Fri, 29 December 2017
Jason Hartman talks with Ryan Schellhous, founder at IndigoSpire CPAs & Advisors, about the new tax plan. The two start off with a 30,000 foot overview of the plan, then drill down into specific components of the plan as they figure out who is going to be helped and who may not see as much of a benefit under the plan. Ryan explains the biggest revenue raisers and "losers" under the new bill, and some of the most important pieces that will impact individual filers.
[3:28] The 30,000 foot overview of the GOP Tax Reform
[5:23] Will this tax reform create a repatriation of wealth back to the US?
[9:14] The move that mobilized the GOP forces toward tax reform
[11:11] The 2nd most important thing in the tax plan was the widening of tax brackets and lowering of rates for individuals
[13:21] The standard deducation has been increased, which should increase the number of simple 1040s being filed
[16:22] The single largest revenue raiser in the entire bill
[18:34] The change in mortgage interest deductions could cause a dampening in the high end real estate market
[21:04] The Alternative Minimum Tax isn't gone, but it's gone through an overhaul
[22:55] Pass-through businesses are getting a 20% deduction
[29:54] The accelerated bonus depreciation is enormous for real estate investors
[33:26] Changes to the 1031 Exchange rule
[37:29] The carried interest rules have changed as well, impacting the hedge fund managers trading techniques
[39:18] 529 plans (education plans for children) can now be used to pay for private schools
[39:52] Some tax changes that were EXPECTED but didn't end up happening
Fri, 22 December 2017
CI 107 - Rich Dad Advisor Ken McElroy - GOP Tax Plan, Proper Property Management, & Top Investor Mistakes
Jason Hartman interviews Rich Dad Advisor Ken McElroy, who will be speaking at this year's Meet the Masters of Income Property in La Jolla. Ken tells Jason some of the most common mistakes he sees real estate investors make, why you can't just buy real estate any time you like, and some tips on how to do property management the right way.
They also discuss why the American idea of home ownership may be a massive myth, and two critical pieces to your investment success.
[4:44] The two common mistakes Ken sees in real estate investors
[6:47] Real estate is cyclical, so you can't just buy all the time throughout your career
[9:09] Ken's real estate business model
[10:48] Some tips on how to do property management right
[13:29] C class properties look good on paper, but in the long run, better quality properties bring better quality tenants
[20:16] It's important to treat all your residents as your customers
[21:42] Is the idea of home ownership a myth?
[23:55] Population growth and migration are two things critical to investment success
[27:14] The state of the states
Fri, 15 December 2017
CI 106 - Foreign Investment in US Under the Proposed Tax Changes with Ed Mermelstein, Rheem Bell & Mermelstein
Jason Hartman talks with Ed Mermelstein, founding partner of Rheem Bell & Mermelstein LLP, about what the GOP tax plan will likely do to foreign investment in US real estate. Ed describes how foreign investors are CURRENTLY investing in the US, and whether this plan will make the money flow in to the country or go running away to other countries. This impact will have especially large effects on big name markets like New York, San Francisco, and Los Angeles.
[1:43] Will the proposed tax plan make the US real estate market more or less attractive to foreign investors?
[3:58] The typical business designation that foreign investors use
[6:33] Why some changes in deductions will effect investment in big cities like NY, LA, SF
[9:39] Which countries some of the major US markets get most of their foreign investment dollars from, and how the investors are using their properties
[13:42] Are any foreign governments buying US real estate?
[16:44] The US is in a sweet spot where European and Asian investors will invest, but it doesn't go overboard because of logistics like time differences and distance
Foreign investment tends to sometimes make the news in a negative manner, but we should also consider the benefits of foreign investment in the United States
Fri, 1 December 2017
CI 105 - Client Case Study with Adam Jackson - Financial Statements for Investing with a Marine Corps Veteran
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.
[1:47] Who is Adam Jackson?
[7:26] Where Adam bought his first property, and why
[9:36] Why Adam chose to buy a home with cash
[17:26] When you suffer through an expensive repair, remember that your loss is shared by the government on your tax return
[20:03] How to keep score via financial statements
[24:57] The P vs PC Balance
[28:03] Adam's attempt at the abundance mentality and trying to pass along whatever wisdom/money/time he can
[31:44] Focusing on a few things in-depth is better than a little bit of everything