Mon, 27 August 2018
Today's show features Jason Hartman discussing some of the main stories in the news today. The first story is one of the reasons Jason created Commandment #3 (Thou Shalt Maintain Control), the next is a potential sign of a market slowdown from none other than the scandal plagued Wells Fargo, then the potential return of risky loans. Finally we wrap it up with a story on how California might make it even more expensive to live there.
[2:09] Forgetting Commandment #3 can often be an expensive lesson and the biggest Ponzi scheme in the world
[6:52] Always think of opportunity cost when you have money sitting around
[12:20] A potential sign of a market slowdown from Wells Fargo
[16:49] The housing market is slowing from the top down and hasn't hit the type of homes that Jason's network sells
[20:44] Are banks starting to push risky loans?
[26:07] California is considering changes to Prop 13 and home requirements, which Jason believes would be devastating for real estate holders
Fri, 24 August 2018
CW 1047 FBF - Financing FAQs You Need to Know, Why the World Looks to U.S. Real Estate to Create Their Wealth
Today's Flash Back Friday comes from Episode 571, originally published in September 2015.
Welcome to episode 571 of Creating Wealth Real Estate Investing. If you’re here it’s because you’re interested in creating or growing your wealth through real estate investing. And today’s episode is the perfect vehicle to help you do that.
One of our experts, Joe, joins us to give the down and dirty details of what it takes to get the best financing deal and the specifications you need to qualify for up to 20 properties. We also talk about whether or not you need an attorney to close a loan, the differences between technical refinancing and cash out refinancing as well as how many months’ of reserves you need.
This is expert advice free of charge! And it’s all here on today’s episode of Creating Wealth Real Estate Investing.
Quick answers in the lightning round to all of the most important financing questions. We dig in and ask prudent questions of Joe our financing guru. If you are looking to create your wealth through real estate investments this is the episode for you. Down and dirty details of what it takes to get the best financing deal and the specifications you need to qualify for up to 20 properties. Expert advice free of charge!
[1:23] Lender Lightning Round show
[1:58] The great Facebook debate
[4:29] Commandment #3 - Thou shalt maintain control
[9:28] Ric Edelman’s - 10 great reasons to keep a long term mortgage and never pay it off
[11:07] The supply chain of financial advisors
[15:40] It’s an amazing time to be alive
[16:18] The Chinese Government makes it easier to buy overseas assets
[18:40] Newport Rhode Island trip for Venture Alliance members and guests
[21:30] Inflation induced debt destruction
[22:15] Financing 10 properties per spouse through Fannie Mae
[22:53] Down payments vary - 5% down reduces your rate
[23:43] Financing through an LLC
[24:24] 1 loan, 1 property with vanilla residential financing
[25:45] Multiple inquiries about your credit score can lower it over time
[27:00] A LLC needs different insurance
[27:47] Is a power of attorney be sufficient to close the loan
[28:29] An attorney is not needed to close the loan
[29:57] A 2 year landlord history - Fannie Mae no, Freddie Mac yes
[30:56] The minimum credit score is 620 for the first 4 properties, 720 for 5-10
[31:50] Cash out refinancing on investment properties
[33:05] You can always finance your primary residence but different guidelines may apply
[34:21] Lenders need 6 months of reserves
[35:37] Offsetting the mortgage payment based on possible rental income
[37:42] Rental income loss
[38:38] Technical refinance or delayed financing
[40:22] 100% replacement cost needed in homeowners insurance
[44:37] Do your due diligence but beware of multiple credit checks
Wed, 22 August 2018
Today's episode features Jason Hartman covering a wide range of issues. The topic of conversation ranges from the coming singularity, what it is, when we might see it, etc, then branches into more on the discussion about Automated Valuation Models (AVMs) and whether they're are the precursor to reckless valuations like we saw before the Great Recession.
Jason also looks at the unfortunate situation Venezuela finds them in, with both rampant inflation and a natural disaster on top of it creating serious issues for the citizens of the nation.
And finally Jason listens to some of his favorite investigative journalists work as he discusses why investigative jouralism is important and how it is connected to his 3 guiding principles.
[3:07] The approaching singularity
[7:47] The database Jason was wondering about in relation to Automated Valuation Models exists with Fannie Mae/Freddie Mac
[10:05] Appraisers are a dying industry because the older ones are retiring and the hoops new appraisers have to jump through are hindering new hires
[11:45] Will AVMs cause reckless valuations to return?
[14:11] The IMF has announced that inflation in Venezuela this year alone has been 1,000,000%
[17:07] Asset price inflation is not a part of the inflation index in the USA, which is a big deal
[22:17] The 2 major problems of the humble single family home
[26:11] Investigative journalisms ties to Jason's principles of how you can't hear the dogs that don't bark, compared to what, and what gets rewarded get repeated
Mon, 20 August 2018
Jason Hartman welcomes his mom back to the show to discuss self managing properties and how to find the best deals when you have to make repairs. The two also talk about what kinds of addendum she's adding to leases recently, rising rents, job numbers and more.
[2:12] Small business confidence at 35 year high
[5:38] Job numbers are not showing an impact from the trade wars
[8:14] There's legitimate wage growth for the first time in 4 decades, which is great for all Americans (and our economy)
[10:33] Jason's mom has been able to raise 4 of her tenants rent by $100 a month
[13:03] Have tenants have changed over the years?
[16:10] How his mom gets good deals and aligns the tenants interest with her own
[20:12] "You get what you pay for" is not true for much (if anything) in life
[24:14] The kinds of clauses Jason's mom is putting in her leases to protect herself from unruly tenants
[29:24] How to build a great relationship with your tenants
Fri, 17 August 2018
Today's Flash Back Friday comes from Episode 568, originally published in September 2015.
The sharing economy will certainly change the game in the manufacturing sector but we do not yet know what affect it will have. Considering the normal adaptation lag time and the conversion nuances of each new innovation real estate investors must watch closely as the upcoming game changers come to fruition. Major economic indicators such as unemployment rates and the housing market will be closely monitored. Real estate investing may be entirely different than it is today.
[2:01] How real estate investors can design their portfolios in the current govt. environment
[3:24] 3 Cardinal rules of real estate - Location, location, location
[3:57] What is the labor content fallacy or the zero sum game
[5:11] Proving Supply side economics or trickle down economics
[6:25] Looking at economics by way of technology
[8:09] The self driving cars will hurt high value land owners
[9:06] An audio clip about self driving cars
[10:41] Automotive Industry experts expect an 8 year replacement cycle
[11:28] The average car is used only 4% of the time
[12:45] How will autonomous driving services affect the auto industry
[14:38] A game changer for real estate
[15:33] Naresh is skeptical about the dates
[18:00] The typical city or town is 40% parking
[19:11] Will people need to get in a car and go to work
[21:36] A safety app
[22:34] Will there be high unemployment or will technology fill in the gaps
[25:21] Digital goods basically exhibit a zero cost of production
[28:01] Real estate investors normally don’t consider what the future may hold
[29:25] Jason’s private mastermind group, Venture Alliance’s Newport Rhode Island trip
Wed, 15 August 2018
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.
[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
Tue, 14 August 2018
CW 1042 - Rising Inflation, the Future of AVMs & Impact of Short-Term Rentals with Dr Andy Krause, Part 2
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.
[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
Mon, 13 August 2018
CW 1041 - Insider Sign for Housing Market, Labor Shortages & Science Behind Automated Valuation Models with Dr Andy Krause, Part 1
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.
[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?
Fri, 10 August 2018
CW 1040 FBF - Peter Sage, Money is No Obstacle When You Follow Your Passion with Extreme Entrepreneur
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.
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.
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
Fri, 20 July 2018
Today's Flash Back Friday comes from Episode 665, originally published in April 2016.
Just last year Greg Saylor was a corporate software engineer looking for a reliable investment strategy. He found the Creating Wealth podcast and listened during his long commute. He decided to pick up the phone and call one of Jason’s investment specialists. It’s now six months later and Greg has six income properties earning him $4000.00 in monthly income. His due diligence partnered with the extensive data resources available on JasonHartman.com have allowed him to get a step closer to financial freedom.
[4:01] What is your motivator? Do you expend more energy to conserve than to gain?
[12:39] Hartman Education is having a big 2-week sale!
Greg Saylor Guest Interview:
[18:57] Was it the Creating Wealth podcast that got Greg interested in real estate investing?
[26:29] The acquiring of the properties had the most components, everything else is pretty straightforward.
[27:49] Greg shares the details his first income property deal including the flaws.
[35:53] A certain percentage of risk is acceptable as long as you have a solid portfolio.
[40:06] Property taxes are one factor which is that varies greatly from market to market.
[45:18] Some rules for new investors to follow are to plan for additional expenses, be conservative on your numbers and have a reserve fund.
[48:07] The debt to income ratio is an important factor in financing.
Wed, 18 July 2018
Jason Hartman starts today's episode from Naples, discussing how, despite what you may think, the demise of America is greatly overstated when you start asking the question "Compared to what?". He also brings a morsel of hope to real estate investors, as housing inventory is showing signs of increasing and home owner equity is at an all time high (but fewer owners than ever are stripping that equity).
Then, in part 1 of the interview, Jason talks with Dr Nima Sanandaji, author of the new book The Birthplace of Capitalism - The Middle East, about how capitalism originally began in what is now Iran and Syria, and how the golden age of the Middle East was during the times of capitalism.
[1:46] Think the US is in decline? Well, compared to what? Because Europe isn't doing that great either
[7:41] Keep everything in perspective when you think your problems are huge
[13:00] Inventory could increase a bit in the near future
[16:03] Home owners have an estimated $5.8 trillion in accessible home equity, but fewer are taking cash than in previous eras
Dr Nima Sanandaji Interview:
[19:16] Birthplace of capitalism (the original form) was in what is now Iraq and Syria
[22:36] The golden ages of human civilization in China and India was driven by capitalism
[26:33] The ancient Persians were very free market oriented
[29:52] The irrigation for the Middle East was paid for by farm collectives, not the government, spurred on by strong private property rights
[33:27] Cyrus the Great believed the government's only role was to maintain private property and voluntary contract
Mon, 16 July 2018
Jason Hartman is joined by Venture Alliance member Carmen today in Naples, as the two discuss the importance of music on society (and why it might be more important than monetary control), why complaining is actually important, and some good book recommendations for those interested in learning more about the economy and real estate.
Jason also explores the current single family rental demand and what the demographics are looking like for the next 10 years.
[2:50] North Korea is sitting on $6 trillion of mineral assets
[8:07] Give Jason control of the music and he cares not who controls the money or makes the laws
[11:46] You have to be a complainer when people wrong you
[15:31] Some good books Jason recommends
[20:44] No place on Earth or time in history has big, intrusive, high tax, government burden made life better for citizens
[25:02] Single family demand: 57% of renters are renting single family houses
Fri, 13 July 2018
CW 1026 FBF - The Empowered Investor, Automated Self-Management Technology from Key Please Divyesh Panchal
Today's Flash Back Friday comes from Episode 785, originally published in January 2017.
During today’s episode, Jason shares his appreciation for the ability to self-manage rental properties and the dis-intermediation of single family home sales. The Chief Product Officer for Key Please, Adam Lorentzen joins Jason to describe the sought after service of landlord free, self-showings of rental properties. The Key Please business model focuses on automating the self-management process for owners as well as making the process as easy as possible for renters.
[1:34] Self-managing a property from a distance is possible
[4:16] Wall Street Journal article “Blackstone Wins Fannie’s Backing for Rental Home Debt”
[7:20] President Trump has a lot of energy and will be good for the American economy
[11:21] We will soon see the easing of landlord problems
Adam Lorentzen Guest Interview
[16:05] Key Please helps owners automatically self-manage their properties with 3 tools
[21:33] Adam is surprised by the number of users embracing the Key Please service
[23:42] Adam describes the process for the renter and the property owner
[29:10] The simple hardware has a deeper level of security than wifi or cell-based systems
[31:56] People who view the properties can provide anonymous feedback
[33:20] This service is for property owners who want flexibility in how they manage their properties
[36:51] Key Please wants to assist small property owners and renters in the near future
Wed, 11 July 2018
CW 1025 - Doing Capitalism in the Innovation Economy, Reconfiguring the Three-Player Game between Markets, Speculators & the State with Bill Janeway
Jason Hartman starts off the show from Croatia discussing the difference in investing when there are private companies involved versus when the government is involved. With private companies you know what you're going to get, they're going to follow supply & demand and try to maximize profits. With governments, however, they're much more of a wild card, which can make successfully investing more difficult.
Then Jason talks with Bill Janeway, an active venture capitalist, director of Magnet Systems and O'Reilly Media, Chairman of the Board of Trustees of Cambridge in America, and author of the recently revised and updated book Doing Capitalism in the Innovation Economy. The two discuss the 3 player game and the government's role on both the supply and demand side of the market, the digital revolution and the coming green revolution.
[2:53] You can predict what private companies will do pretty easily, the government is a wild card
[6:39] An invitation to Profits in Paradise in Hawaii
Bill Janeway Interview:
[9:32] How the thesis of the 3 player game came about
[13:29] There are markets that need government pushing the supply side of things for driving innovation, but sometimes the government even needs to be on the demand side, adding income to support the economy
[17:22] If the government hadn't jumped in on the demand side in the 2009 recession history has shown us what would have happened
[19:26] Wherever there's a market for assets there will be bubbles
[25:10] Why the digital revolution made Bill extend his book
[32:09] We've got a new challenge, a new technological revolution, which is the need for a new, green revolution
Mon, 9 July 2018
Jason Hartman does episode 1024 from the bow of a yacht outside of Croatia with Venture Alliance member Carmen. The two discuss inflation's impact on everything from our savings to our real estate, how to deal with trolls in business (and the lawsuits that inevitably follow), and the need for a side hustle.
In the second half of the show Carmen and Jason discuss her Amazon business, which includes how Carmen sources product, the trials of selling on Amazon, and how your business should evolve over time to stay relevant.
[6:13] Inflation destroys the value of our savings, but thankfully it also destroys our (real estate) debt too
[9:41] Technology is making office and retail real estate almost irrelevant
[12:44] Why Jason let someone not pay him on a note for 11 years
[16:10] Are patents even worth it these days with the speed of the world?
[20:58] Life is messy, it's how you handle it that's important. Stay away from the get rich quick stuff.
[25:15] Get a side hustle if for no other reason than to have more tax writeofffs
[31:28] You have to evolve with your business
[36:41] Outlets like Amazon have allowed control of the marketplace to leave board rooms and let individuals call the shots
Fri, 6 July 2018
CW 1023 FBF - Patrick Donohoe - What's NEXT for REI & The Economy, Perpetual Wealth, Infinite Banking & More
Today's Flash Back Friday comes from Episode 783, originally published in January 2017.
Jason’s guest, Patrick Donohoe is the CEO of Paradigm Life. Paradigm Life is an insurance-based financial services company. Patrick shares his thoughts on the recent political changes and how the U.S. economy will be affected, he shares his thoughts on the new administration with a high-level worldview and he recalls his recent experience at the Meet the Masters of Income Property event in California.
[3:05] The caliber of people at the Meet the Masters of Income Property event was a high point
[5:52] Foxconn will bring manufacturing back to the U.S. due to Trump’s business savvy
[12:28] Patrick doesn’t believe charity to foreign nations is in the best interest of the U.S.
[16:23] It will be fascinating to see how Trump deals with the past, present and future
[20:49] Trump will inject adrenaline into the U.S. economy
[23:50] Paradigm Life is an insurance-based financial services company
[28:18] A stock market rally is a short-lived business cycle
[30:51] Patrick describes how he makes the right investment and performs due diligence when acquiring properties.
Wed, 4 July 2018
Jason Hartman takes a turn to the listener mailbag while talking with Kerry Lutz, founder of the Financial Survival Network. Today's topics run the gamut from when to rent your personal residence, how RV ratios work around the world, how to work with Jason, and how to get OUT of the real estate game as you get older.
[2:41] Why Jason has long believed the idea of public unions is ridiculous
[6:27] The stigma between renters and home owners seems to be disappearing, if not already completely gone
[9:54] Mason's question on renting his primary residence
[18:42] RV Ratios apply world wide
[19:23] How is depreciation unwound?
[24:58] Is it wise to put 100% down on a property if you have the cash?
Mon, 2 July 2018
CW 1021 - Prepare for the Next Recession, Strategic Defaults, Leveraging Debt Properly with Kerry Lutz
Jason Hartman spends the episode talking with Kerry Lutz, founder of the Financial Survival Network, as the two discuss the ever important issue of preparing for the NEXT recession (because we all know there's going to be one eventually). The two discuss the importance of using debt prudently, how the banks were active participants in the mortgage meltdown, how to find true asset prices, and more.
[7:45] Planning for the next recession
[13:06] We are in a boom economy, so what do we need to be reminded to watch out for?
[16:59] Check your home insurance renewals carefully
[24:13] Debt is your friend, and if managed properly it always offers options
[28:24] The banks are active participants, not victims, in these mortgage meltdowns and recessions
[34:21] If the lending dried up in any asset class the price would adjust to the real market value
Fri, 29 June 2018
CW 1020 FBF - The Four Purposes of Life, Finding Meaning & Direction in a Changing World & Way of the Peaceful Warrior, A Book That Changes Lives
Today's Flash Back Friday comes from Episode 640, originally published in February 2016.
Jason starts things off with his thoughts on cycles of opportunity, autonomous cars, and information about how you can win free tickets to the next JHU event. The JHU event will highlight how to evaluate properties for the most historically proven asset class in the world. And returning guest, Dan Millman who is the author of 17 books, talks about his new book “The Four Purposes of Life”. He shares his special life calculator which utilizes the numbers from your birth date to enlighten you about your life path. This information can help guide you on your journey.
[4:32] The opportunity cycle when supply exceeds demand requires sorting
[10:00] The autonomous cars will be virtually everywhere, it’s a game changer
[14:45] The problem with statistics
[18:57] Land contract options available
[21:15] Evaluating properties at the next Jason Hartman University Live event
Dan Millman Guest Interview:
[24:25] Writing The Four Purposes of Life
[26:29] What are the Four Purposes of Life?
[28:56] Purpose #4 - Attend to the arising moment
[34:15] Increase your quality of presence
[35:55] Purpose #1 - Learn the lessons of life a little more gracefully
[39:51] Purpose #2 - The difference between your career and your calling
[43:04] Purpose #3 - Discover life’s path
[47:45] All of my books have their own purpose
[48:25] 12 required courses in the school of life
Wed, 27 June 2018
CW 1019 - Leveling the Tax Playing Field, Inflation vs Technology, Popular (Stupid) Economic Ideas, Improve Your Quality of Living
Jason Hartman has a solo episode today as he explores some recent news stories and examines a few items of the day. Venturing all over the topics, Jason mulls over why it's pretty common for the most popular economists to have the worst economic ideas (a la Karl Marx) and why the best economic ideas have the most disliked economists. Which leads to the question, what stupid ideas are we as a society embracing today?
He also discusses the Supreme Court ruling that will somewhat level the field of retail as online retailers are now able to be taxed by the states, giving at least some form of a light at the end of the tunnel for retailers.
Other topics of the day include the cost of terrorist protection, technology vs inflation, preventing identity theft, and the potential beginning of the demise of a massively overvalued (in Jason's mind) company.
[4:54] The economists who present the best economic views are not the most popular
[7:39] What totally stupid ideas are we embracing as a society today?
[13:08] One massively overvalued publicly traded company today
[16:39] The tax field was significantly leveled last week
[21:14] The battling forces of inflation and technology
[24:22] Why you need to shred EVERYTHING with a cross cut shredder
[26:45] If you can geoarbitrage, make a conscious choice to live in a higher quality location with a lower cost of living and low or no state income tax
[32:57] The demographics coming at the rental housing market in the next 10 years are nothing short of phenomenal
Mon, 25 June 2018
Today's episode is all about jobs. Jobs that are vanishing to be precise. Jason Hartman takes a look at a Business Insider article that discusses 41 jobs that are disappearing in today's world. Not surprising, many of them involve middle men/women.
Then Jason finishes his interview with Ben Way, CEO of Digits, about how technology (robots in particular) will be changing the way we think of things throughout our society, from dating to working, to risk aversion. Information is more available than ever before, is that actually holding us back?
[3:47] Real estate investing is really just investing in packaged commodities
[8:31] One of the jobs that is going away is Executive Secretaries and Executive Admin Assistants, and why it matters to real estate investors
[13:09] Technology makes it easy to disintermediate, leading to middle man jobs going away
Ben Way, Part 2
[18:59] How do the logistics and hard drives of robots work?
[22:10] The plethora of information is making kids more risk averse
[25:51] The two things we get wrong when it comes to education
Fri, 22 June 2018
CW 1017 FBF – Why Income Property is the Most Tax-Favored Asset Class with Diane Kennedy, CPA & NY Times Best-Selling Author
Today's Flash Back Friday comes from Episode 491, originally published in March 2015.
Jason invites Diane Kennedy on the show to talk about taxes and how to save you money. Diane is an experienced CPA and helps her clients all over the world with their taxes, accounting, and investing. The main subject of today's focus is why you should get real estate professional status, the benefits it provides, and what you need to do in order to qualify.
2:40 – The government takes a big cut whenever you sell stocks and precious metals, but that doesn't happen with income property
7:40 – Diane explains what the charitable remainder trust is
13:05 – There are three tests you need to qualify in order to get the real estate professional status
20:00 – What is the an aggregation election? Jason explains
29:50 – If you have a property manager, it's going to be hard for you to qualify. It is best in this case to self-manage your properties
34:15 – This stuff is complicated! Get advise from a good CPA and attorney before it's too late
36:00 – Why do you even want to get real estate professional status? Jason breaks it down
42:30 – The government wants you to own property. They are even incentivizing you for it
Wed, 20 June 2018
CW 1016 - Danger of Short-Term Trends, Turn Your Credit Card Into a Cryptocard, & Future of Artificial Intelligence with Digits Ben Way, Part 1
Jason Hartman starts off the show by discussing alligators, both real life ones and real estate ones, and how we need to avoid both. As we go through life, it's easy to look back and say "If only I'd invested then", so the current you should invest for the sake of future you.
Then, Jason talks with Ben Way, CEO of Digits, about how the future is going to look in the first part of their interview. The two start off discussing how Digits is going about turning regular credit cards into Cryptocards that allow you to spend your cryptocurrency but also hedge that purchase for a year. Then the two discuss the changes that automation is going to bring to our society.
[2:07] A trivia fact about real alligators, and avoiding real estate alligators
[5:07] The short term trends are what gets people, because you have to allow for 2-3 years
[10:19] Naresh's realization that real estate was a worthy investment
[14:11] Invest for your future because there will be a time that you will say "I wish I'd started back then"
Ben Way Interview, Part 1
[18:40] How Digits converts your existing credit cards into crypto cards and gives you up to a 1 year hedge on your currency
[21:55] How the 1 year hedge is made possible
[26:10] Every innovation leads people to fear that everyone was going to lose their job and be displaced, but it's never really happened. Is this time different?
[29:42] What people forget about automation
Mon, 18 June 2018
CW 1015 - Suburb Revival, Lack of Home Inventory, Triggers for the Next Business Cycle Recession & Boomerang Buyers with Matthew Gardner, Part 2
Jason Hartman begins today talking about a recent article on Globe St that discussed the 7 ways Generation Z will impact the commercial real estate world. Jason also discusses how it also impacts residential real estate.
Then Jason finishes his interview with Matthew Gardner, Chief Economist at Windermere Real Estate. The two discuss the lack of home inventory and why the loosening of credit regulations isn't going to impact home sales as much as some are hoping. Then they also delve into millennials trying to afford homes and WHERE they can actually afford to live.
[3:58] Education is the shortest distance between poverty and wealth
[6:56] Generation Z is going to bring the suburbs back
[12:27] What the shift back to suburbs will do to companies
Matthew Gardner Interview:
[16:58] It's taking a credit score of 740 to get a mortgage loan these days, but even if more people become eligible there's no inventory
[20:09] Factors that could trigger the next business cycle recession and what the next recession might look like
[24:27] Who are the "Boomerang Buyers" and how might they impact the single family rental rate growth?
[24:18] Millennials are having a hard time saving up for a down payment and are asking for a loan from the bank of Mom & Dad
[27:04] Milennials want to live in the "exurbs" in townhomes, but home prices are pushing them out further
Fri, 15 June 2018
Today's Flash Back Friday comes from Episode 692, originally published in June 2016.
This episode starts out with an introduction on buy downs and then finishes up with a live recording of Jason’s session on SWOT aka Strengths, Weaknesses, Opportunities, and Threats, as they apply to the most historically proven asset class in the world. Jason explains why the imperfection and fragmentation of the U.S. real estate market make it a beneficial investment vehicle and why it outperforms Wall Street and stocks every single time.
[2:50] What is a buy down?
[8:34] Looking at a real life example of points and how they affect your loan amount.
[16:07] Should you buy a rate down or is it better to put more money down?
[22:59] Why Wimpy from Popeye was a fantastic economic teacher.
[25:38] Real estate is a fragmented investment class but this is why it’s a good thing.
[38:59] Weaknesses of income property include property management and rent collection.
[41:45] Regression to replacement cost is different than appreciation.
[46:10] What are some threats to income property values?
Wed, 13 June 2018
CW 1013 - Facebook Data Mining, New Home Development, Regulatory Impact on Home Prices & Millennials Trying to Buy Homes with Matthew Gardner
Jason Hartman starts off the show giving President Trump credit where credit is due, and that's in regards to the summit in Singapore with North Korea. Trump has been able to get them to the negotiating table, which no other US president has been able to accomplish. Then, Jason gives a little warning about one of the scariest companies in the world today, Facebook.
In the interview portion today we have the first half of Jason's interview with Matthew Gardner, Chief Economist at Windermere Real Estate. The two discuss what's going on in the macro US economy, what's going on with home inventory levels, some of the easiest ways to lower home prices, and the Millennial's (mostly futile) quest to save up for a down payment. Part 2 of the interview will air tomorrow.
[2:31] Give credit where it's due, Trump got the meeting with North Korea, that's historic
[8:45] All the (scary) ways Facebook is gathering your data
Matthew Gardner Interview:
[13:42] What's Matthew's take on what's going on in the macroeconomy
[16:30] What's going on with new home development? Will there be any break in inventory shortgage?
[20:43] The easiest way to lower home costs and ease the inventory crisis is by easing regulatory burdens
[24:18] Millenials are having a hard time saving up for a down payment and are asking for a loan from the bank of Mom & Dad
[27:04] Milennials want to live in the "exurbs" in townhomes, but home prices are pushing them out further
Mon, 11 June 2018
In today's episode, Jason Hartman is joined once again by Financial Survival Network's Kerry Lutz. The two discuss some important news coming out of Washington these days, and that's the continued dismantling of the Dodd-Frank Act. As you know, Jason has long believed that the election of Trump would lead to this, and now it appears to be picking up steam as Obama holdovers are being replaced by Trump's people.
Jason & Kerry also turn their attention to the importance of protecting yourself from identity theft, as identity theft recently left one woman in jail for 7 weeks until she could prove herself innocent.
[4:45] Big data still gets confused
[5:49] How can you protect yourself from identity threats?
[9:03] Your phone is probably your biggest threat for identity theft
[13:15] There are some things you HAVE to know if you're going to self-manage
[15:57] The latest news on Dodd-Frank
[20:42] Changes are taking place under Trump's new appointment Mulvaney
[22:22] Why these changes are good and bad for real estate investors
Fri, 8 June 2018
Today's Flash Back Friday comes from Episode 746, originally published in November 2016.
This episode focuses on the opportunities which exist when self-managing an income property. First, Jason reviews a Business Insider article regarding dwindling investment property inventories. And later in the podcast, Jason is joined by Bill, who helps manage Fernando's Atlanta and Texas properties. Bill discusses the steps necessary when self-managing income properties. He shares how to show a property using software tools, leasing a property to a new tenant and how to have tenants facilitate repairs and maintenance issues.
[3:00] Unpacking the Business Insider Article: Pending Home Sales Jump Despite Painfully Tight Housing Market by Bob Bryan.
[4:08] If you are on the fence about increasing your income property portfolio do it in hybrid markets.
[7:29] Real estate is a game of staying power.
[18:00] The ways Jason is working to empower his investors and arm with them with exceptional management tools.
[19:26] Bill’s work history makes him uniquely qualified to handle Fernando’s property management requirements.
[22:51] How to use Rently lockboxes when self-managing properties.
[27:14] Making a property rent-ready and contacting contractors through handiman websites.
[28:56] Tenants have a vested interest when working with contractors to fix or maintain properties.
[31:53] When a property is self-managed tenants to take more responsibility for the property.
[35:42] Property Management Software does most of the back-office work for you.
[37:12] What is required when leasing a property to a tenant?
Mentioned in This Episode:
Wed, 6 June 2018
CW 1010 - Setting Up Your Mini-Family Office & Turbocharge Your Focus, Secrets of the ADHD Brain with Peter Shankman
Jason Hartman takes some time before this 10th episode interview to discuss the concept of the mini-family office and how you can incorporate VAs (virtual assistants) into the mix. Jason provides a litany of websites where you can find VAs, as well as an insight into what characteristics you need to be looking for. Then there's the monetary side of it: does it make financial sense to hire a VA to do this? Well, you can use the Hartman Property Management Metric to figure that out.
Then Jason talks with Peter Shankman, author of Faster Than Normal: Turbocharge Your Focus, Productivity, and Success with the Secrets of the ADHD Brain, about how people with ADHD can use it to their advantage, what actions people need to take in order to be successful in their ventures, how to figure out what your audience wants, and when to ignore your audience.
[4:32] Using VAs to help with your mini-family office
[9:28] The type of VA you need to be looking for to help you with your family office
[11:17] The Hartman Metric is 1 hour per month per property to manage
[13:52] The urban legend of the 3am phone call
Peter Shankman Interview:
[19:35] How is ADHD a benefit?
[22:01] It's important to set up your life in a way that doesn't allow you to get derailed, and the 4 undeniable ADHD life rules
[25:05] You can lead the life you want, you just have to be willing to make the trade offs
[29:13] Your audience will tell you what they want and where they are, if you're willing to listen
[31:08] The only time you want to ignore what your audience is saying they want is when you're a part of a big market disruptor
Mon, 4 June 2018
CW 1009 - Financial Repression, Tax Refugees, & What the Media is Missing About Trump with Kerry Lutz
Jason Hartman talks with Financial Survival Network's founder Kerry Lutz for the whole episode today, as the two discuss the very important concept of financial repression. While financial repression is bad for individuals, it can be very lucrative for people who have invested in real estate properly in their younger years.
The two also discuss the current phenomenon of "tax refugees" being created by states like California, and where these refugees are fleeing too, as well as when they expect any economic pullback to happen and what Trump is doing that the mainstream media isn't paying attention to.
[5:53] Make sure you get a home inspection and make sure you actually read it and learn the language
[9:11] What is financial repression?
[12:59] Financial repression is a great opportunity for those who invest in real estate
[16:35] Tracking the "tax refugees" leaving California
[23:06] What kind of economic outlooks has Kerry been hearing from the guests on the Financial Survival Network?
[27:04] The mainstream media is missing the fact that Trump is now making large chunks of the government irrelevant
Fri, 1 June 2018
CW 1008 FBF - Refi Or 2 For 1 On Highly Appreciated Properties To Buy In Linear Markets – Client Case Study With Brian
Today's Flash Back Friday comes from Episode 734, originally published in October 2016.
Jason’s guest, Brian is a client and a longtime Creating Wealth Podcast listener. Brian describes his early days of real estate investing when Sara initially walked him through the buying process. The properties he purchased in Atlanta and Memphis have now matured and Brian is faced with making a decision. Should he refi-til-ya-die or to do a 1031 exchange and get 2 for 1 on his highly appreciated properties. Jason shares his insights on best business practices, how to use an IRA as a tax savings vehicle and recommends some “must read” books on real estate investing.
[1:57] Brian read Rich Dad, Poor Dad in high school which led him to the Creating Wealth podcast.
[3:19] Brian was pleased with the support he received from Sara and the Local Market Specialists.
[6:14] Is refi-til-ya-die always the best option or does the 2 for 1 plan make better financial sense on highly appreciated properties?
[9:55] The 2 for 1 exchange gives the owner all of the equity to reinvest. The refi-til-ya-die option is limited to the cash-out loan to value ratio.
[11:10] A refi may be a simpler option and offers a locked-in lower interest rate.
[13:38] Brian shares his real estate investor stories on his website Rental Mindset.
[14:59] When buying real estate inside of an IRA you get a tax efficient vehicle inside of another tax efficient vehicle.
[15:41] Read Garrett Sutton’s Loopholes of Real Estate.
[16:59] Rationalizing buying a property sight unseen.
Mentioned in This Episode:
Wed, 30 May 2018
From the studios of the Financial Survival Network, Jason Hartman and Kerry Lutz get together for this episode to discuss the softening of Dodd-Frank, changes in protections for renters in some markets of the US that are making it harder for landlords, potential uses for Blockchain that could significantly impact the way people invest, and some key economic lessons you have to teach your children.
[5:49] Jason went and got stretched today, and it was quite the experience
[7:07] The FBI says you need to reboot your router ASAP
[8:45] The counter intuitive concept that is slowing home sales in the US
[11:58] If you can trade tokens instead of stocks the transaction fees can be sliced immensely
[15:23] The biggest commitment in precious metals to blockchain
[21:31] Jason & Kerry's thoughts on the changes to Dodd-Frank
[25:58] The #1 thing you need to teach your kids about economics: money always goes where it's treated best
[29:24] The Meet the Masters audio product is now available at HartmanEducation.com
Mon, 28 May 2018
CW 1006 - Up-Level Your Life & The Libertarian Chick Kristin Tate's Field Guide to the Great American Rip-Off
Jason Hartman starts off today's show on the heels of his weekend with the Venture Alliance Mastermind in New York. In the car with two attendees, Jason discusses why it's important to improve the level of conversation in your life and why this weekend was useful.
Then Jason talks to The Libertarian Chick, Kristin Tate, about the hidden taxes we all pay in our life, and how to do something about that. Kristin explains that often the taxes that we're paying are not being used for the purpose that you would assume they would be.
[4:25] Try to up-level your conversations
[8:57] Come join Jason for a tropical vacation in November
Kristin Tate Interview:
[10:34] Are millenials just not paying attention to fiscal policies?
[12:33] We are being taxed EVERYWHERE, even when we don't see it
[15:43] Where some of your tax money is going probably isn't where you expect
[20:42] The debauchery tax & unintended consequences
[24:20] Awareness is step 1, what's step 2?
[27:50] The smaller the municipality the easier it is to get rid of the tax
[33:00] How did Kristin get into this line of work?
Fri, 25 May 2018
Today's Flash Back Friday comes from Episode 749, originally published in November 2016.
Jason and guest Gary Pinkerton breakdown the article, 27 Charts That Will Change How You Think About the American Economy. Each chart represents changes in the US economy related to productivity, demographics or inflation. Highlights of the discussion include the possibility for people to work well past the current social security mandated retirement age, the lopsided amount of service jobs as compared to labor jobs and the real opportunity which exist for real estate investors based on the percentage of Americans with a sizable nest egg.
[1:14] Phenomenal opportunities await real estate and income property investors.
[5:15] A Gobankingrates survey illustrates the crisis at hand showing 62% of the US population has less than $1000.00 as savings.
[9:46] Join us for the upcoming Venture Alliance Mastermind in Phoenix.
Gary Pinkerton Guest Interview:
[14:04] Gary was looking for a way to shift active income into passive income which led him to the Creating Wealth podcast.
[16:21] The 27 Charts that will change how you think about the American economy article, by Timothy Lee.
[20:31] As the Service Industry grows, it is a clear indicator of progress and a higher standard of living.
[24:23] People have been dropping out of the labor force since the year 2000.
[26:54] The real estate charts show growth in urban areas.
[31:29] Analyzing chart #19, Inflation-adjusted housing prices.
[36:42] Housing prices have grown a lot faster than construction costs.
[41:06] The ways Americans retire are changing.
Mentioned in This Episode:
Wed, 23 May 2018
CW 1004 - The Future of Interest Rates & What Taylor Swift, Uber, and Robots Tell Us About Money with John Tamny, Part 2
Jason Hartman starts off today's episode with a little talk on where interest rates may be headed (according to one economist) and how that would impact current real estate investors. Hint: it's a pretty good thing. He also has to throw in a qualifier to his "Amazing time to be alive" mantra, because there are a few things that aren't amazing right now.
Then Jason finishes up his interview with John Tamny, director for the Center for Economic Freedom, Editor of Real Clear Markets, and author of Who Needs the Fed?: What Taylor Swift, Uber, and Robots Tell Us About Money, as the two discuss the impact of automation on all aspects of our life. John is excited about what all of this change will mean for the common worker and believes it will lead to higher quality of life for all.
[4:12] A qualification to the beloved Jason mantra of "It's an amazing time to be alive"
[7:18] Let Jason control the music and he cares not who controls the laws and the money
[12:13] What Martin Armstrong thinks interests rates will be jumping to
[15:28] Investors already in the game are praying for higher interest rates
John Tamny, Part 2
[20:18] Automation is going to lead into a surge in new kinds of jobs
[25:00] The demand for entertainment and service is going to explode
[26:49] Tamny's Law: as prosperity grows more and more people escape laziness because they find work they love
[28:29] John's thoughts on Universal Basic Income
Mon, 21 May 2018
CW 1003 - Creating Long-Term Tenants & Who Needs the Fed?: What Taylor Swift, Uber, and Robots Tell Us About Money with John Tamny
Jason Hartman kicks off the show with listener Nate and his mom discussing what was learned during the recent Creating Wealth seminar, as well as getting some tips about how to create long-term tenants who are understanding of rent increases.
Then, in part 1 of their interview, Jason talks with John Tamny, director for the Center for Economic Freedom, Editor of Real Clear Markets, and author of Who Needs the Fed?: What Taylor Swift, Uber, and Robots Tell Us About Money about why he believes the Fed doesn't have anywhere near the power they're given credit for, why their policies aren't effective in today's world, and why demographics may not be as useful as they're believed.
[5:01] If your tenants are there too long it might be a sign your rent is too low
[10:22] Some tips on long-term tenant retention
[14:49] Evictions don't just stem from not paying rent
John Tamny Interview:
[19:57] How Uber made John realizing something about the Fed
[23:40] The importance of the Fed is vastly overstated
[28:42] The idea that the rest of the world is in on some deal where they hold worthless treasuries isn't realistic
[31:39] Demographic arguments regarding Japan don't hold a lot of weight with John
[35:26] Money flows to its highest use, regardless of the Fed
Fri, 18 May 2018
CW 1002 FBF - Dr. David D'Ambrosio Client Case Study - Equity Stripping, 1031 Exchanges & Market Diversification
Investment Counselor, Sara is back on the show. She joins Jason to discuss her three new properties in Memphis, how a client beat her to the punch on other properties she was interested in and just how competitive the market is right now. And in the client case study, Dr. David D’Ambrosio shares his experiences with the 1031 Exchange on properties in the Orlando and Indianapolis markets. He shares his opinions on why more high-tax bracket professionals are not investing in real estate and he asks Jason about what his next steps should be?
The beautiful thing about real estate is you can acquire an asset, get your money back out and still own and control the asset. Plus, you pay no taxes on the money you extract.
[2:12] Sara just closed on three properties in Memphis and she wears PJ’s to bed.
[6:16] Rate locks - Should you let it float or lock it in?
[9:15] Commodities that make up a house are copper wire, glass, steel, petroleum products are independent of any currency.
[13:53] Is the Creating Wealth show the Fox News of real estate? One listener thinks so.
Dr. David D’Ambrosio Client Case Study:
[17:34] Dr. David D’Ambrosio is Radiation Oncologist living the American Dream. He has always had an interest in real estate.
[19:52] Dr. David recently did a 1031 Exchange and then purchased four properties in Orlando.
[21:34] There are two ways to diversify a real estate portfolio. One is location and the other is through cash flow and appreciation.
[23:25] The 1031 Exchange allows for only 45 days for identifying properties but up to six months to close.
[26:08] It’s frustrating more people, doctors in particular, aren’t investing in real estate. It’s an absolute no-brainer.
[32:16] Local community banks will provide financing to investors after they reach their traditional property limit.
[38:24] Is it feasible to do a cash out refinance if you can get a sizable amount of cash?
[40:27] The deferred down payment option offered a nine-year break even point.
[43:25] Equity stripping is pulling the money out of a property, having control of the cash and still own the property.
Mentioned in This Episode:
Wed, 16 May 2018
Creating Wealth's 1001st episode is a time to take a look back at the people who have made this show possible, the listeners and clients. Jason has been blessed to have such great clients who come on the podcast to tell other listeners about their real estate journey. Today we've curated some mini client case studies as we look back at what actual real estate investors have to say about their experience working with Jason.
Mon, 14 May 2018
Today is a milestone episode, number 1000! A big thanks goes out to all the guests who have come on the show and all the client case studies who have come to share their real estate journey. The first half of the show is a thanks to them.
The 10th episode for today is Jason Hartman talking with singer Colbie Caillat about how she managed to start her career using MySpace, as well as how she's handled rejection in her career, how she found her creative work process, dealing with rejection, and more.
[4:38] Thank you to all the guests who've come on the show
[9:25] A few listener soundbites from client case studies
Colbie Caillat Interview:
[15:04] Where did the idea to launch her career on MySpace come from?
[18:00] The song writing process
[23:18] Who was the song Capri written for
[26:48] How Colbie stays healthy on tour
[31:12] Dealing with professional rejection
Fri, 11 May 2018
Today's Flash Back Friday comes from Episode 803, originally published in March 2017.
This episode includes a recording of a live Q&A session from a Creating Wealth Seminar.
The Investment Counselor Panel shares real life examples of how investors benefit from the free education and their hands-on assistance. If you are interested in investing in the most historically proven asset class, income properties this podcast is a great place to start. It also includes the reasons why investors would want to attend a future Creating Wealth Seminar and the benefits of joining the high-level Venture Alliance Mastermind.
[3:09] Venture Alliance wrap-up and details about the upcoming Chicago event.
[11:16] Happy 13th Anniversary to the Creating Wealth Seminar!
Live Investment Counselor Panel Part 2 Q&A:
[16:19] The process of finding and vetting a Local Market Specialist.
[19:02] Striking the right balance between A, B and C properties in a portfolio.
[24:13] Amortization of property components.
[27:10] How many properties should I have in one bank account?
[35:59] What benefit do Investment Counselors provide to investors?
[44:20] Do Investment Counselors have different areas of expertise?
[49:28] How to best utilize an Investment Counselor?
Mentioned in This Episode:
Wed, 9 May 2018
Today's episode starts with an invitation to Jason's Philadelphia Creating Wealth seminar that's coming up soon. He also finishes his talk with Doug about portfolio reviews and making your money actually work for you.
Finally Jason talks to Dr. Eric Pichet, Professor & Director of Specialized Masters Program in Wealth Management & Real Estate Management at KEDGE Business School in France, about real estate around the world, as well as the current view of cryptocurrency by governments across the globe.
The two discuss how there is no global real estate market, but there are similarities in each of them, why the US home market is so much bigger than other nations, how cryptocurrencies are being received in Europe and whether governments and central banks will be moving to crush them in the near future.
Intro with Doug:
[6:48] Your returns can be dampened by lazy money, make that money work for you
[9:27] Return on equity percentage can tell you when to rebalance your portfolio
[13:52] Why corporate finance tracks return on equity so much
Eric Pichet Interview:
[16:25] There's no global real estate market, but we seem to be in about the same place in the cycle of each of the big areas
[20:09] Eric's take on Jason's 3 types of market belief
[21:19] Why Jason thinks the European home market is much slower than the US
[24:54] The series of economic events that led to French citizens being interested in real estate
[26:52] The sentiment about cryptocurrencies in Europe
[30:53] How are cryptocurrencies viewed by governments and central banks?
[33:40] Eric expects the G20 nations to declare Bitcoin as a tool for money laundering and terrorism
Mon, 7 May 2018
Jason Hartman starts off the show with client Doug about portfolio makeovers, why you should stay in the game for the long run, and the fallacy of the passive investment. Doug got out of the real estate business just before the (positive) market correction and missed out on a lot of money.
Then, Jason finishes his client case study with Muthiah. This time the two look at the actual process of Muthiah filing a claim against a bad provider and how he was about to get restitution after some avenues had failed. Jason also explains how to get a hold of his Hall of Shame resource list, and why you should file complaints even if they're not likely to help you alone.
Jason & Doug Intro:
[5:05] There's no such thing as a passive investment, but there are some things that are easier
[9:16] If you do the math properly, real estate versus the stock market isn't even a competition
[12:15] The problem with being too passive is you don't learn from your successes or failures
Muthiah Client Casey Study, Part 2
[20:00] Muthiah has never tried to self manage his current 20 properties
[23:00] Want Jason Hartman's Hall of Shame resource list? Fill out any form on JasonHartman.com
[25:18] Muthiah's process of filing complaints against the provider
[29:48] You're not just filing these complaints for yourself, it's your duty to protect other people
Fri, 4 May 2018
Today's Flash Back Friday comes from Episode 801, originally published in March 2017.
This episode includes a brief history of Jason’s experiences in the real estate market from 2004 to the mortgage crisis of 2008. Jason correctly predicted the crisis and tells us what signs to look for in the future. Then, a live recording of a Creating Wealth Seminar with a panel of Investment Counselors answering real participant questions about mortgage sequencing, the importance of leverage, and common client challenges.
[2:49] Details of the upcoming Creating Wealth Seminar and Memphis Property Tour.
[4:11] Jason predicted the collapse of the mortgage industry way back in 2004.
[11:16] Meeting other investors is one of the best things about attending a live event
Investment Counselor Panel Recorded Live:
[14:03] Meet the Panel: Investment Counselors Sara, Carrie, and Oliver.
[20:25] What areas of the process do clients find challenging?
[24:30] During the recession, how did investment counselors help investors?
[27:07] A lesson in the importance of leverage.
[29:57] The strategy for mortgage sequencing.
Mentioned in This Episode:
Wed, 2 May 2018
CW 995 - Your Investment's Weak Link & Dealing with Bad Sellers - Client Case Study with Muthiah, Part 1
Today's episode is another in property management education. It's crucial that you identify the weak link in all your investments, as well as figuring out a safeguard against them. When it comes to your real estate investing, it's quite possible that your weak link is your property manager.
After his intro, Jason Hartman has part 1 of a client case study with Muthiah, where the two discuss an incident Muthiah recently had with a vendor, and what actions you can take when you're being wronged.
[5:25] Cutting out the middle men - property managers
[9:08] One of the best decisions Jason made when he got into the nationwide real estate business 14 years ago
[13:09] Looking for the weakest link in your investments
[17:30] Jason's been accused of being a complainer, but is that such a bad thing? Complainers change the world
Muthiah Client Case Study:
[22:27] What happened to Muthiah that created tension with the seller
[24:55] If the seller wants to close before the repairs are completed, the only way you accept is if they have money held in escrow in case they don't do what they promised
[28:00] The two ends of the company spectrum
[30:51] What Jason wants you to negotiate with your property management contract
[34:52] The inherent conflict of interest with property managers
Mon, 30 April 2018
CW 994 - The Self Management Revolution & How to Fix Affordable Housing with NHP Foundation's Richard Burns
Jason Hartman wants to prepare you for the coming revolution. The self management revolution is coming, and it's time to see if you're up for the challenge. There are things that you need to do before you take the plunge, and Jason outlines some of them here.
Then, Jason talks with CEO of the NHP Foundation, Richard Burns, about the affordable housing crisis in the United States. The current method of creating affordable housing isn't working for anyone, but Richard thinks there's a way that it can be solved that benefits all parties.
[2:34] The coming revolution of self-management
[5:36] Drew's first taste of self-management
[7:45] Some steps to take before going full self-management
[11:09] Freddie Mac's new program
[15:23] Join Jason for his events in Philadelphia and New York, www.JasonHartman.com/Events
Richard Burns Interview:
[17:45] What solutions are available for affordable housing?
[20:38] The two components of real estates value
[22:20] We are nowhere near meeting the affordable housing demand, so what do we do?
[26:17] Where did the high paying, real careers go that made people end up in careers that were meant to be stop-gap jobs?
[28:25] What does Richard's non-profit do?
[31:59] Richard's thoughts on rent control
[33:51] What the Baby Boomer survey showed
Fri, 27 April 2018
Single-family homes sales rose in January. This has made income property inventory low. You can find out which properties are available in the sought after Memphis market by joining Jason during the upcoming property tour and Creating Wealth Seminar. Jason shares a live recording from a previous seminar in which he thoroughly explains why investing in a single family home as income property is the only logical investment during an inflationary period. And, if the signs are correct the U.S is entering an inflationary period under the Trump administration.
[1:56] National Association of Realtor’s article about home sales in January.
[5:24] Single-family homes sales are up and inventory is low.
[8:49] The Trump administration is a boon for the economy.
[9:34] A Goldman Sachs report says interest rates will rise.
[15:59] Venture Alliance Weekend and Memphis Property Tour details and dates.
ASSET MATRIX - Recording from Phoenix Live Event
[18:27] Inflation induced debt destruction by way of a mortgage.
[20:34] Jason explains how the government manipulates inflation numbers through hedonic adjustment.
[27:59] The ultimate investing equation.
[35:21] Anything that does not produce income is not an investment.
[36:59] Cash and bonds are destroyed by inflation.
[39:14] The IRS does not account for inflation.
[42:28] During deflationary periods people default on their loans.
[44:51] If you have a corporate job you are paying more taxes than the self-employed.
Mentioned in This Episode:
Wed, 25 April 2018
In today's episode Jason finishes off his idea of "crowding out" and the damages it can have on our society. Then he explores the idea of various types of deserts, including investment deserts.
Finally, Jason talks with Sara McFarland from Homee on Demand, a new app that's aiming to make property management from afar easier than it's ever been before. Your tenant can alert you to a problem, send you a picture of the issue, you can get a quote, and verify the issue is taken care of.
Listen in as Sara McFarland gives a rundown of the service, how they ensure you don't get ripped off, and how you can best use it in your portfolio.
[2:57] Jason finishes off his point of "crowding out" from the last episode
[5:29] Various types of deserts, including investment deserts
[9:51] Have a service you think Jason can use? Talk to him about it and keep the money "in the family"
[16:39] The Hawkins family 5 year plan
[22:08] You need to invest in hard assets that keep up with inflation
[28:59] How Homee keeps vendors from cheating
[31:17] Can you use Homee as a self manager?
[33:18] Homee helps teach you more about your home
Mon, 23 April 2018
Jason Hartman discusses some key aspects for real estate investors. One of the most important, and most visible, components of investing is interest rates, and there are some absolutely critical things you need to remember about them. Interest rates impact real estate supply and demand, and home affordability. People buy homes based on payments, not price, and mortgage rates impact those dramatically.
Jason also looks at why some libertarians just don't pay attention to an economic reality and gives a big announcement about the Creating Wealth seminar in Philadelphia in May.
[2:00] Why maintaining control is important when dealing with big, too big to fail, companies
[7:23] Jason's mom has seen the effects first hand of what giving people money can do
[11:05] Jason's thoughts on "crazy libertarians"
[15:46] What interest rates do to real estate supply & demand, and affordability
[18:40] Big announcement about the Creating Wealth Seminar on May 19th
[23:18] Housing prices is a flawed metric, you have to look at the average mortgage payment amount
[27:59] Supply of homes is constrained
Fri, 20 April 2018
Today's Flash Back Friday comes from Episode 530, originally published in June 2015.
Jason invites Fernando to talk about the first inaugural event of the Venture Alliance mastermind meeting. Fernando says it was a small number of people who attended, but the value of information that he gained was priceless. Bob Proctor is today's Creating Wealth main guest. He is widely considered one of the greatest speakers on personal development and he teaches people how to unlock their hidden abilities. Bob and Jason talk on the subject of creativity, taking control of your life, breaking out of your conditioning, and much more on today's episode.
[2:25] What did Fernando think of the first Venture Alliance mastermind meeting?
[10:30] It's very difficult to find larger, more speculative deals on your own without the support of more experienced real estate investors
[14:05] You can join Jason and Fernando on an informal Chicago property tour and just hang out with the guys on July 16th
Bob Proctor Interview:
[17:05] Bob helps people recognize who they are, how to set goals, and much more
[20:45] We're conditioned to live the way we live and if that doesn't change, the results don't change
[26:55] The U.S is filled with creativity compared to other countries like China, for example
[29:50] What's Bob's thoughts on The Secret?
[34:25] How do we find our purpose?
[38:05] Bob gives some quick tips on how to accomplish your goals.
[39:35] Do your work, put your heart into it, and the sky will clear
Wed, 18 April 2018
CW 989 - Jason van den Brand with Lenda, Online Financing Platform, NerdWallet's Best Mortgage Lenders 2018
Jason Hartman starts today's show with a discussion on how real estate investing is going to continue to get better and more efficient, technologically, how business ventures are easier than ever, and how amazing the US real estate market really is.
Then Jason talks with Jason van den Brand, CEO & Co-Founder at Lenda, an online mortgage platform. The two of them discuss the current status of the mortgage market, what kind of easing or tightening we might see in the near future, how Lenda is able to cut fees in the lending process, how to get a rate quote, and more.
[3:43] Know that things are only going to get better when it comes to technology helping us make things more efficient
[7:16] The adoption/absorption rate of technology is amazing
[10:54] Starting a business is easier and cheaper than it's ever been
[14:46] The US has a very special real estate market
Jason van den Brand Interview:
[17:20] What is Lenda?
[20:04] What Lenda is expecting to happen in the mortgage market this coming year
[24:35] The loans that are available through Lenda
[29:20] What you need to do to get a rate quote
[32:37] Is mortgage regulation going to loosen in the near future?
[35:03] Does Lenda have the same fees as conventional lenders or do they differ?
Mon, 16 April 2018
CW 988 - SECRECY WORLD, Inside the Panama Papers Investigation of Illicit Money Networks & the Global Elite by Jake Bernstein
Jason Hartman does this episode from the US territory of Puerto Rico, where he's spent a few days seeing if he wants to live in this tax haven. The thing about Puerto Rico, however, is that while it might be a place with low tax, it's not a place with low real estate prices.
Then, Jason talks with Jake Bernstein, author of Secrecy World: Inside the Panama Papers Investigation of Illicit Money Networks and the Global Elite, about what the Panama papers are, why they're important, and what kind of impact we should expect to feel from the fallout.
Want to know why tax revenues are low, how governmental agencies have been paying spies for years, or more on the Rothchild family? Listen in to learn how the Panama papers can help you find out.
[4:26] Puerto Rico real estate is NOT cheap
[6:46] Join Jason in Philadelphia for the Creating Wealth seminar
Jake Bernstein Interview:
[9:40] What are the Panama papers?
[13:36] Why do the Panama papers matter?
[17:53] Jake isn't as optimistic as Jason about how much money the new tax reform will repatriate
[20:59] Some of the scandals to be unearthed by the Panama papers
[25:19] The CIA & IRS' involvement in the Panama papers
[30:45] Is the Rothchild family in the Panama papers?
Fri, 13 April 2018
CW 987 FBF – Local Market Specialist Brad – Jackson Mississippi Real Estate Investment Market Profile
Today's Flash Back Friday comes from Episode 508, originally published in April 2015.
Jason would like to remind his audience that the Memphis property tour is coming up and there's still a few seats left. Jason invites Brad, a market specialist for the Jackson, Mississippi market to give an extensive market profile on the area and why it's a good time to invest there.
5:35 – Jason welcomes Brad
9:20 – Brad sold some of his properties in 2005 and regrets it
15:40 – You can buy a house in Jackson for $50k and have it rent for $750
18:10 – Brad shares his thoughts on section 8 tenants
21:40 – Brad lists some key things he likes about Jackson
29:10 – There will always be people who will have a renter mentality and not purchase a home.
Thu, 12 April 2018
Jason Hartman talks with Harry Dent, author of the new book Zero Hour, about current demographic trends and what they means for our society (assuming fiscal and monetary policy doesn't go haywire), as well as how long technology takes to go mainstream and impact society, the impact of sunspots on our economy, environment, and psychology, why the new tax reform is the cure for the problem that doesn't exist, and more.
[3:19] Each time you have an experience you get a new impression
[7:21] Airbus is planning to allow passengers to go sleep in the cargo hold during flights starting in 2020
[10:31] You need to be in a mastermind group to expand your thinking and up your lifestyle (maybe the Venture Alliance Mastermind???)
Harry Dent Interview:
[14:15] What does Harry learn by looking at sunspots?
[18:30] There's both global warming and cooling going on right now thanks to sunspots
[20:28] Harry does NOT believe this is the time to be cutting taxes
[23:28] The greatest BS economic recovery in history
[26:32] How much does money trickle in this consumption driven economy that needs growth?
[29:25] Nobody takes downturns into consideration when planning the future
[32:59] When are we likely to see a spike in life expectancy?
[36:10] The wild card in predictions using demographics is the government's monetary & fiscalpolicy
[39:39] Why we're going to have a big revolution if things don't change
Mon, 9 April 2018
CW 985 - Prosperity in the Age of Decline, Preserve Wealth Through the Coming Business Cycles with Alan Beaulieu
Jason Hartman talks with Alan Beaulieu, President & Principal at ITR Economics and author of Prosperity in the Age of Decline, about what's going on in our economy when it comes to energy, inflation, and millennials. The two take a look at the difference between virtuous and non-virtuous inflation, how the millennials might respond to seeing actual inflation (and ways you can educate yourself about how times used to be different) and why you should be excited about the things that are coming. Alan also gives his thoughts on the recent tariffs and tax reform.
[4:54] What the Icehotel Art Suites are like
[7:28] Join Jason in Philadelphia
Alan Beaulieu Interview:
[11:30] What's coming in the economy next
[13:29] What is "virtuous" and "non-virtuous" inflation?
[16:31] In 12 years there will be 30 million more people drawing down on Medicaid and Social Security
[20:38] Every single industry is having problems finding enough people, so the future isn't as bleak as you might think
[24:03] The 5 sources of inflation
[27:38] We're in a golden age with stable energy
[29:54] The 3 reasons Alan's excited about where we're headed
Fri, 6 April 2018
Today's Flash Back Friday comes from Episode 493, originally published in March 2015.
In today's introduction portion of the Creating Wealth show, Jason Hartman invites Sarah on to the show to talk about the Memphis market. Jason also announces a property tour for the Memphis area in May, so be sure to buy your early bird tickets now before the price raises at JasonHartman.com. Today's Creating Wealth principle guest is Andrew Zatlin. He is an economists and is famously know for his Moneyball Economics. He sits down with Jason to talk about Hookernomics, how you can learn where the market is going by simply talking to escorts, the unstable Japanese economy, how gold will drop in prices, and much more on today's episode.
1:50 – Huge interest in the Memphis market right now.
6:05 – Jason talks about the Memphis property tour schedule and dates.
14:10 – Jason introduces Andrew to the show.
16:45 – Most policy makers out there have an old-fashioned way of approaching this very new economy that we're in.
27:16 – Andrew explains why he decided to interview escorts and prostitutes about the state of the economy.
42:00 – Andrew set out to find the true data points that really matter to our economy.
50:45 – China has created a super bubble for themselves and they are bond to crash.
53:20 – Japan doesn't make thing any more and they're also in big trouble. Andrew explains further.
57:30 – Jason and Andrew touch on the gold bug subject.
62:40 – There's a free report on MoneyballEconomics.com that shows you how vices, hookernomics, can show you what's going on in the economy right now.
Mentioned In This Episode:
Wed, 4 April 2018
Jason Hartman takes a victorious look at a recent Wall Street Journal story declaring that more people are viewing renting as a long-term solution to their housing situation. That is FANTASTIC news for landlords, and will put the upward pressure on rent that every investor wants. Jason also gives a few travel hacks for going on a trip to multiple climates, and includes another market profile from producer Adam, this time on the Indianapolis market.
[2:25] The next decade of being a landlord is going to be amazing
[7:05] More and more people are seeing renting as a long term housing solution
[10:56] Jason's travel hacking tips for going on a multi-dimensional weather trip
[14:57] Indianapolis Market Profile
Mon, 2 April 2018
Jason Hartman breaks down some important topics in today's show as he talks about one of the vital assets you have in your toolkit, and that's your credit score. With so many different companies and credit scoring models, it's key that you understand what impacts your score. You need to stay on top of it (and make sure it doesn't get TOO high because then you're not doing enough of what Jason thinks you should be doing).
Jason also looks into what kind of a job the Fed has been doing on their charter, opposition to Amazon, Google and Facebook, the myth of the Rented Home purchase, and some interesting results from his recent DNA test.
[3:50] The Fed's job of evening out inflation has been...not so great
[7:29] Trump's opposition to Amazon and Jason's opposition to Google & Facebook
[9:57] Some disgusting behavior from Goldman Sachs around the time of the mortgage crisis is a PRIME example of how Wall Street treats the average person
[11:51] There are the big 3 credit bureaus for your FICO scores, but tons of factors that create each score, PLUS there are even more FICO scoring models out there
[13:43] If your credit score is too high you might not be borrowing enough money (but don't borrow for frivolous purposes, borrow for properties)
[17:45] A rundown on a few FICO scoring models
[21:54] Do millennials really understand inflation?
[23:32] The Rented Home Myth
[29:24] Jason gave in and did a DNA test
Fri, 30 March 2018
Today's Flash Back Friday comes from Episode 482, originally published in February 2015.
On today's Creating Wealth show, Jason talks a little bit about mastermind groups and touches on an article that was released by USA Today on the subject of investments. Jason brings up some very interesting points on the minimum wage discussion as well as talks about conflict of interests in financial advisers. As always, Jason shares some timeless wisdom about the US dollar, commandments to live by, and more on the Creating Wealth show.
1:30 - Jason talks about his mastermind group, Venture Alliance.
5:45 - Minimum wage increases always causes inflation.
11:00 - Give yourself small rewards along the way.
13:40 Jason talks about commandment number nine.
17:20 - The American workspace is getting smaller as more people work from home.
23:15 - Jason talks about the gold bugs and other forms of currency.
27:45 - The US dollar will still be the reserve currency
30:10 – Jason does a deep dive into his personal commandments.
37:40 – There is no such thing as passive income.
41:00 – Jason's company looks for landlord friendly markets.
Mentioned In This Episode:
Wed, 28 March 2018
Jason Hartman opens up the episode with client Muthia as they discuss a recent issue Muthia had with a provider that led to him filing a complaint and actually reaching a (relatively) positive conclusion.
For the off topic 10th episode, Jason talks with David Burkus, author of Friend of a Friend and Associate Professor of Leadership & Innovation at Oral Roberts University, about how to grow your network, develop key connections, the newest renaissance in business structure, new vacation policies, and more.
Jason & Muthia Intro:
[4:05] Muthia's journey with one of the LMS' in Jason's network
[8:27] Paying taxes gets us the court system and regulatory agencies that allow you to file complaints against providers who take advantage of you
[13:15] Your duty as a citizen is to DO SOMETHING when people wrong you and others
[16:40] Join Jason in Philadelphia in May
David Burkus Interview:
[21:03] Is there a scientific method to networking?
[24:16] The best thing to do if you're trying to reach a specific contact
[30:19] The experimenting in getting away from the org chart
[35:15] You need to trust your employees and not punish the 99% because 1% couldn't be trusted
[37:43] Are things like unlimited vacation only available to companies with large funding bases?
[39:31] The most surprising thing about creativity
Mon, 26 March 2018
CW 979 - Foreign Money in US Real Estate, a Historic Housing Shortage, & Why Regulation Helps Big Companies
Jason Hartman goes solo in today's episode, as he breaks down the flow of foreign money into the US real estate market and which states have benefited the most from that influx. He also explains why big business secretly loves some regulation, the shrinking of the welfare state (no matter how minimal it is), whether we're seeing signs of an economic letup, and more.
[4:02] Some stats on foreign buyers of US real estate from the National Association of Realtors
[8:42] How much real estate investor money is coming in from some of the top countries like China, Canada & the UK
[10:45] Which states have benefited most from foreign money recently?
[13:12] There is, no surprise, a housing shortage going on right now
[17:32] 1984 is coming true, but not the way we all expected
[21:02] Why big companies secretly want more regulation
[25:41] Are there any signs of an economic letup?
[29:37] The welfare state is getting reigned in a little bit
[34:31] Households are dedicating 10% of after tax income at a lower rate than 5 years ago
Fri, 23 March 2018
Today's Flash Back Friday comes from Episode 302, originally published in February 2013.
Jason Hartman is joined on this episode by Steve Forbes, the editor in chief of Forbes Media, to propose and attempt to answer the question: Why does government get bigger and bigger when we know it doesn’t work well? Mr. Forbes states that history proves free markets work for the people, while big and over-reaching government is about meeting its own needs.
In his book, Freedom Manifesto: Why Free Markets Are Moral and Big Government Isn’t, coauthored with Elizabeth Ames, the authors delve into historic events and statistics, showing that in every instance, big government promotes favoritism, stifles economic growth, dumbs down education, and creates an atmosphere of “rigidity and scarcity.” At the same time, it opens the door to corruption.
Mr. Forbes discusses the benefits of economic freedom, which promotes creativity and growth. Jason and Mr. Forbes also talk about current economic issues, including the bubbles that the Fed continues to create in the bond market and housing. “When government undermines money, bad things happen,” laments Mr. Forbes. “When government says it’s here to help, watch out!”
Wed, 21 March 2018
CW 977 - Rates Up, Inventory Down, Client Survey, Memphis Market Profile, Shifting Value Drivers & Join Me On Vacation
Jason Hartman goes solo in today's episode to look into what's going on in the real estate world and beyond.
As interest rates continue to rise it's changing the real estate world, causing an even bigger inventory shortage. As interest rates rise the deals may look a little worse for the moment, but as time goes on they'll start looking better and better.
Today also features a market profile of the Memphis market, some tough news for Bitcoin investors, and a reminder to start planning your vacations to hang out with Jason & the gang.
[3:43] Rising rates are making the inventory shortage even worse
[6:13] The harder it is to acquire a good property, the better it is in the long run once you acquire it
[9:58] EVERY investment takes time and some of your attention, even the ones that seem simplest
[13:08] Memphis market profile
[24:47] The IRS is coming after owners of bitcoin
[29:21] Get ready for the Creating Wealth event in the Northeast
Mon, 19 March 2018
If you're looking at leaving the world of property managers and go into self-management, today's show highlights a useful tool for you to potentially use on your journey.
Jason Hartman kicks off the show discussing some current events in cryptocurrency, the upcoming Creating Wealth event in the Northeast in May, karma, and social credit scoring in China.
Then Jason talks with Dana Dunford, CEO of Hemlane, about how their software can help people with the hybrid management model that Jason is an advocate of. Hemlane offers a portal for owners to screen tenants, schedule showings, remind your tenants of showings, list and advertise your property, connect with real estate professionals for the lease up and tenant turn, and many other functions.
[3:04] Sometimes you have to listen to fate
[9:16] Cryptocurrency ads have been banned by Facebook, Google, and now Twitter
Dana Dunford Interview:
[16:28] Long distance self-management still needs a management company or real estate agent to provide a la carte services on the tenant turn & lease up
[21:28] Hemlane can help you generate more revenue and increase your NOI
[24:50] Transparency up front is critical
[31:40] The $40/month per property for the higher service is a bit steep, what do you get and why is it better than a property manager?
[36:10] How much are tenant turns and lease ups costing through Hemlane?
[40:41] The geographical limitations of Hemlane
Fri, 16 March 2018
Today's Flash Back Friday comes from Episode 176, originally published in July 2010.
Jason provides a unique commentary on the gulf oil spill, firing your investment property manager, buy and hold investing. Following the monologue, Jason talks with Steve Dexter about his book Real Estate Debt Can Make You Rich and long term investing. Housing and commercial property prices the lowest they’ve been in nearly a decade, this classic real estate investment guide is timelier than ever. Dr. Schumacher, who passed away in 2006, found that the way to a lifetime of financial security was to buy smart and never sell, and he built a $20 million fortune using his own savvy advice. The book, updated by Steve Dexter (an expert commentator for CNN/Money, CBS Radio and Fox TV), reveals step-by-step investment techniques that can work in the midst of a slow real estate market or a booming one for first-time buyers or seasoned investors, and for buyers of single-family residences, apartment buildings or shopping.
Steve's latest book is Buy and Hold Forever- How to Build Wealth for the 21st Century, one he co-wrote with the late Dr. Schumacher who was known as the ‘pope” of real estate investing. His first book Real Estate Debt Can Make You Rich published by McGraw-Hill, was rated one of the top 5 real estate books of the year by Bob Bruss, a nationally syndicated columnist of the Washington Post Media Group. Steve’s second book is Beat the Banks-Prospering in the Rising Wave of Bank Foreclosures. He has been a distinguished speaker at the Harvard Business School, Harvard Law School and their Graduate School of Design and has mentored many of their students about entrepreneurship and real estate investing. He also has spoken at Northwestern University’s Kellogg School of Business Management located in Chicago. He is also a member and speaker of NAREE (National Association of Real Estate Editors), a professional group of authors and major newspaper journalists who write about the national real estate market.
Wed, 14 March 2018
It's time to take another deep look into rates and ways to finance your properties. Jason talks to lender Aaron about what's going on in regards to rates today, how it's been changing in the last few months, and where to expect it to go in the future.
The two discuss how higher interest rates don't necessarily mean your investments can't make sense. Higher rates also mean more write offs on your taxes, plus your tenant is still paying your debts. So you might have lower cash flow, but it can still be a great investment that gets better over time with your locked in rate.
[2:10] You must, you must, you MUST (promise me you will) get a home inspection
[4:52] There are events coming up on the East coast and in Hawaii, so figure out if you can make them tax deductible!
[10:51] Every new regulation requires someone be hired to make sure the lenders are adhering to it, which raises costs
[12:48] What kind of rates can you get today with 20% down?
[16:02] Are people still taking out adjustable rate morgages for investment properties?
[18:48] You need to get your mindeset right when it comes to your real estate business. It's not always strictly about the cash flow
[24:34] The inverse correlation between bonds and rates
[26:35] The best strategy ever is to lock in as many 30 year fixed rates as possible
Mon, 12 March 2018
Jason Hartman takes this episode to delve into some important happenings in the real estate world today. Some of Trump's recent moves have been bringing jobs back to the states, and companies are expected to bring money back, and it's creating good times for a lot of people.
With that good time comes something every real estate investor can enjoy, rent inflation. BUT, when times are good it's important to be vigilant with your providers and make sure they're not getting lazy.
[3:58] Jobs are coming back to America
[7:27] Rent inflation is coming
[12:46] As a real estate investor, it's critical that you remember who your customer really is (hint: it's the tenant)
[16:05] In a booming economy, the big job as a real estate broker is the job of sorting people out
[20:12] Sometimes the booms can make providers a little sloppy, so it's important to stay on top of property managers and the like
Fri, 9 March 2018
Today's Flash Back Friday comes from Episode 111, originally published in October 2009.
Would you like to escape the rat race? Famous "Rich Dad" author and speaker in the areas of personal finance, real estate and business, Robert Kiyosaki joins Jason Hartman for a discussion on success and passive income.
Wed, 7 March 2018
Jason Hartman starts off the show discussing how home sales are strong, even if they're a lagging indicator, and where exactly they're really taking off.
Then Jason talks with client Brandon Cook, a young member of the Venture Alliance Mastermind, about his journey investing in real estate. Brandon is currently the owner of 6 properties and is looking forward to more, and talks about breaking through the initial hurdle of investing.
[2:33] Home sales are very strong, but remember they lag
[4:57] A suprise in the hottest housing market category
[11:41] Jason's latest book recommendation: The Effective Executive
Brandon Cook Interview:
[16:35] Brandon discovered Creating Wealth and started listening at Episode 48
[22:05] The first one is always the hardest
[30:41] What has Brandon learned on his investment journey
[33:20] Introducing the Jr Venture Alliance Mastermind membership!
The Effective Executive
Mon, 5 March 2018
CW 970 - Benjamin Hardy - Slipstream Time Hacking, How to Cheat Time, Live More & Enhance Happiness & Willpower Doesn't Work, Discover the Hidden Keys to Success, Medium.com
Jason Hartman starts today's show with a recap of the JHU Live event from this past weekend and a preview of a future event in the Northeast.
Then, in his 10th episode interview, Jason talks with Benjamin Hardy, author of Willpower Doesn't Work: Discover the Hidden Keys to Success, about how to time hack, be much more productive, the difference between successful people and the unsuccessful, relative ease in 10Xing your business, not using your circumstance as an excuse, and more.
[4:51] You can't separate politics from personal finance in today's world
[9:05] There's now a Venture Alliance Jr membership level for those under 35
Benjamin Hardy Interview:
[10:29] The premise of Slipstream Time Hacking
[14:18] You can choose to think of time as away or as a distance
[18:33] What would Ben's response be to someone who said his book was just "work harder and faster"?
[20:37] 10X thinking is a lot easier than 2X thinking, and it works, just look at Ben's life
[23:23] What can we do on a daily basis to hack time?
[26:57] How Ben invested in the right relationships to grow his exposure so quickly
[30:44] Your behavior shapes your personality
[33:35] You need to regularly get out of your routine environment
[37:44] Don't use your circumstances as an excuse
[41:40] It's not your personality that shapes your choices, it's your choices that shape your personality
Fri, 2 March 2018
CW 969 FBF - 3 Economic Stress Tests for Your Income Property Portfolio, Answers to Your JHU Live Questions
Today's Flash Back Friday comes from Episode 647, originally published in March, 2016.
Jason answers questions from his highly-intelligent listener base. Clients inquire about interest rates, the 5-year outlook of rental income real estate and using self-directed IRA money to invest in income properties. Jason shares his strategies and tools on how he formulates his predictions on the multi-dimensional asset class of real estate income property, why he doesn’t like using cap rates for residential property evaluations and accessing the Property Tracker software to project future values.
[2:00] Income property is the most historically proven asset class
[5:45] Listener questions from the Salt Lake City JHU event
[8:04] Predicting interest rates
[9:38] Advantages to the suburban market in a linear market
[12:22] Stress testing your portfolio
[15:44] 3 dimensions of real estate - Values and rental incomes are counter-cyclical
[16:53] Why is income property real estate investing so attractive?
[19:15] Cap rates are not useful metrics for residential income property evaluations
[22:13] Using Self-Directed IRA money for an investment
[24:52] Property Tracking Software to see your properties 10-year projection
[27:35] The next Venture Alliance Mastermind will be on Jekyll Island in Georgia
Wed, 28 February 2018
CW 968 - Jim Puplava of Financial Sense Newshour, SALT Taxes, Inflation vs Dis-Inflation, Medicare & Social Security Debt
Jason Hartman starts today's episode with some new observations on the GOP Tax Reform, specifically involving depreciation and the changes that have been made to it for real estate investors.
Then Jason talks to one of his podcast mentors, Jim Puplava, host of Financial Sense, about his thoughts on the new tax reform, what's happening with inflation (both today and moving forward), the different motivation of millennials compared to former generations, and more.
[3:23] The new tax plan and bonus depreciation
[8:04] The massive change in deductions for major repairs
Jim Puplava Interview:
[13:54] Will the new tax plan expedite people and companies leaving high tax states?
[18:42] Hidden taxes in states like California
[19:48] What's the endgame when states and municipalities go bankrupt? Is it just a federal bailout?
[22:42] Jim's current inflation thoughts
[26:12] How much longer can the US continue to kick the can down the road when it comes to the debt?
[29:38] Why double inflation arbitrage is fantastic for real estate investors
[32:52] What the next downturn is going to look like
[38:10] Jason's new theory
Tue, 27 February 2018
Jason Hartman starts up today's episode reminding people that if you want true wealth, don't spend your money on things that diminish it, spend it on investments. He also discusses the biggest fear investors have today, and the need for investors to align their interests with the big powers.
Then Jason finishes up the webinar that was started in CW 966. In closing, he touches on why he loves housing over retail and commercial, the difference in types of inflation, and why he prefers single family homes over duplexes, triplexes and quadplexes.
[2:34] Own the investments and don't buy the things that diminish your wealth
[5:43] The biggest fear most investors have nowadays
[9:33] Inflation fears are seeping through the market, and it means good news for real estate investors
[13:37] Save yourself a lot of heartache and just align your interests with the greatest forces the world has ever seen
[20:10] You can outsource jobs and retail, but you can't outsource homes
[22:15] The difference between real and nominal inflation
[25:27] Does Jason have a preference between single family, duplexes, triplexes, or quadplexes?
[29:44] Some of the linear markets Jason likes
Mon, 26 February 2018
Jason Hartman starts today's episode discussing how real estate makes you think in ways counter to our every day life. Large money has difficulty breaking in to residential real estate because there's no such thing as a bulk discount in real estate. He also talks about what's going to cause upward pressure on rents.
Then Jason plays the first half of his recent webinar where he discusses the (lack of) national housing market, the 3 different types of markets, some issues he sees in the economy, and the impact of technology on inflation today.
[2:15] The Portfolio Builder games has been updated and will be unveiled in San Jose on March 3
[3:49] We're used to a discount when we buy things in bulk, but that doesn't work in real estate
[7:30] We are bound to see significant upward pressure on rents
[10:28] Jason's back story in real estate investing
[13:25] There are really 400 local real estate markets, not a US housing market
[17:50] When Jason realized there were 3 different types of markets, and what they are
[21:54] We have some scary things going on in the economy, but overall it's still an amazing time to be alive
[25:44] We are at an inflection point in technology
[30:33] The demographics coming at the rental housing market over the next 10 years are phenomenal
[34:33] Explaining Commandment #8
Fri, 23 February 2018
Today's Flash Back Friday comes from Episode 18, originally published in June 2007.
How prudent real estate investors BENEFIT from inflation in two big ways! Here is how to use leverage prudently to maximize returns and reduce risks.
Thu, 22 February 2018
CW 964 - Indianapolis Market, Property Management Best Practices & Tenant Screening with American Apartment Owners Association Rent Recovery Service Jeff Cronrod, Part 2
Jason Hartman kicks off today's episode with some big cryptocurrency news out of Venezuela and Poland this week that show both strength and weakness for the market, plus producer Adam interviews one of the Indianapolis Local Market Specialists about what makes Indy a good place to invest.
Then Jason finishes up his interview with Jeff Cronrod. This time they focus on best practices for property management and how to properly (and legally) screen tenants.
[2:07] There's better ethics involved in taking the long term approach
[7:07] Poland's Central Bank paid YouTubers to slander cryptocurrencies
[9:08] Venezuela's massive oil based cryptocurrency
[10:21] Indianapolis Market Profile from a Local Market Specialist
Jeff Cronrod Interview, Part 2:
[20:02] Jeff's property management best practices, and proper tenant screening
[24:18] What sort of reports are available for landlords?
Wed, 21 February 2018
CW 963 - Evictions, Rent Collection, & Lease Guarantee with American Apartment Owners Association Rent Recovery Service Jeff Cronrod, Part 1
There's a disease infecting millions of Americans, but few people are addressing it. That disease? The entitlement disease. Jason Hartman looks at the symptoms of the disease, and how a simple change in viewpoints can bring a person out of that spiral.
Then Jason talks with Jeff Cronrod, founder of the American Apartment Owner Association & founder of Rent Recovery Service, about his new program called Lease Guarantee, and how landlords need to take a more aggressive approach toward tenants who don't pay.
[4:39] The dangers of the entitlement disease
[8:14] When you take all the advantages of real estate for a few years, it's hard to unwind
[13:30] What happens when you view your life like you're the source
[19:09] The simple key to success in business
Jeff Cronrod Interview:
[22:02] What is Lease Guarantee?
[24:18] How much does the Lease Guarantee cost and what exactly does it cover?
[28:32] The steps you have to go through when a tenant misses their rent payment
[31:40] What judgement do you need to get for Lease Guarantee to pay out?
Mon, 19 February 2018
CW 962 - The Barbell Crushing Affordable Homes & Dealing with Property Managers, Part 2 of Client Case Study with Scott
Jason Hartman kicks off the show talking about an important topic in rental property today, and that is the lack of affordable homes. Supply is dropping across the nation and there aren't a whole lot of options for what to do about it. Listen in for Jason's piece of advice.
Then Jason wraps up his client case study with Scott. Scott and Jason finished the last episode talking about how Scott wouldn't have been able to find all the properties he needed to complete his 1031 exchange without Jason's group. They pick up the thread today and then go into why Scott's dad couldn't make residential real estate work, and property manager experiences and differences in office space vs residential property management.
[2:46] The barbell that is crushing the supply of affordable homes
[6:56] The millennials make up one side of the barbell, but the Baby Boomers on the other side are doing something new and it's causing a disruption
[9:38] How bad is the inventory level? Pretty bad, and Jason has some market examples to prove it
[13:36] One of the solutions to this inventory shortage is get what you can get and hope the market calms down
Scott Client Case Study, Part 2
[21:14] Why Scott's dad wasn't able to make residential real estate work when he tried decades ago
[23:51] Scott's experience with the property managers in Jason's network
[28:25] The difference in self-management in office space versus residential
Fri, 16 February 2018
Today's Flash Back Friday comes from Episode 622, originally published in January 2016.
This episode can be summed up by the popular saying “Everyone is a genius in a bull market”. Many financial hosts warn against taking on debt to build wealth. Jason clearly illustrates why we should be using fixed rate mortgage as a financing vehicle and outsourcing debt to tenants while enjoying the tax advantages.
Naresh is not a real estate investor, yet. He has come up with some basic, but necessary questions for Jason which will help him and all of you budding, soon to be real estate income property investors out there. Jason reminds us “real estate is the most historically proven asset class” and carefully lays out his answers in easy to understand, common sense terms.
[2:35] Predicting market cycles would be easier if governments and central banks didn’t interfere
[8:41] The business cycle is an economic concept which affects real estate
[10:14] The Reluctant Investor’s Lament poem by Donald Weill
[17:46] Everybody’s a genius in a bull market
[19:55] Our Investment Counselors are geographically independent, market-wide gatekeepers
[23:21] Our organization has relationships with local market specialists which give clients leverage
[26:53] New clients need at least 24% cash down when purchasing a property
[29:37] The rise of the “debt bigots”
[33:38] Debt is a powerful thing, you must be wise with it
[34:30] Always use debt as leverage when purchasing real estate income properties
[37:09] A fixed rate mortgage guarantees your rate for 30 years plus tenants pay off your debt
[38:33] Podcast feeds are divided and education is free
Thu, 15 February 2018
CW 960 - Men Chase, Women Choose, The Neuroscience of Meeting, Dating, Losing Your Mind & Finding True Love with Dawn Maslar
In this 10th show, Jason Hartman talks with Dawn Maslar, author of the new book Men Chase, Women Choose, The Neuroscience of Meeting, Dating, Losing Your Mind & Finding Love, about the biological path from meeting to falling in love. Dawn's research has led her to discover what truly attracts us to the opposite sex, what we can do to change some of our bad subconscious habits, her thoughts on online dating websites, and a very disturbing truth about some of the perfume that's out on the market.
[6:17] Attraction is, biologically, meant to be temporary
[7:22] Why do humor and trust go together?
[11:50] What happens to a man, biologically, right before he falls in love
[14:57] The truth behind the reason women seem to like jerks
[18:39] One of the main things that couples that stay together have
[22:01] Dawn's thoughts on online dating sites
[24:40] The truth about a perfume scent you may not want to know
[28:15] Does nature cause us to be attracted to our opposite to diversify the gene pool?
[32:28] What is the future of Dawn's research?
"Love at first sight is a farce, it's just nature's way of getting you in bed together"
Wed, 14 February 2018
CW 959 - Client Case Study, Scott & Kelly from DC - Shopping Centers to SFRs on 1031 Exchange, Part 1
Jason Hartman starts off the show today with a reminder: housing is NOT at an all time high when it comes to payments (which is how people really base their decision to buy), and housing is still where it's at.
Then Jason has the first part of his client case study with Scott, from Washington DC. Scott owned a bunch of retail property previously, but recently sold all but one of them and shifted his focus toward residential real estate. Jason talks with him about why he made that decision, what the process was like doing his 1031 exchange, how his experience with property managers has been, and more.
[1:43] Housing is where it's at
[5:32] Housing is NOT at an all time high based on the payments being made
[8:46] Everybody's a genius in a bull market
Client Case Study with Scott:
[14:41] Was Scott worried about the retail apocalypse when he purchased all the shopping centers?
[17:30] Scott & Kelly's evolution from shopping centers to single family homes
[21:04] What happened in the commercial real estate sector last year that led Scott & Kelly to dive headlong into residential?
[25:19] Depreciation makes income properties the most tax favored asset class in America
[26:01] Scott's adventurous time doing his 1031 exchange on his commercial property that aged him 2 years in 45 days
[31:05] Why Scott is glad Jason's group exists
Tue, 13 February 2018
CW 958 - The Impact of Quantitative Tightening on Interest Rates & a Better Use for $1 Trillion with Richard Duncan, Part 2
Jason Hartman kicks off the show today asking his ultimate question: compared to what? It's a question that will serve you well in all aspects of your life and will guide you down the right path. He also wants to invite you to join him on any of his adventures scheduled for this year to make your vacation planning even easier.
Then Jason wraps up his interview with Macro Watch's Richard Duncan. The two tackle the topic of rising interest rates, better uses for going into further debt than giving it to tax reform, how the Fed will react to a tanking stock market, and what we can expect to see over the next few years.
[3:53] Always view things in perspective, and remember, COMPARED TO WHAT?
[6:16] Meeting fellow investors is crucial to success
[8:09] Why doesn't Jason want you to plan any vacations this year?
[11:41] Over Thanksgiving, while re-reading The Art of the Deal, Jason realized that Trump is a New York liberal
Richard Duncan Interview:
[14:26] What people don't realize about interest rates
"People buy houses on a payment, not a price"
[15:38] What the Fed will do if the market drops 10% and what else will happen if it drops 20%
[18:57] What Richard wishes the government had done with the $1 trillion in new deficits that will occur from the new tax reform
[23:31] Why Richard thinks the government can invest as wisely as private companies
[27:58] What are the next few years going to look like?
[30:30] People need to get very familiar with quantitative tightening
Mon, 12 February 2018
Jason Hartman welcomes Richard Duncan back to the show to discuss what's going on with fiscal policy and interest rates right now. In the first half of the interview Richard talks about how the trade imbalance with China has enriched the nation and brought millions out of poverty, as well as how the general public has no idea how much the Fed is actually tightening, and how that will impact interest rates.
[9:19] Jason's theory on asset inflation and what it means if the millennials don't join the investor class like the baby boomers did
[11:56] Why the future from an Asian perspective is much brighter than from a US perspective
[14:05] Who's gotten the better end of the China/US trade imbalance?
[19:42] Richard believes the Fed is tightening more than people are understanding
[23:51] The Fed has been destroying at least $10 billion a month since October 2017 and it's going to get bigger
[26:26] The Fed will have destroyed $1 trillion by the end of 2019 if they follow through on their announced plan
[28:35] Is the Fed likely to make a course correction if rates go too high?
Fri, 9 February 2018
Today's Flash Back Friday comes from episode 617, originally published on January 6, 2016.
Technology has changed the real estate investor’s ability to access additional markets.
Technological changes may give real estate investors better tools to access previously unavailable markets, but no amount of technology will ever replace a human’s need for shelter. As long as investors keep their eyes looking forward to the future and stay on top of the increasing number of research tools available they will successfully build a diverse, long-term wealth strategy based upon single family home investment properties.
Jason and the Real Estate Guys take a break from their real estate conference speaking engagements to discuss predictions for the future of the real estate investment market, the influx of tenants looking for rentals and how technology is changing investors ability to see beyond their own backyard and experience the benefit of geo-arbitration.
Meet the Masters is this weekend & there are still spaces available for our Venture Alliance trip in beautiful Dubai.
[1:29] Our archives are split because of limitations in iTunes
[6:19] Science has been and will be wrong
[12:00] Jason predicted the Obamacare disaster
[14:12] The Big Short movie – do not miss it
[15:25] Exercise prevents, treats or cure basically everything
[19:58] Casey Meyeres CPA will be speaking about taxation with regards to real estate
Robert Helms & Russ Gray Guest Interview:
[23:43] Real Estate investors have more tenants than ever before
[26:31] Single family housing will always be a need
[30:16] You can’t keep the U.S.A. down for long
[33:18] You must change based on what the market gives you
[35:01] Houses will be built, no matter what technology is used
[37:00] If big money comes in it will push prices up
[41:27] Don’t get stuck investing in your backyard
[43:19] Owning single family homes in 3-5 markets is a good diversification strategy
[44:07] Contact the Real Estate Guys
Wed, 7 February 2018
CW 955 - Jason Talks Market Crash, Divorce, Marijuana, Asset Inflation, Taylor Swift Lawsuit & Vantablack
This all Jason Hartman episode of the Creating Wealth show dives into a number of different topics. Jason discusses his favorite index when evaluating real estate trends, the dangers of asset inflation, unintended consequences of the GOP Tax Reform bill, the impact of mortgage rate increases, and more of the latest news in the world today.
[2:22] The problem with foreseeing what will cause the next market crash
[4:59] The index that Jason would look at it if he had to pick just one
[12:29] Asset inflation in the US is alive and well
[15:50] One of the biggest destroyers of wealth: a wave of divorces expected this year
[21:54] Don't forget to download your photo with Ron Paul from Meet the Masters (and see all the other pictures from the event) at www.JasonHartman.com/Photos
[24:35] Every 1% of interest rate equates to about 10% of sales price
[27:37] It's really hard to lose with the buy & hold real estate strategy
[32:20] Taylor Swift is being sued for over $1 million by a real estate broker
Attend the JHU Live Event in San Jose!
Work with Jason (or ask him a question)!
Mon, 5 February 2018
Jason Hartman kicks off the episode breaking down the OTHER 3 market types. No, he's not talking linear/cyclical/hybrid, today he's talking buyer/seller/broker markets.
Then Jason talks with Mike Moyer, creator of Slicing Pie, about how to partner with people on startups and real estate investing in a way that fairly incorporates everything people bring to the table. The two discuss the need to factor in work, cash, ideas, goods, etc when valuing contributions, as well as the multipliers for each faction depending on their scarcity.
[5:57] Real estate is a pretty easy thing to partner on, as long as you keep it arms length
[7:07] Welcome to the newest Venture Alliance members!
[9:07] The 3 basic types of markets (that aren't linear/cyclical/hybrid!!!), and how you figure out which one you're in
[13:12] Jason likes the broker's market, obviously, but is still pretty bullish on the real estate market
Mike Moyer Interview:
[18:38] You have to go into a startup with the knowledge that you can lose all of your money
[19:39] How would you use Slicing Pie in a real estate deal?
[23:47] Why there's a difference between cash & non-cash contributions when you're slicing
[26:42] The reason there are multipliers in slices is so that there are consequences if someone leaves the pie
[30:05] Why time based vesting isn't the way to go
[32:34] What is Mike's definition of a startup?
[37:50] What are all the ways you can get a slice of pie in a company?
[41:59] How do you get started slicing pie?
Fri, 2 February 2018
Today's Flash Back Friday comes from Episode 259, published in May 2012.
Jason Hartman and returning guest, Dan Amerman discuss federal policies and interest rates, which hurts the savers and fixed income folks. The artificially low interest rates are not working and create higher prices through inflation.
They also discuss inflation rates, in which the federal numbers are glossed over and do not match true inflation as experienced by the American citizens through food, fuel, and utilities. Manufacturers hide inflation by making products smaller.
Jason and Dan then talk about rental housing and how to arbitrage the inflation. Dan explains how to turn the fed policies around to our advantage. It starts with understanding cash flow investing and setting your safety margin. When looking at cash flows, rather than being all about the price, it’s more about the interest rate when it comes to a mortgage. In the process of creating non-free-market interest rates for banks and for the federal government, the federal government has accidentally made available subsidized mortgage rates that are available if you can get the lending.
It goes directly to your bottom line as the investor, resulting in much higher cash flows than you would see in a free market.
Thu, 1 February 2018
Jason Hartman, his mom Joyce, and Drew finish up their long talk about property management practices. This time Drew throws some questions toward Joyce about how to walk the line with a tenant while still keeping a good personal relationship with them, tenant retention, and Jason's theory on the pinball effect that can happen when you own enough places in one market.
[2:01] Occassionally you may have difficulty with insurance when you self-manage
[2:56] The riskiest part of self-managing is the tenant turn
[6:34] Join Jason on a trip to Sweden or come to San Jose for the next JHU event
Joyce & Drew Interview:
[9:34] One of the nice things about not being near your investment properties is that you CAN'T go over and meet anybody
[11:56] How to retain tenants, and how to get rid of deadbeats
[14:16] Once you've formed a relationship with a tenant as a self-manager, is it awkward to raise the rent on them or enforce late fees, etc?
[18:38] When do you build the expectation of rent increases into the relationship?
[25:39] Why the hybrid management is the best system, and what to expect from your realtor helping you
[28:15] Do self-management styles change based on the type of neighborhood your property is in?
[31:46] Jason's pinball effect when you have enough properties in one market
Wed, 31 January 2018
CW 951 - Jason's Hybrid Property Management Strategy with Mom & Drew Baker, a Client Case Study, Part 1
It's time for Jason Hartman to have a good, old fashioned discussion on property management. This time, however, there are THREE sides at the table.
In one corner is Jason's mom, Joyce, who is an EXTREME do-it-herself self-manager. In another corner is Drew, who has always been with a property management company and isn't ready to step into the self-management world. And in the final corner is Jason, with his method of a hybrid model.
Listen in as these three discuss concerns, strategies, and tips for property management, no matter which road you decide to go down.
[2:06] Photos from Meet the Masters are up, don't forget to download yours! Join Jason for a bucket list trip to the Icehotel - Sweden in April and don't forget to register for the Jason Hartman University event in San Jose.
[7:51] The hardest part of Jason's business is property management
"Sometimes it's better to delegate, I admit, but sometimes it's better to just do things yourself"
[10:16] Drew's properties in Indianapolis were A builds, but after the Great Recession they're in C+ neighborhoods now
[13:05] Jason's hybrid self-management practice
[17:00] Where Joyce gets access to running credit reports and everything she needs to do to screen tenants
"The longer you have that tenant, the less hassle you have with that tenant"
[21:58] The most important thing you need to communicate to your tenant about rent
[27:52] Property managers have inherent conflicts of interest
[29:48] How Joyce gets her property ready for the next tenant
[32:26] Questioning pricing can frequently lead to dramatic reductions in price
"Don't be afraid to make deals with your tenants, a lot of times they want to improve the property"
Mon, 29 January 2018
Jason Hartman kicks off the episode discussing some self-management tips and what's going on with the new Fed chair.
Then, in his 10th episode interview, Jason talks with serial entrepreneur Peter Sage, author of 5 Keys to Master Your Life, about his recent 6 month stay in jail and how he was able to use that as a teaching (and learning) experience for himself, the inmates, and his students.
The two touch on the importance of identity, the need for ego strength & ego drive, what drives people, and more.
[1:44] Remember, self-management doesn't have to be forever. Transferring to a property manager, if needed, takes no time
[2:39] Meet the new Fed chair, same as the old?
Peter Sage Interview:
[6:53] Peter's latest "adventure" that landed him in jail
[11:19] Identity plays a huge part in how you deal with life
[17:10] Peter's idea of a "contrast frame"
[19:27] Why do people give up at the first sign of adversity? The difference between ego strength & ego drive
[21:37] Most people are driven by G.O.O.P.
[26:01] We need to learn how to love more
Man's Search for Meaning by Viktor Frankl
Fri, 26 January 2018
Today's Flash Back Friday comes from Episode 634, from February 2016.
Investing in income properties or single family homes is the most historically proven asset class.
We start out with the Venture Alliance Group in Dubai and later Naresh asks Jason investment related frequently asked questions about commercial and residential real estate properties, about single family homes, how the need for housing is never outsourced to another country and how the oil surplus is affecting US oil towns. Real estate investment income property is the most historically proven asset class. Real estate properties should be looked at in a market by market basis and when looking for you first or next creative deal make certain you can trust the person you are dealing with. When choosing a partner make sure they have tenure in real estate investing. They should already have a comprehensive network of investors and local market specialists in place before you trust them with your money.
[1:44] Gary Pinkerton joins us in Dubai
[3:49] Get out of the stock market and into cashflow investing
[7:03] You want those around you to inspire you and make you accountable
[8:20] The reluctant investors lament & to stay focused on market rent
Investor Question’s with Naresh:
[11:51] Is renting a waste of money?
[21:43 Defining commercial and residential property
[24:44] Large investors need to invest their money into something
[28:18] All of Naresh’s businesses have parts which are outsourced overseas
[30:54] Getting ripped off when trying to buy properties and creative opportunities
[32:39] Is deflation a huge threat to the United States?
[37:14] Real estate income property should be looked at on a local market basis
[38:00] How will “oil exploration” cities deal with the current oil surplus
[40:39] The problems in the energy corridor of Houston
Voxer – JHart88