Archive for May, 2019

NYT Article – Real Estate’s Latest Bid: Zillow Wants to Buy Your House

Posted by leetabas

In recent years, there has been much focus on house flipping.  The latest is that Zillow is going to buy houses that they think are underpriced and resell them. https://www.nytimes.com/2019/05/07/business/economy/ibuying-real-estate.html

I could see big entities coming in a recession and scooping up property wholesale, but I can’t see that they have any advantage here. They won’t be able to do the work less expensively than someone working themselves.  It probably will make bidding for properties more competitive.

Coming in at the end of the economic cycle is probably not the smartest idea either.

The future will prove me right or wrong.  What is your thinking?

2019 Berkshire Hathaway Annual Meeting

Posted by leetabas

I attended, along with 40,000 others, the Berkshire Hathaway Annual Meeting, and encourage anyone interested in business and the economy to buy some shares and do the same.

This is a photo of the shareholder “credentials” required for admission.

At the meeting, Warren Buffett and Charlie Munger, the Chair and Vice Chair, spend from 9AM-12PM and from 1PM-3PM Saturday answering questions about Berkshire Hathaway businesses, the economy and business in general.  Even some “life” questions are answered. Having the benefit of the business and life experience of these two at 88 and 95 for free is priceless.

There was a bit of a spoof- that Warren and Charlie ran against each other for Chairperson, and that explains the campaign button.

On Sunday there was a charity 5K in which we participated. That is the other item in the photo.

Warren Buffet, Charlie Munger, and Berkshire are on the radar of the Chinese. I estimate that 10% of those attending the meeting were from China.  I spoke with several, and they flew into Chicago, then on to Omaha, Nebraska for the meeting, then were heading to New York.  From New York they were heading home.  I told them I was from Philadelphia, and they had not heard of it.  Philly, we’d better do some advertising in China!