Thereโs a few gotchas with this system the author is unlikely to address.
1. He needs to buy houses for cheap
2. He has to find a tenant that can actually afford a lump sum payment up front
3. That tenants cost has to actually be enough to meaningfully invest to do the rinse repeat.
#2 is not feasible, as bjorn has said it is uncertain times and heโs essentially looking for renters to rent out a shit hole near a war zone
#3 If someone could afford 50-80% of a house upfront they probably donโt have to worry about โhouse rates" what they have to worry about is the royal tax that this deal doesnโt help then with. Oh and not getting killed by noark, which moving next door to them also doesnโt help with.
This seems like a really bad deal, income source gone, still need to pay royal tax, ofc let me just give you 50-80% of the price of a house upfront. That makes sense cough
People in world live out of inns, people have friends for accommodation, the problem is the royal tax and the loss of an income stream. No one should take his deal to be frank.
Any property owner now has an asset, they should sublet or become a temporary inn. It gets them some income and will drive prices down / keep them low during the depression to prevent innkeepers price gauging.
tldr: His get rich scheme doesnt work in the current climate of the world. Heโd be better off just straight up scamming them / running an insurance fraud ring.
Also seems like author has acknowledged theyโve abandoned the evil spirit fears. Thatโs sad.
I kind of hope it bites him, bro's had it reaaaal easy as of late.
I just realized he can mitigate a lot of that by providing a security force with his barbarians and be an implied โsecurity forceโ with his retinue of slaves. This would require him to send his clan to farm the dungeon for essences so the author might be seeing this up since we know he can essentially pick out the exact essences he wants. It's essentially a โguaranteeโ against Noark. This is actually pretty neat, I'd have a lot of fun writing this part out.
That is a good point, but why increase risk by trying to flip homes, just sell โinsuranceโ to the people living around noark occupied areas? Could literally do a barbarian Mafia.Canโt do the essence farming bit because dungeons closed, if dungeon is not closed percieved motivation to sell goes away since income source returns. Our guy is already loaded af from BF1 or did we not keep any / many magic crystals from that run?The authors end goal though is pretty clear here, barbarian territory expansion to be not behind the other races.He also does still need to address the issue of 9k odd people who have no housing and no finances probably living naked and starving in the street right now. I donโt think the author has explained how amenities worked for the people from bifron did he?But if the other districts could house 9k new people without it been a problem, they donโt have a real estate problem, which means bjorn is buying incredibly undesirable land for renters. Problem #2 remains no one should want to enter a long-term rent free deal because they have to pay monthly taxes to the king. Land rent has never come up before as an issue in this universe.For bjorn the most desireable thing that can happen for him is for his tenants to pay up a big lump sum, the labyrinth to re-open and then his tenants to die in the labyrinth before the end of the contract so he doesnโt have to return the lump sum payment. Anyone with a basic fiscal sense in this world is not going to want to commit to a long term contract involving debt. His venn-diagram is โpeople who have enough money to pay the upfront lump sum and arenโt afraid of living near noark" โpeople who think a long term contract for renting property is desireable" iโd contest in this universe, thatโs 0 people. Merchants do not want to live in a shit hole and are danger adverse, explorers probably donโt have the money or understand that signing the contract means bjorn now has a financial motivation to gank them in the labyrinth.Bjorn just took on a 9k people sized responsibility, if he intends to be ethical heโs paying their taxes. If the nobles know how much money he has they can keep his income sealed long enough to bankrupt him or remove his potential powerbase via tax defaulting.Spending more money on a speculative scheme right now is not big brain.Edit: the barbarian tribe is housing and paying expenses for the 9k bifron refugees. The barbarian tribes income is now 0, I wonder what their balance book looks like and how much runtime they have left.
Our guy is already loaded af from BF1 or did we not keep any / many magic crystals from that run?
I think he burned through most of them when they were speeding on the boats. Not to mention he gave away most of the essences they recovered and the ones he kept he can't sell or he'll out himself as having stolen them. I don't actually think he has a lot of money right now.I don't think the people that rent from him will pay taxes for living in the homes. Bjorn owns the properties so the liability is on him. If you think of it as 1. Buy property that is to damaged to rent out2. Seller doesn't need to invest in fixing it up so just sell it at a discount to secure the stones that will be in limited supply because the dungeon is closed.3. Bjorn takes all the upfront cost to fix them up maybe even better than before while providing security of his retinue.4. Get a place to live for cheaper than it is to buy a property which secures more stones that will be in limited supply for an unforseen amount of time.5. When the dungeon finally opens there will be a rush of new stones hitting circulation so everything will get more expensive. Including his properties.6. Investors realize they'll be able to rent out those properties at the higher rates so the sooner you buy them the cheaper they'll be.This actually sounds like a great plan as long as you have the money for all of that upfront cost for as long as it takes. I'm assuming he'll get help from his alliances.
#4 – the tenants perspective – is it a cheaper place? I can pay rent at a tavern for 24 months for $24Y at $Y per month. Why should I spend 12Y to 20Y upfront to rent a place for 24months? After 24 months, I will need to find a place to rent elsewhere or renew the contract so my real long term stability is poor.If I pay this now to secure my housing for the next 2 years, will I still be able to afford paying the kings tax aka the price of existence during this period of depression. It is meaningless if the king takes my head for not paying my dues.I have a friend whos place i can stay at or i trust the tavern keeper to not rug pull me. I have N months/years of runtime for food and the kings tax, the labyrinth merely needs to open before then. Why would I enter into a contract that significantly reduces my runtime thus lifespan, for paying the kings tax? I donโt even own the house after the contract ends. Its nice i get my money back if im alive, but bjorn and his barbarians are scary and ive heard they're related to plunderers. Do i really want to be a creditor to these kinds of people? They might kill me instead of repaying me or simply die in the labyrinth / be killed by noark with insufficient funds for me to be repaid. They do have high risk occupations.Maybe iโll buy property in district 7 aswell since prices are down, my friend heard someone bragging about selling their destroyed property to a barbarian for more than the repair costs in the tavern. Maybe I can get in on that too, the king is rebuilding it and ill own it at the end.Tldr: Bjorns plan expects it to be reasonable for a tenant with no current income in a depression to be willing to pay a lump sum upfront to lease a house. This ignores the monthly โpay it or die" tax the king levies, this ignores the prices of food and drink that are likely to increase. As far as weโre aware been homeless wonโt get you killed here and most races have a commune they can fall back to for shelter and care. He shouldnt get jack shit because no one is making money for an indeterminate period of time. Everyone with property should want to transition into been a land lord, not selling. Everyone who isnโt a landlord should be looking at buying or cost cutting in the immediate short-term depending on finances. Fucking no one is going to want to pay for most of a house to not own it at the end, given liquidity is needed by them right now to pay for food and necessities. Tying up your savings in this is a horrid idea.
Yea but Bjorn is in charge of the deposit amount so he just has to undercut other rents. So getting like a 25% discount over a year and more for longer will be enough incentive. It's like bulk purchase discount but the bulk is months.
Fucking no one is going to want to pay for most of a house to not own it at the end, given liquidity is needed by them right now to pay for food and necessities. Tying up your savings in this is a horrid idea.
That's why it would be smarter of him to build apartment complexes. This might immediately out him as an evil spirit though if they don't already exist. Thatโs the best way to make money with property. Multiple rents per complex vs single homes. He has a ton of options as long as he can afford the cost, just like big developers do in real life.Also I'm realizing that the king might have to lower taxes as I believe the dungeon is the only way to get stones isn't it? I know alchemists turn them into other things but I think the supply is exclusively from the dungeon. If they don't account for that then the majority of people are going to be executed, especially explorers. That would straight up cause revolts or defecting to Noark. I'm hoping the author thought this through.
Agree, if he re-develops apartment complexes and owns them he'd be raking it in. That would frankly be a much better plan.It sounds like the author only has a buy property, pull tenants out of ass to sign long-lease deals to, reinvest those payments in more property, rinse repeat profit, planned. And I just donโt think bjorn should find enough wealthy people to go for it in the climate theyโre in. But w/e its fantasy.Yes the dungeon is the only source of magic stones. If the king cuts taxes then yeah itโs way more reasonable to expect people to go for his scheme if they canโt just move back to their sanctuary and chill the crisis out there.
Also if he can negotiate with the Alminus bank to provide loans to the public, leasers can still hold onto their own money and Alminus can rake in the cash as well. Leasers will essentially only end up paying the interest on the loans, and nobles will certainly buy back the property once the market stabilizes. Iโm sure the sale prices will be much much higher at that point
This will only happen if the author goes balls deep into the economy, which I really hope he does. This is right up there with the epic battles in terms of entertainment for me. That's why I love Lloyd so much.
Iโm pretty sure he will con her into accepting it – and something tells me he wonโt tell her until she gets put on the spot and is speechless. Then again, itโll be a win for her as it will be seen as a brilliant plan in-story
Bjorn when he returns to his party: Hey everybody, it's ya boi Big Money Jandel getting ready to make stacks on stacks on stacks! Also, i married a doll. Later gator.
Logically speaking, heโs about to buy a bunch of shit property and be surprisepikachu.gif when no one wants to be property rent free in exchange for 50-80% of the properties worth upfront.His prospective renters have the royal tax to pay, they have no or reduced income due to labyrinth closure, they should crash at a friendโs and tighten the belt until the shit blows over.Heโs pissed off the nobles already, they should definitely price manip his shit since they still want to get strings on him, what better string than debt slavery.Bjorn / Melbes should get burnt hard for this, bankruptcy arc, lets go.
This is actually a technique in real life. Anytime there are disasters, โwe buy homesโ people like to pick them up for cheap. Laws like rent control prevent property from selling due to not being able to recover investments (California confess to mind with all of the abandoned buildings in rich areas) so there's already good precedent for what you're saying. Seems like that won't affect bjorn's plan specifically since he plans to hold onto the property rent free, but people he sells too wouldn't be able to get a good roi if they can't raise rent.This would be a hard cap for Bjorn making profits realistically speaking. Not sure if the nobles will do do things like this on top of zoning restrictions, but yeah they can bone him pretty badly here
Surviving the game as a real-estate tycoon
Ah yes, property speculation.
Thereโs a few gotchas with this system the author is unlikely to address.
1. He needs to buy houses for cheap
2. He has to find a tenant that can actually afford a lump sum payment up front
3. That tenants cost has to actually be enough to meaningfully invest to do the rinse repeat.
#2 is not feasible, as bjorn has said it is uncertain times and heโs essentially looking for renters to rent out a shit hole near a war zone
#3 If someone could afford 50-80% of a house upfront they probably donโt have to worry about โhouse rates" what they have to worry about is the royal tax that this deal doesnโt help then with. Oh and not getting killed by noark, which moving next door to them also doesnโt help with.
This seems like a really bad deal, income source gone, still need to pay royal tax, ofc let me just give you 50-80% of the price of a house upfront. That makes sense cough
People in world live out of inns, people have friends for accommodation, the problem is the royal tax and the loss of an income stream. No one should take his deal to be frank.
Any property owner now has an asset, they should sublet or become a temporary inn. It gets them some income and will drive prices down / keep them low during the depression to prevent innkeepers price gauging.
tldr: His get rich scheme doesnt work in the current climate of the world. Heโd be better off just straight up scamming them / running an insurance fraud ring.
Also seems like author has acknowledged theyโve abandoned the evil spirit fears. Thatโs sad.
I kind of hope it bites him, bro's had it reaaaal easy as of late.
I think he burned through most of them when they were speeding on the boats. Not to mention he gave away most of the essences they recovered and the ones he kept he can't sell or he'll out himself as having stolen them. I don't actually think he has a lot of money right now.I don't think the people that rent from him will pay taxes for living in the homes. Bjorn owns the properties so the liability is on him. If you think of it as 1. Buy property that is to damaged to rent out2. Seller doesn't need to invest in fixing it up so just sell it at a discount to secure the stones that will be in limited supply because the dungeon is closed.3. Bjorn takes all the upfront cost to fix them up maybe even better than before while providing security of his retinue.4. Get a place to live for cheaper than it is to buy a property which secures more stones that will be in limited supply for an unforseen amount of time.5. When the dungeon finally opens there will be a rush of new stones hitting circulation so everything will get more expensive. Including his properties.6. Investors realize they'll be able to rent out those properties at the higher rates so the sooner you buy them the cheaper they'll be.This actually sounds like a great plan as long as you have the money for all of that upfront cost for as long as it takes. I'm assuming he'll get help from his alliances.
Yea but Bjorn is in charge of the deposit amount so he just has to undercut other rents. So getting like a 25% discount over a year and more for longer will be enough incentive. It's like bulk purchase discount but the bulk is months.
That's why it would be smarter of him to build apartment complexes. This might immediately out him as an evil spirit though if they don't already exist. Thatโs the best way to make money with property. Multiple rents per complex vs single homes. He has a ton of options as long as he can afford the cost, just like big developers do in real life.Also I'm realizing that the king might have to lower taxes as I believe the dungeon is the only way to get stones isn't it? I know alchemists turn them into other things but I think the supply is exclusively from the dungeon. If they don't account for that then the majority of people are going to be executed, especially explorers. That would straight up cause revolts or defecting to Noark. I'm hoping the author thought this through.
with bjorns luck noark is going to reinvade
Now that all that silliness is behind us hopefully – we shall call him Bjoyd
so when was that bjorn told sabin she was going to be โthe mastermindโ behind all of this? cause that cover its thin, and easy to crack
Bjorn when he returns to his party: Hey everybody, it's ya boi Big Money Jandel getting ready to make stacks on stacks on stacks! Also, i married a doll. Later gator.