The Cash Flow Is King
Macroeconomics
Compounding Interest: Why You Should Invest Now and Spend Later
When it comes to financial planning, taking a reliable approach rather than swinging for the fences can yield incredible results. If you have the patience, it is remarkable what is possible if you focus on low-risk cash flow, rather than relying on asset appreciation. In this post, we will look over some of [...]
Why Stagnant Economic Times Present a Rare Investment Opportunity
Conventional wisdom would have you believe that investing during times when real estate is appreciating is the best way to accumulate wealth. While this ideology is not entirely untrue, its only has merit if you have a specific wealth building strategy. In some areas during the last credit bubble, real estate was appreciating by 25% [...]
Watch a *webinar* on investing in Mortgage Notes
If you have been following my blog, you know that mortgage notes are my favorite investment vehicle. When structured properly, mortgage notes can be the most secured way to achieve passive cash flow. I have discussed in previous articles how investing mortgage notes works. Like most cash flow investments, an investor puts up a lump [...]
Government tries to step out of the mortgage market: $100,000 in credit vanishes.
In a recent post, I discussed how the FHA and GSE’s loan limits in certain California counties were going to have a dramatic impact on home prices as in expensive areas, where the loan maximums would drop from $729,750 to $625,000. One of the reasons this was never publicized in the mainstream media because, in [...]
A Short Guide to the Global Economic Collapse
When I was studying macro-economics in college, I noticed that during Macro-Econ 101, the principles seemed very straightforward. As I moved closer to graduation, the 400-level classes made the same principles seem much more complicated actually are. This did not happen because we were adding details to complicated theories. It happened because no one wanted [...]
How to Achieve Double Digit Returns With Real Estate
If you are like many investors, you are sick of hearing about problems that you can’t control but still negatively affect your portfolio. What is going to happen in Greece? Is Europe in need of a bailout? If so, are Americans going to front the bill? Is Bank of America in dire need of capital? [...]
Investing for Cash Flow versus Investing for Equity
In the investing community, there are many different philosophies and strategies, but the two schools of thought that constantly come up are the differences between investing for equity and investing for cash flow. Equity is the value of an owned interest in a property, while cash flow is the monthly income that a property provides. [...]
A Simple Explanation of the Most Secured Real Estate Investment
The recent stock market volatility has left many investors looking for reliable returns that provide cash flow, rather than unpredictable variance. Investing in real estate notes is one of the most straightforward and secured methods of investment. Mortgage notes are a great way to diversify your portfolio and also provide cash flow. Here is [...]
Visualization of the National Debt
Mathew Owens, a well know real estate investor from the Los Angeles area, wrote this post to give a visual perspective on the amount of debt the US has accumulated. It is numbers like these that make me dedicate my time to taking a hands on approach to my financial future. “These days the average [...]
Fed announces Operation Twist – nothing worth twisting over.
Ben Bernanke has announced what many have been speculating: ‘Operation Twist,’ meaning that the FED will sell $400 billion of bonds in the 0-3 year segment and buy $400 billion of long-term bonds in the 6-30 year in an effort to push interest rates even lower. Many analysts believed the Fed might actually add to [...]