Land lease verses owning the land. (condo, houses, buying)

[rossc]

I agree 100% on the Potnets issue but you're comparing apples to oranges. .3 acres of buildable waterfront property will set you back $700k - $1m. The same lot inland around Magnolia would be 25-50k depending on location. Lot rents reflect the value of the property.

I once said that I would never pay a lot rent....Until I started pricing waterfront property. To own the lot I lease right now would cost me $3000+ in mortgage payments per month. I pay a little more than half that per year to lease it. If you were looking at a waterfront lot at over $1m, I guarantee you would be looking at the Potnets rents in a different light.

[elizamary]

Originally Posted by MPBsr

Don't worry, we are.

Between the land lease being very high and the very old single wides in the area, it's not a place for us.

Unfort, one day the family will sell and force everyone out of the Pots Net.

We were amazed at how cheap the homes were in Pot Nets but later found out the lot rent goes sky high. No good!!

With the climate the way it is, I doubt that living along the water is a good idea.
First of all, it is more expensive and second you risk natural disaster, primarly floods.

[elizamary]

Originally Posted by CMTAD

Hi Bob,

I'm not dismissing manufactured homes at all. Thanks for the information. I'll give it a good look.

Charley

P.S. Eliza - you're right about adding in the taxes in my calculations. I did do that ... I just forgot to say it.

Some of the communities listed are not 55+ but all age communities.

BTW.....we checked out longacres. Just drove through. Seems they have different types of homes such as carriage houses, singles and twins. Interesting. something for everyone.
Not sure they will have a clubhouse or pool but I did see the strip mall. Not sure I like that Idea.
I like being in a community that is private like Southern meadows. Away from the maddening crowd and private. The only ones that come through are the residents and visitors.

[Gone-2-Beach]

I agree on the privacy issue, which is why I eliminated Longacre Village from my list. I think that given the dual access from either Rt. 13 and/or Peachtree Road, Longacre could be a zoo with everyone using the back entrance to get to the shopping or to cut through the community.

There will be a clubhouse and a pool. The different styles you saw are because there are four different builders building in four different quadrants of the community. We saw two. They were pretty nice, but the issue of the openness to the general world makes it less than desirable.

Charley

[dynimagelv]

Originally Posted by elizamary

Land lease is something people tend to shy away from. But here is an article I found which supports land lease.
Whether you own or lease, it is a matter of individual choice based on your needs, wants and financial situation.

--------------------------------------------------------------------------
Land Lease

Owning vs. Leasing Land: A Side-by-Side Comparison

The American Land Lease concept conveniently bundles land costs, community management, maintenance and programming into a low, monthly, fixed-for-life payment. So you enjoy long-term financial security and the luxury of a maintenance-free lifestyle in a community that you can be proud to call home.


The American Land Lease Concept = Significant savings and the luxury of maintenance-free living!


Owing : Costs & Responsibilities Leasing : Savings & Freedom

Cost of Land Added to Price of Home. Invest the Money You Save by Leasing.

Mortgage and Property Tax Increases. Financial Security of Lifetime “No Increase Lease” Option.

Cost of Joining a Health or Country Club. Resort-style Amenities Included.

Maintenance and Repair of Home and Lawn. Maintenance-free Home and Lawn Care.

Neighbor Age and Compatibility Issues. Neighbors Share Your Age and Interests.

Neighborhood Issues. Management Corrects Infractions.

Must Travel to Enjoy Activities. Daily Clubhouse and Community Activities.

Neighborhood Curb Appeal and Beautification. Management Maintains Community Curb Appeal.

Contract an Outside Real Estate Agent to and will Represent You in. American Land Lease Markets the Community the Sale of Your Home Sell Your Home.

--------------------------------------------------------------------------this way of living is not for everyone. But if you want less responsiblity and have everything at your finger tips, then this is the way to go.


I posted this because someone asked for information about 55+ communities for her parents. So I am putting this out there.

Sounds like Mobile Hoome Living to me

[Gone-2-Beach]

If you take a look at the homes at the Nobles Pond website (for example) you'd know that this has nothing whatsoever to do with mobile homes.

Charley

[blonddy361]

I agree with the issues surrounding leased land in the Rehoboth Beach area. We have spent the last 8 Saturdays touring such communities. We are utilizing an outside agent which is not viewed highly by Pot Nets Communities. In fact we are vigorously trying to settle prior to Oct 1 when the title transfer fee for Delaware goes up but we are last on the list with Pot Nets as we didn't go thru their sales office.

Why you may ask - because the properties that had the best bay front view and private deep sea dock in the backyard were not available but thru outside realtors.

The lot lease is outrageous but this is what we looked at when making our decision. We are fortunately paying cash for the home as we have just taken a partial payment from a retirement fund to do so. Secondly we are over 55 but want the water community feel with boating, jet skiers and fisherman. Third we want salt water front.

The properties we have looked at and the one we have put a contract on is a lot lease of $15K a year. Why would we do this - well, if we bought property that had the bay beach 100 feet from my front door and my private deep sea dock 30 feet from my back door I would have to pay close to a million or more just for the lot. If I keep this place for 25 years even with increases to the Fair Market Value of the property on the lease I would have still not paid more than 1/2 million for the use over 25 years. So I am getting property that I want and could not otherwise afford.

My issues are that the residents of the communities of Pot-Nets need to band together to get the management company to lock in rates. We also need more detailed information on how the FMV is determined. I have yet to get a break down of that.

I understand there are several different lobbying groups to convince Delaware legislature to put more strict laws in place. It appears that has met with minimum success which tells me that the lobbyiest hired by the management communities are doing more lobbying. Sorry have lived 30 years in northern va and see this all the time.

I believe we can improve this situation for the folks on limited incomes and I plan to be very active in that pursuit.

Hope that helps and I welcome more info since we will be moving in to our future retirement home and vacation home at Pot Nets Seaside in the next 3 weeks. We will tranfer permanently to Pot Nets in 4 years.

thanks

[Gone-2-Beach]

> prior to Oct 1 when the title transfer fee for Delaware goes up.

I've been looking for information on what the new title transfer fee will be after the increase in October and cannot find anything on it. Can you let us know what the new title transfer fee will be?

Thanks.
Charley

[nevada49]

I am coming down to Delaware in April, 2008, to look at retirement communities. I lean toward buying a lot, but would buy in a land-lease community if everything was good (good location, nice houses, good neighbors, etc.). I find Elizamary's posts very informative and helpful. She sounds as if she would be a great neighbor, positive, intelligent, enjoys a good time. I would love to have her for a neighbor. Who knows? Anyway I find these questions and answers useful, especially since I have not been to Delaware in 25+ years, will come down for about a week, and will probably make up my mind shortly after visiting there. My other state of interest is Nevada, pretty opposite Delaware in most ways.

Eileen in CT

[elizamary]

Originally Posted by nevada49

I am coming down to Delaware in April, 2008, to look at retirement communities. I lean toward buying a lot, but would buy in a land-lease community if everything was good (good location, nice houses, good neighbors, etc.). I find Elizamary's posts very informative and helpful. She sounds as if she would be a great neighbor, positive, intelligent, enjoys a good time. I would love to have her for a neighbor. Who knows? Anyway I find these questions and answers useful, especially since I have not been to Delaware in 25+ years, will come down for about a week, and will probably make up my mind shortly after visiting there. My other state of interest is Nevada, pretty opposite Delaware in most ways.

Eileen in CT

Hi Eileen,

Thanks for the compliment and I'm glad you found my post helpful. What you need to do is find out what is best for your situation and only yours. We have different needs and wants. And there is much to choose from down here from Manufactured homes to stick and brick. All around here we have land lease and lot owned communities with different ammenities.
We came down last summer and the summer before to check out some communities. But before, I sent for brochures on all these communities so I could possibly weed the ones that were out of the question.
There are many and if you need a list just let me know.

Would be great to have you for a neighbor too. The lot next to me is still available.
Where are you coming from?