Sat, 24 August 2019
Visualization is an immensely powerful thing. What the mind can conceive and believe, the mind can achieve.
Because of the power of visualization, Jason went and found an expert who can help real estate investors get in the right mindset and, hopefully, set you on a path to an even better portfolio and life.
Today is the 12th installment of our guided visualization journey.
Fri, 23 August 2019
1266 FBF: Prices & Rents vs Interest Rates, Selling The Seller On You, Property, Market & Provider Quality
Today's Flash Back Friday comes from Episode 848, originally published in June 2017.
Investment Counselor and Local Market Specialist Liaison, Carrie joins Jason to see if he can correctly predict the effect the rise in interest rates will have on the US economy. Jason reminds us the Feds don’t directly impact mortgage rates but by directly impacting short-term rates all rates will be affected. For those of you who have income properties, the higher interest rates will put upward pressure on rents.
[09:13] What does the spike in interest rates mean for investors?
[15:27] Higher interest rates will put upward pressure on rents and lessen the concentration of wealth.
[19:37] Local Market Specialists and Investment Counselors are always working in the client's best interest.
Mentioned in This Episode:
Thu, 22 August 2019
Jason Hartman discusses the recently deceased Dan Kennedy's work relating to the marketing shift of businesses toward the middle class. Over the past few decades there has been a distinct hollowing out of the middle class, which has created a massive opportunity for real estate investors. This persists to this very day. Jason explores Dan's idea of when the shift occurred, how it's impacting our world, and whether it's something that politicians will ever deal with.
[6:28] Post-World War 2 we saw marketing start being targeted at the middle class
[10:21] Median home listings and median home sale price is showing that higher priced homes just aren't selling right now
[22:24] Politicians tend to be friendliest to real estate because of the MASSIVE supply chain
Wed, 21 August 2019
Jason Hartman talks with Matt Curtis, founder and CEO of Smart City Policy Group, about the state of short-term rentals in today's society. Matt explains why he thinks that no matter what people in power do, they won't be able to stop the movement that is short-term rentals. Matt also discusses what he expects for the market when the economy inevitably sinks into a downturn and people stop taking so many vacations, and why a societal shift is key to that.
[8:29] Technology is leading us closer to a Jetsons like world
[11:07] Short-term rentals seem like they're going to win out over areas that are currently resisting
[14:21] It's not hard to see why some areas of the country are resistant to the idea of short-term rentals
[18:06] Are short-term rentals squeezing renters out of the higher end homes?
[22:28] Commercial mix-use multifamily seems to be an area that there's no qualms using for short-term rentals
[24:38] What happens to short-term rentals when the next recession hits?
Tue, 20 August 2019
1263: Foreign Real Estate Buyer Update & Investing In Non-Performing Notes & Loans with DeAnn O'Donovan
Jason Hartman begins today's show giving an update on the state of foreign buying in the US real estate market. Playing a clip from Lawrence Yung, Chief Economist at the National Association of Realtors, and commenting on where the money is flowing from and where it's headed to, and how it compares to last year.
Then Jason talks with DeAnn O'Donovan, former President & CEO of AHP Servicing and former Executive VP and Chief Administrative Officer of Wintrust Mortgage, about the practice of investing in non-performing notes and loans. DenAnn explains what she looks for when considering investing in loans, what positions she's comfortable taking, and where you can still find deals in today's marketplace.
[2:46] Is the United States market becoming less attractive to international buyers?
[7:26] The top 2 countries investing in US real estate are China and Canada. China accounted for $13 billion of US real estate purchases, Canada $7 billion
DeAnn O'Donovan Interview:
[13:39] Does it matter whether you're in first or second lien position?
[17:32] Where do you find the deals in today's market?
[27:54] Are there multiple categories of servicers available?
Mon, 19 August 2019
Today's episode begins with Jason Hartman discussing how there's a new startup that's designed to help you make money on your property in a new way. There are more and more ways to capitalize on the assets you own, but you can't do it unless you actually own the asset. If you're just reading about them and not doing anything about it you're cheating yourself.
Then Jason talks with Garrett Sutton, Rich Dad Advisor and author of Loopholes of Real Estate, about some recent Supreme Court decisions that will impact your life in a positive way. No matter what you think about the political division in the court, there are some things on which everyone can agree, and that's the case with these two cases. They also discuss the pros and cons of Series LLCs and the Economic Berlin Wall Jason's been lamenting for years.
[3:18] A new startup is allowing people to rent their house/rooms/couch/etc for hours, not days
[8:05] You can make money by utilizing assets that were formerly dormant
[11:38] If you don't own the asset you can't take part in the money making, so get the asset!
Garrett Sutton Interview:
[15:20] The Supreme Court unanimously cracked down on excessive civil forfeiture,
[19:08] Why you should actually CARE about the civil forfeiture decision
[22:02] Another unanimous Supreme Court decision that protects trusts
[27:27] California is trying to create an Economic Berlin Wall to avoid a brain drain
[31:40] There's a new development for Series LLCs
[36:08] There's not a lot of case law for Series LLCs, which can make it a sketchy area
Sat, 17 August 2019
We can create our future by visualizing it repeatedly with significant detail. Jason Hartman discusses how you can improve your life by using this tool.
Fri, 16 August 2019
Today's Flash Back Friday comes from Episode 854, originally published in July 2017.
In between activities during the Oklahoma City JHU Live event is a great time to record a podcast with new income property investors. David & Gina Nelson share their story of the life-changing decisions that led to investing in real estate with Jason. David & Gina recognized staying in their corporate positions and only investing in the stock market wouldn’t get them where they wanted to be in life.
They convey their appreciation for the transparency and support they have received from the Jason Hartman Investment Counselors and share their advice on how you too can have the diversified financial future you deserve.
[01:40] David & Gina wanted to take control of their lives and build their wealth by investing in income properties.
[06:15] You are never too old or too young to start investing in your future and real estate.
[09:20] The portfolio builder game is a great way to find out what type of investor you are.
[12:03] The Nelson's plan to retire next year and use income property as their wealth vehicle.
[16:59] The value in understanding the linear, hybrid and cyclical markets.
[20:43] David & Gina recommend finding a mentor and listening to podcasts to educate yourself.
Mentioned in This Episode:
Thu, 15 August 2019
Jason Hartman kicks off this 10th episode discussing the furthering trend of people fleeing high tax places like California and New York to tax favorable places such as Florida. It's becoming a more and more common thing and states need to understand this before they run into even more fiscal difficulties.
Then Jason goes off topic with client Rabbi Evan Moffic, author of The Happiness Prayer: Ancient Jewish Wisdom for the Best Way to Live Today. The two discuss why the bible actually promotes wealth (and what we should DO with that wealth), as well as what gives people true happiness.
[2:47] Florida is bringing in billions of dollars as people flee high taxes
[8:45] California is passing laws to increase revenues and are becoming predatory on their citizens
[13:56] There's no starter homes being built, so your properties won't have any new competition
Rabbi Moffic Interview:
[17:26] Human beings are creators, and if you don't get to create you don't usually feel fulfilled
[19:59] Pleasure and happiness are two completely different things
[24:47] Plant a tree whose shade you will never sit under
[27:34] When you're feeling sad the best thing you can do is do something nice for someone else
[31:19] The bible is a pro-wealth product that teaches us to use our wealth to serve others
Wed, 14 August 2019
Jason Hartman finishes his conversation with investment counselor Doug about real estate and PE ratios. The two discuss the importance of analyzing RV ratios in markets to discover whether a bubble is forming (or might already be formed) but also the dangers of relying strictly on those RV ratios.
[2:38] How to think about Cap Rates
[5:55] Commercial property doesn't have enough risk premium right now
[9:34] Real estate has a lot of embedded risk protection a lot of people don't realize
[15:16] The thing that is going to drive the next housing downturn will be when we see rising mortgage rates
[17:40] The 1% RV is for a turnkey rehab. New construction isn't getting 1% right now
[21:16] When your RV hits .5 you're looking at a bubble
Tue, 13 August 2019
1258: BRRR Method, Manufactured Homes, Self-Management & Future Expectations Impact on the Housing Market
Jason Hartman talks with 2 investment counselors in today's episode. First he talks with Adam to discuss the popular BRRR investment model (Buy, Renovate, Rent, Refinance) and why manufactured homes have a bad reputation and why that needs to change.
Then Jason talks with investment counselor Doug about the importance of future expectations when looking at any market, including the real estate market. Just like in the stock market, future expectations drive a lot of value for real estate, especially in cyclical markets. The second half of this conversation will air tomorrow.
[4:13] BRRR proponents don't ever tell you about their tax liabilities or their hunt for a deal
[8:05] We should look upon manufactured homes a lot better than we do right now
[10:43] The online housing kits are currently way more expensive than they pretend to be
[14:38] Doug's experience using Cozy so far
[19:26] You make money in life by adding value
[23:39] When you take the manager out of the equation you can just the property on the property alone
[26:08] The importance of future expectations
[29:53] When expectations decrease it's not just a little drop, it's a spiral
Mon, 12 August 2019
Jason Hartman takes today to play a live clip from the 2019 Meet the Masters of Income Property. Sunday afternoon is a time many people use to purchase properties from providers, leaving the room a little light on people. In this presentation, Jason updates his Inflation Induced Debt Destruction example from the high interest rate period he originally used into the lower interest rate environment that people who purchased in the late 80s have experienced.
[5:01] Join Jason and go cruising (with good internet)!
2019 Meet the Masters Presentation:
[10:21] Asset price inflation isn't measured, but it probably should be
[14:19] Life is really a game of staying power
[17:35] Every decision we make is a decision to improve our condition
[21:00] Inflation Induced Debt Destruction from 1989 - 2018
[28:43] What does a lower inflation rate period do to IIDD?
Sat, 10 August 2019
Visualization is an immensely powerful thing. What the mind can conceive and believe, the mind can achieve.
Because of the power of visualization, Jason went and found an expert who can help real estate investors get in the right mindset and, hopefully, set you on a path to an even better portfolio and life.
Today is the 10th installment of our guided visualization journey.
Fri, 9 August 2019
1256 FBF: Indianapolis Market, Property Management Best Practices & Tenant Screening with American Apartment Owners Association Rent Recovery Service Jeff Cronrod, Part 2
Today's Flash Back Friday comes from Episode 964, originally published in February 2018.
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?
Thu, 8 August 2019
Jason Hartman and Adam start off today's show discussing how rates have allowed more and more people to start refinancing their homes, but also how federal mandates are allowing them to pull less money from their homes. This is having the effect of both putting more money into the economy but also keeping the housing market safer than it was before the Great Recession.
Then, Jason finishes his conversation with Dr. David Kelley, founder of The Atlas Society and current Chief Intellectual Officer for the society, about the degradation of our society where people are viewing minimum wage jobs as careers and the dangers of our entitlement society.
[2:09] There are microscopic creatures that can survive in outer space and some of them ended up on the moon thanks to an Israeli probe
[7:53] Lower rates have made 8.2 million homes available for refinancing
[10:19] A lot of people will be making a lot of money off the increase in refinances, so it's good for our economy
Dr David Kelley, Part 2
[16:26] We have degraded to the point that people are considering minimum wage jobs as careers
[20:41] Entitled mentality is toxic to society
Wed, 7 August 2019
1254: Misleading Stats & Value of Labor v Capital with Dr. David Kelley, Ayn Rand & The Atlas Society
Jason Hartman and Adam start today's show discussing the size of economies across the globe and how some countries (such as Japan) are able to have such large economies with very few natural resources. They also explore a potentially misleading real estate stat.
Then Jason talks with Dr. David Kelley, founder of The Atlas Society and current Chief Intellectual Officer for the society, about the ideals of Ayn Rand and why the economic principles she laid out during her life are still applicable today, but also about how Dr. Kelley has expounded on those thoughts. They also discuss the current entitlement mentality in the United States and what dangers that presents.
[3:05] Not surprisingly, the US and China make up the largest 2 economies in the world, but some of the others are surprising
[7:49] Just because you have natural resources doesn't necessarily make your economy thrive
[13:29] Misleading mortgage delinquency stats
David Kelley Interview, Part 1
[17:12] What is the Atlas Society?
[22:55] Marx's ideals have failed time after time but people keep going back to them. Why?
[25:37] The value of labor vs the value of capital
Tue, 6 August 2019
1253: Mother of All Bubbles? & Best Cities for Business Growth by Anita Campbell, BizSugar, Small Business Trends & Visual Marketing
Jason Hartman starts today's show comparing asset class sizes to see if cryptocurrencies really are the biggest bubble out there. It's always important to ask the question: Compared to what?
Then Jason talks with Anita Campbell, founder and publisher of Small Business Trends, about what markets are currently the friendliest to entrepreneurs. Some rankings are surprising and there's a big surprise when it comes to entrepreneurs in rural areas. They also discuss the potential impacts of minimum wage on small business.
[2:14] A misnomer about the real estate market
[7:44] Jason's latest binge-worthy show is educating him about money and making a statement about governments and central banks
[10:06] Comparing asset class sizes
[14:24] Derivatives are the biggest market BY FAR
Anita Campbell Interview:
[18:23] Some of Anita's rankings for best cities for entrepreneurs really suprised her
[21:13] How Anita's company was able to use the US Census to help in the rankings
[24:09] Technology has allowed rural areas to start flourishing as entrepreneurial havens
[26:40] Does having more entrepreneurs in an area make the market more or less stable?
[32:54] How the movement to a $15/hr wage is impacting entrepreneurs
Mon, 5 August 2019
1252: America's Wage Increase & Index Home Prices, New Mortgage Product by Home Diversification Corp Marc Biron
Jason Hartman takes on the mainstream media's coverage of our economic situation by pointing out that Americans have actually seen a larger wage increase than originally believed. Not many publications like to talk about it and even fewer like to credit Trump, but maybe it's time they start doing so.
Then Jason talks with Marc Biron, founder and CEO of Home Diversification Corp, about his product that is intended to help homeowners diversify their market risk in their own home purchase. The product is intended to help protect homeowners from downturns in the housing market in their local zip code by indexing it to the national housing market. Listen in as Marc explains why it would make sense for homeowners and how it works.
[3:44] American wages are rising more than we realized
[8:56] The biggest thing in the media is that they don't say
Marc Biron Interview:
[11:04] How Marc's mortgage product can help diversify market risk
[15:22] Marc claims his product is 42% more stable than the average housing market
[19:38] A sample case of how the product works
[23:07] Home Diversification uses the Zillow statistics for national home price indexing
Sat, 3 August 2019
Visualization is an immensely powerful thing. What the mind can conceive and believe, the mind can achieve.
Because of the power of visualization, Jason went and found an expert who can help real estate investors get in the right mindset and, hopefully, set you on a path to an even better portfolio and life.
Today is the 9th installment of our guided visualization journey.
Fri, 2 August 2019
1251 FBF: Screening, Rent Collection, & Lease Guarantee with American Apartment Owners Association Rent Recovery Service Jeff Cronrod, Part 1
Today's Flash Back Friday comes from Episode 963, originally published in February 2018.
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?
Thu, 1 August 2019
1250: 1031 Exchanges & The Opposite of Hate, A Field Guide to Repairing Our Humanity by Sally Kohn, CNN, FOX, State of Resistance
Today's off-topic 10th episode starts off with Jason Hartman explaining how 1031 exchanges have helped his portfolio grow more than any other tool, as well as how to view your tenants rent in a way that will make you feel really good.
Then Jason talks with Sally Kohn, CNN political commentator, host of The State of the Resistance podcast and author of The Opposite of Hate: A Field Guide to Repairing Our Humanity, about why there's so much hate in our country at the moment and how we need to continue acknowledging problems and working to get better.
[3:40] The power of a 1031 exchange has been a godsend for Jason's personal portfolio
[8:02] Your tenants are working to pay you ~40% of their work hours. That's more than they work for anyone else.
Sally Kohn Interview:
[12:31] Technology makes us feel more anonymous, which isn't always the best thing
[15:10] Does the US deserve credit for being better than the rest of the world?
[20:01] What definition of "hate" Sally's working from
[24:12] Most people don't think they're hateful, they believe "those people" are hateful so the things they do are justified
[27:55] We have been taught throughout history that men should be in positions of power, which is a powerful thing to have to break through
Wed, 31 July 2019
Jason Hartman starts today discussing the 8th wonder of the world, compound interest. It's a truly powerful thing that makes massive differences to your portfolio.
Then Jason talks with in-house economist Thomas to discuss housing payments adjusted for inflation. Thomas took Jason's first property he purchased and adjusted the payment it would have been to today's dollars to see how it correlated. The two also discuss negative yields and how much further cyclical markets have to fall.
[4:43] Jason's old purchase of a mortgage note that didn't go so well, but the amount he's owed now shows the power of compound interest
[7:36] An example of compound interest using 4 $100,000 homes
[14:32] Robert Shiller believes we are on the verge of a recession, but Jason doesn't agree with his reasoning
[18:51] Housing payments adjusted for inflation is significant
[22:41] Millennials keep telling Thomas they're waiting for home prices to drop
[27:07] 25% of investment grade bonds have negative yields now
Tue, 30 July 2019
1248: Housing Price History, Evaluating Real Estate Investments & Foreign Investor Assistance for American Real Estate with Stateside APM's Howard Jennings
Jason Hartman and Adam start today's episode detailing the price history of a home in Port St. Lucie, FL. The effects of the financial crisis and the recovery afterward are truly astounding and it gives us an idea of where we might be in the housing recovery.
Then Jason has a short clip of Frank Gallinelli's, a friend of the show, describing how to properly evaluate real estate deals to make sure you're getting a good deal.
Finally Jason talks with Howard Jennings, Managing Partner at Stateside APM, about how entities can help foreign real estate investors, as well as how those same foreign investors can save themselves money in creating those entities and avoiding double taxation in certain areas.
[3:23] The incredible price history of a home in Port St. Lucie, FL
[8:32] Jason's been involved in somewhere around 10,000 real estate transactions either personally or through his companies
[10:26] Frank Gallinelli on How to Evaluate a Real Estate Investment
Howard Jennings Interview:
[24:18] Do foreign investors need to have entities like an LLC?
[27:12] Some states have higher fees than others, and Canada can even tax you twice
[31:18] Services provided by Stateside APM
[38:45] Nearly every decision in life comes down to instant gratification vs delayed gratification
Mon, 29 July 2019
Jason Hartman and Adam start off today's show discussing a stat they saw saying that 37% of US homes are currently "free and clear" and what that could mean to housing markets when the next market downturn comes, especially to your income property.
Then Jason talks with client Drew Baker about how his self-management has helped him put $8,000 back in his pocket, having your tenants saving you money, and what Facebook is doing with their cryptocurrency venture.
[2:39] 37% of homes in the US are "free and clear"
[5:30] Why the amount of "free and clear" homes in your market matters to your investment properties
[8:41] Alexa Skill Blogcast
Drew Baker Client Case Study:
[12:54] Drew just calculated how much money he's saving in his portfolio now
[20:53] Facebook's foray into crypto could be a more interesting venture since they have an audience of billions already
[25:41] Facebook shut off access to other cryptos while they were prepping their own
[28:40] How Drew's tenant saved him hundreds of dollars on his new water heater
[32:30] Pick which property is giving you the least trouble and take control while things are calm, not in the middle of repairs
Sat, 27 July 2019
Today is the 8th installment of our guided visualization journey.
Fri, 26 July 2019
Today's Flash Back Friday comes from Episode 938, originally published in January 2018.
Jason Hartman kicks off the episode talking with someone who's about to set a new standard at the Meet the Masters conference this weekend. Journey Captured, a Journey tribute band, will be performing Saturday night at the first ever Meet the Masters Concert. Jason talks with Bass player Giorgio Tupanjanin about his musical training, why he plays Journey, and what to expect at the concert.
Then Jason finishes his client case study with Sue & Gary Pinkerton. This time Sue offers some tips on self-management, the frustratingly fragmented (yet helpful) nature of real estate investing, and why you can't consider anything a passive investment.
[1:59] A Journey tribute band will be playing at Meet the Masters
[3:50] Why Journey for a tribute band?
[6:28] Is jazz music one of the most technical styles out there?
[9:51] How Journey found their current lead singer
Pinkerton Case Study:
[15:16] Sue's tips on self-management
[18:52] The fragmented nature of single family real estate investing is frustrating
[22:13] There is NO SUCH THING as a passive investment
Thu, 25 July 2019
Jason Hartman and Doug get together today to discuss some of the statements that Warren Buffett has made in regards to investing in real estate. Specifically they examine his interview about his $150,000 home purchase that turned into an $11,000,000 property and his thought of how he wished there was a way to buy and manage thousands of single family homes.
[4:29] The power of the 30 year mortgage, explained by Warren Buffett
[9:10] Your returns when you lever equity can be really good, but when a tenant is paying your mortgage then it's even better
[14:33] Don't miss the market because you're waiting for a dip
[19:48] Time heals wounds, especially in real estate
Wed, 24 July 2019
1244: Investigating Big Tech Companies & Andrew Yang, Presidential Candidate on Universal Basic Income, Smart People Should Build Things & War on Normal People
Jason Hartman starts today's show celebrating the Department of Justice's decision to start investigating the big tech companies business practices, something he's wanted them to do for a long time now.
Then Jason talks with Democratic Presidential Candidate Andrew Yang about some of his policy proposals, including the huge idea of Universal Basic Income, the erradication of income tax and the implementation of a VAT.
[2:10] Jason is excited that the DOJ is finally investigating the big tech companies
Andrew Yang Interview:
[6:11] How Universal Basic Income is different than the welfare state and why libertarians would support it
[9:43] Would income taxes go away if Andrew's VAT goes into effect?
[14:28] Andrew supports UBI because automation is taking away so many jobs
[19:12] The war on normal people
[25:38] How the UBI will offset any deficit it creates
Tue, 23 July 2019
Today's episode is a live speech from the 2019 Meet the Masters of Income Property event. Hear the local market specialist discuss why he got into the Florida markets and how he's making properties work in the market. New construction and short-term rentals can work, if you do it right.
[6:45] Some of Jacksonville's economic rankings
[9:42] New construction has been the main focus in the market
[12:55] The different models available
[20:48] The average construction time is about 6-8 months, but you don't need a construction loan
Mon, 22 July 2019
Jason Hartman and his mom take today's episode to review the book The American Jubilee: A National Nightmare is Closer Than You Think, as well as discussing the impact of loan forgiveness and some self-management strategies that can save you money and headaches when it comes to repairs and tenant retention.
[2:05] Jason's mom's takeaway from the book The American Jubilee
[4:51] The middle class is getting crushed today more than they ever have in American history
[8:05] You can use debt as a strategy
[11:56] Impact of the bank holiday
[14:25] Student loans are being packaged and sold to financial firms just like liar loans were
[19:17] The federal government can nationalize your stock and bond portfolio a lot easier than your property
[23:26] Turnover can be expensive, but keeping tenants for too long could mean your rents are too low
[27:54] The longer your tenant is there the more they treat it like their own home
[32:02] A recommendation to reduce your insurance prices
Sat, 20 July 2019
Today is the 7th installment of our guided visualization journey.
Fri, 19 July 2019
Today's Flash Back Friday comes from Episode 971, originally published in 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!
Thu, 18 July 2019
1240: Investor Mindset & DuckDuckGo Founder, Super Thinking Mental Models & Traction, How Any Startup Explosive Growth by Gabriel Weinberg
Jason Hartman and Investment Counselor Adam start off today's show discussing the mindset of investors that needs to change. The whole idea of a "discount" isn't a reliable methodology for investors, things should be viewed in a win-win lense.
Then Jason talks with Gabriel Weinberg, founder of DuckDuckGo and author of Traction: How Any Startup Can Achieve Customer Growth and Super Thinking: The Big Book of Mental Models, about how you can use some of the mental models to help you achieve the returns you desire. They also touch on the problem of achieving privacy in today's world and how DuckDuckGo helps in that.
[3:31] As an investor you don't have to get things at a discount, you need to get them at fair prices
[5:29] You don't necessarily get the fantastic deal the day you buy it, you get a good deal at the beginning and it becomes fantastic over time
[8:14] Join Jason on the upcoming cruise
Gabriel Weinberg Interview:
[10:34] What is Super Thinking?
[15:06] The Mental Model of Forcing Function
[18:58] The model of Deliberate Practice
[23:47] Beware of Hindsight Bias
[27:35] To really get outsized returns you need to make a bet on the future
Wed, 17 July 2019
Jason Hartman talks with Gary Boomershine, real estate coach, real estate investor and founder of REIvault, about the differences between real estate investors and a real estate entrepreneur, as well as ways that you can protect yourself from inflation. Gary and Jason discuss the great part of buy and hold investing and what Gary sees as the future for the economy and real estate.
[2:51] What is a real estate investor?
[6:50] Gary used to flip houses but now regrets every house he ever sold
[12:07] Gary's experience as a hard money lender
[18:15] Gary's take on the VRBO market
[24:56] First position lending can be a hedge
[30:54] Right now Gary's a bit pessimistic about the market and is taking some chips off the table, while some of his cohorts are going full in
[33:21] The 3 areas Gary believes need to be very careful in today's market
Tue, 16 July 2019
Jason Hartman and Adam today break down a video about how Fannie Mae and Freddie Mac influence the housing market in the United States. While their publicly stated goal is to make housing in the country more affordable, are they really doing that? Listen in to find out.
[1:49] Fannie Mae Going Away?
[4:09] The idea that we need a high home ownership rate is a false idea
[8:41] How Fannie Mae props up the housing market
[13:24] Fannie & Freddie have a stated goal of making housing more affordable, but they don't do that at all
[22:55] If you're investing for yield rather than capital gains, the price of the house has much less importance
[26:01] The importance of sustainable investing
Mon, 15 July 2019
Jason Hartman talks with client Rabbi Evan Moffic about his current real estate investing. Evan owns several single family rentals and is currently purchasing a short-term rental new build in Florida. Jason and Evan discuss some real estate investing strategy and how Evan's faith comes in to play and what it's taught him.
[3:11] Rabbi Evan is venturing into his first short-term rental
[6:21] Why Evan started investing in real estate
[10:42] The first time it's a mistake. The second time it's a decision.
[19:10] A ratio for successful relationships
[24:56] It's the context, not just the content
[29:32] Real estate has massive inertia that's incredibly difficult to stop
Sat, 13 July 2019
Today is the 6th installment of our guided visualization journey.
Fri, 12 July 2019
1236 FBF: Affordable Home Crush & Dealing with Property Managers, Part 2 of Client Case Study with Scott
Today's Flash Back Friday comes from Episode 962, originally published in February 2018.
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
Thu, 11 July 2019
1235: Voting with Your Feet & The Real Wolf of Wall Street, JP Morgan Chase & RBS Lawsuits with Nobu Su
Jason Hartman starts today's show talking with economist Thomas about the phenomenon going on in New York right now of people voting with their feet. The two tackle a video that suggests that the state could end up losing two congressional seats, which would be a big deal. They examine why it's happening and what it means to the real estate market there.
Then Jason talks with Nobu Su, chairman of the shipping company Today Makes Tomorrow and author of The Gold Man From the East. Back in the 2008 financial crisis, Nobu's company was a $5 million victim of Western bankers. Nobu is now fighting back, suing the institutions that took his money and trying to tell his story so others don't suffer the same fate.
[3:03] People are leaving New York, which could lose the state 2 congressional seats
[7:05] Even if the numbers worked in New York it's not a good place to be a landlord
Nobu Su Interview:
[9:23] What's the status of Su's lawsuit against JP Morgan?
[17:05] How long can our country keep going like we are?
[19:10] What is Nobu Store?
[22:59] The history of Nobu's career
Wed, 10 July 2019
1234: Potential Pitfalls of Third Parties & Opportunity Zones, The Good, The Bad & The Ugly by Mauricio Rauld, Esq
Jason Hartman starts off today's episode with Carmen discussing her current issues she's having with her property manager and getting her property rent ready, past due rent collected and a new tenant put into place. It's a much bigger process than it should be and the price tag seems way too high. Jason gives his take on what you as the property owner and investor can do to make your process easier.
Then Jason talks with Mauricio Rauld, Esq, attorney who specializes in syndications, about what Opportunity Zones can mean for investors. Mauricio breaks down the tax incentives that have been presented, but also why you may not want to invest in them.
[1:58] The Law of Agency
[7:39] The potential dangers of the portal with property managers
[12:10] Carmen's property manager didn't even put her name anywhere on the lawsuit against her tenant who hasn't paid their rent
[16:27] The Cuba cruise couldn't happen, but there's another one planned
Mauricio Rauld Interview:
[18:33] What's the deal with Opportunity Zones?
[20:30] The 2 things you need to do to invest in Opportunity Zones
[24:47] The 4 tax incentives of Opportunity Zones
[28:59] Will a mass of properties from Opportunity Zones hit the market in 10 years?
Tue, 9 July 2019
Jason Hartman talks with Romana King, award winning real estate writer and director of content for Zolo, about what's going on in the Canadian real estate market (specifically Vancouver), as well as some of the best tips for real estate investors. Romana is another buy and hold real estate investor, and she and Jason explore what the best practices are in that marketplace.
[5:50] When you purchase a property, the value isn't in the property it's in the land
[8:56] Canadian financing options
[13:13] Romana's take on Opportunity Zones
[16:09] What is Zolo?
[18:42] Romana's tips for purchasing investment properties
[22:26] Some signs that the area might be a good one to invest in
Mon, 8 July 2019
Jason Hartman talks with Doug about short-term debt cycles and what's going on with our economic expansion that's been happening for years. It's been going on for a long time, and at some point it's going to turn, so how do we recognize it?
[3:49] The Wealth Effect in a booming economy
[6:23] What precipitates the turn of the economy?
[12:45] The principles that drive the stock market are the same ones that drive real estate
[16:19] Can GDP growth and stock market growth have diverging rates of growth for extended periods?
[21:36] The primary reason this economic expansion has gone on so long is that it hasn't been inflationary
[27:56] The looming pension crisis
Sat, 6 July 2019
Today is the 5th installment of our guided visualization journey.
Fri, 5 July 2019
Today's Flash Back Friday comes from Episode 959, originally published in February 2018.
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
Thu, 4 July 2019
Jason Hartman starts off the show from the Baltic Sea where his cruise is currently taking him. He explains how the brand of the US has covered the whole world, including Russia.
Then Jason talks with Michelle Tillis Lederman, author of The Connector’s Advantage, The 11 Laws of Likability, Heroes Get Hired and Nail The Interview – Land The Job, about how likability works and the mindset you have to have in order to succeed in business. There's no way to make people like you, but there are ways to present yourself that will allow you to have a better chance of being liked.
[8:05] Jason's meeting with the Russians to get Coco into the country
Michelle Tillis Lederman Interview:
[13:20] What is Mood Memory?
[16:43] How do you segue out of a conversation without offending the person you're speaking to?
[20:15] The definition of a "niche connector"
[22:28] The 7 Mindsets of connectors
[26:14] Always have the mindset that when you connect online your goal is to bring it offline
Wed, 3 July 2019
After giving a quick update on his cruise travels, Jason Hartman talks with Taylor St Germain, economic analyst at ITR Economics, about why lower interest rates haven't spurred the higher end housing market. The two also discuss what indicators Taylor looks at to get a gauge on the economy and the impact tariffs have had and may still have yet to come.
[5:49] Are lower interest rates good news for cyclical markets or are they just too overpriced?
[10:16] The rise in wages has helped the economy but it's not changing the overall trend or forecasts
[14:13] Why are housing starts so important?
[19:19] ITR's concerns with the tariffs currently being put in place
[23:35] More tariffs could potentially put us in a recession, so be very careful if we see more coming
Tue, 2 July 2019
Jason Hartman talks with investment counselor Sara about some things going on in the market right now. The two discuss the state of inventory going on as sales are slowing even though inventory is still a little low. They also discuss the "trust but verify" philosophy as you deal with everything involved with closing on your property.
[5:52] Amazon has reached a deal with developers to hard wire Alexa into new builds
[9:34] Show your LMS your inspection and give them a chance to fix things and don't let them rush you to close
[13:48] Some provisions you can put in place for the escrow money
[19:19] The state of inventory in the network
[22:55] Buying down your interest rates with points
[29:28] It's important to find not just the best market but also the best team
Mon, 1 July 2019
Today's show features a client case study and this month's mortgage update. After a brief hello from his latest destination, Adam talks with one of the network's lenders about what mortgage rates people are getting this month and what's driving the change in rates recently.
Then Jason talks with client Damon Santa Maria about how he's accumulated his 20 properties in the past 6 years and what his investing plans are moving forward. Damon is self-managing two of his properties and gives some of his best practice tips on metrics he uses and investing in general.
[7:09] What rates can investors get today?
[9:44] Mortgage applications for investors aren't as heavy as you'd expect with low interest rates
[11:44] Is there any movement in the refi market?
Damon Santa Maria Client Case Study
[14:51] Why Damon started investing in real estate
[17:29] If your tenants are staying for a long time, make sure your rents aren't too low
[20:50] Damon's experiences with buy and hold rentals
[24:07] Damon is self-managing his property in Houston and it's working out well
[29:14] Don't gloss over your maintenance percentages when looking at cash flow and reserves
Sat, 29 June 2019
Today is the fourth installment of our guided visualization journey.
Fri, 28 June 2019
1226 FBF: Consumer Debt vs Real Estate, Bitcoin Mania, Fake Work, Interest Rates - Higher Rental Rates with PNC Bank VP Cody Mamone
Today's Flash Back Friday comes from Episode 922, originally published in December 2017.
There's a whole lot going on in the economic world today, so Jason Hartman decided to talk to Cody Mamone, CTP, a Vice President for PNC Bank, about what on Earth is going on in the cryptocurrency world, and how it might be impacted by Bitcoin now trading on 2 exchanges in the United States.
The two also delve into the growth of consumer debt in the past 5 years, as well as where interest rates may be headed and how much of an impact even a slight change in rates can have for investors and homebuyers.
[5:00] The difference between saving versus savingS rates
[9:49] The Fed has some useful data that can be used for your investing research, and one thing in the consumer credit reports stuck out
[11:53] The growth in consumer (and student loan) debt in the last 5 years has been astounding
[14:45] Cryptocurrency mania is going crazy and it's not a healthy thing
[17:04] The REAL environmental destruction that cryptocurrencies are creating
[19:58] What's going to happen to Bitcoin now that it will be traded on 2 exchanges? Will the volatility finally end?
[26:12] Where are interest rates headed?
Thu, 27 June 2019
1225: Median Home Prices, Home Ownership Rates & Short-Term Rental Boom or Bubble with Marriott International's Jennifer Hsieh
Jason Hartman and Adam start today's show looking at some Zillow stats relating to median home prices and what the average American can actually afford.
Then Jason talks with Jennifer Hsieh, VP of Homes and Villas at Marriott International, about how Marriott is working with short-term rental property owners to become a big player. Jennifer explains why she doesn't feel the short-term market is over supplied and whether this is all just a fad.
[2:50] Self-managing isn't as difficult as you may believe, which can be aided by Jason's new Empowered Investor Community
[6:47] Median home price today is around $227,000 according to Zillow
[10:36] Median household income compared to median home prices is creating affordability issues
[15:59] What to do as an investor if home ownership rates decline, rents start rising and GDP slows
Jennifer Hsieh Interview:
[21:54] Big players have been entering the short-term rental market for a while
[24:05] How does entering your property into the Marriott branded pool work?
[26:30] The target demographic
[30:14] How do companies like Marriott take care of customers when it comes to short-term rentals?
[32:40] What happens to the short-term rental market when the economy turns
Wed, 26 June 2019
Jason Hartman does another client case study with Lisa, and today is all about metrics. Lisa has seen the Pro Formas available on Jason's website but wants to know which lines are the most important to be looking at when evaluating a property. Then Jason and Lisa move on to self-management and some ways to find a handy man that are outside the norm. Plus, don't forget to celebrate Financial Freedom month throughout July!
[3:31] The 3-5 things Jason looks at first in the Pro Forma
[9:22] The very first thing you need to do when looking at any Pro Forma is checking the assumptions
[12:44] Don't forget to watch and re-watch the 27 minute video that goes over the Pro Forma line by line
[13:42] How Lisa used Lowe's to find a handy man
[17:37] Why Jason's so excited about his new Empowered Investing Network
[19:25] What to do for Financial Freedom month (coming this July)
Tue, 25 June 2019
Jason Hartman talks with Andrew Rybczynski, Senior Consultant at CoStar Portfolio Strategy, about what is happening on the construction side of both single family and multifamily properties. The tight labor market is causing unit completion to slow significantly, but there are a massive number of units being started. The two look at the impact of more millennials living at home on the shadow demand for apartments and whether renter demographics are still looking good.
[3:22] We're seeing a lot of construction all around the country, what's the supply/demand outlook?
[7:02] How much are construction costs going up?
[11:02] We're not building single family homes as much as we used to
[13:45] About 32% of adults 18-34 are living with their parents
[16:57] Looking at the spread between an apartment cap rate and a triple B bond
[20:52] How Andrew views renter demographics over the next 10 years
Mon, 24 June 2019
1222: Rentals During Deflation, June's Mortgage Interest Rates & 2019 Real Estate Stats from National Association of Realtors
Jason Hartman and Adam join forces in today's episode to discuss some of the recent economic stats the National Association of Realtors released and why they're important for real estate investors. Adam also has a talk with one of the network's lenders about current mortgage rates, and then the two tackle listener Robert's question about real estate investing during a deflationary period (when Inflation Induced Debt Destruction doesn't factor in).
[4:00] Foreclosures are down, which is both good and bad news for us as investors
[7:36] The 2 ways of determining pending home sales
[11:31] June mortgage update
[16:29] Listener question from Robert about deflation concerns
[20:47] How real estate rents fared during the 30s and 40s in single family and apartments
[24:05] In the past 54 years the number of cost burdened renters has doubled because wages aren't keeping up with rent growth
[30:44] Just because deflation happens doesn't automatically mean your rents are going to go down
Sat, 22 June 2019
Today is the third installment of our guided visualization journey.
Fri, 21 June 2019
1221 FBF: Smart Technology Improving Self Management, Meetings Suck & Your Vivid Vision with Cameron Herold
Today's Flash Back Friday comes from Episode 920, originally published in December 2017.
Jason Hartman starts off the show with Investment Counselor Carrie from a single family investment trade show in Phoenix, Arizona. The two have been meeting vendors at the trade show and are absolutely amazed at the opportunities that smart technology is creating for investors. These innovations will allow investors to truly increase their profits as they become more comfortable self managing their properties across the nation.
Then, Jason talks with Cameron Herold, author of Double Double: How to Double Your Revenue and Profit in 3 Years or Less, and Meetings Suck, about how his Vivid Vision can clarify your purpose and help you get on the right path.
It's imperative that every business knows exactly what the mission is, and that every employee in the business knows where the company is headed. It's the only true way to get, and stay, ahead of the competition.
[3:32] There's technology coming that will allow you to review tenants (and have them review you)
[8:14] Smart technology is making it easier to self-manage properties from a distance, and increasing your profits in the process
Cameron Herold Interview:
[14:15] How writing your Vivid Vision can author your future
[17:39] Reverse engineering your Vivid Vision
[20:26] Finding the "sweet spot" in length for your Vivid Vision, and how to properly use it
[23:43] What should you do with your Vivid Vision? How much does David share his?
[28:32] How to run meetings properly
[31:41] How long should you book your meetings?
Thu, 20 June 2019
Jason Hartman talks with Dr. Warren Farrell, author of books such as Why Men Earn More, The Myth of Male Power and his newest book The Boy Crisis, about the various waves of feminism and what each has done to male/female relationships. Warren explains why he was originally part of the National Organization of Women (NOW) and why he eventually left, as well as the importance of male figures in children's lives.
[2:29] Dr Farrell left the National Organization of Women when the members demanded that children of divorce be kept with their mother, not the father
[5:14] Want to know how messed up the world is? Check out dating sites
[7:34] Examining the 3 waves of feminism, have they been a good deal for women?
[10:55] There's a movement among men who have started thinking that the current family dynamic isn't a good deal because they lose everything if the marriage fails
[13:32] When researching for The Boy Crisis, Warren found 70 ways that boys were being harmed when they didn't have a mother and father influence in their lives
[16:46] At every stage of the prison sentence, the discrimination against men is drastic
[18:14] The pay gap isn't between men and women, it's between dads and moms
[24:40] Women who have never been married and never had children earn 17% more than men do
[29:55] A vast majority of men in prison are fatherless
[34:12] The male/female sexual tango is completely out of rhythm at the moment
Wed, 19 June 2019
Jason Hartman and Investment Counselor Carrie take a look at some of the prime markets where first time buyers are looking to buy, with several of them being markets his network is currently selling properties. Then the two look into some responses from listeners about some personal information they shared before coming to Meet the Masters as Jason tries to learn more about his friends.
[2:28] Where first time buyers are looking to buy
[6:05] Terminology that Jason thinks needs to be used
[9:16] Tampa made the list of places people are looking to live, and it's also a market Jason's group is looking at potentially going into
[15:24] The Millennial Struggle House and Home Blogcast
[20:58] Some responses from the Meet the Masters question about some interesting facts about attendees
[25:09] What life lesson Jason learned from his mom when learning to fly
Tue, 18 June 2019
Jason Hartman talks with Dr. David D Friedman, son of Milton Friedman, former professor at Santa Clara University in the Law School, and author of books such as The Machinery of Freedom: Guide to a Radical Capitalism and Law's Order: What Economics Has to Do with Law and Why It Matters. The two dissect what role the government should have in society: what it's capable of and what it need to steer clear from, while also delving into the 4 problems that need to be addressed in a feud system.
[3:21] How David's thinking is similar and different than his father's
[5:34] Can the government actually be out of everything?
[9:55] One of the mistakes that supporters of free markets make is implying that things won't ever go wrong
[13:25] Market failure is a mark for and against government
[19:17] What David learned about feud law when looking at various legal systems
[23:12] Making the tort claims transferable would make our legal system much better
Mon, 17 June 2019
Jason Hartman talks with Doug about why there's been a decline in inventory and what shortages are abound in the housing market. In examining several videos about the housing market and economy, Jason and Doug also look at what impact privatizing mortgages could have and housing affordability in Canada.
[4:52] The big housing shortage is not in McMansions, it's in the 100k range
[8:18] The problem with waiting for the next recession
[13:09] Inventory has declined, which has caused upward pressure on prices
[19:29] When large developers start building an area, they have to keep the sales going in order to make money, so prices can fluctuate
[23:25] The potential impact of privatizing is a prevention of markets overheating
Email your Spam to reviews@JasonHartman.com
Sat, 15 June 2019
Today is the second installment of our guided visualization journey.
Fri, 14 June 2019
1216 FBF: Client Case Study, Adam Jackson 11 Properties in One Year & Financial Statements for Investing, Marine Corps Veteran
Today's Flash Back Friday comes from Episode 917, originally published in December 2017.
Jason Hartman is happy to bring one of his clients, Adam Jackson, on to the show to talk about his journey into real estate investing. Adam started buying properties toward the end of 2016, and has subsequently purchased 11 homes in the past year on his quest for financial freedom.
Adam shares what markets he's currently invested in, where he's looking to expand, keeping score with personal financial statements, and keeping a healthy balance.
[9:00] 2018 is predicted to be an earthquake heavy year, so be careful with your property in earthquake zones
[12:22] Venezuela is the latest example of runaway inflation
[15:35] Invest in commodities and fight inflation with income properties
Client Case Study with Adam Jackson:
[17:53] Who is Adam Jackson?
[23:32] Where Adam bought his first property, and why
[25:43] Why Adam chose to buy a home with cash
[33:32] When you suffer through an expensive repair, remember that your loss is shared by the government on your tax return
[36:10] How to keep score via financial statements
[41:04] The P vs PC Balance
[44:10] Adam's attempt at the abundance mentality and trying to pass along whatever wisdom/money/time he can
[47:51] Focusing on a few things in-depth is better than a little bit of everything
Thu, 13 June 2019
Jason Hartman talks with G Edward Griffin, author of The Creature from Jekyll Island, about corporate scams. Too many people hide behind the veil that corporations offer; ripping off consumers and shareholders and letting the company take the punishment. G Edward and Jason discuss this topic, as well as how we can actually change things to allow society to hold those responsible accountable.
[3:47] It can perfectly legal to extract millions of dollars from a company while the shareholders value drops to 0
[6:53] Trying to punish "the corporation" just means that shareholders get hurt
[9:23] How do we hold someone accountable when a corporation does something bad?
[11:09] How to actually make change happen to fix this problem
[14:16] Governments have a perpetual lien on your property. There's no such thing as owning something "free and clear"
[20:15] What is reasoning behind people like Soros when they pump money into politics?
[22:51] The Fabian Socialist Society believed you took over society gradually
[26:30] At what point is it proper for the state to intervene?
Wed, 12 June 2019
Jason Hartman talks with in-house economist Thomas about how interest rates in the past 10 years have compared to one another. The two explain why interest rates can be so difficult to predict and how these past 10 years are compared to the past.
[3:54] Interest rates aren't completely unpredictable, but they're driven by things where you can't know exactly what's going on
[7:11] Interest rates back in 2010
[16:49] #5 on Thomas' list is 2017, when interest rates dipped under 4%
[21:25] 2015 makes up the #3 spot on the list with interest rates averaging 3.85%
[25:19] The #1 year for interest rates in the past decade
[29:33] Remember that real estate deals can be renegotiated
Tue, 11 June 2019
Jason Hartman talks with Marc Faber, editor at Gloom, Boom & Doom Report, about what's going on in our economy with the massive asset inflation that's hit in the past few years. The two examine what central banks will have to do in order to deal with the looming shortages and what investments can buck that trend when it arises.
[5:03] Asset inflation is making the rich richer and leaving the poor and middle class behind
[11:10] Will millennials get bailed out by their inheritance from their Baby Boomer parents?
[14:25] The 2 investments that will appreciate in a global downturn
[16:17] 2 ways central banks can print money
[20:49] Inflationary actions can kick the can down the road a long way, but there is one thing that can ruin the party
[22:12] There's now a Saturday episode of Creating Wealth dedicated to Guided Visualization
Mon, 10 June 2019
1212: Stock Market & Economy Relationship CNBC, Empowered Self-Management, Commandment #21 Avoid Manias
Jason Hartman talks with client Drew Baker about one of his recent experiences in self-management that differed greatly from when he went through the same thing with a property manager.
They also discuss the new community Jason's trying to start up for self-managing investors, as well as why Commandment #21 is in play for a couple of different things right now.
[2:08] Drew's recent flooring story
[9:11] View your tenants as part of your team
[12:29] The new community that Jason's trying to build
[16:55] Reminder: Wall Street is not the real economy
[24:27] The market constantly prices things in, both on Wall Street and the housing market
[28:20] Some current manias that may violate Commandment 21
Sat, 8 June 2019
Fri, 7 June 2019
1211 FBF: Mortgage Sequencing, Rough Start But Great Results Client Case Study with Sue & Gary Pinkerton
Today's Flash Back Friday comes from Episode 937, originally published in January 2018.
Jason Hartman starts off today's episode discussing the amazing effect of inflation on assets in all markets. Then he turns his attention toward the upcoming Meet the Masters of Income Property event and gives a little taste of what he'll be discussing (hint: core beliefs investors need to have), as well as why there will be a whole host of Local Market Specialists at the event.
Then Jason goes into the first part of his client case study with Gary & Sue Pinkerton. The two give Jason a lot of background on why they're investing in real estate, why they continued investing even when their initial property went horribly awry, the way (and reason) they went about their mortgage sequencing, and how they picked the markets they're currently in. Part 2 will be aired tomorrow.
[3:26] Apple's new code release for their old Lisa computer technology, which would have been a $24,700 desktop today, which shows the power of inflation
[6:26] Jason will be discussing the core beliefs that we all need to have as investors at Meet the Masters
[8:26] What Gary fails to mention at the start of his client case study
Gary & Sue Pinkerton Client Case Study:
[17:15] Gary & Sue's first property did NOT start off well
[22:05] It's crucial to listen to your wife's intuition
[25:57] How Gary & Sue decided to split up their mortgages and why
[29:06] Why Gary & Sue picked the markets they're in today
Thu, 6 June 2019
In this 10th episode, off-topic show, Jason Hartman talks with Ocean Robbins, decendant of the Baskin-Robbins family and author of the new book 31-Day Food Revolution: Heal Your Body, Feel Great, and Transform Your World, about the state of American's eating today. The two break down how our diets have changed over the years, why some aspects of our diets are the way they are, how to make a more ethical, sustainable world, and more.
[6:59] Has anything changed since Diet for New America came out?
[9:03] There's a lot of money being made on the status quo
[12:15] What to do if you want a more ethical, sustainable world
[16:34] Jason's theory on meat through the ages
[19:23] We aren't getting nearly enough fiber in our diet now
[21:08] The key use of willpower is to establish healthy habits
Wed, 5 June 2019
Jason Hartman and Doug start today's show looking at how much money the average 20, 30, 40, 50 and 60 year olds have in their retirement savings. There's a discrepancy that can be frightening.
Then Jason finishes his conversation with Laurence Kotlikoff, William Fairfield Warren Professor and Professor of Economics at Boston University, about how his software, Maxifi, can help those people who are planning toward retirement. Laurence explains the intricacies, assumptions that many people don't make when factoring in their savings.
[4:29] You need to think about how much you're saving for retirement as well as how you're saving for retirement
[8:21] The current average savings for those in their 30s
[11:19] Amortization is beautiful because it just happens, there's nothing for you to do
[14:14] Your 40s presents both a danger and an opportunity for your retirement savings
Laurence Kotlikoff, Part 2
[18:31] Is the future inflationary?
[19:58] What do we need to do to plan for the future?
[26:16] How much time it takes to input your data into Maxifi
[29:52] Many people are saving too much for their later life because they're scared
Tue, 4 June 2019
1208: America's Retirement Savings Problem & USA's Unfunded Mandates with Laurence Kotlikoff, Part 1
Jason Hartman and Doug start off today's episode with a discussion on the issue of America's retirement savings. There's a looming problem with many people being unable to afford any form of an emergency expense, but also on the other end of the spectrum, as people are getting hit with taxes on their required minimum distributions.
Then Jason has the first part of his interview with Laurence Kotlikoff, William Fairfield Warren Professor and Professor of Economics at Boston University, about the massive amount of unfunded mandates that are awaiting the United States. Currently he has that number pegged around $239 trillion, and there are only a few ways that can be resolved.
[5:03] The Required Minimum Distribution problem
[8:14] Equity values going up 8% a year while the real economy is only going up 2-3%, eventually something has to give
Laurence Kotlikoff, Part 1
[17:57] The most recent number the unfunded mandates are going to cost
[24:52] Does Laurence believe in Supply-Side Economics?
[28:00] Consuming your way to prosperity has never worked before and won't now
[31:20] How Laurence would have dealt with the collapse of Lehman Brothers to calm the public's response to the start of the Great Recession
[35:03] Laurence's take on Jason's 6 ways the government can get out of its hole
Mon, 3 June 2019
Jason Hartman and in-house economist Thomas take today's episode to examine the 10 things that are happening in the US and abroad that are making the most impact in 2019. Among them are the US/China trade war, interest rates, the Mueller Report, millennial household formations, and more.
[2:13] The best thing that's happened so far in 2019 is lower interest rates
[4:54] Household formation for millennials is looking really good for investors
[7:36] The Fed being receptive of market conditions has been a good omen for 2019
[12:29] The 3% GDP growth they said we needed to "pay" for the Trump tax cuts happened
[15:28] Blogcast on Creative Destruction
[21:24] The Mueller Report's impact on the housing market
[24:06] The US needs to negotiate with China now before we operate out of a position of weakness
[26:19] When China sat out the bond auction recently it created a wild swing
Fri, 31 May 2019
1206 FBF: Client Case Study, Clay Slocum: Compounding Returns, Asset Protection, Appreciation Rates & Taxation
Today's Flash Back Friday comes from Episode 892, originally published in October 2017.
Jason welcomes client, Clay Slocum to the show. Clay is a millennial who currently has four properties in his real estate portfolio. Before buying his first property, Clay worked diligently with Oscar, his Investment Counselor, and a Local Market Specialist to play around with the numbers and he discovered his initial investment could grow exponentially. Clay shares his insights on the power of compounding interest, asset protection, and the Memphis market.
[01:10] Jason comments on the Las Vegas terrorist attack.
[09:30] Compound interest can be a powerful tool against inflation.
[15:12] Engineers take an analytical approach to investing.
[17:22] After 18 years, $100,000 grow to 14 million.
[24:43] Jason explains a Deferred Sales Trust.
[28:39] If you are on the fence about investing talk with an investment counselor.
[39:33] Asset Protection is a complicated subject you should speak with a lawyer about.
[48:58] Resources for tax help.
Mentioned in This Episode:
Thu, 30 May 2019
1205: CapEx Repairs, Home Inspections & Market, Screen, Lease, Collect, Maintain & Accounting Self-Management Tool UpTop by Frank Barletta
Jason Hartman and Adam kick off today's episode answering some listener questions from Brenda and Roger. They want to know about how Jason's family was able to make real estate investing work in California, as well as planning for CapEx repairs as a landlord.
Then Jason talks with Frank Barletta, Co-Founder and CEO of UpTop, about how his software can help self-managing property owners. Frank explains how UpTop helps landlords deal with leases and maintenance requests, as well as how to use the platform.
[3:26] Listen Question from Brenda: Jason doesn't like investing in California but his Aunt has successfully invested in Sacramento, CA. How did she succeed?
[5:58] Real estate as an asset is so powerful that it can turn decent investments into great investments over time
[8:12] How to account for large CapEx repairs
[11:46] It's crucial to look at your inspect report thoroughly and make sure the items that were supposed to be done were done properly so you don't get surprise expenses later
Frank Barletta Interview:
[18:56] What does a landlord do with UpTop?
[21:56] Where UpTop makes its money
[27:01] How UpTop handles leases
[27:48] Dealing with maintenance issues through UpTop
Wed, 29 May 2019
Jason Hartman talks with his Local Market Specialist from the Jacksonville/St Augustine markets about what led him start working in these markets, as well as what types of properties are available. The markets offer new construction single family, duplexes, and short-term rentals for purchase that all cash flow.
[4:35] When Bakersfield real estate stopped making sense, this LMS realized that Florida seemed like a good market
[7:20] The media's attempt at scare tactics for investing in real estate can tell you where we are in the cycle
[13:34] Jacksonville is still below peak pricing
[19:19] The 3 types of properties the Jacksonville/St Augustine markets provide
[24:02] Who are the short-term rental target tenants?
[27:32] You can cash flow expensive properties, but you have to do it in a different way
Tue, 28 May 2019
Jason Hartman and Adam examine the Investopedia article they referenced yesterday referring to the 9 common effects of inflation. The 2 types of inflation (cost-push and demand-pull) are also broken down in regards to how they impact your property value and rent.
Then the two examine what impact the Trade War with China could have on the markets properties are available in. If production from overseas come back to the United States, where are we likely to see the impact?
[4:18] The 9 common effects of inflation
[9:15] The land value is the one that's susceptible to big swings in value
[12:48] Cost-push versus demand-pull inflation
[15:57] How the Trade War could create cost-push inflation in the linear markets we're investing in
[19:12] If China ever manages to create a middle class they're going to have to deal with a new set of issues, which might make them an inopportune producer
[23:59] When labor shortages hit construction it can make it incredibly expensive to build a house and retain the workers needed
[28:39] Once the Trade War has ended, look at what job sectors are going to be impacted most and adjust your investing strategy accordingly
Mon, 27 May 2019
Jason Hartman and Adam take today's episode to discuss the growing trend toward a renter nation. But this trend isn't just for the young, it's for all age ranges. Renters in the 60+ demographic have seen an even bigger percentage increase than those in the 20-34 or 35-59. This is phenomenal news for landlords, as more people are competing to live in your properties.
They then look into the market for pre-fabricated homes, the impact of recent Airbnb decisions, and a brief glimpse at the 9 effects of inflation that will be discussed further in Tuesday's show.
[3:12] The over 60 demographic has seen a 43% increase in renters in the past decade
[6:52] A survey has found that few millennials are viewing home ownership as a necessity
[9:38] How the pre-fab home market is distorted to make it appear to be a cheap alternative
[16:18] A look into one of Jason's blogcasts on wealth creation
[20:34] Airbnb is giving up the addresses of 17,000 units to New York City.
[24:42] A brief look at the 9 effects of inflation
Fri, 24 May 2019
Today's Flash Back Friday comes from Episode 876, originally published in March 2017.
Jason and Investment Counselor Sara discuss the indirect impact of Hurricane Harvey in Houston. It may be one of the worst natural disasters in our nation’s history but an opportunity for rebuilding also exists. Prices will increase for commodities needed for rebuilding the area and labor will be needed in all sectors for those who were directly impacted by the storm.
[01:37] Disaster Capitalists make the most of the tragic flooding in Houston.
[05:25] A moratorium on mortgages benefits those with the most debt.
[11:09] Is it smart to buy properties on the cheap in Houston?
[12:32] How should investors handle damage to their existing properties?
[15:28] The cost of commodities always increase after a natural disaster.
[22:41] Laura wants to know how Jason's single-family portfolio homes performed during the 2008 recession.
Administrator@realestate.com - Free 1-hour onboarding session
Thu, 23 May 2019
Jason Hartman talks with Cynthia Kane, author of How to Communicate Like a Buddhist, as well as Talk To Yourself Like a Buddhist, about how we should be communicating with ourself and with others. Too often we say things hurtful to ourselves and our loved ones which we don't even realize until it's too late. Cynthia explains the elements of right speech that will point us in the right direction, as well as the importance of silence.
[3:23] The most important conversation you can have is with yourself
Cynthia Kane Interview:
[5:50] How does communicating like a Buddhist help you?
[9:39] The importance of "Mindful Listening"
[12:09] How we can use silence in a positive way
[19:43] How do you talk to YOURSELF as a Buddhist?
[23:47] You need to pump yourself up with self talk a little bit
[25:38] The importance of questioning
Wed, 22 May 2019
Jason Hartman and Adam take today's episode to discuss a new commandment Jason thought of while on the radio in Georgia after the recent Venture Alliance Mastermind event. They also discuss how Commandment #3 would protect investors from some of the exorbinant compensation packages that CEOs are taking that are harming stock holders.
Then Jason recaps the weekend and some of what he learned about tax liens and deeds and potential new markets that he visited while heading home from the event.
[3:04] The compensation of CEOs like Elon Musk shows why you should always maintain control (Commandment #3)
[8:16] Commandment #21 was created just this weekend
[15:02] Cuba doesn't have the port capacity to handle large cruise ships, so you have to take one of the smaller ones
[23:18] Early bird pricing ends June 4
[24:29] The Venture Alliance Mastermind weekend recap
[30:32] If you're going to invest in short-term rentals, make sure that the numbers work even if you have an increase in vacancy and a drop in prices during the next downturn
Tue, 21 May 2019
Jason Hartman and Adam start today's show answering a listener question about the value of local real estate investor associations. Jason has some dueling thoughts on the matter, and explains why you need to be wary when joining one.
Then Jason talks with Kelly Alexander, founder of Great American Tax Remedy, about how Kelly has been able to avoid paying Federal income tax since 2014. Kelly's method hasn't had to hold up against an IRS audit, but she's confident that what she's doing is completely legal and can help anyone out.
[4:47] Jason's thoughts on real estate investor organizations
[9:26] Do not fall for the "flavor of the month" or "get rich quick" schemes that you'll hear at some meetings
Kelly Alexander Interview:
[13:40] How Kelly's tax plan to avoid income taxes works
[17:17] Who else is using Kelly's technique?
[18:38] What Kelly does when she gets paid in order to avoid income tax
[28:36] How to report your income on your taxes under Kelly's format
[38:48] Why Kelly's strategy works for both state and federal taxes
Mon, 20 May 2019
Jason Hartman and Kerry take today to look at some of the signs in our economy today that don't point toward a rosy future. But don't take that to mean the sky's falling and we're headed for a doomsday scenario, we've still got some runway left.
The two also discuss how self-management can show you things that you wouldn't have known just sticking with a property manager. You don't HAVE to self-manage, but it's important to know how to self-manage so you don't get taken advantage of by your current manager.
[2:39] There are ominous signs out there for the economy, so we'll see how much longer it can hold them off
[5:47] For the first time in a long time, Kerry is bullish on the New York real estate
[13:13] Where will the next recession come from?
[17:05] There's an urgency that you need to do something now rather than waiting around
[21:04] Why Kerry thinks Indiana has been the longest running market for Jason's company
[25:19] Utilize your tenants as your assets
[30:51] If you choose to self-manage, remember to track ALL of your expenses
Fri, 17 May 2019
1196 FBF: Inflation: The Best Business Plan For Governments & Central Banks - Never Bet Against The Fed
Today's Flash Back Friday comes from Episode 887, originally published in September 2017.
The US is facing a looming financial crisis. In this episode, Jason outlines six business plans the government can use to ease its inflationary pressures. Four of the plans could result in negative outcomes, while the final two plans could achieve debt repayment by way of inflation. Understanding inflation and all of its aspects are not for the light-hearted. Jason explains inflation, how the government reports on inflation and offers up some educational resources for those who want to know more.
[04:35] Technology is changing the game in all aspects of life.
[11:15] Meet the Master's of Income Property Event is a 3-day event in January 2018.
[14:15] Jason identifies 6 ways to deal with inflationary pressures.
[21:17] Using inflation as a tool to avoid paying debts.
[27:39] Understanding the difference between real and nominal and price and value.
[33:49] Redistributing wealth through inflation.
[40:11] The three ways the government manipulates inflation statistics.
Mentioned in This Episode:
Thu, 16 May 2019
Jason Hartman talks with Josh and Mike from Elite Group Inspection Professionals about what to expect when getting a home inspection. A good home inspection can save you thousands, and a bad home inspection can cost you thousands. It can be tough to figure out who you can trust when you're getting one done, but Josh and Mike give you some resources to finding a competent inspector and what the major things you should be looking for on your inspection reports.
[6:49] Make sure you check your home inspector for licenses, certifications and insurance
[9:36] Some of the biggest concerns from buyers
[14:15] The pros and cons of various roof types
[19:09] Expect a lot detail about repairs needed in your inspection, but not about how much they will cost to fix
[22:43] What to look for on the interior of the house
[25:50] When you need to get a re-inspection done
[28:39] Some of the common plumbing problems
Wed, 15 May 2019
Jason Hartman and Drew do a small client case study about his journey of self-management, then move into the finale of Jason's examination of Kyle Bass' speech about China. Finally, Jason and Drew explain how Commandment #3 (Thou Shalt Maintain Control) and Tesla's current situation go together, as the company continues to make some poor business decisions and hemmorage money.
[2:50] Drew's new roof on his Indianapolis home
[9:54] When you self-manage, your tenant is part of your team
[13:59] Is self-managing really worth it to Drew or is he doing menial work that's not worth it?
[15:52] Revisiting Kyle Bass' speech
[23:06] How Commandment #3 and Tesla mix
[27:03] Tesla is getting dumb money and pillaging it
[30:29] In real estate you can fire someone and get another person to do the same job. With big companies like Tesla, you fire Elon Musk and the company's in trouble
Tue, 14 May 2019
1193: Client Case Study: David Nelson on Self-Management, Diversification & Listen Question on Loans After Fannie Mae & Freddie Mac
Jason Hartman and Adam start today's episode by answering a listener question from Amina, who wants to know what her options are after she maxes out her Fannie Mae and Freddie Mac loans. Surely there are options out there, but what are they?
Then Jason has a client case study with David Nelson, who, along with his wife, has amassed a real estate portfolio that has allowed her to retire early to focus on their holdings. David discusses how his cockiness led him into a bad deal, why continual education is important and where his journey is heading.
[5:15] Listener Question from Amina: what do you do after you max out your Fannie Mae/Freddie Mac loans?
[10:34] If you're wanting to cruise to Grand Cayman, Jamaica and Cuba you need to sign up soon!
David Nelson Client Case Study:
[17:19] David started getting cocky investing in 2016 and didn't pay enough attention to his inspection
[20:24] Jason's group doesn't do any one off deals
[24:28] How self-management has gone for David so far
[29:18] When you combine education with action you can accomplish nearly anything
[33:01] Why being 80% in on one asset class isn't necessarily a mistake
Mon, 13 May 2019
Jason Hartman and Adam use today's episode to discuss some important information about rental rates vs income growth, answer listener questions and what Mark Zuckerberg's college roommate thinks about him.
[3:29] Rents have been rising faster than incomes in most of the United States
[7:56] Investing in a prudent market with lots of government jobs could be helpful for rents not decreasing
[13:31] Would real estate investing make sense if another Depression hit the US?
[23:36] Population decline can be devastating for real estate investors
[29:06] Once big tech companies get their funding they start to lose their touch with the people
Fri, 10 May 2019
1191: Pension Ponzi Schemes, Asset Inflation, War On The Middle Class, Bernie Madoff, Market Cycles, American Greed with Pat Donohoe
Today's Flash Back Friday comes from Episode 872, originally published in August 2017.
Jason welcomes Patrick Donohoe of The Wealth Standard Podcast to discuss the dirty details of pensions, insurance policies and Ponzi schemes. Jason describes the difficulties and common mistakes average retail investors make when investing in financial services. And, Pat gives a comprehensive overview of how to make the most of your existing policies in order to invest your money in the most historically-proven asset class, income property.
[02:25] Is the US a giant Ponzi scheme?
[05:31] Understanding the difference between pension benefit plans and contribution plans is essential.
[15:15] The financial service industry preys on retail investors.
[20:49] Harry Markopolos is waiting to capitalize on a market correction.
[27:09] Analyzing the patterns and mistakes of the middle-class investor.
[35:27] The Wealth Standard Podcast focuses on helping individuals understand the comprehensive nature of the economy.
[37:49] Pat explains how policyholders can reduce their risk and get investment money for cash-flow properties.
Mentioned in This Episode:
Thu, 9 May 2019
Jason Hartman and Adam start off today's show talking about the topic of the news today: Trump's billion dollar "loss" over a 10 year period. What the media fails to mention throughout the whole thing is that he didn't actually LOSE any of that money, he simply had massive deductions thanks to the beauty of real estate phantom deductions.
Then Jason talks with Steve Jones, CEO of Allied Universal and author of the book No Off Season: The Constant Pursuit of More, about how his career in sports translated into business success. Steve and Jason look at the various skills learned in sports and how can each be applied to the business world, whether you're an employee or employer.
[2:55] People are horribly off target thinking Trump is a "Billion Dollar Loser"
[5:21] Real estate deductions run on a depreciation schedule
[9:37] Real estate offers you a tax deduction you can't get any other way
[11:44] How property tax states are able to increase their revenue through land value
Steve Jones Interview:
[18:16] Your ability to overcome obstacles is going to make or break your success
[21:05] Sports teaches you how to work as a team
[24:10] Some techniques on how to keep the team cohesive when dealing with adversity
[27:49] With no action steps in place you only have a dream, not a plan
Wed, 8 May 2019
1189: Artificially Low Interest Rates, the Next Recession & Investment Income From Tenants with Drew, Part 2
Jason Hartman wraps up his talk with Drew from yesterday, as the two leave the topic of self-management and delve into more economic lines of conversation. Jason brings up a recent Peter Schiff tweet and the two dissect whether it holds water in today's environment, as well as discussing how articially low interest rates are impacting the investing landscape we see today. They also discuss a different way to look at the rents you're collecting from your tenants in a way that makes it even more powerful than it looks at first glance.
[3:01] If falling consumer prices have been good for the last 100 years, why does the Fed think they're bad now?
[6:25] The artificially low interest rates are encouraging bad investments
[10:24] Who's going to get hit hardest in the next recession?
[14:10] Targeted advertising is keeping us from seeing a large chunk of the world today
[19:54] It's important to hold yourself accountable the same way you hold your tenants accountable when dealing with your investment properties
[23:57] Your tenants are working 33-40% of their work life just to pay you
Tue, 7 May 2019
1188: Client Case Study: Tenant Retention, Lease Renewals, Single Family Cost Segregations & Noise Pollution with Drew Baker, Part 1
Jason Hartman talks with client Drew Baker in part 1 of their interview about the new developments in Drew's journey in self-management. Drew gives Jason a rundown on how he deals with lease renewals, some of the repairs he's doing to his properties in order to retain his tenants, and what software he's using to keep track of it all. Jason also gives Drew a little bit of advice on how he may be able to accelerate his depreciation in a cost effective manner.
[5:15] The one type of pollution that China doesn't have, that America has PLENTY of, is noise pollution
[10:35] An update on Drew's self-management process
[13:38] Cost segregation studies have become reasonably priced for single-family homes and could well be worth the cost
[18:29] Drew tries to get his leases to come up for renewal in the warmer months, as well as signing a 2 year lease
[22:00] Drew's approach to lease renewals
Mon, 6 May 2019
Jason Hartman takes today's show to go over his thoughts on J. Kyle Bass's speech from the recent CPDC Conference about China. As the second largest economy in the world, China carries a lot of weight, claiming to have around 15% of the world's GDP. But a closer look at the numbers gives us a sense that it might not actually be true. There are dangers lurking in the China economy that could lead to some bad events.
Then Adam talks with Graham, one of the mortgage lenders with the network, about what interest rates investors can be expecting this month.
[3:13] China claims to have 15% of the world's GDP, but there's little to prove that's true
[5:49] Jason used to listen to the doomsayers, but it's not going to happen with such a demand for dollars
[9:47] Endowments don't invest in the greatest things, but it's not a problem that should be that difficult to solve
[16:12] The dangers present in China in their banking sector
[19:16] Hong Kong is the most expensive real estate in the world, at $10,000 per square foot
Adam's Mortgage Update:
[23:43] We're seeing investment mortgage rates in the low-mid 5s
[27:05] What will happen if the Fed decides to cut rates this year?
Fri, 3 May 2019
1186 FBF: Income Property Management, Tenant Self-Sufficiency & Tangible Assets with Scott Shellady, SVP of Derivatives for Trean Group
Today's Flash Back Friday comes from Episode 363, originally published in February 2014.
"The Cow Guy" Scott Shellady is the Senior Vice President of Derivatives at the Trean Group. He joins the show to discuss where people should start when investing in tangible assets.
Shellady believes in SWAGER for investing, standing for Silver, Wine, Art, Gold, Energy and Real Estate. He thinks SWAGER investments are a good choice for current investors.
The topic then shifts to how boomers can prepare for retirement. Shellady explains the most common mistakes baby boomers make with their finances and what they do if they were laid off or fired during the recession to protect their retirement.
Thu, 2 May 2019
Jason Hartman brings this episode to you from China, where he has seen the impact of the rising middle class. While it may seem to be a world away, the growth in construction in China is impacting the cost of construction here in the United States as well.
Then Jason talks with Anna Myers, Vice President of Grocapitus, about how to analyze deals, specifically for multifamily. Anna's group is all about finding the right deals in the right market, and she talks with Jason about which markets are looking good and which are past their peak, along with why the demographics for real estate investors is still incredibly bullish.
[3:28] The Chinese surveillance state is rampant and the country seems very wary of terrorism
[7:04] The rising middle class in China has led to a large amount of higher end stores
[10:31] All buildings are made from the same materials, so when there's a building boom in China it impacts builders everywhere
Anna Myers Interview:
[13:08] What is Anna's definition of "data driven real estate investing"?
[18:23] How can you know when the supply of starts is going to meet the demand for jobs?
[21:51] Things you need to be looking for at the neighborhood level of your market
[27:36] Anna's team is looking at approximately 80 markets a quarter
[31:28] What kind of properties does Anna have in her portfolio?
[33:47] The stigma of renting is gone as Millennials and Baby Boomers are now renting
Wed, 1 May 2019
1184: Client Case Study: SFRs to Apartments with Greg Scott & Population Density's Impact on Real Estate Prices
Jason Hartman begins today's episode from the city of Shanghai, one of the largest (and densest) cities in the world. Since he's been in town he's started thinking about the importance of population density on real estate. It impacts everything from quality of life to desirability of businesses to the pricing of every unit.
Then Jason talks with client Greg Scott about his journey from accidental landlord to an owner of multifamily properties. Greg and Jason examine why people don't know whether they're winning or losing, how Greg was able to continue investing through the Great Recession, and what sort of demographics are making being a landlord look better and better.
[3:46] It's important not to overlook the importance of population density
[6:27] One of the huge drivers of real estate prices is population density
[11:10] Even after "graduating" to bigger deals, Jason believes the single family home is the best deal out there
Greg Scott Interview:
[14:46] Greg's journey to becoming an accidental landlord
[18:23] People often don't know whether they're winning or losing
[23:29] When you hear about the returns people get from real estate and want to do the same, you have to actually act on it
[25:03] Greg's plan for his new multifamily facility
[27:49] How worried was Greg when he was investing in property during the Great Recession?
[31:555] Does Greg see the same thing about high rental demand as Jason does?
Tue, 30 April 2019
From Hong Kong, China, which Jason calls the "Jewel of Capitalism", Jason Hartman delves into what he's seen about real estate and economics from his trip. If you think real estate in the US is expensive, you ain't seen nothin' yet.
Then Jason talks with Chris Martenson, co-founder of PeakProsperity.com and co-author of Prosper: How to Prepare for the Future and Create a World Worth Inheriting, about how the era of abundant, cheap energy is gone and our world needs to change with it. That doesn't mean abandoning everything we have now, but just recognizing the actual situation and adjusting our investments/behavior accordingly. Chris and Jason also discuss the future, and whether we're going to see inflation, deflation, or a little bit of both.
[3:06] Hong Kong real estate has prices per square foot that are unfathomable
[7:35] There's always the real economy and the symbolic economy, and they're vastly different
Chris Martenson Interview:
[11:39] We're coming up to a time when humans are going to have to organize ourselves in very different ways
[14:20] There are 2 ways humans change
[19:32] It's getting costlier and costlier to get less and less oil out of the ground
[22:08] The easy, cheap energy from the past is gone, which explains why the global growth rate for the last 15 years has been subpar
[28:09] We're beginning to see that raising children in a dopamine heavy technological world is creating issues we hadn't expected when it began
[33:02] We have a lot of debt in our society, so deflation is ready to take over
Mon, 29 April 2019
1182: China, Looming Asset Shortage & Debt Cleanse: How to Settle Your Unaffordable Debts for Pennies on the Dollar by Jorge Newbery
Jason Hartman brings you this episode from China with Venture Alliance Member Carmen. Jason describes how his visit to China is influencing his previously held thoughts about the country and how the looming asset shortage is a beautiful things for real estate investors.
Then Jason talks with Jorge Newbery, founder and CEO of Debt Cleanse, founder of American Homeowner Preservation and author of Debt Cleanse: How to Settle Your Unaffordable Debts for Pennies on the Dollar, about how he was able to climb out of a $26 million hole and how others can follow in his footsteps. This isn't about cheating your way out of debt, it's about using the same rights that creditors have because you need to protect yourself from predatory lending practices.
[4:23] Jason got to visit the railroad station that was built to link North and South Korea in the future
[7:54] 5 star in the US has nothing on 5 star in Asia
[11:26] How Jason's visit to China has changed his views on the China economy
[13:39] The looming asset shortage, and why it's good for real estate investors
Jorge Newbery Interview:
[18:57] Debt may seem simple, but it's a lot more nuanced that you'd first believe
[20:42] If you can't afford your debts, the best thing you can do is to stop paying them
[23:54] How Jorge got started paying off his $26 million debt
[26:31] What kind of errors you should be looking for from your lendors
[32:21] The elite have often used debt as a way to enslave the lower classes
Fri, 26 April 2019
Today's Flash Back Friday comes from Episode 662, originally published in April 2016.
Jason takes a break from a Social Media conference to analyze stories from the USA Today’s Money section. He shares the new tech items which will affect real estate pricing in the future, the underemployment issue in the US and the median wage of CEO’s of major corporations.
[4:24] Live video and Virtual Reality (VR) will impact real estate pricing by changing the value of the three cardinal rules of location, location, location.
[9:26] A 5% unemployment rate in the US means everyone who wants a job has a job. The real problem is underemployment.
[15:10] Some CEO’s make $9000.00 an hour while minimum wage workers are looking for $15 an hour.
[22:09] Does an early retirement equate to an early death sentence?
Mentioned in This Episode:
Thu, 25 April 2019
Jason Hartman and Adam start off today's show talking about one of Jason's favorite things when it comes to real estate investing: the Housing Affordability Index. The two really look into how the index is created, what elements go into it, and look at how affordable some of the markets they're investing in are.
Then Jason talks with James Whittaker, author of Think and Grow Rich: The Legacy and host of Win the Day with James Whittaker, about how Napoleon Hill's original Think and Grow Rich still applies in today's world. James and Jason look at how you can reprogram your brain and why his book still matters all these years later.
[4:09] The formula for the Housing Affordability Index
[8:43] Looking year over year you can see which direction a market's affordability is heading
[11:18] How Financial Immaturity is helping investors
[14:20] Housing affordability doesn't factor in a critical element
James Whittaker Interview:
[19:36] What's the big deal about Napoleon Hill's Think and Grow Rich?
[22:55] The mastermind principle
[28:33] Is everything from the original Think and Grow Rich still valid or do we have to modify it for today's world?
[31:19] Opportunities will come, so you have to constantly be ready
[35:06] Reprogramming your mind to conquer limiting beliefs and start living with intent
Wed, 24 April 2019
Jason Hartman starts today's show with his in-house economist Thomas to discuss the new tax law and the impact it can have on people's tax brackets. They also dive in to why the government is interested in keeping the official inflation rate lower than actual inflation rates, as well as when it can really hurt the average citizen.
Then we have a clip from the 2019 Meet the Masters of Income Property event where he discussed the good, the bad, and the ugly of self-management. Drew provides some insight into what's happened with the 8 properties he's self-managing right now, how he deals with issues that spring up (Amazon has been a life saver) and lessons learned about relationships with tenants.