Posts by this contributor:

    Wealth Is Temporary

    January 13th, 2012

    The Wall Street Journal published an article called “The Truth About Money” that struck me as extremely relevant for affluent homeowners, and real estate investors.

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    If Mortgage Rates Go Up, What Happens To Housing?

    December 20th, 2011

    Conventional wisdom maintains that home prices and mortgage rates go hand-in-hand—rates go lower means mortgages are cheaper and there’s higher demand for housing. At first glance this makes perfect sense, but how have real estate prices behaved in the past with respect to mortgage rates?

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    Will Obamacare Really Effect Real Estate

    November 23rd, 2011

    The Patient Protection and Affordable Care Act (PPACA), commonly known as “Obamacare,” was signed into law last year amidst a good deal of controversy. The Left sees it as the turning point in decades of health care prices skyrocketing, while the Right sees Big Brother taking over all of medicine. What’s not quite as obvious is that “Obamacare” touches real estate. Namely, the bill introduces a new 3.8% tax on “unearned income,” which in the real estate industry means “capital gains.”

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    How The Stock Market Effects Home Prices

    October 18th, 2011

    Conventional wisdom holds that stocks and home prices are independent. Tuning into CNBC in the morning to watch the S&P 500 chart wiggle around should have nothing to do with the price of the home in which you’re sitting in pajamas doing the watching. It turns out that if you’re the kind of person who really cares about stocks, your home’s price is probably much more closely linked to those stocks than you think.

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    Financial Factors In Renting vs. Buying

    October 3rd, 2011

    Rent vs. Buy. The fundamental housing decision is whether to rent, or to buy. Buying is a big deal; it comes with high upfront and recurring costs, and can lock you down to a specific property for years. Renting, on the other hand, only ties you to a location for as little as one month, or, in most cases, for up to a year with a standard lease, and you are not the one stuck with maintenance bills.

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    Buy And Hold Makes Sense When Rents Rise

    September 16th, 2011

    Markets have a funny way of evening out over time, wiggling up and down to eventually find some sort of equilibrium. One way this happens in real estate is when the tradeoff between renting and buying hits a sweet spot, e.g. when rental rates increase and property values decrease—at some point the scales get tipped one way or another.

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