Ninjastic
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Topic
Board Securities
Re: Rental properties
by
BadBitcoin (James Sutton)
on 05/07/2013, 17:32:02 UTC
Quote from: cusdog on July 05, 2013, 05:25:05 PM
Quote from: nubbins on July 05, 2013, 02:05:04 PM
Quote from: HeRetiK on July 05, 2013, 01:20:03 PM
Sounds risky on many levels, but still interesting.

Even more interesting: rent the properties for BTC, not $. Bitcoin needs more of an economy than just investors shuffling funds around. Charge rent in BTC, peel off dividends, then convert remaining BTC to $ for the mortgage payment.

Mid-month mortgage payments would give you two weeks to do this conversion, so there's no worry of tight deadlines being missed due to problems with exchanges.

If you can hire contractors to do repairs/maintenance for BTC, even better. You'd make national news doing this (remember the guy selling his house for BTC in Alberta?), and you'd have your pick of both tenants and workers.

The single largest expense for the RE market are the financing costs. So long as those costs are denominated in USD it would be a bad idea to charge BTC rents. Such a setup would only be feasible if there was no mortgage and the entirety of the property is equity-financed.

agreed, we don't need the added hassle of forcing tenants to pay in btc and forcing local contractors to work in btc, we'd rather provide financial reliability for our investors rather than making undue waves.

HOWEVER: As I said previously, we have a distributed, anonymous investor friendly, trust free* company stock system in place that should allow us to be the safest investment in bitcoin history, I will make a new topic and organize the structure of this investment and make a new thread sometime Sunday to outline exactly what we plan to do.

Also we have enough for the down-payment on a mortgage and the funds necessary to create a corporation to handle the property management, however the remainder is what we will be looking to raise.