Does anyone know the distance and travel time for Houston to McAllen Texas Saloon by? Map Quest is will tell you, Total Est. Time: Est 6 hours, 4 minutes total. Distance to say: 362.87 miles Mapquest 7 hours, 6 hours and four minutes. . Http://www.mapquest.com/directions/main Try this for 6-8 hours http://maps.yahoo.com/; _ylc = X3oDMTExNmIy … It takes most people take about six hours and to manage or is it …
Knows someone's claim of Gordon Ramsey's Place surrounded by curious York? Trip to New York from Austin TX requirement, the best things in four days of gratitude – To know The London Hotel in NYC. 151 West 54th Street (6 to 7 Avenue) Tel: 212 468 8888 Fax: 212 698 8138 http://www.gordonramsay.com/gratthelondo … Reservations are taken by mobile phone …
Does anyone know the right of the boats used by Hawaii included for funerals? enjoy in Hawaii Barbie them this size boats they use for the funeral. put them on men holding on to them and their ashes and return it later to her from the deep and burn them. I remember surrounded me to people that if I lived in Hawaii, but I'm …
Does anyone know the law of the craft show that within Oklahoma City Bricktown contained in two years held by mid-June? Is this an annual show? Also, there are other flawless craftsmanship shows in the Oklahoma City nouns? – Call the City Hall, go to the city Web site design and check the calendar of events for the city of Good Luck
Does anyone know the right by The Haunted House by Indianapolis Indiana surrounded thats like 13 floors or something? and you can tell me a website for you? – Check that all may turn out to create these links in your hand http://www.indy.com/, http://nuvo.net/, I live in Cincy http://www.clubvibes.com/, but they always keep haunted house said …
Who knows the exact address of Disney World's Animal King Domin Orlando? I'm going on holiday and I know not just at Animal Kingdom in Orlando, Florida to win the last time that I was not there to enjoy the animal kingdom – you can do a search on Yahoo map … and fresh, follow the Signs do. http://orlando.citysearch.com/profile/11 … Animal Kingdom – Disney World Orlando, FL 2901 …
Does anyone know the exact daylight in February 2008 for the GM Auto Show Detroit, Michigan, surrounded by? the show in Detroit in January, other … usually the ending part of January http://www.naias.com/ The biggest car show in the world. I'll see you in the area. 19th January to 27 surrounded his January is usually the third Week I believe …
Does anyone know the quickest way to Richlands drive from Sandusky, Ohio to North Carolina (near Wilmington)? Take the Ohio Turnpike to the Pennsylvania Turnpike Get past their sell-by date on the Breezewood exit and continue on the Interstate 70 East. Thief, who will Hagerstown Maryland USA reach 81 South, take I thought that it a bit of West Virginia and Virgiana that …
Does anyone know the name of a hotel that marriage feature in the style network to be changed around of Agoura Hills, CA I saw it last year, but can not give the impression that it will be said in the credits, Via La Vina but no luck they find. PLEASE HELP! – You have the Style network for a bid. I researched shows the adjectives …
Does anyone know the name of the lagoon, which looks similar Texas state? There is a lake near Dallas North Texas is shaped to exactly be like looking for the state of Texas. Does anyone know the term, and perhaps the Position so that I found in Google Earth? Please support me in this event. Thanks! – Hello …
Does anyone know the name? Does anyone know the name of the waterfall 3 Julian? Its basically a small 3 waterfalls. Heres a picture. http://s132.photobucket.com/albums/q25/i … http://s132.photobucket.com/albums/q25/i … and you know if Cedar Creek falls there or after that way? Me and my husband's plan was stomping, the Cedar Creek falls but we cannot find it, instead landed We on this route. …
Does anyone know the geography and demographic Braintree, MA? I'm on the adjectives Greater Boston lived, from west to north, but south nil … I'm in an apartment it looks now, and I was wondering if anyone know what the city looks. In the presence of other Boston Suburbs, it would be equivalent? Is it big, small, dirty, clean, …
Does anyone know the history of this poor house near from the High Museum of Atlanta included, Ga? It is only more or less one or two blocks from the high and the only house here. It looks pretty perfect in form, and it could be as soon as a restaurant. Does anyone know the name of the hotel / restaurant? I mull over it on …
Does anyone know the history of Nevada SPCA in Las Vegas / Clark County? I have in the Nevada SPCA website and there is no information about the history. I know, a specific provision on the local SPCA. – Since its creation in 1982, surrounded, whose pride was a shelter not shoot http://www.vegascommunityonline.com/NEVA … http://network.bestfriends.org/lasvegas/ … Here is a little more, she said in a. .. begin
Does anyone know the Honolulu Military Camp? hi were a military Loved ones. we heard in the order of a military camp just for the military in Honolulu, who knows what its call, or where it is … nothing to give or take a few basiclly it, thanks. – Bellows. Camping and cabin rentals. It depends on which branch? in the presence …
Does anyone know the hot Spot for shells surrounded by Galveston, Texas? Unfortunately, the closest thing to fresh clams are found on Long John Silver's and party like fried Rubber. Larry is really tasty tons of oysters throughout the Galveston and Houston during any of the months, enjoying R's in them. Clams? This is more a matter Northeast. You are not …
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Does anyone know the label of a small town deep in Alabama.? The name is similar to Tunica, Tunia, tuna .. or something to that effect .. I have googled, but cannot find anything! – Is it Tuscumbia? Tuscaloosa? Altoona http://maps.google.com/maps?hl=en&client … eXpurgate: Nevermind, you just found it
Does anyone know the label of a Nail Salon included Orlando .. it's hard Millennia removed through a shopping arcade .. may Mall of? It is an island in the middle pole next to the chair all around him, is part of the manicure and then within a dark, quiet room with another section in the massage chair surrounded near where they enter the earth pedicure .. I plan on going Orlando …
Does anyone know the Lineup / timetable for the Satchmo festival? Happy Birthday Louis! "Armstrong Park August 3, from 10.00 to 12.00 clock A celebration of the 106th anniversary of the birth Satchmo's at the 7th annual Satchmo Summer Festival. Birthday cake and Kentwood Springs water is made available. "Women in Jazz MyStick The Lounge Royal Sonesta Hotel, 300 Bourbon St August 2-4, 2007 09:00 to midnight, the present Royal Sonesta Hotel …
Does anyone know the local sales Charging for Elgin, IL? Is there an online resource to find out the local sales tax rate? I live contained by AZ, but my sister lives in North Rhine-Westphalia, and she is looking for part of their taxes. Thank you – The turnover rate depends in Elgin, whether the sale is made in the Cook County or Kane County …
Knows someone the location of the Carnival from March 20 to April 20 in Revere, MA? isn't it usually on the beach, why do not you ask one of the residents of Massachusetts revere showcase cinemas revere At Showcase Cinemas .. Slightly off Route 1 Take the Route 60 exit and you will see immidiatley of the carnival. Look for the turning, relatives FLLLLLY around …
Does anyone know the May Tai Mai Tai recipe from the handrail at the Imperial Palace Las Vegas included? I had a great May Tai once at the Mai Tai Lounge in the Imperial Palace Hotel in Las Vegas. It is in light rum, muddy rum, almond liqueur and a shot of Bacardi 151st That said, I do not know and were not competent to re …
Who knows is the nickname of the pyramid-building in Las Vegas? Is it a hotel? Or what is it? – It is the Luxor … stayed here three times you will not be disappointed Luxor Hotel & Casino in guessing your discussion of the Hotel Luxor, Egypt It is the question Lu xor and it is a hotel near a casino. It is a pyramid, A. ..
Does anyone know the name or location This environmentally clean low-income rental builidngs in New York City? I saw a documentary on Sundance Channel and it showed a company that his new environmentally friendly rental housing for middle class people to live Does anyone know of them or where they are on earth, or if they even completed? Thanks. – I think …
Who knows is the nearest airport, surrounded by Wilmette, Illinois? Please, I need to know before I book tickets – chiacgo O'Hare Airport code: ORD O'Hare probably for all commercial flights. Chicago O'Hare (ORD) is the next 20 minutes by taxi. Mitchell Milwaukee surrounded a possibility – it is connected to Amtrak, and you can take a train to the south to take Glenview station ….
Does anyone know the nearest airport to Hemet California? Nearest airports are in Riverside and Palm Springs, but if it must be a commercial flight It within his mind, San Bernardino. For international flights, then LAX. Ian M Hemet Ontario is the next. Ontario International Airport would be the closest Airport after Hemet. LAX and John Wayne Airport in Orange County …
Does anyone know the network address for Disney's Magical Express Service? … Were guests flying into Orlando Int. can book the service. Thank you – www.Disney "sMagicalExpressService.gov – S If I call you to himself and to speak a soul to book the service know how it can be part of your bag when you stay at a Disney Resort. I've always got …
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Can a physical property lawyer 1099c back to inform me if my home in California to avoid tax on individual forclosed will No, a Form 1099C filed by the lenders involved and inform you and the IRS the amount of money you won "not" pay the mortgage in full as agreed. At the end of last year, Congress and …
Can anyone recommend a devout Iranian CPA / Tax Attorney included California, conversant goes for 1031 exchanges? I have an Iranian client, ill of the tax proposal have surrounded his awkward but with every own countrymen. Since he had confidence in me to donate space in spite of this, I wish him the best possible service to find this …
Can someone recommend a GOOD toll lawyer in Atlanta nouns? I would look on Kudzu.com. I narrowed the search to tax lawyers … give it a shot. Source (s): …..
Can any recommend a perfect tax lawyer from Houston, TX surrounded? We are in deep doo in the vicinity of the IRS. You have us that they appointed an "Intent to Levy own" and notifying us of our right to a hearing. We ourselves should we heard an "offer to compromise," But no instrument has to know how much to offer, or …
Can I borrow a cup of sugar and a tax lawyer? Sure, but if you tell me only how to make a heart to say, I enjoy a match is on and toilet paper and some old tax you to borrow sugar, but I know no, no tax-law lawyers sorry! I will represent you but for a few mill! Would you …
Can I use my taxes Huband backbone, since I have the power of attorney, even if he is guilty as an amount of more? He owes much more than what we were supposed to finance to obtain, but since he was in prison, and I had from the people of his power of attorney to do, we would tell us something? No. The IRS will …
Can I have someone that an audit by? such as a lawyer? If you do your taxes yourself, you need anybody, if someone else has your taxes transport them. Be honest with the tax authorities of the man can help a lawyer. If you do something wrong, even to her. Please answer all questions honestly say, not try to hide anything, be helpful …
Can I claim the $ 1800 on my return to Great that I spent this years for my Lawyer? to Chapter 7 bankruptcy to file a maximum cost deduction? Only the part of the fees allowed, the taxes are related to be written off. No, if he showed a separate amount on his account that, for tax advice, it is not possible to open up though …
Can I profile a person locked up for taxes if I enjoy them authority? My brother, his taxes this file year, but he is in prison. He said that because I enjoy the power of attorney over him, that there is no problem, why I could not see him on file. I do not understand why he can not himself ….
Can I record with a presumption of legal fees as a business location? I think not. You can file accountant fees, if they are part of the preparation of your tax return. is the attorney fee relateecstaticour business? If so, it is deductible on your Sched C (if sole proprietorship) line 17 .. In general legal fees from a legal business for business purposes paid …
Can I from my personal Attorneys' fees reduce prices from my account? It depends on what for them. Check out the list below. http://www.irs.gov/publications/p529/ar0 … You can generally deduct expenses legalized in which you incurred in attempting to collect produce or, or taxable income you through the connection with the investigation, Collection, or return to pay no tax surrounded. You can also …
Can I subtract from my attorney's fees for tax work, I collect on debts? I am a lawyer. I have considerable work to raise $ 100,000 in fees. Can I get deduct what I would be a Lawyer or my own hourly paid? No, your time is worth zero. Only if you report what you would have to be rewarded as income …
Can I am firmly Sue estate attorney grossly lower than the estimate of property taxes during the closure? We have our place in six months and have the second part of Cook County, il, 5k tax bill that is about what we are during our closure. Am I entitled to sue the difference from my lawyer? Sue for what? …
Can I take off court costs, fines, legal fees, etc. on my taxes? Only if this is the result means that you return to the accusation Reporting. Read http://taxipay.blogspot.com/2008/04/list … You can not deduct fines and court costs in your taxes, but some lawyers Cases. You need to a toll-specialist to speak, to see if you can ….
Can anyone recommend a suitable lawyer because of the Bay Area of California contain? The IRS says my friend owes a large part of the money from the year 1991 (including interest and penalties). He is not so sure. Thanks to the surrounding advance for your help everyone! This is not an attorney fee kind of problem. At least not like that. You need to know …
Can someone find me a well educated lawyer free of charge from California include the experienced contained by doing deals in the compromise is? And who is cheap or who accept payments. Thank you! You can also try to targetlaw a prod for a lawyer. I have a populated search for you. The best what to do … read a few
Can someone in California to write bad lawyers within their taxes for an adoption? Based to your question, then I take the long leap and guess from …. California? Anyway, the answer to your quiz is unfortunately "NO" legal fees for a company related deductible in the vicinity of business activities and may apply against income or revenue gains, offset if …
Can u subtract expenses for attorney ur taxes? It depends on what you pay for, he lawyer. If the legal fees relating to the provision of your taxes, can Pulling it off. Charges for writing are probably not deductible. Ask the lawyer. Compared to what else you for the reward, this should be a cost issue. Attorneys' fees incurred in the …
Can you claim legal fees, etc. on your income requirement? When I filed for Chapter 13 bankruptcy for the first time I said that the firm charges $ 2,500 and $ 90 for the financial advisor on the phone, for a total of $ 2,590.00. My attorney lost the case and said not to worry, I'll just re-submitted your defense. So …
Can I claim legal fees on your taxes? When I filed for Chapter 13 bankruptcy for the first time told me that the law firm fees of $ 2,500 and $ 90 for the financial over the phone Consultants, for a total of $ 2,590.00. My attorney lost the case and said not to worry, I'll just wind up back at your ceiling. So I signed …
Can you discount legal fees for a divorce if the file taxes? Yes. No, although if one part is the tax on Tax and slice shown separately on the invoice, then you could pull off the play. Just what part of taxes, if any, applies to the preparation tax returns, tax advice or guidance for the production of taxable income ….
Capital Gains Tax – I am responsible for Verbs of title under the authority? I had a power of attorney to take care of my mother's affairs after her mentally not able to be. I transferred the title home to me, to prevent them exploited (cheated in the recording of a mortgage etc). 6 months later she died. I distributed the …
Houlihan on Cook County Property Tax/Assessment Flap
Green Real Estate Education Is Important And Timely.
Our company works 24/7 to try to get sub-contractors, agents and mortgage professionals to understand how important they are in the energy and climate issues we all face. The built structure contributes to adding such unhealthy levels of Co2 and other gasses into the atmosphere. Knowing that existing homes and building need to drastically change is a monumental task. Being invited to teach at the GO GREEN EXPO in Philadelphia is such an honor and we teach those that are in these structures everyday, that suggesting proper upgrades and renovations to property owners is a responsibility they have. As I sit here and watch snow falling in Maryland and along the east coast, I can’t help but feel capturing this moisture and storing it for those days we have little precipitation, offers such a viable solution to drought areas. Just put a cistern and silo in many areas and it is done- When Atlanta just received snow, they could have stored and used this moisture. They are one of the most extreme examples of drought problems in our country.
So I beg all continue to work hard. The energy sector represents new jobs FOR THOSE WHO ARE LOSING THE ONES THEY HAD. Jobs for those who can manufacture, install and sell and market these systems, for rainwater, recycling efforts and the labor needed to build windmills, plant crops that produce energy and so on. It is almost as if we have the new “gold rush” in front of us. We just need to shift our perspective to understand the possibilities. Installing solar has such benefits and yes, will take new skills. Most all involved in the new “green revolution” will confirm education is needed. We are writing courses around the clock for all of this. But offering education for $200-$500 and more will cancel out 90% of our population to get this much needed information. We are doing this for under $100 which is why we have educated 4,000 in just under 23 months.
Why are so many under estimating the buyer today? Can the economists not see they are brighter and smarter than in the past? It isn’t the $1200 mortgage payment that stops them, it is the extra $ 800 in taxes and insurance, and then another $200 or more for home association fees? Wake up and get green! Consumers are smarter today than ever before. They can get on the net and learn. A home has to produce better and more lasting results for lower utility bills in the near future and must be better for our living environment. A property must not only meet our needs, but more and more consumers are demanding that they exceed those needs. DO you want a $400 utility bill or one that is $150? Using renewable energy to power our homes as they do in other countries will be necessary to kick start the real estate market.
We used to move every 5 to 7 years. But todays consumers want to stay longer. The home they buy or rent must be healthier too. Do you want a home that is off gassing unhealthy fumes to your family while they sleep and watch TV?
Similarly, to keep employees happy and coming back, our workplaces must offer more. Our lifestyles are changing, and this is reflected in our ideas of home purchase, or when corporations decide to move their offices or build branch visibility.
Today we know that green built structures document higher productivity and lower absenteeism rates because of the healthier materials used. Many more people are beginning to accept the fact that first costs are not the only factor to consider when building or renovating. It is the life expectancy of the structure that is considered for green upgrade decisions.
I encourage everyone to join the new revolution. Begin to care about your own family and friends carbon footprint and make a difference for them and for your clients and customers. As consumers, begin to look at the long-term value of the renovations you invest in. In the long run, you will see a difference in the quality of your life and your bottom line.
Hi, the short sale house I am buying just appraised for $315,000. I live in South Florida. How can I estimate how much I am going to be paying in taxes?
Also, I am a first time homebuyer which would qualify me for Homestead exemption.
We are buying the home for $305,100.
call the county and see what the actual taxes are on the property. It is not based on the sales price but what the county assessment is. The only thing that is based on the sales price is the title insurance and the tax stamps paid at close
Pearland is a city in Texas located just southeast of Houston in Harris, Brazoria and Fort Bend counties. It is simply one of the most rapidly growing suburbs in the United States. Pearland is bordered by Friendswood, Texas in the East and Alvin, Texas in the south. The city was founded in 1894 and was founded as the 2000 census, the population estimated at 40,000 individuals. Estimates put today's total of about 70,000 people in total. More than eight percent of the residents are Caucasian, African-Americans do with a little more than five percent. Pearland was only a stopover on a railway, according to the Houston Galveston, Texas traveled. Pearland was first named "Mark Belt" for a landowner who was a house in the area that was used to position the mail Sort of Galveston. And the city eventually got its name from the fruit trees that were planted in the area in 1894.
Unless the economy affected is, the largest employer in the region is the Pearland Independent School District, with Walmart coming in a distant second. In fact, there is no major industry in Pearland. Many residents in Pearland are employees of the Texas Medical Center. Residents use Highway 288 and north to Downtown Houston. The highway flows very smoothly, there is not much traffic. And the location is ideal for the road Pearland.
Pearland is minutes from NASA, the Kemah Boardwalk and Clear Lake. The Kemah Boardwalk is an area on Galveston Bay and offers locals and tourists with a huge number of restaurants, water rides, hotels, theme parks and a. Live bands and performances. Well known restaurants include the Aquarium and Joe's Crab Shack. This is indeed a very great attraction for the residents in the Greater Houston.
There are only a handful of Pearland Apartments. And the vacancy rate is low compared to other areas of the city, allowing rents to some of the newer properties on competitive pricing of some properties in the heart of Houston. The Villas at Shadow Creek Ranch is one of the newest projects in the vicinity of the apartment Pearland area. This community was completed in 2007. Rental rates for a room to start in the high nine hundred U.S. dollars range. However, this is probably the most luxurious property in the area. Residents will find direct access garages with private driveways for Some units. All apartments are wired with intrusion detectors, and each unit includes a full size washer and dryer. The apartment amenities include a resort-style pool with an outdoor cabana, and an amenity not found in most homes in the city, a putting green. And of course, a fitness center, cardio equipment that and strength training machines are available to the residents of the community. tax credit is shared apartments also available in the area of Pearland. Simply put, these communities are for the tenants, the only reserved to a certain amount of money. If they reported making more than the amount they will not qualify to live in the community.
Every year, editor Kevin Smith samples from publications such as Governing , State Legislatures, State News, and Campaigns & Elections to grab your students interest with highly readable and up-to-date articles that hit close to home. Nearly 40 new articles cover significant issues facing state and local governments with the same context and currency you have come to expect from this reader. Back …
Nine of the nation's strongest remaining real estate markets are still to be assessed in the southern Part of the land area, according to a study by Real Estate Add.com, an information driven website, the real estate news and local market forecasts has performed on all 50 U.S. states.
Lakeland, Florida, as long as a Retirement Haven, has seen a booming real estate market for more than five years considered to be high on the site of the annual List of top 25 U.S. property markets. The website economists forecast Lakeland is complete in 2006, with 13% in value on an average price of only $ 170,000.
El Centro, California, bound in the heart of California's rich agricultural farmland in Imperial Valley for second at 12.0% appreciation by the end of the year. The El Centro real estate market for the first time home buyers, many of which are citizens of Mexico are expected U.S. citizenship fueled by changes in U.S. immigration laws expected. Coeur d'Alene, Idaho for the second position in the annual appreciation forecast 12% to an average price of $ 118,000 committed.
South Carolina, Tennessee and Kentucky continues to appreciate strong real estate markets nationally. The South East experienced the largest population growth and migration of new residents in history, partly because of changing weather conditions and increasingly cold winter in the northern states.
Jackson, Tennessee is ended 2006 with 8.0% average appreciation in the housing market, barley slowed from its rapid 2005. The average price for a detached home in Jackson is just $ 86,000, resulting in a market of owner-occupied homes that are for us less expensive housing than in many other parts of the nation.
The Memphis, Tennessee market, also the Reporting heavy sales volume, but not at the rapid pace of a year earlier. Memphis is expected to end 2006 with 7.7% appreciation.
Other southern States with still high flying markets include Bowling Green, Kentucky, where the average price of $ 128,000 can buy a house with more than 2,000 square meters.
Monroe, Louisiana has a post-Hurricane Katrina boom of its own and is seen to end 2006 with a sharp increase from 7.6% in appreciation. Many residents of the region of New Orleans, hard by Hurricane Katrina almost a year ago destroyed on the ground are from the area around New Orleans Monroe, which was relocated in the northern part of Louisiana.
Charlotte and Charleston, South Carolina is where the greatest growth stories in the communities. Many pensioners are to both the area because of affordable housing and tax Benefits to move.
Cities in the western states, the website of the top 25 real estate markets appreciate, including some in Washington, Oregon, New Mexico and Idaho. Boise, Idaho, which is expected to double over the next ten years, tied for seventh place in the annual appreciation forecast with Bend, Oregon at 8.5%. Little Bend has seen a second home market develop never experienced before in Oregon, especially in the field of success attracts skiers and winter snow, it is less expensive housing compared to neighboring California. The average price for a home in Bend is now $ 201,000.
St. George, Utah, ranking fourth in appreciation Forecast of 11.5% to an average price of $ 134,000. St. Lake City was not included in the Top 25, but the market remains relatively strong sales activity and appreciation.
Spokane, Washington rank sixteenth in the forecast. Spokane has been witnessing the strongest market has had more than ten years and is expected by the end of 2006, with average appreciation of 7.9% to a median home price of $ 164,000 income.
The most expensive market in order is to make the list, Honolulu, Hawaii with a average price of $ 610,000. At the opposite end of the spectrum is Brownsville, Texas, some of the least expensive home in America with an average price of only $ 69,000.
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How can I install a software that will not install?
I already tried the instructions on the software box. I tried the control panel “add and remove programs” I went directly to “My Computer” drive D and if I drop the DVD disc in drive D will not start by itself. The program I am trying to start and install in my computer is: The print Shop Label creator and Business Cards. The disc is a DVD. Is manufactured by: Broderbund. Can you help? Thanks!!!
Use explore by right clicking on the disk player icon in my computer. Double click the setup icon.
Cashflow: the Only Sensible Investment Strategy for the Twenty-first Century
First the Disclaimer: This is a thought-provoking article that draws upon real world examples, articles, books and websites that are readily available to the public. This article is not intended to offer investment advice. Any actions that you take in the market place should be the result of your own financial education and consultation with a licensed professional.
This is the conclusion of my 3 part series that began with Home Ownership: The Biggest Financial Scam of the Twentieth Century and was followed up by parts one and two of The Stock Market: The Second Biggest Financial Scam of the Twentieth Century.
What is Cashflow? Cashflow simply put is the flow of money. Positive cashflow is the revenue or income that a person receives from a job, investment or business. The majority of people derive their cashflow from their jobs. To the extent that they come to derive cashflow from investments and or businesses is the extent to which they will become financially free when their working years are over. Negative cashflow is the revenue that a person loses due to an investment or business.
Most people are taught to invest for capital gains rather than positive cashflow. Investment success depends on appreciation of the underlying ?asset? rather than income production. This is the basis for ?investing? in a primary residence or the stock market for wealth creation. Yet, success of the capital gains investment strategy is by no means assured. No one can guaranty that an asset will appreciate in value, despite the tendency to quote historical gains as justification for an investment today. The current housing and market crises highlight the fallacy of depending on capital gains to create wealth. The housing crisis alone will destroy billions of dollars of personal wealth. From the October 25, 2007 Joint Economic Committee report:
The JEC report found that the subprime catastrophe is likely to accelerate the downward spiral of house prices. Based on state-level data, the report estimates that by 2009:
? 2 million foreclosures will occur by the time the riskiest subprime adjustable rate mortgages (ARMs) reset over the course of this year and next.
? Approximately $71 billion in housing wealth will be directly destroyed because each foreclosure reduces the value of a home.
? More than $32 billion dollars in housing wealth will be indirectly destroyed by the spillover effect of foreclosures, which reduce the value of neighboring properties.
? States will lose more than $917 million in property tax revenue as a result of the destruction of housing wealth caused by subprime foreclosures.
? The ten states with the greatest number of estimated foreclosures are California, Florida, Ohio, New York, Michigan, Texas, Illinois, Arizona and Pennsylvania. But there are several others that are close behind in the rankings.
? On top of the losses due to foreclosures, which this report examines, a 10 percent decline in housing prices would lead to a $2.3 trillion economic loss.
The power of positive cashflow is that it guarantees the value of an investment regardless of the markets. Imagine the difference between a real estate investor who bought a house expecting it to go up in value versus the investor who bought for cashflow. The capital gains investor bought at very high premiums in the market such that the rents received for his investment do not cover the expenses. Now the investor must find a buyer who paid more than he did in order to make a profit. If the market goes down that investor will find that he has no staying power and will likely sustain a substantial loss to liquidate the property and limit his on-going monthly losses. The fate of the cashflow investor is much more secure. The positive cashflow yielded by the property will continue regardless of market activity. Should the market go down, the cashflow will continue, giving the investor staying power and continued profits in a down market. More importantly, most if not all of the positive cashflow will be shielded from taxes by depreciation expenses on the property. In short, the cashflow, not the capital gains, on a property will usually be tax-free. Avoidance of unnecessary taxes is one of the best wealth acceleration strategies you can employ. To quote David Swenson from Unconventional Success, ?Taxes impair wealth accumulation.?
Cashflow strategies can also be applied to the stock market.
The trouble with cashflow investing is that it requires having a financial education. Cashflow investing requires the ongoing thirst for financial knowledge specific to your chosen area of cashflow generation.
The capital gains strategy encourages financial ignorance. Tempting the would-be investor to treat their investment as a money-in-money out proposition. Actively seeking financial education is the only way that a cashflow investor will be successful. Yet the odds are against him. Not because financial education is difficult to attain, no. The odds are against him because the financial sales people any would-be investor will encounter are paid commissions based on their ability to sell products and the majority of those products are for capital gains rather than cashflow. I find one or two real estate deals per year that yield sufficient positive cashflow for me to consider the deal, yet I am often encouraged by brokers to ignore my criteria for cashflow and invest instead for capital gains.
The cashflow strategy requires that you learn to work with people to form a team and generate profits for all. A capital gains strategy has people so focused on maximum gain that they ultimately succumb to greed, fail to exit an investment at an appropriate time and experience financial loss.
Even in today?s economy cash in the bank is not a source of solace as savers are seeing their returns destroyed by interest-rate-cutting policies of the Federal Reserve. People who depended on interest from savings to provide retirement income are seeing their incomes dissipate as the Federal Reserve sacrifices their incomes to bail out Wall Street, Banks and the derivatives markets.
The actions of the Fed and the behavior of Banks and Wall Street have proven that it is cashflow, not cash that is king.