Mon, 11 February 2019
CW 1127: 2019 Investment Outlook, Gentrification, Opportunity Zone Hype, NeighborhoodScout by Andrew Schiller
Jason Hartman talks with NeighborhoodScout's Founder & CEO, Andrew Schiller, about his company's predictions for the hottest appreciating markets in the US for 2019. Andrew lists the top 10 markets expected to appreciate as well as how to identify an area that's poised to make a turnaround.
[7:33] National numbers are all well and good, but they don't really matter near as much as local numbers
[9:03] Some of the hottest forecasted appreciation markets in 2019
[12:45] How big are Census Tracts and Micro Neighborhoods?
[17:05] What factors makes a neighborhood turn around?
[21:10] Property crimes are much less an impediment to property values as violent crime
[26:43] How do you use Neighborhood Scout to figure out if a neighborhood is turning around?
Fri, 8 February 2019
Today's Flash Back Friday comes from Episode 327, originally published in July 2013.
Jason Hartman is joined by Phil from Dallas who asks Jason about his journey of entrepreneurship. Jason gives his backstory, his path to success and how it was all made possible by living below his income (and making a very good income as a real estate agent while doing it). Phil and Jason also explain how the internet has impacted the entrepreneurship of Americans and one lesson Jason learned from his mother that helped shape his idea of business.
Thu, 7 February 2019
Jason Hartman takes today to discuss the glorious rental demographics that are sticking around from his prediction several years ago that the next 10 years will be great for landlords. Now he's pushing that prediction back for 10 years from now because the demographics are just so good still. With all the possibility out there, however, don't feel the need to rush after the shiny objects out there like "Opportunity Zones". Rather, take your time, do your homework, and make sure it's the right thing for you.
Then Jason talks to his in-house economist Thomas about the World Economic Forum in Davos and what came out of it. Thomas gives his predictions for the next 2-3 years, why some looming deflation might be a good thing, and whether we're in a 4th leg of the Industrial Revolution.
[3:24] The demographics of the rental housing market are nothing short of phenomenal for the next 10 years
[8:28] Hedgefund billionare Seth Claireman issued a dire warning at Davos
[18:37] Thomas sees some deflation coming up and doesn't think it'll be that bad
[22:39] Price discovery happens once we've put all the unused assets to work
[26:12] As long as GDP growth + Inflation is higher than the 10 year note, the economy is okay
[34:07] Are the next 5 years going to give us good or are they bringing bad?
[35:16] We're in the midst of the 4th industrial revolution and things are good
Wed, 6 February 2019
Jason Hartman has been in the Baton Rouge market before, but haven't been there for a while. Now, however, an old LMS is back with new, built-to-rent, construction that provides some solid return on investment. Jason talks to him about why he's back in Baton Rouge, what the new construction looks like, and the pervasiveness of institutional investors that drove him out of the Atlanta market.
Prior to the market profile, however, Jason talks about the concept of iterations, and why it's so important to not get discouraged over initial failure. You have to learn to constantly improve and always be searching for your advantage.
[2:26] The concept of iteration
[7:12] We need to stop believing we're going to get things right the first time we do them
[13:20] If you never have the hard times you can't appreciate the good
[15:18] Give your kids roots, but make sure you also give them wings
Baton Rouge LMS Interview:
[19:49] What kind of properties are being built in this round of inventory
[24:51] Every apartment complex is a build-to-rent deal, but single family build-to-rent is becoming a bigger and bigger market
[27:31] Institutional investors come in with massive amounts of capital that has to be deployed quickly, and it has led them to accept lower returns
[31:25] Are any of the new properties assisted housing?
Tue, 5 February 2019
Today Jason Hartman and Adam answer a listener question about Inflation Induced Debt Destruction, discuss the latest economic numbers that impact the housing market and why requiring things like affordable housing is a destructive practice for governments. Then Adam sits down with Joe the Lender for the February Mortgage Minute.
[6:21] Companies make a LOT of money off unredeemed items
[9:28] Listener Question: Seneca's question about Inflation Induced Debt Destruction
[17:05] The latest Consumer Confidence, Case-Shiller Index and New Home Sales numbers
[20:20] California is suing Huntington Beach for not having enough affordable housing
[24:26] February Mortgage Minute
[29:23] Mortgage starts for Joe were a little flat toward the end of the year but have been getting better this month
Mon, 4 February 2019
Jason Hartman and Adam take aim at where inflation is actually rearing its ugly head in today's world. The cost of goods is still cheap, but a lot of services are becoming more and more expensive by the day.
Then Jason answers a question from listener Fred about the number of single family homes you can own and why Jason diversified into multi-family and mobile home parks as well. Finally, Jason identifies the hardest part about owning each of the different types of real estate.
[4:16] Inflation in the SaaS world
[9:10] Inflation is hard to measure because goods are cheap, but services can be incredibly expensive
[12:56] Does your investment portfolio have termites?
[18:13] Listener Fred asks if there's limit to the number of single family homes that you can own without being overwhelmed., as well as why Jason also invests in multi-family and mobile home parks
[22:39] Diversify, BUT NOT TOO MUCH
[28:41] The hardest part about owning single family, multi-family and mobile home parks
Fri, 1 February 2019
Today's Flash Back Friday comes from Episode 327, originally published in July 2013.
Jason Hartman is joined by Michael who asks Jason the questions that listeners are asking. Jason explains what he would do if he were a brand new investor, some basics on self-management, a few property profiles, and the myth of higher returns on higher investments. That $5 million dollar multifamily complex isn't likely to outperform your single family rental.
Thu, 31 January 2019
CW 1120: Truthful Living: The First Writings of Napoleon Hill & The Little Red Book of Selling by Jeffrey Gitomer & Meet the Masters Speaker Announcements
Jason Hartman starts off the show with an important announcement about Meet the Masters of Income Property coming up in March. There are two new speakers signed and because of the announcement early bird pricing has been continued until Wednesday, when prices will go up again.
Then, Jason goes off topic with Jeffrey Gitomer, New York Times Best Selling Author of The Little Red Book of Selling and Truthful Living: The First Writings of Napoleon Hill, about some of the great mentors that the two have had in their lives which include Napoleon Hill and Earl Nightingale. They look at what history can teach us, the right way to approach sales, and the challenges we have to face to do the right thing in today's world.
[3:11] Meet the Masters Speaking Announcements: George Gilder & Tom Wheelwright
Jeffrey Gitomer Interview:
[12:30] The challenge to do the right thing in our society has never been at a higher level than it is today
[17:13] The 5 point rule
[22:34] The 7 Success Rules
[26:28] If you have the right service and attitude heart, sales will be easy
[32:41] If you want to learn something new, read a book that's 60 years old
Wed, 30 January 2019
Today's show is all about helping you grow your real estate portfolio as tax free as possible. When you are ready to sell one property and purchase other ones with the proceeds there's no need to pay capital gains taxes at that time when you have a vehicle like a 1031 exchange. Join Jason Hartman and Dino Champagne, Los Angeles Division Manager & VP at Asset Preservation Incorporated, as they discuss the strategies, the complexities and the savings that 1031s can provide.
[5:17] How a 1031 Exchange works
[7:51] Try and avoid a reverse exchange as best you can, because they can get real tricky and lendors aren't fans of them
[9:48] The 45 and 180 day timeframe of a 1031 exchange
[12:37] The 3 different ways you identify properties in a 1031 exchange
[14:59] How much money can a 1031 exchange actually save you and your heirs? It's pretty astounding
[20:18] 1031 exchange accomodators aren't highly regulated, which has led to some scams over the years. What questions do you need to ask when you're searching for one?
[24:19] Changes the new tax law has made on 1031 exchanges
[26:50] Are Opportunity Zones overhyped?
[32:23] With Opportunity Zone investing being so new, vetting the sponsor of the deal is more important than ever
Tue, 29 January 2019
Today's show features Jason Hartman and Adam answering listener questions about capital gains taxes, 1031 exchanges, and Jason's preferred method of diversifying across real estate markets. Should you buy one home per market or multiple homes in one before moving to the next?
Then Jason and Adam look at an article about Warren Buffett's investing principle and how we can use his outlook in our real estate investing.
[3:45] Listener Question: Is there any way, other than a 1031 exchange, to sell real estate and not pay capital gains tax?
[9:02] Listener Question: How quickly should you diversify across multiple markets?
[16:33] Can the government negotiate the best rates anywhere?
[22:01] The one word that Buffett and Gate would offer you is...FOCUS
[24:04] The 3 things Jason invests in
[28:03] Warren Buffett's theory on value investing and working with people you trust is very much how you should invest in real estate