This is part 2 of Jason’s interview with Gretchen Morgenson.
Jason discussed the Atlanta Federal Reserve bank data and housing affordability issue in the US. He highlighted the potential impact of a predicted housing shortage despite a lower population growth projection from the Census Bureau. Jason also talked about the structural labor shortage and its impact on unemployment rates and wage inflation, attributing it to a supply and demand imbalance. He expressed optimism about the impact of technology on job creation and promoted the ‘Empowered Investor Guides Program.’ FireYourManagers.com
Jason welcomes Gretchen back as they finish the interview. They discuss how private equity’s surge into single-family homes is reshaping urban landscapes, pricing out regular investors and first-time home buyers. They highlight concerns about these firms prioritizing profit over property maintenance, creating a semi-monopoly in the market. The impact stems from massive capital injections, largely sourced from public pension funds seeking high returns. Private equity’s historical roots in leveraged buyouts are discussed, noting the industry’s evolution and its current reliance on institutional investors. The conversation touches on rising interest rates affecting the real estate model and potential challenges for private equity firms. In closing, Gretchen warns individual investors of the industry’s growing interest in their capital.
0:37 America’s population statistics 0:37 Atlanta FED data 11:04 Affordability map 14:54 Peak of affordability 18:24 Affordability now 21:48 Ai and the new necessities 25:16 Empowered Investor Guide- 6 Zoom sessions coming up
Gretchen Morgenson’s interview part 2
28:02 Crowding out phenomenon 30:07 Where are they getting so much capital 32:19 Private equity timeline 34:36 How private equity will impact the real estate market 36:54 Getting hyper-focused on rents 40:44 Financing the single home purchases and it’s cost of debt 42:13 What kind of capitalism do we want to have 43:52 Beware- they’re coming for the individual investor
___________________________________________________ Follow Jason on TWITTER, INSTAGRAM & LINKEDIN Twitter.com/JasonHartmanROI Instagram.com/jasonhartman1/ Linkedin.com/in/jasonhartmaninvestor/
