and reconsider things.  Yes, it’s true that most everyone is up on their payments in one way or another through March and this is currently April, but you have to remember that the tax bill and insurance will be escrowed with the monthly mortgage payment.  That means I need to have the tax money in the bank at the time the mortgage is paid, which will likely be sometime in the first ten days of every month.  I shouldn’t be burdened with the entire monthly bill every month while I wait for payments to come that might be delayed by months.

Another thing that has to be taken into consideration:  what if, Heaven forfend, I get laid off again?  It happened once, it can happen again.  Living in Florida, it’s certainly easier to find a good paying job, but the older I get, the more difficult that may become.  What happens to the monthly payment if there’s still a mortgage left and I’m out of a job for an extended period?  This must be considered as a possibility.  I certainly considered it when I bought my house; I wanted a mortgage payment reasonable enough that I might be able to cover it if I were to be laid off.  Good thing I thought about it because it helped keep me in my house during those lean months.  I’m going to have to consider the same things with the kamp if I can’t be assured that timely monthly payments could be made by the Konsortium.

And while it’s true that there is plenty of money in the NCSB account at the moment to cover all of these contingencies, remember that most of that money will be gone when construction is complete.  That’s the purpose of the majority of that money: to help pay for the construction.

So, with these things in mind, I’m altering the initial plan.  The size of the kamp will be reduced to the single story without the L-shaped wing for the sleeping area.  The original two-story plan called for two rooms downstairs that could be used as bedrooms, and those will remain in the floorplan.  This accomplishes two things.  First, it reduces the cost of construction, thus reducing the amount borrowed and the monthly payments.  Second, a smaller building will (hopefully) produce a smaller tax bill, which will also contribute to a smaller monthly payment.  This doesn’t mean that we can’t someday add that wing or the second story; it just means that it needs to be put on hold for the time being to be sure we have something and I can afford to make the payments without compromising the lifestyle to which I’ve grown accustomed.  🙂