this article summarizes what we have been doing since moving from chicago to the farm. every year we make progress and keep coming along. it's actually not easy to execute our plans. everything takes longer than expected. just the equestrian portion of our property was supposed to take one year and it took almost 3 years to complete. like they say here on the farm. "it's always something" . we started with almost nothing, just land, built the roads on our land, laid water lines , plumbing electricity, got topo drawings for new buildings, grazing areas, miles of fencing. we had people from germany come out, live with us and supervising some of the equestrian indoor arena using the european ottosport arena footing. we still have so much more to do. we would like to eventually be completely off grid, solar, and completely self sustaining. so far only minimal solar, propane backed generators, we are evolving to a complete healthy home grown organic farm food products, and hopefully next year our own green house for continuous 12 month fresh food supply. our own chickens and eggs to feed ourselves, the dogs, and our neighbors. we still purchase our hay for the horses, doing your own hay is just too physically demanding for us.
anyway, fwiw, here is the article that has almost been our bible for the last 10 years:
Invest in precious metals.
Yes, we know, you can’t eat them. But so long as gold and silver hold value by central banks in China, India and pretty much everywhere in the world except the USA, there will be a buyer for this asset. As things get worse, prices will go higher, which means that if you need to buy other hard assets, you may be able to do so by trading in your metals.
A farm, ranch.
Like Mr. Sinclair and his friends, the Slavo family is getting out of the burbs. While we have come to love the suburban lifestyle in which we all grew up, including the ease of patronizing name brand retail outlets, we prefer to exchange our quarter-acre lot for a larger, more self-reliant compliant property. Larger scale food growth, micro farming and open space, available at cheaper prices when compared to suburban living, is our next destination. While hyperinflation, economic collapse, and city-wide riots are low probability events, being outside of a major metroplex is much better than being smack-dab in the middle of it all. Plus, did we mention the nice, open views of country side or mountain living? For those unable to buy, consider renting. With a three year backlog of inventory, homeowners are willing to work deals. They’ll rent for cheap, lease-to-own, sell without a down payment, and jump through hoops to put you into their property – so getting into the country on a low budget is certainly feasible right now. For those who have made huge gains in gold or silver, maybe trading some of that in for a tax sale property or foreclosure would be a good barter. The point is, there are very cost-effective ways available right now to get out of the city and into a safer, more productive property today.
Bulk Food.
There’s a reason that the largest freeze dried food manufacturer in the world is unable to keep up with demand. Now, imagine for a second that the even a small percentage of the general population realizes that costs are hyperinflating. Prices will go up that much more, and your local retail outlet may put a limit on how much rice or beans you can buy. This happened in late 2008 at major retailers like Target. And it can certainly happen again. We hear professional traders talk about investing in commodities, and we agree that buying wheat, beans, rice, and other essential goods is a good investment. But where we differ, is that we prefer to hold the physical asset. Using the proper storage techniques, dry grains, milk and other foods can be stored for 20 – 30 years. We’re not suggesting you just buy buckets of rice and throw them in a closet, though. Buy several hundred pounds of food, package them correctly, and rotate them into your food consumption on a regular basis. Rinse and repeat. For those who followed our advice in 2010, you would have saved 40% – 75% on today’s prices. For those with animals, consider stocking up on feed as well. This strategy will help to not only preserve wealth, but provide an emergency supply of goods in case of a food supply interruption. But something like that can’t happen right? Ask the people in Japan, and you’ll get a starkly different opinion on the matter.
Micro farming and Micro Livestock
– Animals, Veggies and Fruit. Wifey Slavo is getting a Dexter cow. While we love our organic milk, we’d prefer to have the ability to produce our own on demand. The same goes for chickens, rabbits and goats. You’d be surprised how easily you can establish a small-scale bartering system in your local community or neighborhood. Brother Slavo, who is already setting up the infrastructure at our new homestead, regularly interacts with neighbors, friends and community members, trading everything from tomatoes to fresh eggs. In return, he builds personal relationships with those in the surrounding area, gets fresh produce that we have yet to grow ourselves, and assistance with building out our homesteading infrastructure. You’d be amazed how valuable fresh, organically produced food is and what people are willing to trade for it. Also consider storing some seeds, heirloom variety, just in case. Even if you don’t have the ability to get out to a farm, do what you can at your suburban home or apartment dwelling – there are lots of options available.
Alternative Energy.
We’re all about alternative energy, just not when it’s mandated on us by government. That’s why our position is that alternative energy should start from the needs of the individual, not the carbon exchange credit system set to make billions when costly laws, taxes and fees are passed by our Congressional representatives. If there’s one thing that will continue to rise in price and lead to economic despair, it’s energy. Oil, coal, electricity – it’s all going to be expensive. That’s why we recommend finding ways to create your own. There’s solar, of course, as well as wind or micro-wind, and hydro if you have running water. Even if you were to take yourself partially off the grid, it’s worth it. Start small, and build from there. Solar systems, especially do-it-yourself systems with the help of neighbors and friends who have already built there own, can be quite cheap and often pay themselves off in a matter of a few years. In addition, building for yourself and continuing to expand may actually put money in your own pocket when you feed power back to the grid. If you don’t have the up front cash to buy a system outright, financing is available – and since we’re talking about an essential good, energy, taking a small loan for such an asset may not be a horrible idea if you can get good terms.
Get Skilled.
The days of working in cubes (for the most part) are numbered. In the future, if you don’t produce a necessary product or service, you will be obsolete. These jobs, like it or not, are migrating to countries where workers are willing to do the labor for 80% less than Americans. We recommend investing time and energy to acquiring new skills. Physical skills. Welding, machining, carpentry, sewing, installation of alternative energy platforms, farming, raising animals, alcohol distillation, etc. Skills like alternative medicine will be useful as health care becomes rationed. Look to the past, as in the 1800's and early 1900's, and you’ll get a good idea of jobs and skills that may pay well in the future.
Guns and Ammo.
It might sound a little excessive, but the fact of the matter is that guns retain their value for the most part. Ammunition, as we saw in 2008, is subject to supply and demand crunches as well. As metal prices continue to rise, and uncertainty pervades the American psyche, people will continue to stock up. You may very well be able to trade ammunition for cash, silver or other items. The system doesn’t even have to collapse for this. A host of ‘gun trader’ type web sites already have bartering systems in place. Plus, if the worst does happen, and the system goes catatonic, wouldn’t you rather have a few thousand rounds of 7.62×39 than none?
Clothes.
The CEO of Walmart recently said that inflation is going to affect prices in months to come. If you’ve got kids, purchasing clothes in advance, especially things like socks, underwear, pajamas, jackets, jeans, shoes and shirts may save you money down the road. And again, if the worst were to happen, you’d have apparel for the kids (or for trade) for years ahead. For those who know how to sew, buying fabric now can save hundreds of dollars later.
Tools.
You can never have too many nails or screws or too much equipment. If you can, start investing in tools that you’ll be using around the house/farm. Everything from standard toolbelt accessories to quality farming equipment like shovels or even a tractor. A close friend recently built his own alcohol still for production of drinking alcohol and ethanol fuel. Like everything else, prices for these types of assets will continue to rise – and in a SHTF scenario, they will become invaluable and highly sought after. If you can, buy two of everything, especially when it comes to food production or raising animals.
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