Thursday, October 30, 2008

Great Article about Buying OverValued Housing

Why I am not buying any personal housing in Toronto.

http://torontoist.com/2008/10/economist_debunking_the_buyers_myth.php

Wednesday, October 29, 2008

Central Banks Can't Save Us

Why does everyone in the main stream media think the Central Banks and Governments can save us. Did you see they are two different entities and Central Banks are controlled by private families.

Sunday, October 26, 2008

A Nation For Sale

I went back to my hometown this weekend. I think the depression is in it's beginning phase. Everything is For Sale!! I saw multiple For Sale signs on Houses and Cars. I think everyone is becoming worried about money now. I love to see the change in attitude about money. Everyone is fearful and worried, not like a few years ago. Everyone know everything about spending and making money. Now the bills are coming due and now has the cash to cover their expenses. Cash Flow is King like the one eye man is king in world of the blinded.

Friday, October 24, 2008

Personal Financial Statment

If you don't have a personal financial statement you better create one now. I love my statement because it keeps me in check with my money. You have to read the Rich Dad Poor Dad book to understand. Watch the video both

Thursday, October 23, 2008

Favourite Investors and People to Listen Too

Here is a List of my Favorite Investors with Video

Peter Schiff - http://www.europac.net/



Jim Rogers



Robert Kiyosaki - www.richdad.com



Michael Maloney - www.goldsilver.com

Wednesday, October 22, 2008

Middle Class and Retired Falling Apart Why?

Why is the middle class and retired falling apart? No Cash flow from investments and placing money into the wrong asset classes at the wrong time. Watching T.V yesterday the news was talking about the impact of Property tax assessments by MPAC ( a non for profit company working for the City of Toronto). First they go and talk to a retire 70 year old man in a single family home. This is why I am not buying residential real estate for the next 3 years. His property was assessed for $330, 000 and he told them he couldn't even sell it for $300,000. Since the 15% plunge in house values ( which is the buy and sell of your house not the value of the house) go and read http://www.greaterfool.ca and find out what I mean. He complained about his retirement fund being drawn out to cover expenses and he doesn't know how much more he can take of the increases.

The middle class dream of living off buying non cash flowing investments is starting to turn downward. The mutual funds have failed to bring real returns, their bonds have lost pace with inflation, the RRSP account are losing value every time the bank of Canada lower rates, and house resale prices are falling because of the supply on the market.

What I can learn from all of this? Start learning how to buy great dividend paying stocks, learn how to protect your stocks with option contracts, buy Gold and Silver to hedge against inflation and protect wealth, and start or buy business for retirement. I have learned from that retired man Savers and Losers, and Cash is Trash.

Tuesday, October 21, 2008

Learning

When you are investing for cashflow. Learning is a never end task. You are always reading and scan books and article looking for the next great tip to help amass your cashflow income. Passive income investing is very boring and time consuming but very rewarding. Right now I am learning about trading options. It's a great way to protect your dividend paying stocks from down turns in the market. If you want you can speculate on moves in the market with less money then buying stocks. Leverage is beautiful when used correctly and brings you income or growth.
Another great quote Pistol Pete Maravich, carried a basketball around with him 8 hours per day from the age of 12 until he reached the NBA. When asked why…"You don't get here by just wishing".

Never stop learning and researching because you can't know everything.

Sunday, October 19, 2008

Toronto Real Estate Market

I am still bearish on Real Estate in all English speaking countries. Toronto numbers came out and the prices and sales are down 18% and 15%. http://www.greaterfool.ca/2008/10/18/sol-in-the-gta/
On October 15, 2008 the government will no longer insure 40 year 0% down payment mortgages. The governments slow reaction to a bigger problem. People are in debt over their head and have no way out but to sale their properties or access home equity if any is left. In about 2 to 3 years when the bottom in the Toronto real estate market is hitting 1990 or 1980 level then I want to be greedy when everyone is fearful. I want to pick up a multi unit rental property, and my personal home. Right now the supply in housing is growing. I see it everyday driving in North and East Toronto. The number for sale signs is crazy. I can't wait for the condo market to crash. Reading the last new condo guide magazine the supply of units are running up like the nasdaq in 1999 and 2000. Real Investor love market crashes. The time to buy real estate is when 500 to 1000 oz. of silver can buy a single family home. How silver do you own?

Friday, October 17, 2008

I am confuse but trying to be a contrarian investor

If you want to learn how a contrarian investor thinks please listen to this clip and find out.
Dave Skarica
http://www.howestreet.com/audiovideo/index.php?pl=/goldradio/index.php/mediaplayer/992

My landlord is now glued to the television station cnbc and worrying about the financial crisis. I think that is my contrarian signal to start buying up some of my favorite dividend paying stocks. The Toronto real estate market is just starting to cool off. I see in my neighborhood alone about 5 - 6 for sale sign just sitting their for about 2 - 3 months. The bottom isn't in yet on the housing because they have to re adjust pricing to sale. My second contrarian signal is to start looking for cash flowing income properties once prices fall to the right C.A.P rates. My favorite quote by Warren Buffet "A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful,"
http://biz.yahoo.com/rb/081017/business_us_buffett.html?.v=1