Investor Peter Boockvar, the chief investment officer at Bleakley Advisory Group, is sounding the alarm on a housing price bubble brought on by the Federal Reserve’s Covid pandemic policies which have stimulated so much demand that the supply side can’t keep up. What...
Commercial hard money articles on Fed policy, 1031 exchanges, mortgage defaults and their impact on commercial real estate.
Will the fed stop buying your mortgage?
The Federal Reserve has bought $982 billion of the mortgage bonds since March 5, 2020. As Federal Reserve officials discuss how to eventually scale back their easy-money policies, they are debating whether to start by reducing purchases of mortgage-backed securities...
1031 exchange eliminated; what will happen to real estate values and rental rates?
Your taxes will increase $775 Billion dollars according to an analysis by Bloomberg. President Biden has rolled out his proposed tax plan with three major pillars that will impact real estate pros. 1) Elimination of the 1031 exchange provision (or such a low cap...
Mortgage Firms Warned to Prepare for a ‘Tidal Wave’ of Distress
There is a tidal wave of distressed homeowners who will need help,” Dave Uejio, the CFPB’s acting director, said in a statement; companies “that are unable to adequately manage loss mitigation can expect the bureau to take enforcement or supervisory action.” At the...
Alcohol sales decline for first time since pandemic, Huge impact on real estate, the pandemic trade is over
For the first time in a year, since Covid-19 began spreading across the United States forcing Americans to stay home, retail alcohol sales have fallen almost 2%. Why the change in alcohol sales? No, people are not consuming less alcohol. What does this mean...
Will interest rates stay low forever? What did the fed just announce?
If you have been tracking interest rates in the mortgage market, your head is likely spinning. Mortgage rates hit a record low of 3% less than a week later rates have risen again. What is causing the drastic swings? Is now the time to lock in or refinance? What did...
Cap rates sky rocket, who are the winners and losers in commercial real estate?
Commercial property values were recently hitting peaks with investors rushing to invest in high quality commercial real estate as yields on other assets like treasuries continued to languish. Now the tides have turned with some high quality commercial property now...
Did housing market pull a V and defy all odds?
Happy summer to everyone, hopefully you are taking some time to get outside with your friends and family to de stress . Last week, I wrote about the general economy not following a V shaped economic pattern, which I still believe, but housing seems to be marching to...
Interest rates increase in 2020?
As the economy shrugs off recession fears with unemployment hovering near record lows and the stock market continuing to heat up there is one major byproduct that could be impacted, mortgage rates. There was a ton of bad news priced into the market last year that...
Bubble? Are commercial properties overvalued 16%?
Analysts at Goldman Sachs Group Inc. recently announced that commercial properties are overvalued by 16%. Shortly after Wells Fargo Chief Executive Officer Tim Sloan went on television, saying some deals looked “frothy” and that his bank was pulling back....
Big changes in commercial real estate, ready to pay 10X more?
Accurate data is critical to make the right decisions in commercial real estate. If you’ve missed the news, Costar bought Loopnet and their key competitor declared bankruptcy. In the past you could access inexpensive property comparables through Loopnet for about...
Are you following the Mushroom theory for real estate?
I know this sounds pretty crazy that a mushroom should be your guide to real estate investing. First, put the magic mushroom down! I’m not talking about actually consuming a mushroom. Do you know the mushroom theory? I think most people would agree, the...
The Federal Government is changing the value of your real estate
No I’m not crazy and I don’t subscribe to conspiracy theories. But, as we speak the value of your commercial real estate is being “changed” by the federal government. This is not a joke; the federal government is making your real estate value decrease. How is this...
There is a new real estate drug, coming off this high will be catastrophic
Like many of you I had a “rocky” ride in the last real estate recession and successfully learned many “million-dollar” lessons that were very painful. One of the key takeaways from the last recession is that risks lurk in plain sight. Hindsight 20-20 it was easy to...
Happy Halloween: My costume is keeping your rates low
First, Happy Halloween. I hope everyone has a safe and fun Halloween. The pic above is yours truly in a blow-up dinosaur costume I got for 25 dollars. Quite a steal! It is crazy to think that my purchase has changed the world and your Halloween costume...
Your zestimate sucks!
This weekend I was asked to lend on a file in Colorado. The borrower mentioned his zestimate was 250k. I was intrigued because the house was not in the nicest area. His zestimate value sucked…. Zillow also thinks it sucks since they are offering $1m to anyone who...
Want to close before summer starts and you head out on vacation?
Want to close before you put on the bathing suit and attempt a cannonball or whatever "trick" the guy above is attempting? Annoyed by the games of other lenders promising the moon only to find out later that they aren’t really lenders and can’t close? Do you have a...
5 red flags when evaluating a commercial building
5 red flags when evaluating a commercial transaction I hope everyone is off to a great spring. Now that the weather has broken the real estate market in many areas continues to heat up. I personally go in and inspect hundreds of properties a year throughout CO, GA,...




















