Housing’s Pain is Multifamily’s Gain
The case for the multifamily sector: a dearth of new multifamily supply, an anticipated incease in household formations, declining home ownership rates, demographic shifts favoring the rental market, and an asset class well-positioned for inflation.
The New Normal
According to Bill Gross, Chief Officer of Pimco, a $1.1 trillion fund manager, investors are faced with 2.5% yielding bonds and stocks with real growth rates of 2% or less. He believes that stock returns will fall short of the expected 8%-12% historical returns that we’ve grown accustomed to.
Who Will Lead the Recovery? Start with Texas
Texas gained 14,000 jobs in June even as employment fell in 27 other states. Texas’ total 2010 employment increase of 178,700 jobs is more than twice that of any other state. Healthcare was the only sector of the US economy that added jobs during every quarter of the downturn; right behind healthcare is education. The markets that are leading the recovery share one thing above all: They avoided the crash in the housing market. Thus, these areas are poised for a stronger, faster recover then elsewhere in the nation.
Buffett Rules Out Double-Dip Recession Amid Growth
Warren Buffet ruled out a second recession and indicated that the businesses owned by Berkshire Hathaway Inc. are growing. Buffet said US banks were ready to boost lending and encouraged entrepreneurs to seek financing for business ideas. “It’s night and day from a year, year and a half ago,” Buffett said. “I know Wells Fargo, they would love to have $50 billion more of loans now.”
The Case Against Home Ownership
The US is recovering from the biggest housing bust since the Great Depression and as a result many are rethinking how realistic our expectations of homeownership are. Many argue that homeownership should not be a goal pursued at all costs as the government and industry grapple with re-envisioning Fannie Mae, Freddie Mac and the rest of the housing finance system.”
How Texas is Dominating the Recession
More Americans are moving to Texas than any other state, and CNBC recently named it the Top State for Business for the second time in three years. Three of the top five most resilient major metro areas for employment are in Texas. Texas ranks fourth in the country in low debt. Texas cities claimed four of the top five spots in the Milken Institute’s Best Performing Cities Index and four of the top ten of Forbes’ “Cities Where the Recession is Easing”.
No Fits, Just Starts: Apartment development ramps up
The apartment sector is the only sector within the commercial real estate industry where development makes sense, according to industry experts. While other sectors such as office, retail and industrial are not overbuilt, existing demand is minimal and future demand is not forecasted to be strong.
Memphis rated No. 1 for home foreclosure bargains
A foreclosure-listing service has rated Memphis as the nation’s No. 1 place to find a foreclosure bargain, but Jim Reedy started mining that gold here hundreds of houses ago.
MARKET SNAPSHOT: Cleveland Occupancies, Rents on the Rise
Cleveland –The Cleveland apartment market, though never really in dire straits, is certainly on the rebound.
The Truth About Self Directed IRA Rules
Boy, did I learn a valuable lesson. I used to rely on an investment adviser provided by my bank to manage my retirement investment account. I thought the low returns I was getting were reasonable until I realized it was possible to earn over double the amount.
The Best Ways to Rollover a 401k – Some Good Advice
If you are looking for the best ways to rollover a 401k, here is a bit of advice. Learn the legal definition and the differences between rollovers and transfers. This article provides that information and more.
Dow Jones industrial average closes below key 10,000 mark
In the latest reminder to investors that any money invested in stocks has been dead money for more than a decade, the Dow Jones industrial average, which first closed above 10,000 in 1999, finished Thursday back below the key milestone.
Raise Money Using a Self-Directed IRA
This clever twist on retirement fund investing could draw the patient investors business owners love.
Entrepreneur , 5/11/07 (but still relevant)
Vulture Investors: They’re back – and making a bundle
These are the glory days of the residential real estate investor. Low prices, rock-bottom interest rates and stable rental markets have created huge buying opportunities.
CNN Money , 8/5/10
Housing Markets that Will Be Strongest By 2014
Home prices should begin an uneven rebound next year, says a forecast compiled for Businessweek.com by Fiserv and Moody’s Economy.com
Bloomberg Businessweek , 8/3/10
Employee allegations of excessive 401(k) fees gain ground
A ruling by a judge, who in one case said Edison International did ‘substantial’ harm to employees by not negotiating lower fees from the firm running the 401(k) plan, may bolster other lawsuits. Another reason you should consider using an advisor like Freedom Growth.
Los Angeles Times, 7/29/10
Cleveland No Longer the Mistake by the Lake
Learn why Cleveland may be good for real estate investors and how you can take advantage of it.
FreedomGrowth Blog, 11/2/09
Home Prices Up for the First Time in Three Years
Index of 20 major cities rises on a monthly basis for the first time since July 2006, hinting that the worst of the declines may be over.
401(k) plans under scrutiny after Americans lose $600 billion in retirement savings
The huge drop in the stock market has focused congressional attention on practices within some 401(k) plans—practices that can cause people to pay excessive fees and that subject workers to investment choices that are not always in their best interest.
Using IRAs to Buy Real Estate
One of today’s soundest investments is never touted in financial-services ads. The reason: Wall Street wouldn’t make any money off it. Since 1974, Americans have had the ability to use IRA assets to buy investment property. Yet the means to do that — called a self-directed IRA — remains one of the least known and unheralded investment vehicles in the vast financial marketplace.
Market Watch, 4/1/09
Real-Estate Investing is for Soccer Moms
If there is anyone who should seriously consider investing in real estate it is America’s army of Soccer Moms. “These extraordinary women generally have what it takes and need what it provides” so the assessment of authors and women real-estate investors S.A. Philipp and Barbara Heil-Sonneck. “The biggest threat to America’s Soccer Mom is the lack of financial security and therefore also personal independence in her later years,” warns S.A. Philipp. “The risk of divorce and widowhood is real.
Fox News , 3/31/09
Pay Dirt: A Novel Way to Invest
Sick of being stuck with a dozen mutual funds in his workplace retirement plan, Tim Olson rolled over his 401(k) to a self-directed IRA and is building townhouses in Wells, Minn. A self-described “hands-on” kind of guy, Olson likes to keep his IRA money in town, using local contractors and investing in CDs from a local bank. A self-directed IRA lets him do that. “The biggest appeal is the options; I’m not limited to mutual funds.
Minneapolis Star Tribune, 3/28/09
Nest-Egg Crack Is No Joke, But Options
People are afraid of the stock market… but they want their money to work. They don’t want it parked in cash indefinitely. Many retirees and people nearing retirement are solving that dilemma by shifting their money into alternative investments.
Investor’s Business Daily , 3/27/09
Consider In-Service Distribution to an IRA
If you are a participant in a company sponsored 401(k) plan, there may be some benefit for you to consider an in-service distribution to an IRA. While it is important to save as much as possible for your retirement, it is also important to make your retirement dollars work as hard as possible; so an in-service withdrawal might make sense for you.
The Signal, 2/22/09
A Little Known IRS Secret: The In-service Ira Rollover
If your employer’s 401(k) investment options are sub-par or if its just plain too expensive and eats up your retirement returns while feathering the bed of the plan’s broker, move your money where you can control your investment options and fees.
Article Dashboard, 2009
Real Estate: Resurrection Begins
While the data on prices and sales are still awful on a nationwide basis, there are rays of hope emerging for real estate.
Market downturn shatters faith in stocks
After a yearlong slide that has pushed major stock indexes down as much as 40% from their record highs, many people are rethinking their once rock-solid allegiance to stocks, disregarding the advice of experts to stay put.
Los Angeles Times, 10/22/08
Retirement Accounts Have Lost $2 Trillion
Congress’ top budget analyst estimates Americans’ retirement plans have lost as much as $2 trillion in the past 15 months. If only they were better diversified.
Los Angeles Times, 10/07/08
Alternative IRA is Good Deal for Some
Say the words “Individual Retirement Account” and most people automatically think in terms of an IRA where investments are made in the stock market or mutual funds. But if you’re on the lookout for a more creative approach to building retirement funds, the self-directed IRA may be one to consider.
The Role of Real Estate in a Mixed Asset Investment Portfolio
A summary of a paper written by Dr. Roy Black, professor in the clinical study of finance at Emory University’s Goizueta Business School states that real estate plays an important role in a mixed asset portfolio and discusses the roles of two types of real estate holdings: REIT vs. private real estate investments. While the paper is rather technical (it was intended for institutional investors) this summary provides useful data to any investor considering diversifying their retirement into real estate.
The Silver Lining Strategy
In a bear market, there are lots of good buys — you just have to know where to look. Real Estate is one place to look.
Continental Magazine, 7/08
Diversify Beyond Stocks And Bonds
Many today concentrate their investments in just one or two asset classes, like stocks and bonds, instead of spreading investments across a broad-based group of asset classes that would include commodities, real estate, notes and private placements. This is real diversification, and it has the effect of reducing the overall volatility of one’s investment portfolio.
Investors Tap Retirement Savings to Make Real Estate Bets
Where some see devastation and loss, others see opportunity. At least that is the situation for investors using little-known, self-directed individual retirement savings accounts to invest in the battered real estate market. And for some savvy investors, it has been a windfall.
Investor News, 3/31/08
Why Choose a Self-Directed IRA
Unlike traditional IRAs that limit investors to stocks, mutual funds and bonds, this alternative account allows for a broader, more creative range of assets, including real estate, private equity, foreign companies and even racehorses.
The Street, 10/23/07
Self-Directed IRAs: An Introduction (Learning How to Invest)
What is a “self-directed IRA” and why are more and more investors and advisors becoming interested in them? A self-directed IRA is a descriptive term rather than a brand or specific product name. The name refers to IRAs that are able to invest in investments including but not restricted to market-traded investments such as stocks, bond and mutual funds.