It’s the End of the World, So Enjoy the Show!
Should everyone be scared and get out of stocks, sell all Real Estate and prepare for the biggest correction since 1991?
Before you go and do something amazingly stupid, consider the facts.
Since the election of Donald Trump, we have seen some of the most dramatic changes to National policy in many many years. Deregulation, a booming economy with 4% +/- growth, A stock market with a 50% increase in value over 2 years time. Manufacturing, energy policy and an America first attitude that is catching fire across the country. Let’s remember that a few years ago, Donald Trump was the guy on TV who was either firing people, playing with his buddies a WWF and getting it on with Hulk Hogan and Vince McMahon and just being the outlandish Billionaire whom you loved or loved to hate. Not much different than Simon Cowell on American Idol or Gordon Ramsey on Hell’s Kitchen. I just could not get enough of him saying “Your Fired” when someone messed up on his show…
Now that he is the President of the United States, and he was not a joke but actually beat the overwhelming favorite, Hillary; The media and elite socialites turned on him like he had leprosy. People, businessmen, politicians, and friends turned on him and became very scared of his message. His own party is not much better. Despite all the drama, distractions, and attempt to disrupt his agenda, Trump marches forward with his banner MAGA! I like his promise that “we have not seen anything yet” he has just begun.
Like him or not, he is the President and he has been the best thing for business.
Changes to the Tax law, modifying Obama Care, Deals to change NAFTA and Tariffs to change the structure of our global trade imbalance has been the best news for the economy.
There are more good deals coming. I will predict that when, and it is when the New Deal with China goes through, we will see a 10%-50% rise over a 1-3 year period in Real Estate, and for sure in the Los Angeles Market, and the Stock Market will most likely have a big Bull run continue as well. Maybe equal to the Real Estate boom.
So, I will say that couple all the above with the construction and massive projects happening here in Los Angeles, we are going to see the second Leg of this cycle that will just as well be described as a double cycle up! Let us add in that the new stadium for the Rams and a planned Superbowl 2024, The World cup at 2026 and the Olympics come to LA in 2028, this cycle is going to be a perfect storm. The money pouring into Los Angeles will be beyond imagination.