dogg4585 - 11/30/2024 19:35
coup - 11/30/2024 18:20
anotherwindyday - 11/30/2024 17:08
What would be the max above rental rates you would want your total payments to be? Would obviously be best to keep land payments at or below cash rent rates but sometimes that is difficult to do. Kicking around how much above rent rates I want to tolerate or sell a farther away parcel to keep payments down
Land payment ability needs to be based on operation cash flow ability.
Problem is you're trying to assign a variable number to a fixed number. I'd suggest keeping 2 payments in reserve to weather those down years. Heck as long as it was fixed pre 2021 then you can earn as much as your interest rate in several fixed income options currently.
Land payments
