Wed, 23 September 2020
IDEAL = Income, Depreciation, Equity Growth, Appreciation, and Leverage. Jason Hartman discusses the multi-dimensional asset class that allows you to make money beyond the basic “buy low, sell high” investment plan that others teach.
Jason and investment counselor, Adam, talk about the Southeast Housing Boom, a trend that will likely continue. As well, Texas and Florida seem to be growing at a rate that is outperforming everywhere else in the country. How is this housing boom defying what most think they understand about real estate markets?
[2:10] Why is income property, real estate, the ideal investment?
[3:40] “Buy low, sell high” is just one aspect of income property ROI.
[4:35] IDEAL, Income - Depreciation - Equity Growth - Appreciation - Leverage
[7:30] Adam explains the Southeast Housing boom in comparison to the rest of the US
[8:20] The water theory of money, water seeks its own level.
[11:00] The conspiratorial view of why divorce promotes consumerism.
[15:45] 79% of future housing growth is likely to be in suburbia.
[20:00] As payments go down, affordability goes up - leading ultimately to a supply shortage.
[24:00] Affordability is at a range where most new house payments sit around 19.8% of income.