Tag Archives: Inflation Rate

Is Gold a Good Indicator of Future Interest Rates?

Just turn on the radio to a talk station and within a short period of time you will likely hear why you need to add gold to your investment portfolio. The representation is that gold is a great investment, a hedge against inflation and will protect you from a declining value of the U.S. dollar …Read more

Residential Apartment Rents Up 14.7 Percent Since 1990 – Yet Income Flat in Past 15 Years, Inflation Adjusted

The resurging housing market is making an imprint on many people’s pocket books, checking accounts and balance sheets. For homeowners today, that is a positive imprint and for renters, a negative one. The median existing home price was $96,400 in 1990 according to the National Association of Realtors® while the latest 12-month average of median …Read more

If You Think There is No Inflation, Talk to a General Contractor

As real estate values for both residential and commercial properties continue to rise, likewise does the cost of new construction. There are significant increases in materials costs for construction projects of all types. The Associated General Contractors of America, (AGC) is a Washington DC – based trade association representing almost 30,000 construction firms spanning from …Read more

QE3 — And We Are Not Talking About an Ocean-Going Ship

(written on September 12/2012) A paltry 96,000 jobs were added in August 2012, while at the same time there are an estimated 120,000 to 140,000 net new additional people entering the workforce – and that happens every month. So in reality, unemployment got worse. But that was not the case statistically, since the U.S. government …Read more

Phoenix — Improving and Coming Back

One of the definitions of the word phoenix is a renewal after a calamity, and that is so appropriate for the real estate markets and economy of Phoenix, Arizona. I had the opportunity to again make the annual journey and speak in Phoenix this week and found a dynamically changed economic landscape. The drivers of …Read more

Residential Home Prices, Rents and Inflation

Housing should not be viewed from a short-term perspective given transaction costs. Nor should home values be analyzed in a vacuum since you must live someplace. And since housing is truly a long-term asset, inflation comes into play. That said, take a look at what average U.S. home prices have done since 1990 (and since …Read more

Who’s flying the plane?

If Indeed "History May Not Repeat Itself But It Certainly Does Rhyme," by Mark Twain, is true, why would anyone today buy a 10-Year U.S. Treasury Yielding 1.92 percent today? The U.S. is poised to run a deficit in the 2011 fiscal year (which ended September 30, 2011) of $1.3 trillion—the third largest in the …Read more