Creating Wealth Real Estate Investing with Jason Hartman

1259: Cap Rates, RV Ratios & Bubble Detection

08.14.2019 - By Jason HartmanPlay

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Jason Hartman finishes his conversation with investment counselor Doug about real estate and PE ratios. The two discuss the importance of analyzing RV ratios in markets to discover whether a bubble is forming (or might already be formed) but also the dangers of relying strictly on those RV ratios. Key Takeaways: [2:38] How to think about Cap Rates [5:55] Commercial property doesn't have enough risk premium right now [9:34] Real estate has a lot of embedded risk protection a lot of people don't realize [15:16] The thing that is going to drive the next housing downturn will be when we see rising mortgage rates [17:40] The 1% RV is for a turnkey rehab. New construction isn't getting 1% right now [21:16] When your RV hits .5 you're looking at a bubble Website: www.JasonHartman.com/Properties www.JasonHartman.com/Cruise

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