Thu, 9 August 2018
CW 1039 - On Location From the Fed, KC Market Profile & Investing Integrity of the Centimillionaires with Richard Wilson, Part 2
Jason Hartman starts today's episode from the Money Museum, on location at the Kansas City Fed with KC LMS Dave. The two discuss the Kansas City and the Quad Cities rental markets, what you can get for your money in each and what to expect area wise.
Then Jason finishes his interview with family office expert Richard Wilson as the two discuss how much money it takes to make a family office, the importance of integrity in business and investing, and which niche domination can be a good strategy.
[2:58] It only takes 24 minutes to print 10 million new $100 bills
[7:00] What are the Quad Cities and what is the market like there?
[11:23] The types of repairs being done on Dave's properties to make them turnkey
[14:39] The cost of rehabs have gone way up over the past 7-10 years
[16:37] Dave's advice for what type of property is the best for an out of area investor
Richard Wilson Interview:
[21:34] The net worth you need to make a family office worthwhile
[25:20] Niche domination as a strategy
[29:20] If you don't have a focused approach to investments, and don't do things highly intentional, you'll never have synergy
[31:20] You need to have a dashboard and compass as to where you want to go, and it needs to be documented
[33:52] Everything in your life and business needs to have integrity
Wed, 8 August 2018
CW 1038 - Interest Rates, Housing Market Cool Down, & Investing Habits of the Ultra-Wealthy with Richard Wilson, Part 1
Jason Hartman takes some time today to discuss the yield curve and how it's telling us that a slow down might be on the horizon. He goes through the 3 different types of yield curves and the impact all 3 can have on the economy. Negative interest rates are also explained and Inflation Induced Debt Destruction rears its head again as well. Also, don't forget to subscribe to the PropertyCast and get all the new properties first year pro formas straight through your podcast platform!
Then, in part 1 of the interview, Jason Hartman talks with Richard Wilson, a family office expert, about what we can learn about investing by looking at what centimillionaires are doing.
[4:29] What's going on with the yield curve?
[9:38] Some back of the napkin calculations on negative interest rates
[14:28] The 3 different types of yield curves
[18:14] Signs of a turn showing in Orange County
[21:59] When the market cools the service providers will become a little more grateful and conscientous
Richard Wilson, Part 1
[25:15] Some of the business practices used by centimillionaires
[28:58] What a family office really is, and why it's a thing
Mon, 6 August 2018
Today's episode is about one short, simple, beautiful word: DEBT. Fresh off reading/listening to George Graeber's Debt: The First 5,000 Years, Jason delves into the subject matter head first, playing some clips from the book and discussing them in regards to today's world.
[4:34] The recent history of the rotation of the worst big bank in America, Wells Fargo is currently in the lead and had a computer glitch make hundreds lose their homes
[10:06] Why the housing market is actually different this time around
[15:10] Some samples from Debt: The First 5,000 Years
[25:45] It's incredible how throughout history, conquering nations make money by going in, making "improvements" and forcing the newly conquered people to pay for them, or by making them pay back the money the conquering nation spent defeating them
[30:05] The 60s and 70s featured a time where America was prosperous and people were getting cost of living raises and , followed by decades of stagnant wages until Donald Trump
Fri, 3 August 2018
Today's Flash Back Friday comes from Episode 598, originally published in November 2015.
Self-management tools often boast ease of use and shortcuts to save you time but don’t always deliver. Cozy and Landlordology are property management tools which offer end to end online self-management solutions. Both tenants and property managers benefit from the monthly automatic rent collection feature as well as the integrated application process. If you think doing a background check along with a credit report will help qualify renters qualifications then sign up for Cozy today.
[1:20] What time is it? It's an amazing time to be alive
[2:44] Income investment strength versus deflation
[5:00] Deferring your tax liability
[7:02] Inflation induced debt destruction
[9:03] Debt transfers wealth from the lenders to the borrowers in an inflationary environment
[10:33] What gets rewarded, gets repeated
[10:57] Deflation makes debt more burdensome
[13:40] Use the voicemail feature at Jasonhartman.com for your questions
[14:09] Sign up for the Meet the Masters event in Dubai
Lucas Hall Guest Interview:
[16:27] Lucas teaches managers how to manage their own properties
[18:23] You need to get your message out there - try postlets
[19:56] Hire a real estate photographer for great photos of your property
[24:44] Going over your general requirements before meeting at the property will save time
[26:04] A 2-year lease provides extra security for the tenant
[27:34] What is a landlord’s open house?
[29:28] Possible new tenants can submit an application as soon as they leave the property viewing
[31:20] Cozy is an end to end property management platform
[35:09] Rent collection can be difficult for property managers
[40:47] Property managers can garnish wages to collect back rent
[41:51] Automating your rent collection will make it easier for owner and tenant
[42:39] Resources are available on Landlordology.com
Thu, 2 August 2018
CW 1035 - Client Case Study: Dealing with Repairs, Property Management Software & Late Fees with Adam Schroeder, Part 2
Jason Hartman starts off today's episode with a tale of his current lawsuit and the experience it's given him with the legal system. The way our current system is set up nobody wins, and there doesn't seem to be a lot of accountability going on either.
Jason also plays some Voxer messages from client Drew Baker about his recent experiences doing self management. After that Jason finishes up his interview with podcast producer Adam Schroeder. This time the two discuss finding repair people, what to expect from property management software, whether to allow grace periods and what kind of late fees to charge.
[1:57] Nobody wins in our current legal system
[6:04] Get the latest properties available from Jason through the PropertyCast
[7:38] Drew's experience self managing
Adam Schroeder Interview:
[13:32] You should have a clause in the lease stating which repairs the tenant is responsible for
[17:58] What to expect from property management software
[22:01] The importance of an increasing late fee
Wed, 1 August 2018
CW 1034 - Client Case Study: Preparing for Self Management with Adam Schroeder, Part 1 & Why You Should Like a Good Recession
Returning guest Adam Schroeder joins Jason Hartman for this episode, as the two discuss the steps for transitioning from professional management of rental properties to self management. Adam and his wife have 3 (going on 4) properties and are thinking that the time is soon coming to venture out on their own. But before doing that there are some important things to do like what information to get from your property manager, what kind of initial contact to have with the current tenant, finding forms and contracts when you're finding/reupping tenants, pet rent, and more.
[3:36] Why Jason loves a good recession
[8:29] Jason's been involved in around 10,000 real estate transactions
[13:08] Sometimes removing a property manager actually makes things easier
[16:27] The information you need to get from your current property manager if you're going to make a switch
[21:26] A way to change your relationship with your property manager rather than completely ending it
[24:09] Bad property manager reviews on sites like Yelp might be a good thing, that's why you have to read them
[29:23] Insurance: individual policies or a commercial policy?
Mon, 30 July 2018
CW 1033 - European Socialism Disaster, Debunking Utopia & Scandinavian Unexceptionalism with Dr Nima Sanandaji, Part 2
Jason Hartman starts today's episode from Germany, on his way back to the land of capitalism, and he couldn't be happier. After nearly a month in Europe seeing the effects of socialism, Jason's ready to get back to the land where people are more motivated and innovation is more apparent. When governments get involved in picking the winners and losers, nothing good comes out of it, and Jason wants to see America avoid the fate of Europe.
Then Jason finishes his interview with Dr. Nima Sanandaji, originally begun in episode 1028. The two wrap up the interview discussing where the ideas for Adam Smith's "Invisible Hand" really came from, how the Nordic society actually ended up being socialist (and why it doesn't work in the places it's being tried now), and the dangers of government growth.
[2:48] Things in Europe are smaller and not as good of quality. We shouldn't become more like Europe, Europe should become more like the USA
[5:54] The government needs to get out of the business of picking winners and losers
Dr Nima Sanandaji Interview:
[8:20] Adam Smith's "Invisible hand" had been described in China and the Middle East thousands of years earlier
[11:36] Capitalism: the most successful "religion" of all time?
[14:56] The poor immigrants who left the Nordics for America have descendants that are much better off than those who stayed
[18:55] Governments can't shrink down. Once they bloat they collapse under their own weight
[21:57] The Western world needs to learn from history and go back to free market economic policies with minimal government
Fri, 27 July 2018
CW 1032 FBF – What Central Banks Do To Real Estate Investors & Aligning Investments With The Fed, The Creature From Jekyll Island
Today's Flash Back Friday comes from Episode 653, originally published in March 2016.
Jason’s mom will be attending the upcoming Venture Alliance Mastermind trip to Jekyll Island. She decided to prepare herself by reading the updated version of The Creature from Jekyll Island again. She and Jason review sections of the book and discuss the insanity which is the Federal Reserve and how the entity came to be. You are invited to join Jason and his mother on the Jekyll Island trip as a Venture Alliance member or as a guest. If you attend you will experience a piece of American financial history and possibly have your coffee disturbed by a famous hotel ghost.
[3:47] Jason’s mother’s assessment of the book “The Creature From Jekyll Island” and the history of the Federal Reserve.
[12:27] The ghosts of the Jekyll Island hotel do more than drink the guests coffee, they pick pockets too.
[18:28] Past podcasts guests, Chris Martenson and Bill Bonner agree, the Federal Reserve system is convoluted.
[22:38] We all easily pay 60% or more of our income to some sort of tax.
[32:36] Listeners must see the 99 Homes, The Big Short and Life and Debt documentaries.
[34:11] The government can tax people through taxes or inflation, which is the hidden tax.
[40:06] When you invest in income property you align yourself with the Federal Reserve.
Wed, 25 July 2018
CW 1031 - Increasing Time on Market, Increasing Inventory & Landlord/Tenant Relationships with Pat Parry
Jason Hartman talks with Patrick Parry, Orange County realtor & former investment counselor, about what signs Pat is seeing in the Orange County market that give him pause when it comes to the housing market. Days on market have escalated (some rather significantly) in every price bracket, and inventory continues to increase.
The two also discuss commercial real estate, and how it's a totally different game (with significantly less room for error) than residential real estate.
[5:17] Signs the housing market is cooling?
[7:29] Time on market has doubled as inventory increases
[13:42] The difference in the landlord/tenant relationship of residential vs commercial real estate
[18:58] Jason has been flat out lied to by commercial landlords
[21:14] You do not have protections in the commercial real estate world, you better have good lawyers and great research
[23:25] Commercial investors have a very high tolerance for loss due to vacancy
[29:07] The increase in home days on market based on sales price
[33:01] People are always looking in the rear view mirror when it comes to markets, except sellers, they're often banking on the greater fool theory when they price their wares
Mon, 23 July 2018
In today's intro Jason Hartman looks at a few signs in the real estate market that aren't so rosey, as well as adjusting the Brady Bunch house for inflation and seeing how real estate holds up against it (and why linear markets are the better bet for steady appreciation).
Then, in today's 10th episode, Jason talks with Dr. Robert Whaples, Professor and Chair in the Department of Economics, Wake Forest University and co-editor and managing editor of The Independent Review. The two discuss the current Pope's world view and the nature of the Catholic church today.
[2:21] Are there signs of upcoming trouble? There's definitely been a slow down in the higher end markets
[6:11] The Brady Bunch house is for sale, what's it selling for (and compared to what)?
[10:14] Linear markets give you more consistent appreciation than cyclical markets
Dr Robert Whaples Interview:
[14:17] What is Pope Francis' world view?
[18:42] How the economy is connected to the environment in the Pope's world view
[24:21] Do we need environmental regulations and taxes?
[26:08] Have we just exported our pollution?
[31:24] Where does the Catholic church come in on the uneven playing fields of markets and oligarchies