Mon, 31 December 2018
Jason Hartman takes the final episode of 2018 to discuss the current market softening and what's happening in the high end housing sector. He also explains why sometimes things like a government shutdown can provide opportunities for businesses.
But the second half of the show is a challenge for you as you're setting your New Years Resolutions. Jason challenges you to sometimes do things that make your life harder, to set goals (like most of America doesn't), to write the goals down and share them with those close to you. This will help you achieve your goals and get you closer to financial independence.
[4:03] Either the high end or the low end housing market starts faltering first during each cycle, and this time it is definitely the high end
[6:40] Everything tries to get bigger, so when the government is in session there are always new laws being put in place. So maybe the shutdown isn't the worst thing to happen
[11:03] The Peter Principle: we all reach our level of incompetence
[16:45] How Jason's mom's time as a social worker formed her political views
[19:52] Do things to make your life harder, intentionally, to challenge yourself...OCCASSIONALLY
[26:01] 80% of Americans have no goals at all
[29:06] You need to involve others in your goals
Fri, 28 December 2018
Today's Flash Back Friday comes from Episode 831, originally published in May 2017.
Jason records this episode from Europe where he is thoroughly appreciating Capitalism. He reminds us, to get rich, we must take consistent, prudent risks. Understanding proformas and having the ability to analyze real estate deals will pay off in long-term cash flow. And, using leverage allows you to do more with less. During the Four Pillars of ROI clip, we learn about the sometimes underappreciated tax benefits of income property investments and hear a new investor recommend investing with Jason’s company.
[03:03] The hidden pillar of ROI is inflation-induced debt destruction.
[04:34] Jason doesn't understand why millennials beg for Socialism/Communism.
[11:26] The Venture Alliance Mastermind in Chicago is coming up in June.
[13:52] The college experience is much like the European experience.
[17:02] The way to get rich is taking prudent risks.
[24:18] Look forward to the future, appreciate the past but live in the future.
The Four Pillars of ROI Live Clip:
[28:37] How to Analyze a Real Estate Investment - free video.
[31:33] Appreciation amplified with leverage.
[34:42] Victor shares his thoughts about pulling the trigger and building his income property portfolio.
[42:17] Recognized tax benefits of income property investing.
Mentioned in This Episode:
Wed, 26 December 2018
CW 1102 - Controlling Money Supply, Changing Demand for Debt & Using Smart Home Technology for Self-Management
Jason Hartman takes today's post-Christmas episode to go over some of the news from one of the most news-filled holiday seasons he can remember. There's a clash going on right now between the government (mostly Trump) and the Fed, but is it really such a good idea to let a non-governmental organization have so much control over our money? Jason also looks at how the changing demand for debt is impacting real estate investors, as well as how getting rid of your outdated technology (like keys) can improve your self-management.
Also, buy your tickets today for the upcoming Meet the Masters event in Southern California!
[3:14] This is the most economically newsworthy filled Christmas Jason can remember
[7:06] You may not think it's a good idea to have the government interferring with the Fed, but do you really want our currency run by an independent, unaudited thing like the Fed?
[12:27] What does the change in demand for debt mean to us as real estate investors?
[16:55] Has there been collusion in EU bonds?
[22:37] Why you should be using smart home technology
Mon, 24 December 2018
Jason Hartman talks with investment counselor Doug about the holiday season and what Warren Buffett can teach us with his investing strategy. A good deal is a relative term, and you have to look at the deal both today and in the future in order to see if it's truly a good one. The beauty with real estate is that, unlike investing in companies, is that it's a simple asset class that doesn't involve constant market corrections and adjustments.
The two also discuss the idea of a portfolio analysis and makeover, as well as how a market downturn might impact the new influx of institutional investors.
[8:04] Most good deals are in the rear view mirror
[11:37] A clip on Warren Buffett's investing strategy
[13:46] Don't sit around waiting for the deal to come to you. Find a quality product with demand (at a price tha tmakes sense) and buy it
[18:51] Unless companies, there's no need to re-invent your house every few years. It's a simple asset class.
[20:18] Why you want to understand things like interest rates and money supply
[23:27] Why you need to do a portfolio makeover
[27:17] The next market downturn will show us how institutional investors will react
Fri, 21 December 2018
Today's Flash Back Friday comes from Episode 690, originally published in June 2016.
Jennifer Kahnweiler, Ph. D. is considered to be the Champion of Introverts. She is a Certified Public Speaker and a best-selling author. She has written three great books, The Introverted Leader: Building on Your Quiet Strength, Quiet Influence: The Introvert’s Guide to Making a Difference and her latest The Genius of Opposites: How Introverts and Extroverts Achieve Extraordinary Results Together. During this interview, she alludes to the true differences between introverts and extroverts, what make introverts so special and how introverts can enhance your organization.
[2:05] A look at the Driverless Cars to Fuel Suburban Sprawl article.
[8:04] A video resource to help you analyze an investment property and understanding a performa using cap rates as a metric.
[12:46] Which is a better investment one with Tenant Improvements or a Full Service Gross lease?
[16:05] Kevin Kelly Audio short: The Emergence of Singularity.
Jennifer Kahnweiler Guest Interview:
[20:15] How is Shyness different from Introversion?
[22:55] How does someone know if they are an introvert or extrovert?
[25:03] There is a lot of prejudice which exist against introverts.
[29:26] All of us need to flex, Introverts and Extroverts alike.
[31:20] How can introverted leaders and managers increase their influence in their roles?
[36:07] Does a person’s gender come into play when someone is trying to carve out their path?
[38:44] All must respect each other’s talents to make a partnership truly thrive.
[41:05] Discussing the 5 themes of successful partnerships.
Mentioned in This Episode:
Wed, 19 December 2018
CW 1099 - Socialization of Mortgage Industry, Rising Interest Rates, Changes at HUD & Gen Z Rents with The Real Estate Guys
Jason Hartman starts today's episode talking about some important changes happening at HUD that Jason believes will make a positive impact, as well as differences in rent between Millennials and Generation Z.
Then Jason finishes his interview with The Real Estate Guys, as the two discuss the impact rising interest rates and energy prices will have on the blue collar workers you're renting to, as well as the socialization of the mortgage industry and why the government is poisoning industries.
[1:55] Ben Carson is doing some good things at HUD
[5:39] Some new changes to Jason's thinking if you live in a state with good homestead protection
[10:58] Generation Z is expected to outspend Millennials on rent
Real Estate Guys, Part 2
[17:10] What happens with interest rates and energy is going to be driving things in the short term, because it hits middle income Americans the hardest
[21:12] Technology can disrupt many different sectors, but the need to sleep under a roof isn't one of them
[23:18] The socialization of the mortgage industry
[26:37] When you introduce a non-profit (government) option into a for profit market you poison the well
[31:02] Think on a big level, but act locally
[31:30] Rock Island, IL Property Profile
Mon, 17 December 2018
CW 1098 - Impact of Institutional Investors, Impending Housing Shortage & Impact of New Tax Code with The Real Estate Guys
Today's show is all about the changing real estate investing scene. Be wary of anyone who's telling you that things like completely passive income exists and that you can make money today just like you could in the past. Things are changing quickly.
Jason Hartman talks with the Real Estate Guys, Roger Helms and Russell Gray, about just that, as the 3 discuss the emergence of the institutional investor in the single-family home market and what that means moving forward. They also look into what's causing the current housing shortage, as well as the impact short-term rentals are having on the high end market and how the new tax code is impacting housing.
We wrap up the episode with a property profile with Adam of a home available in Cleveland, OH.
[3:27] Get yourself invited to Indian weddings. Jason talks about his experience at client and booker Naresh's wedding #Narvani2018 and the great talk about real estate and the economy with other wedding guests.
[5:26] Be careful investing right now, times are changing
[7:34] The influx of institutional investors has brought some good new tools to all income property investors
Real Estate Guys Interview:
[10:01] The Real Estate Guys thoughts on institutional investors in the single family housing market
[13:32] A lot of the institutional money isn't being put into the greatest of deals
[16:00] Institutional investors take the cash flow, but are more focused on appreciation
[18:21] We have an impending housing shortage, which is causing the trend toward build-to-rent
[22:21] The tax code is written in a way to drive behavior
[27:33] Property Profile by Adam
Fri, 14 December 2018
Today's Flash Back Friday comes from Episode 824, originally published in May 2017.
This episode demonstrates the versatility of the most historically proven asset class income property. Jason breaks down its multiple dimensions and the various factors which can be used to prove that income property is the best investment you can make. During the client case study segment, Ani Wee tells her story of monetary and portfolio growth from her income property investments. She uses the Hartman Network to find opportunities, to gather information and to engage with like-minded people.
[03:30] Money matters!
[08:06] Why you should immerse yourself in the most historically proven asset class.
Client Case Study Ani Wee:
[21:29] During the market crash Ani was looking for options when she came upon the Creating Wealth Show.
[23:29] She started investing in real estate after reading Rich Dad Poor Dad but she didn't know what she was doing.
[25:36] Ani receives yellow postcards on the first property she bought from the Hartman network.
[30:41] Ani's duplex in Florida appreciated from $79K to over $150K and her RTV ratio increased.
[36:35] Comparison, income and replacement cost are the three basic approaches to appraisals.
[38:34] Don't be afraid to push back on property management issues.
[41:18] Ani will be doing a 1031 exchange on her properties in hybrid and cyclical markets.
[44:36] Don't wait to buy real estate and outsource your debt to your tenants.
Mentioned in This Episode:
Wed, 12 December 2018
CW 1096 - Difference Between Paper and Real Assets, Student Loan Debt, Looming Correction & Mortgage Update
Jason Hartman talks with Ryan Moran, founder of www.Capitalism.com, about assets. The two decipher the difference between paper and real assets, and why you should really just be using one to get more of the other, as well as looking at some indicators that are potentially pointing at a correction being on the horizon.
Ryan and Jason also go in to a discussion on whether student loan debt should be forgiven, why Ryan thinks it's a terrible idea, the importance of having economic indicators you can trust, and more.
[5:03] What you're really trying to do is take your paper assets and get real assets that create cash flow
[9:28] Is there a big, quick, correction in paper value coming?
[14:11] Is student loan debt forgiveness a good or bad idea?
[16:24] When you get rid of economic pain you get rid of economic indicators
[18:36] It's ALWAYS a good idea to buy good assets at good prices
[20:18] December Mortgage Update
[26:30] Property Profile: Davenport, IA
Mon, 10 December 2018
Jason Hartman takes today's episode talking with new investment counselor Doug about several economic signs that have been potentially helpful for real estate investors. The first area of focus is surburban real estate. Rent increases in the suburbs have been climbing faster than in urban areas and the RV ratios out there are nearly always better. Then the topics drift to more economic data coming out that includes an inverted yield curve, negative equity and a decline in quarterly sales for Toll Brothers.
Finally the Property Profile is from Kansas City, MO.
[4:23] Rents have been rising significantly in the suburbs
[9:09] RV ratios are almost universally better in the suburbs
[13:56] Have it clear in your head what "winning the race" means
[16:07] Buyers are spending more time looking for their home
[17:53] Toll Brothers announced their first decline in quarterly sales in over 4 years
[20:12] Negative equity can cause price spiraling, which thankfully we aren't seeing
[26:11] What is the inverted yield curve telling us?
[27:56] Kansas City Property Profile
Fri, 7 December 2018
Today's Flash Back Friday comes from Episode 815, originally published in April 2017.
It’s a wonderful time to be alive, especially if you are an income property investor. New technologies allow investors to self-manage properties all over the U.S. no matter where in the world they are located. Jason speaks with Merrick Lackner the Co-founder of Rently and Rently Keyless. Merrick describes the mechanics behind turning your rental properties into smart homes to give you more control over showings, energy consumption costs and the general well-being of your properties as well as the cost of installation and maintenance.
[03:07] Changes in property management and increased returns from investments.
[04:34] Do you know which billionaire lives in a trailer park?
Merrick Lackner Guest Interview:
[09:21] Merrick saw the need to improve on the showing of rental properties.
[12:57] Merrick describes the different options Rently offers.
[20:48] How the Rently process is coordinated for the renter and the landlord.
[25:30] The smart matching program includes a background check.
[26:58] Rently Keyless Entry gives real estate investors more control over their properties.
[30:10] How much does Rently Keyless cost to install and maintain?
[33:02] Rently offers different access for renters and owners to reduce liabilities and provide privacy.
Mentioned in This Episode:
Wed, 5 December 2018
Jason Hartman reports from the 2018 IMN conference with guest Robert Nickell, as the two discuss the latest in real estate investing. Specifically they look at the impact of institutional investors and "iBuyers" on the market today and how the massive influx of cash has created more stupid money than usual.
The rate of iBuyers continues to grow as more and more capital is raised, and all of that money is driving up home prices to the point where the "built to rent" phenomenon is making more and more sense.
[3:10] Fragmentation has kept the big institutional investors out of single family real estate investing, but the direction currently is leading them in to the market
[6:51] The impact of internet real estate companies
[12:10] Many of these iBuyer platforms and institutional investors are raising tons of money, but aren't actually making any
[17:02] The deal rarely looks great when you buy it, it looks great in the future
[17:30] The rate that iBuyers are purchasing is driving up prices
[20:20] Some investors get rid of their bad properties by simply selling them to iBuyers
[22:15] The build to rent phenomenon
[24:46] Property Profile
Mon, 3 December 2018
CW 1092 - Slowing Home Sales, Changing Your Investment Style to Fit the Times & My Life and 1,000 Houses with Mitch Stephen
Jason Hartman opens the show discussing the need for real estate investors to be flexible with their investment strategies. As conditions change, so too must your approach. What worked 2 years ago might not work today, so invest differently today.
Then Jason talks with Mitch Stephen, author of My Life and 1,000 Houses, on Mitch's start in real estate, the importance of not having 100% occupancy, how to determine if your market is overbuilt, doing due diligence, and more.
[3:02] As real estate investors we have to be flexible and adapt to our changing environment
[8:23] We need to keep our mind clean, our mindset clean, so avoid contaminating people
[10:59] Slowing sales doesn't necessarily mean a downturn in the market, it could simply be a lack of inventory
Mitch Stephen Interview:
[16:27] Is self-storage overbuilt? How Mitch tries to minimize his competition
[21:54] Self-storage facilities can go up really quick, is it better to buy an existing or build a new one?
[26:35] Jason's revelation about commercial vs self-storage real estate back in 2010
[30:09] Why you never want to be full in any sector of real estate investing & what you should do if facilities in the area are full
[33:38] Some of the due diligence Mitch does when looking for a facility to buy