I think that he is spot on for most of the video, especially concerning debt depreciation and rent increases. Also I agree that disregarding every other variable, housing will maintain pace with inflation for the most part (the house itself will depreciate though, so there is some math to do there). But as he said, historically it has kept pace.
As is the case with the vast majority of historical analysis, most of it does not include the environment we are heading into I think, with the way that the dollar will fall and the societal changes that may occur along with that. So while I cannot disagree that housing HAS BEEN a good hedge against inflation, I am not sure that it will continue to be a good hedge. And especially considering how illiquid housing is, I am much more inclined to be careful with how much real estate I own. I like diversification, as what I am going to put forward is not a guarantee, however I see it as the likely scenario.
I think that the population is going to be severely reduced over the next decade or so, could be shorter or could be longer. So while inflation might be pushing up at record levels, if people simply do not need housing because there aren't as many people to live in the already constructed houses, I could see real estate falling across the US and probably the world.
One other thing to consider would be the geographical area, as was sort of said but not expanded on in the video. Just like the rust belt lost factories, as people get more desperate and angry, I think there will be a lot more civil unrest, which could definitely impact properties in the suburbs of cities and in cities themselves. More rural areas should be fine.
Just my two cents. My parents have done real estate their entire lives and it has been very good to them and I studied economics (the shitty kind they teach at liberal arts universities, but hey, I can still crunch some numbers lol). I know how good rents can be and appreciation of property, however right now I don't see real estate as a great prospect.
We are already seeing deaths from " all causes" spiking to all time highs in recent MONTHS coinciding with the push to get these "vaccines" injected into every human on Earth. We are SEEING the depopulation plan AT WORK. Planes dropping from the sky ( Santee, Ca) as vaxxed pilots pass out from blood clots.
I have rentals and I agree with what he says but what concerns me is what our Canadian Gov is talking about up here which is to tax home equity and crack down on borrowing against the equity in homes and rental properties. Our leader made a statement to the media that home ownership is like a lottery ticket and creates an unfair advantage and is leading to wealth inequality across the country. Those are our Federal Governments words, not mine.
This is exactly the main reason to own anonymous precious metals. Governments are the managers who make sure that the wealth and money that people generate ends up in the bank. They will not rest until a few have everything and everyone else has nothing. Old white christian man with a house is target number one.
Stupid talk that will never happen, idle yapping to please people if you tax that people will leave Canada I live here myself and you will go were you treated best .
Real estate should be a part of our portfolios, if we can afford it. Personally, the meaning of afford means not leveraged or at least being in a position to pay out the loan at a moments notice. Having a large debt you cannot quickly pay off does mean you can be blown by the prevailing winds to a place you may not like. A house per se is important as a roof over your head. Land however, i think is an essentially finite resource and one that is worth controlling if you can afford it. Anyhow, all of us need somewhere to live so having our own home makes sense in terms of having independence and not being beholden to a landlord. Being beholden to any party ultimately means we are open to coercion.
If Real Estate is a a Hedge Against Inflation depends on more than the price/s. Do YOU own it or do your BANK own it? Do you live in it or do you rent out the house? Do you have the money to keep the house in in good condition? Where is the house located? Generally, as a long term Inflation Hedge a house is a VERY bad alternative. Why? Because everybody knows it's yours, means your SOCIALSIT Government knows it is yours. So while inflation is rising be prepared that they let you pay more and more for others because you own a house. Be also prepared for a Forced mortgage/Compulsory mortgage for a house you already paid for. Aditionally, because your SOCIALIST Government is a DEEPGREEN Government, you have to "invest" in senseless house technologie to save the Climate.
In the USA, the state is the actual owner of all real property. Everyone must pay rents in the form of property taxes because if they don't pay, the true owner will foreclose and transfer the property to someone else who will pay. If people actually owned "their" real property, no one could take it away from them.
I think the biggest danger is: Renters stop paying rent and when you evict them, they destroy your rental. Given the roaring inflation, people will only eat. There will be no money left to pay the rent.
Looking at the data I can tell that the best way to protect ourselves from inflation is to short Gold. This is not a joke. This is based on the chart. Check yourself
People need to live somewhere, real estate works it keeps up with inflation and borrowing costs are cheap .
Your personal house becomes an asset or passive income from multiple residential units and even if we go to a global reset ,real estate will be adjusted and pay off your mortgage with precious metals.
Demographics - yeah but it depends. Who wants to live in California or NewYork or any high tax states ? No one. They are all moving to Florida and Texas.
I think that he is spot on for most of the video, especially concerning debt depreciation and rent increases. Also I agree that disregarding every other variable, housing will maintain pace with inflation for the most part (the house itself will depreciate though, so there is some math to do there). But as he said, historically it has kept pace.
As is the case with the vast majority of historical analysis, most of it does not include the environment we are heading into I think, with the way that the dollar will fall and the societal changes that may occur along with that. So while I cannot disagree that housing HAS BEEN a good hedge against inflation, I am not sure that it will continue to be a good hedge. And especially considering how illiquid housing is, I am much more inclined to be careful with how much real estate I own. I like diversification, as what I am going to put forward is not a guarantee, however I see it as the likely scenario.
I think that the population is going to be severely reduced over the next decade or so, could be shorter or could be longer. So while inflation might be pushing up at record levels, if people simply do not need housing because there aren't as many people to live in the already constructed houses, I could see real estate falling across the US and probably the world.
One other thing to consider would be the geographical area, as was sort of said but not expanded on in the video. Just like the rust belt lost factories, as people get more desperate and angry, I think there will be a lot more civil unrest, which could definitely impact properties in the suburbs of cities and in cities themselves. More rural areas should be fine.
Just my two cents. My parents have done real estate their entire lives and it has been very good to them and I studied economics (the shitty kind they teach at liberal arts universities, but hey, I can still crunch some numbers lol). I know how good rents can be and appreciation of property, however right now I don't see real estate as a great prospect.
We are already seeing deaths from " all causes" spiking to all time highs in recent MONTHS coinciding with the push to get these "vaccines" injected into every human on Earth. We are SEEING the depopulation plan AT WORK. Planes dropping from the sky ( Santee, Ca) as vaxxed pilots pass out from blood clots.
I'm glad that I do not eat at Denny's. lol
I have rentals and I agree with what he says but what concerns me is what our Canadian Gov is talking about up here which is to tax home equity and crack down on borrowing against the equity in homes and rental properties. Our leader made a statement to the media that home ownership is like a lottery ticket and creates an unfair advantage and is leading to wealth inequality across the country. Those are our Federal Governments words, not mine.
This is exactly the main reason to own anonymous precious metals. Governments are the managers who make sure that the wealth and money that people generate ends up in the bank. They will not rest until a few have everything and everyone else has nothing. Old white christian man with a house is target number one.
Stupid talk that will never happen, idle yapping to please people if you tax that people will leave Canada I live here myself and you will go were you treated best .
Real estate should be a part of our portfolios, if we can afford it. Personally, the meaning of afford means not leveraged or at least being in a position to pay out the loan at a moments notice. Having a large debt you cannot quickly pay off does mean you can be blown by the prevailing winds to a place you may not like. A house per se is important as a roof over your head. Land however, i think is an essentially finite resource and one that is worth controlling if you can afford it. Anyhow, all of us need somewhere to live so having our own home makes sense in terms of having independence and not being beholden to a landlord. Being beholden to any party ultimately means we are open to coercion.
I was one of those that sold the property thinking that we where at the top of the cycle .
The crash never happened!!
Next time I will listen more to old folks when they told me not to sell my homes ever !!!
If Real Estate is a a Hedge Against Inflation depends on more than the price/s. Do YOU own it or do your BANK own it? Do you live in it or do you rent out the house? Do you have the money to keep the house in in good condition? Where is the house located? Generally, as a long term Inflation Hedge a house is a VERY bad alternative. Why? Because everybody knows it's yours, means your SOCIALSIT Government knows it is yours. So while inflation is rising be prepared that they let you pay more and more for others because you own a house. Be also prepared for a Forced mortgage/Compulsory mortgage for a house you already paid for. Aditionally, because your SOCIALIST Government is a DEEPGREEN Government, you have to "invest" in senseless house technologie to save the Climate.
In the USA, the state is the actual owner of all real property. Everyone must pay rents in the form of property taxes because if they don't pay, the true owner will foreclose and transfer the property to someone else who will pay. If people actually owned "their" real property, no one could take it away from them.
good point. same here.
I think the biggest danger is: Renters stop paying rent and when you evict them, they destroy your rental. Given the roaring inflation, people will only eat. There will be no money left to pay the rent.
Thank you Greg for all your hard work and dedication to people who want to be awake and aware of the dangers surrounding us
Looking at the data I can tell that the best way to protect ourselves from inflation is to short Gold. This is not a joke. This is based on the chart. Check yourself
Shorting miners really pays off during inflation
Today, King dollar absolutely mauled Turkish lira and roared loudly. More to come. Lion king is on a rampage.
As always much gratitude for all you do for us Greg
People need to live somewhere, real estate works it keeps up with inflation and borrowing costs are cheap .
Your personal house becomes an asset or passive income from multiple residential units and even if we go to a global reset ,real estate will be adjusted and pay off your mortgage with precious metals.
My grasp. Mortgage rates stay low because the Fed keeps them low (in order to increase debt) while rents go up. Makes sense....
Demographics - yeah but it depends. Who wants to live in California or NewYork or any high tax states ? No one. They are all moving to Florida and Texas.