Creating Wealth Real Estate Investing with Jason Hartman (general)

Today's episode is all Jason Hartman, as he goes through several of the big (real estate) news stories of the day. First there's a new development at the US Department of Housing & Urban Development that could increase housing availability and reduce home values (at least in the short term).

Then listen in as Jason tells the current story of his commercial property refinance and all the bumps (and fees) that come with the arduous process.

Finally we get to the Fed and interest rates. Jason takes a look at some of the Fed's moves from the past, how they have changed their original charter, and what's happening with interest rates because of that.

Key Takeaways:

[3:17] There's a homelessness crisis in many cities around the country

[6:39] The Department of Housing and Urban Development is trying a new tact that may have a slight downward pressure on real estate values

[11:18] HUD is changing the way it determines how communities are enforcing the fair housing act, including relaxing zoning restrictions

[15:51] The adventure that is Jason's apartment re-finance

[21:03] Cyclical markets are cooling but linear markets are still booming

[26:02] The Fed was supposed to be control the quantity of money, but they morphed into being in charge of interest rates

[29:04] A basic reason to raise interest rates

Website:

www.JasonHartman.com/Properties

Profits in Paradise

Jason Hartman's Alexa News Briefing

The PropertyCast

Direct download: CW_1043_HUD_Refinance_Interest_Rates.mp3
Category:general -- posted at: 4:52pm EST

Jason Hartman starts today's show off back in the car with Carmen discussing some news he's seen recently. Inflation continues to creep up, apparently into the range that makes Central Banks happy, but Jason wants to know why we even have to see inflation, and explains what impact that will have. He also discusses the changes in America (and the history of marketing) that turned us into a consumer spending economy and the squeeze on American manufacturers currently happening.

Then Jason finishes his interview with Dr. Andy Krause, Principal Data Scientist at Greenfield Advisors and AVM Analytics, as the two wrap up their conversation about Automated Valuation Models (AVM). This time the two discuss the wide range of uses AVMs have, how they're going to be changing moving forward, and how short-term rentals are impacting housing markets across the country.

Key Takeaways:

[5:07] Inflation is rising into the range the Central Bank deems "healthy"

[8:39] America is the land built on consumer spending

[12:36] American manufacturers are running low on parts

Dr. Andy Krause, Part 2

[15:35] What the AVMs do outside of simply valuing individual homes

[17:56] The future of AVMs

[21:15] The effects of the short-term rental market on the overall housing market

Website:

www.GreenfieldAdvisors.com

www.AVMAnalytics.com

www.JasonHartman.com/Events

Jason Hartman's Alexa News Briefing

The PropertyCast

Direct download: CW_1042_Andy_Krause2.mp3
Category:general -- posted at: 12:46pm EST

Jason Hartman starts today's episode with Venture Alliance Member Carmen as the two discuss the possibility of "vacation saturation", what the change in repayment of Jason's loans might mean for the housing industry, as well as labor shortages being experienced in the housing sector.

Then we have part 1 of Jason's interview with Dr Andy Krause, Principal Data Scientist at Greenfield Advisors and AVM Analytics, about the state of automated valuation models (AVMs), the potential future for AVMs, how they work, and what practicalities are slowing their development down.

Key Takeaways:

[4:55] Reaching the point of vacation saturation

[10:05] An insiders sign on the direction of the market

[14:35] There is a massive labor shortage in construction and wages are going up

Dr. Andy Krause Interview:

[18:27] The biggest AVM people know about is Zillow

[19:28] The science (and accuracy) behind current AVMs

[22:22] 2 things that are stopping a database from happening that would significantly improve appraisals

[26:52] How does the AVM come up with a value?

Website:

www.GreenfieldAdvisors.com

www.AVMAnalytics.com

www.JasonHartman.com/Events

Jason Hartman's Alexa News Briefing

The PropertyCast

Direct download: CW_1041_Andy_Krause1.mp3
Category:general -- posted at: 8:28pm EST

Today's Flash Back Friday comes from Episode 490, originally published in March 2015.

On today's Creating Wealth introduction, Jason invites Memphis and Little Rock market specialist, Jeremy on to the call. Jeremy talks about his interest in physics and what's going on in these two real estate markets right now. Jason invites Peter Sage from Extreme Entrepreneur to be today's Creating Wealth guest. He is a serial entrepreneur who started his first business at 17. Fernando also joins as guest co-host with Jason and the two ask Peter a series of insightful questions. On the show, Peter shares insight as to why he had a drive to become an entrepreneur, how to find your passion, your why, and much, much more on today's episode. 

Key Takeaways:

2:30 – Jeremy talks about the double split experiment in physics. 

13:20 – What's currently going on in the Memphis and Little Rock market? 

18:30 – Jason introduces Peter Sage and Fernando on to the show. 

28:30 – Get in touch with what you're passionate about. Ask yourself questions about your life purpose. 

39:40 – Why is it that some people struggle to change and others don't? Peter explains. 

61:30 – How do we prevent ourselves from falling back into the same old routine? 

68:20 – Peter talks about his purpose and his why. 

73:20 – Peter talks about his space-based solar power energy project that he started. 

78:30 – Pharmaceutical companies are not interested in curing diseases, they only want to maintain them. This current medicine model has to change. 

 

Direct download: CW_1040_FBF_Peter_Sage.mp3
Category:general -- posted at: 3:57pm EST

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.

Key Takeaways:

[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

Website:

www.FamilyOffices.com

Direct download: CW_1039_Richard_Wilson2.mp3
Category:general -- posted at: 8:50pm EST

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.

Key Takeaways:

[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

Website:

www.FamilyOffices.com

The PropertyCast

Direct download: CW_1038_Richard_Wilson1.mp3
Category:general -- posted at: 3:00pm EST

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.

Key Takeaways:

[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

Website:

Debt: The First 5,000 Years

www.JasonHartman.com/Properties

The PropertyCast

Direct download: CW_1037_Debt.mp3
Category:general -- posted at: 6:46pm EST

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.

Key Takeaways:

Jason's Editorial:

[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

Mention:

JasonHartman.com

Venture Alliance Mastermind

Landlord Ologist

Cozy

Craigslist

Postlets

Circlepix

Click Notices

Direct download: CW_1036_FBF_Lucas_Hall.mp3
Category:general -- posted at: 5:24pm EST

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.

Key Takeaways:

[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

Website:

www.JasonHartman.com/Properties

www.FreeCourt.com

The PropertyCast

Direct download: CW_1035_Adam_Schroeder2.mp3
Category:general -- posted at: 4:55pm EST

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.

Key Takeaways:

[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?

Websites:

www.JasonHartman.com/Properties

www.WeGoLook.com

www.NoLo.com

www.RocketLawyer.com

www.Buildium.com

Direct download: CW_1034_Adam_Schroeder1.mp3
Category:general -- posted at: 5:38pm EST