The Real Estate Investment Blog

Originally posted by MikeOH

I also think that the ecomony has many years of turbulent times ahead (maybe a decade). As long as an increasingly small number of taxpayers are expected to provide ever larger entitlements and handouts to an increasingly large number of people, this country will be in serious decline. A TOTAL COLLAPSE of our system and a fresh start is the only hope to restore our country to greatness (in the distant future) that it previously had. This collapse WILL happen and is a 100% certainty - the only question is whether that collapse will occur now or in a few years.

Well, there are a combination of things happening that may help pull us back from the abyss.

As I wrote on my blog today about preparing for the Obama Coronation in January, the truly wealthy pay only as much tax as they choose to pay. Since they don't tend to live hand to mouth like many Americans, they can delay or accelerate their incomes as they desire. They can choose when to realize and pay tax on capital gains, etc.

As Obama raises the taxes on the highest income levels, the revenues coming into the Treasury will drop. They always do and they always will.

To prepare, I am taking some capital gains off the table before the end of the year and setting it up so I can reduce my income for as long as I have to in order to pay same or less dollars in taxes as I do now.

I am not rich by any means, but I am grateful I don't have a debt load requiring me to generate an ever larger amount of income to cover the taxes and keep my head above water.

The net-net is as the revenues fall, there might be more pressure to reign in spending. It has happened before. Look at the Clinton budget projections before the 1994 election and after.

But, for now, it is time to make sure we as individuals can weather the perfect storm that will hit Washington in January. Pelosi in the control of the House, Reid in control of a possibly filibuster proof majority in the Senate and Obama in the White House to rubber stamp the evermore draconian socialist "reforms" we will see from Congress.

Hi, Boyd Family:

This has been a very useful string. Great website, B.Boyd.

Would you share w/us the gist of what you say in your ads?

Next week will tell the story. The volume was about 3B shares today.

This could just be a dead cat bounce spread over the weekend or we could be wringing out the last of the miracle hoping holdouts.

The next trading day will give more clues. But, we have to see sustained buying over several days before things are going to stop getting worse.

Notice, I said nothing about when it will get better. The bleeding has to stop first, then the scab forms then eventually the scar.

One is for sure, next week will have a story to tell.

Originally posted by fertilegal

I am very familiar with marketing, I worked for Clear Channel Radio for 7 years and I now work for a different radio outfit.
I think billboards are great but they can be expensive. There's a lot of expense and you have to compete with companies like Clear Channel. You are looking at land rental, putting up the billboard itself and artwork setup, changes and you have to sell it!

We would buy billboards already established. I have seen some for sale online and even when driving down the road. Would this be a bad idea?

Thanks for the replys. We know this is not a get rich quick scheme. As long as the ad space is paying for the loan and we can pay off the loan in 5 or 10 years(matters where/how much the billboards is) we will be fine with that. We will have other jobs, this will be an investment we hope will pay off years down the road. So if we go for little to no actual profit I believe we can compete with the big boys. Do you guys know of anywhere I can get more information? Thanks again.

if I were to mail a check to whoevers on the record, do you think it would be forwarded to the proper company for processing? I have been paying student loan payments that were underwritten by lehman brothers and nothing has changed as far as where I send my payments however someone new is obviously handling the transaction....

Thanks for telling us about yourself.

Please tell us more about what an "offshore surveyor" does.

I'm *not* a tax attorney, CPA, or anything else but... to my knowledge, that information is half correct. You can't deduct the interest of a rental property against your ordinary income. You can only deduct it against the passive income you make from the property itself. If you make at least $150k AGI, the best you can do on a rental property is zero things out (no writeoff allowed - thus, the great myth that rental property is a great tax writeoff!). If you make less, you can claim a paper loss (income minus all expenses including mortgage interest, depreciation, etc.) up to a certain amount (not sure how much, maybe up to $25k?). This is all readily available information either in IRS documents or use a good tax software to do your taxes and it will figure all of that out for you.

this is why banks are failing- theyre becoming insolvent and obviously cannot liquidate the real estate quick enough. the accounting laws are clear that they must enter an NPL as "0" value after a certain amount of time.

http://www.palgrave-journals.com/jbr/journal/v9/n1/full/2350057a.html

Because of the nature of NPLs, the normal liquidation approach under the corporate insolvency laws of the country concerned will often be insufficient to provide an effective collection and disposal mechanism. This is because it will usually be a complex, time-consuming and resource-intensive process, to collect what is owed from these borrowers and the immediate disposal of impaired loans will often not be possible due to a lack of potential purchasers.

In relation to some loans, the liquidator will be able to determine that they are irrecoverable and that they should immediately be written off. Where there is no realistic chance that a loan will be recoverable, or if the potential amount recoverable would not justify the expense and effort involved in its collection, the best course of action to take is to write it off and show it as having a zero value. In many cases, however, the problem that will be faced by the liquidator is how to deal with those loans that, although impaired, do still have some value, either current or potential.