Creating Wealth Real Estate Investing with Jason Hartman (general)

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.

Key Takeaways:

[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

Website:

www.REInvestorSummit.com

http://1000Houses.com

My Life and 1,000 Houses: Failing Forward to Financial Freedom

Direct download: CW_1092_Mitch_Stephen.mp3
Category:general -- posted at: 3:20pm EST

Today's Flash Back Friday comes from Episode 809, originally published in March 2017.

During this case study, client Vernon Grant offers up a classic example of a situation you or your parents may be in right now. Vernon asks Jason for investment guidance on the two properties his parents own that are in vastly different markets. It’s all about the numbers, as Jason breaks down each property by its rent-to-value-ratio (RTV) and the existing debt structures of each. Jason reminds investors to consider depreciation offsets, refi-til-ya-die options and the beauty of renting.

Key Takeaways:

[2:15] If your property doesn’t have good RTV ratios consider selling or refinancing.

[10:43] Vernon has been around property investing his entire life.

[12:00] Vernon needs Jason’s advice about how to handle his parent’s properties.  

[14:23] It doesn’t matter where your property is, RTV ratios are almost always the same.

[17:51] The New York market is a cyclical market and may be on the verge of being overvalued.

[25:12] Jason offers the Refi-til-ya-die as an alternative to selling.

[28:35] Why do we trust the advice of strangers more than we trust the advice of our friends and family?

[32:33] It’s important to examine the existing debt structure of the properties.

[34:09] A 1031 exchange may help offset depreciation taxes.

[36:37] How does an investor know when it’s time to 1031 exchange or to refinance?

Mentioned in This Episode:

Jason Hartman

Jhart88 on Voxer

Real Estate Tools

Direct download: CW_1091_FBF_Vernon_Grant.mp3
Category:general -- posted at: 9:32am EST

Jason Hartman starts this 10th episode discussing the changing rules for investors, and how to make sure you're playing by the new ones that will actually make you wealthy. Old rules no longer apply because the world has changed completely in the last few decades.

Then Jason talks with Joel Comm, author of the new book The Fun Formula and host of the Bad Crypto Podcast, about his new book The Fun Formula and how subtle changes in our thinking and routine can enable us to design the life we truly desire: one of significance and joy.

They also discuss why he's bullish on cryptocurrencies and blockchain, the changes blockchain will bring to our society, ICOs and more.

Key Takeaways:

[3:50] Are humans smarter than monkeys?

[5:03] Worst case your real estate portfolio is a forced savings program

[10:09] The old rules worked because there were scarce goods and a scarce world. That doesn't exist any more

Joel Comm Interview:

[18:19] The origin of The Fun Formula

[22:30] You have to leave an opening in your life for the world to fill in some gaps

[26:20] Joel is bullish on both blockchain and cryptocurrencies

[27:35] Blockchain is going to be more disruptive than the smartphone

[31:30] Big money is coming in to cryptocurrencies, what are they doing right now?

[35:17] The current state of the ICO market

Website:

www.FunFormulaBook.com

The Bad Crypto Podcast

Direct download: CW_1090_Joel_Comm.mp3
Category:general -- posted at: 4:54pm EST

Jason Hartman takes today's episode to discuss some of the big issues in the real estate world. One of the biggest is the rising cost of labor that is causing rising construction costs that is causing a squeezing in the multi-family development. In regards to multi-family, however, we're also seeing an increase in apartment inventory, which is starting to reach scary levels.

Jason also goes over some important economic news and ends with Og Mandino's Mission Success.

Key Takeaways:

[3:38] No service and no people is a common theme in service businesses these days

[7:58] Increased labor costs are squeezing the multi-family development pipeline

[12:31] The apartment inventory is starting to get scary, with supply getting excessive

[21:19] Uncertainty over Brexit has caused people to seek safe haven in bonds

[25:52] Og Mandino's Mission Success

Website:

www.JasonHartman.com/Properties

Jason Hartman's Alexa Flash Briefing

The PropertyCast

Direct download: CW_1089_Jason.mp3
Category:general -- posted at: 5:01pm EST

Today's Flash Back Friday comes from Episode 774, originally published in January 2017.

The 19th annual Meet the Masters of Income Property is just three short weeks away. This revamped event will feature breakout sessions, top shelf speakers and in-depth discussions about what the rising inflation rates will mean for real estate investors. Jason’s guest is John Simpson. Mr. Simpson invested in the trailblazing Rent Reporters before it’s official launch because he believed in the business model. He now runs the company as CEO and is the corporate cheerleader to this fairly new, progressive company. Mr. Simpson shares the benefits of his service to both renters and landlords, how to participate in the process and testimonials about the benefit to those this service has affected positively.

Key Takeaways:

[2:01] Rising interest rates is just one of the subjects we will be discussing at the Meet the Masters of Income Property Event.

[3:36] Erin sent in an article from the Kiplinger Letter about the future of the economy and inflation.  

[9:49] What will Trump do to light the economy on fire?

[13:20] Garrett Sutton will be speaking at the 19th Meet the Masters Event.

John Simpson Guest Interview:  

[16:54] Before Rent Reporters there was no mechanism for tenants to get credit for their on-time rent payments.

[18:35] The benefit to renters is clear, but what is the benefit for landlords?

[20:05] This service makes the renter more accountable.

[21:36] The top 3 factors that determine a credit score.

[24:54] Many renters have no credit score or they are invisible.

[27:16] A landlord will be able to see renter’s payments for the past two years.

[32:27] Landlords are incentivized monetarily to get new clients for Rent Reporters.  

[38:22] The statistics that back the Rent Reporters business model.

Mentioned in This Episode:

Jason Hartman

The 3 Dimensions of Real Estate

Rent Reporters

Direct download: CW_1088_FBF_John_Simpson.mp3
Category:general -- posted at: 10:30am EST

Happy Thanksgiving (a little early)!!!

Jason Hartman starts today from his Aunt Joanie's house discussing a recent trend among her renters: lease breaking. Joanie has noticed that several of her tenants seem to be jumping in to the buy side after they had given up over the summer. Jason and Joanie discuss why this might be and the correlation between rents and home prices.

Then Jason talks with Diana Butler Bass, Ph.D. in religious studies and award-winning author of 10 books including her newest, Grateful: The Transformative Power of Giving Thanks. The two dive in to why being grateful is important, both for the community and the individual. Diana explains the 4 dispositions of gratitude and the health benefits that come from being grateful.

PLUS, don't forget to take advantage of Jason's massive Black Friday/Cyber Monday Sale!

Key Takeaways:

[4:01] People are starting to break leases more often

[7:02] Fear of loss is more powerful than desire for gain

[9:26] Rents and prices are inversely correlated

[11:23] Why Aunt Joanie got into real estate

Diana Butler Bass Interview:

[16:15] Gratitude actually makes you healthier

[21:34] Gratitude functions out of our higher brain, whereas fear functions out of our primal brain. It also helps things in you physically like blood pressure

[24:39] The world has changed and we need to stop acting solely from our fear instincts

[25:37] The 4 dispositions of gratitude

[30:06] Play isn't just about competition, it's about appreciation, movement, and celebration. Ritual celebrations of thanksgiving are important parts of our culture

Website:

www.HartmanEducation.com

www.DianaButlerBass.com

www.Twitter.com/DianaButlerBass

Direct download: CW_1087_Diana_Bass.mp3
Category:general -- posted at: 5:07pm EST

Jason Hartman starts today's show by discussing the enduring asset that is real estate. Buildings you see that have been there for decades, if not centuries, still make money for their owners. Then Jason answers some more mortgage FAQs, including financing multiple properties at once and what a Power of Attorney can do for you.

Then Jason talks with Paul Moore, author of The Perfect Investment: Create Enduring Wealth from the Historic Shift to Multifamily Housing, about what demographics are telling the two of them about the next decade for landlords, as well as home ownership rates and the current habits of both baby boomers and millennials.

Key Takeaways:

[2:47] Income property is an enduring asset class

[6:37] More mortgage FAQs: can you finance multiple properties at the same time?

[10:37] Can a Power of Attorney sign for you for your investment properties?

Paul Moore Interview:

[14:11] How the demographics for the next decade looks for landlords

[16:09] Where Jason believes home ownership rate should be

[18:24] The faster growing demographic of renters is the baby boomers

[21:24] Millennials are renting in large numbers, partially thanks to the portability society

[25:20] What investing really is and other investment philosophies

Website:

www.WellingsCapital.com

The Perfect Investment: Create Enduring Wealth from the Historic Shift to Multifamily Housing

Direct download: CW_1086_Paul_Moore.mp3
Category:general -- posted at: 3:50pm EST

Today's Flash Back Friday comes from Episode 825, originally published in May 2017.

Jason welcomes Pat Donohoe back to the show. Pat is the President and CEO of Paradigm Life and host of the Wealth Standard podcast. Together, Jason and Pat analyze a Wall Street Journal article which addresses lower mortgage rates and how the lower rates may affect the already ‘hot’ real estate market, how autonomous cars will create a resurgence of the suburbs and how the upper middle-class is rethinking retirement based on the trend of extended life spans.

Key Takeaways:

[02:22] Wall Street Journal audio clip relating to the current housing market and interest rates.

[04:42] Zillow and isolated locations, like LA, with inflated housing values.

[11:35] Supply and demand in the rental property market.

[14:53] The Wealth Standard Radio and Paradigm Life contact information.

[15:36] The resurgence of suburbia will come with autonomous vehicles.

[19:28] A warning about spending money on high priced real estate.

[25:41] Reinventing retirement based on the cost of living longer.

[29:17] The 401k was never really meant as a retirement plan.

Mentioned in This Episode:

Jason Hartman

Longevity and Biohacking Show

Venture Alliance Mastermind

Zillow

Wealth Standard Radio

Paradigm Life

Unlimited Wealth: The Theory and Practice of Economic Alchemy by Paul Zane Pilzer

Direct download: CW_1085_FBF_Pat_Donohoe.mp3
Category:general -- posted at: 12:00pm EST

Jason Hartman starts today's episode by answering more of the mortgage FAQs that were started in episode 1083 that were spawned from the recent Profits in Paradise event. He looks at his idea of Refi Til Ya Die and what it takes to finance your first 10 properties. He also unveils the Ring Doorbell/Amazon Echo contest winner(s)!

Then Jason finishes his interview with client Drew Baker. This time the two tackle cryptocurrency, higher education, the investment landscape as it stands today, and the appreciation vs cash flow dilemma.

Key Takeaways:

[4:22] You need to either create your own mastermind group or join one if you are looking to improve your lot in life

[10:09] Can you do a cash out refinance of your investment properties?

[13:18] If your credit score is over 720 you need to borrow more money (assuming that you're borrowing for investment purposes that is)

[15:42] Can you finance a primary residence regardless of how many investment properties you own?

[17:55] The Ring Doorbell/Amazon Echo contest winners

Drew Baker, Part 2:

[21:37] A 1 world cryptocurrency would be terrifying and allow governments to inflate as much as they wanted

[26:25] The college tuition bubble

[29:24] What should investors be looking at today?

[35:02] People tend to look at appreciation over cash flow because it's "sexier"

Website:

www.JasonHartman.com/Properties

Direct download: CW_1084_Drew2.mp3
Category:general -- posted at: 12:07pm EST

Today's episode starts off with Jason Hartman, in the car, back from Hawaii. He tackles the average length an American stays on the job these days, how technology is changing our buying habits, and starts answering some mortgage FAQs he's been getting lately.

Then Jason talks with client Drew about a mistake he made in self-management that shifted his views on contracts, as well as exploring dividend stocks and the economic disaster that is Argentina currently.

Key Takeaways:

[6:46] Digital camera shipments are down 80% thanks to smartphones

[8:20] Mortgage FAQ #1- Can you finance more than 10 properties?

[9:43] You only need a 620 to finance your first 6 properties, then a 720 for properties 7-10

Drew Baker Interview:

[13:18] A mistake Drew made that made him realize it's important not to deviate from the contract

[17:32] Love or hate Trump, he's been good for the economy

[21:50] Dividends may sound great, but they're not the most stable

[27:05] The currency of today is just getting in front of people

[31:30] Argentina has an economic disaster every 10 years

Website:

www.JasonHartman.com/Contest

Direct download: CW_1083_Drew_Baker1.mp3
Category:general -- posted at: 11:04am EST