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More now vs. then
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STOMN
Posted 11/8/2015 06:50 (#4883847 - in reply to #4883493)
Subject: RE: More now vs. then


West Central MN
tab - 11/7/2015 21:22

I don't post on here much I don't nessecarily think we are going to repeat the 80s but I never hear anyone talk about the large principal payments on land and other non depreacatable items and the tax burden that comes with them. Also high interest rates Were deductible at least.

a real issue that will surface is the regulators aren't going to allow operating loans for people that can't cash flow multipal years in a row. There are requirements that bower must be able to show the ability to repay on a year by year basis.

Tim


Two of the smartest comments IMHO that I have read about this topic on NAT in awhile. Someone told me the same comment that "at least in the 80s the interest was deductible" and I thought that was very stupid until I thought about it for awhile. I would also say some have made rent deals this fall that when they meet the banker in a few months they will say. No.
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