Preparedness Recommendations for 2009

1) This may be the last period of time in your lives to stockpile
fuel (gasoline and diesel) at reasonable prices. These prices won't
stay down for ever. Be prepared by buying several 30 or 55 gallon
drums so that you can fill them all up when prices reach their
bottom (I suspect we are pretty near the bottom right now). For
those with larger resources acquire new EPA fuel tanks for putting
underground at your retreat to store gasoline and diesel. Both
should have storage additives added to the barrels and tanks (PRI-D
for diesel and PRI-G or "Stabil" for gasoline). Gasoline tanks
should have air tight seals--keep cool inside a building or
underground. Do not allow to vent or it will go bad within a year
as the higher volatile liquids evaporate.

2) This is a good time to do any property acquisitions for retreats
or relocation. Property prices will bottom out in 2009 so now or in
the Spring is a good time to start looking. If you have to sell
your property to do so, this bad real estate climate may be a
problem for you, necessitating some creative financing. I don't
normally recommend debt, but some will have no choice if they want
to take advantage of the low prices, and hold on to their existing
home until prices recover. If your income stream is solid and you
don't carry much debt currently, consider acquiring your retreat or
future location now with the low subsidized loan rates that are
becoming available (slowly), and pay it off with the sale of your
other property when prices recover. If you are able to access these
new low subsidized rates to refinance your existing mortgage, do
so. Once inflation reignites, it will do so with a vengeance and by
the time you sell your existing property, the property you want
will also be higher in price (with some exceptions for slow growing
areas). In short 2009, is the year to find that better location if
you need one.

3) Take advantage of low commodity prices to stock up on the bulk
foods like wheat, rice and beans that should provide the vast
majority of your food storage. Like fuel, it is temporarily cheap
due to falling demand. Shortages will be severe in the future, so
don't delay in doing this. Everyone can afford to buy wheat and
rice in bulk - even if it's just a sack at a time. It's cheap.

4) Now that the new clean diesel technology has hit the markets,
start thinking about trading in your gasoline car for a super
economy diesel vehicle when you replace your current car. Hybrids
are too complex to repair in the long term, and replacing the
battery pack is $10k or more. The lessening in fuel prices will
also help reduce demand for these new high mileage diesels so you
won't have to pay a premium as people did this year. Remember, not
only does diesel get about 1/3 better mileage than gas (even
offsetting its higher price, which shouldn't last) but diesel fuel
stores almost indefinitely, unlike gasoline--and is less dangerous
to store as well. I recommend the VW Jetta station wagon with a
manual transmission.